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Quote of the Day

Thursday, February 02, 2012

February 2, 2012 -- I've been sensing something BIG and ominous is in the offing. What could it be? Ah, a front page article in Sunday's NY Times supplies the answer. Israel will attack Iran with nuclear bombs. Israel must attack this year for this is the year when Iran will have nuclear capabilities.

 

Actually, the stock market is acting as though something momentous and frightening is 'out there.' The roof of a monster top is building. Gold keeps creeping higher.

 

If Israel attacks the Mid-East will go up in flames.

 

Suggestion -- dollars and gold. If the dollar collapses, gold will make up for the losses by sky-rocketing.

 

The next target for gold -- to trade into the 1800s, and it's getting close.

 

The Dow is fluctuating around the 12700 area, not surging above it or falling decisively below it.

 

If you listen carefully, you can hear the heart-beat of the market. It's a slow, heavy beat, as if the market is waiting for something. That something is going to be BIG. Bigger than what anyone is expecting.

 

2012 is fated to be a monster year. Keep your eyes on the dollar and gold, and the newspaper headlines!

 

That's all for Thursday.

 

Russell

 

TODAY'S MARKET ACTION:

 

My PTI was down 3 at 6366. The moving average at 6330, so my PTI is bullish by 36.

 

The Dow was down 11.05 to 12705.41.

 Transports were down 37.44 to 5305.66.

 

Utilities were down 1.07 to 449.84.

 

NASDAQ was up 11.41 to 2859.68.

 

S&P 500 was up 1.45 to 1325.54.

 

There were 1713 advances and 1289 declines on the NYSE.

 

There were 210 new highs and 8 new lows.

March crude was down 0.94 to 96.67.

 

Total Volume on the NYSE and associated exchanges was 4.0 bn.

 

Bonds: Yield on the 10 year T-note was 1.82. Yield on the long T-bond was 3.00 Yield of the 91 day T-bill was 0.081%.

 

Dollar Index was up 0.07 at 78.99. Euro was down 0.15 at 131.43. Yen was down 0.08 at 131.34. Currency Prices as of 1 PM Pacific Time.

February gold was up 9.80 to 1759.30. February silver was up 0.36 to 34.17.

 

My Most Active Stocks Index was down 1 at 287.

 

The Big Money Breadth Index was down 2 at 974.

 

GDX was up 0.91 at 57.47.

 

HUI was up 9.69 to 551.22.

 

CRB Commodity Index was down 0.63 at 310.90.

 

The VIX was down 0.55 to 18.00.

Permanent Portfolio Fund (PRPFX) was up 0.35 at 49.04 (previous day closing). YTD Return: 5.64%.