The Blame Game

Stocks were unable to build on Thursday’s momentum. Friday’s late sell off seemed like a pretty obvious vote of no-confidence for Paulson. It also suggested the market had low expectations that the G-20 meeting that took place over the weekend would lead to any concrete action.  And the market was right.

A Loss of Confidence

So much for the silver lining talk. The Dow Industrials seem intent on testing recent lows. The low close came on October 27 at 8,175. The intra-day low came on October 10 at 7,773. I can’t say it’s a surprise. But it is disappointing.

Fear and Greed

The fact that it wouldn’t be good for my blood pressure aside, do we really think that stocks can simply move back to their prices of a few weeks ago and everything’s suddenly hunky-dory? No, trepidation and caution are always good traits for investors, especially these days. Profit-taking when you have the opportunity is a good thing, too.