Tag Archive for DJIA

Sterling Weekly for the Week of February 13th, 2012 – 2011 Index Performance Results

I was fairly surprised when I looked at the performance results of the various indices I track. Sterling Investment Services tracks roughly 39 various sector indices. Of these indices, 3 are interest rate indices that track the movement of interest rates, and the other 36 indices are stock based indices that either track the broad market or are designed to track specific market sectors.

The 3 interest rate indices I track obviously did well as the Fed manipulated interest lower, sending bond prices higher in the process. It is tough to get any message from a manipulated market. However, what I do see is a bubble forming that I am very concerned will be far more damaging to the US and world economy when it bursts than the housing bubble was when it burst. Of the 36 stock indices I track, 13 managed to show positive gains for 2011, however it should be noted that

Sterling Market Commentary for Friday February 3rd, 2012

A Few Thoughts Before the Open: One word to describe the recent market, “DULL!” Granted it has been a slow, steady upward trend, and it looks like that trend could continue; or it could reverse course at any point in time. However, from my standpoint it is somewhat tough to find any new entry points on either the long or short side that I feel comfortable with. I will take a more in depth look at the market this weekend and see what I can find…………..

Sterling Market Commentary for Friday January 27th, 2012

The overall market is rather dull right now; something I find rather interesting considering the Fed’s recent announcement of prolonged ultra-low interest rates and what I consider to be rather good corporate earnings announcements. I take this to be a sign that investors are not really to enthused about the prospects for the world economy for 2012. While it is tempting to call for a market pullback, there is an old saying about never short a dull market. While my 1st Rule of Trends is that a trend remains in place until it is broken; my 2nd Rule of Trends is ……….

Sterling Market Commentary for Thursday January 26th, 2012

I will admit I am just not enthused about much of anything this morning. I am deeply disappointed by the negative campaigning by the Republican candidates, I think Obama’s election year politics are going to be deeply destructive, and the Bernanke’s Fed is creating a bond bubble and in the process enabling disasterous policies that could make the 2008 financial crisis look like a warmup event. Additionally I do not see the European financial crisis as really being solved, or anything close to it. I guess I am just in one those moods.

September 9th, 2011

The overall market moved moderately lower yesterday in a broad based move that saw the majority of the sector indices I track move lower on the day. The weakest sectors were the Broker/Dealers, Banking, Cyclicals, Insurance, Airlines, High Tech, Chemcials, and Pharmaceuticals. The rest of the sector indices I track moved lower as well with the exception of the Gold/Silver index which posted a small gain on the day.

Oil was lower by $0.29 to $89.05 per barrel, and Gold was higher by $40.30 to $1,855.20 per ounce. A friend of mine pointed out last night that every time the Bernanke speaks Gold rises by a minimum of $25 that day. Wheat was lower by $0.134 to $7.38 per bushel, Corn was lower by $0.14 to $7.34 per bushel, and Soybeans were lower by $0.024 to $14.18 per bushel.

Market Commentary – September 8th, 2011

The overall market moved sharply higher yesterday in a broad based move that saw basically every sector index I track move higher on the day. The strongest sectors were the Banking, High Tech, Insurance, Broker/Dealers, Transports, Airlines, Biotech, and Cyclicals. Oil was higher by $3.32 to $89.34 per barrel, and Gold was sharply lower by $55.70 to $1,814.90 per ounce. Wheat was lower by $0.084 to $7.51 per bushel, and Corn was lower by $0.076 to $7.48 per bushel.

I know the Dow Jones Industrial Average staged an impressive 275 point rally on the day, but I just don’t see any justification for the move. I didn’t really see any news to justify the move higher other than the German court decision stating that Germany can proceed with its part in the Greek bailout, but the court’s decision basically stated that every phase of the bailout would require authorization by the German parliament. Considering that the German Chancellor’s party has lost every local election since agreeing to the bailout terms ………….