{+++}The administration is out with sweeping government regulation, new bureaucracies everywhere, covering everything from banks to hedge funds to insurance companies. Czars have czars and regulators have regulators. We now are trying to suffocate the free markets while at the same time giving more power to the folks that had their pants around their ankles and helped enable the whole mess in the first place. Good luck with all that, hope it works.
This is how the market looked yesterday broken down by sector, as you can see it’s pretty red, always realize though that we needed a rest. The market can scare you and then turn on a dime so keep that in mind.
The bears are now feeling a bit empowered here and we now need to see if the bulls want to retake the hill and bring in some real buying. Based on the tepid upside volume we have seen on the long side it might not be too hard for the bears to take the shine of the apple going forward. I mentioned over the weekend that this could be the week where we see a new direction formulated, so far the bears have the edge.
Oil is consolidating around $70 a barrel this morning and the dollar is mixed.
I’ll be checking in throughout the day to monitor some positions.