Mon 3 Dec 2007
The last two weeks have been quite the opposite of each other… Here is the WSJ’s weekly roundup of market performance for the weeks ending 12/2 (first chart) and 11/25 (second chart).
See anything notable? The best performers one week are the worst performers the next week (and vice versa).
Bill Cara recently noted that the efficient pricing mechanism of the markets has broken. Volatility is the result, and we have plenty of that.
December 4th, 2007 at 2:53 pm
If I had to guess, it looks like a fear market. When the first response is to dump stocks and go to gold or vice versa, somebody is paranoid about something. Keep an eye out and your money close.