Closed













http://finance.yahoo.com/intlindices

http://money.cnn.com/markets/morning_call/










http://www.kitco.com

Energy futures

Currencies/Au/Ag

Well! The US action sent All Ords into a tailspin and the index is currently -1.2%. Property Trusts doing the dive, -2.8% followed by Financials and Consumer Discretionary, both -1.6%. Energy is down the least, -0.1%.

Miners diverging: BHP -1.3% and RIO -1.8%. The golds soaring: Newcrest +4.8%, Newmont +4.4% and Lihir +3.9%.

In the oils, Woodside +0.4%, Santos +1.5% and Caltex -0.4%.

Some local drama last few days with a savage bushfire cutting Great Eastern Hwy which is Kalgoorlie's lifeline. The fire is still out of control burning on a 150 km front so the highway remains closed.




http://www.abc.net.au/goldfields/stories/s2129536.htm


Food supplies are getting low AND shock-horror the town is running out of BEER. Much longer and the army will be doing helicopter drops of booze to keep the residents calm

Japan to Increase Emergency Stockpiles of Grains

Jan. 2 (Bloomberg) -- Japan, the world's biggest grain importer, plans to increase emergency stockpiles of corn, wheat and soybeans next year to ensure stable supplies at a time of soaring global prices, the Yomiuri newspaper reported.

The country plans to boost reserves, including privately held inventories, to three months of annual demand in 2009 from one to two months currently, Yomiuri said yesterday, without saying where it obtained the information. A team led by Prime Minister Yasuo Fukuda will draw up a report by March and submit it to the farm ministry, the newspaper said.

All Ords came off the intraday lows to finish -1%. Property Trusts continued to slide, -2.9% followed by Financials -1.7%. There were a couple of green sectors, Energy +1.2% and IT +0.5%.

The big two failed to rally: BHP -0.5% and RIO -1.8%. Golds had a big day, Newcrest made a new all-time high, +10.2%, Newmont +4.1% and Lihir +5.8%.

Oils ended up doing quite well: Woodside +1.6%, Santos +2.8% and Caltex -0.5%.

Lots of red in Asia: Honkers -1.7%, Singers -1.5% and Taiwan -1.3%.


Over to UK/Europe:








http://finance.yahoo.com/intlindices?e=europe

Is anyone else seeing messages formatted centered rather than aligned left?
Seems it started yesterday. Just wondering if something has gone 'weird' here...

TIA

DJ Fed Accepts $8 Bln In 14-Day RPs

Type of transaction: 14-Day RPs
Total accepted: $8 Bln
Total submitted: $67.8 Bln

Agency Collateral Operation
Total accepted: $96 Mln
Total submitted: $21.95 Bln
Stop-Out Rate: 4.27%
Weighted Average: 4.27%
High-rate submitted: 4.27%
Low-rate submitted: 4.15%

Treasury Collateral Operation
Total accepted: $4.75 Bln
Total submitted: $17.55 Bln
Stop-Out Rate: 3.95%
Weighted Average: 3.99%
High-rate submitted: 4.02%
Low-rate submitted: 3.85%

Mortgage-Backed Collateral Operations
Total accepted: $3.154 Bln
Total submitted: $28.3 Bln
Stop-Out Rate: 4.35%
Weighted Average: 4.36%
High-rate submitted: 4.37%
Low-rate submitted: 4.22%

(Data was provided by the New York Federal Reserve Bank).

UK retailer profits warning

DSG Int. the owner of Currys, PC World



BusKow - thread still looks the same here, hope this helps



ADP Employment Dec 40K
Initial Claims 12/29 336K

The pigmen take it offshore......away from any US legal jurisdictions


DJ SEC May Let US Investors Trade Directly On Intl Exchanges -FT

DOW JONES NEWSWIRES

Stock exchanges outside the U.S. could provide direct trading access to U.S.
investors through U.S.-based brokers for the first time under proposals being
prepared by the Securities and Exchange Commission, The Financial Times
reported Thursday.

Citing people familiar with the matter, the report said restrictions on the
ability of foreign brokers to solicit U.S. investors could also be removed.
The development could come as early as this quarter, according to the report.

The SEC has prohibited foreign exchanges from operating trading facilities
in the U.S. without registering with the SEC, concerned that this would expose
U.S. investors to foreign regimes with weaker disclosure and accounting
requirements. Exchanges have balked at SEC registration as it would impose
dual regulation on them - once in their home country and again in the US.

How much did they pay for their house?

Dow and SPX start off with an attack on the declining 3 day cycle Ma at 13118.70 and 1454.53

Qs have been oscillating around their 3 day cycle MA, now flat at 50.46. 3 day cycle indicators are on the buy side. Looks like another 3 day cycle sideways up phase. Going nowhere unless they break the declining 5 day cycle MA now at 50.67.

Doc I think you posted yesterdays gold report this morning.

Precious Metals post in WSE Pro was originally linked to yesterday's report. I just corrected the error.

ed Accepts $2.5 Bln In Overnight RPs

Type of transaction: Overnight RPs
Total accepted: $2.5 Bln
Total submitted: $33.7 Bln

Agency Collateral Operation
Total accepted: None
Total submitted: $9.3 Bln
Stop-Out Rate: N/A
Weighted Average: N/A
High-rate submitted: 4.27%
Low-rate submitted: 4.1%

Treasury Collateral Operation
Total accepted: $2.5 Bln
Total submitted: $10.05 Bln
Stop-Out Rate: 4.05%
Weighted Average: 4.05%
High-rate submitted: 4.05%
Low-rate submitted: 3.9%

Mortgage-Backed Collateral Operations
Total accepted: None
Total submitted: $14.35 Bln
Stop-Out Rate: N/A
Weighted Average: N/A
High-rate submitted: 4.3%
Low-rate submitted: 4.2%

(Data was provided by the New York Federal Reserve Bank).

Massive, massive drain by the Fed. The biggest one I have ever seen.

They ticked through the 3 day cycle MAs at 13108 and 1453.59briefly, then came right back.

Semis seem to be in serious doo-doo

Totally unwinds the big 2 day net add and then some. The add was due to temporarily increased Treasury balances at the Fed.

dow and spx 5 day cycle indicators have ticked to buy side. test will be whether they can clear the 3 day cycle MAs at 13102 and 1453.21, with more resistance lines at 13128-44 and 1455.75-1457

10:25 AM ET - Asset-backed commercial paper grows first time since Aug.
10:23 AM ET - Asset-backed commercial paper rises $26.3 billion

Here's that chart I was asking about yestiddy. Looks like the horizontal count would project to 1425 upon a touch of 875.

Everything looking good for the bears. The Nasdaq is playing with the 200dma for the 4th time in 5 months, the SP500 downtrend is still in-tact, the Dow is showing a black cross right now, the Fed drained a whopping $13.75b, IBD changed their market outlook to "rally under pressure" after yesterday's disturbation day, and my shorts are making money overall (except for RIO, but I still like the H&S on the chart).

Gotta watch this 1450-60 area for support or breakdown.

Cheers - Bottom's up!

DJ US Dollar No Longer Accepted At Taj Mahal -India Tourism Min


NEW DELHI (AP)--In yet another troubling sign for the greenback, at least
one of the seven wonders of the world is now off limits if you have only U.S.
currency in your pocket.

India's tourism minister said Thursday that the dollar will no longer be
accepted at the Taj Mahal and other national tourist sites.

For years tourists visiting most sites in India were charged either $5, or
250 rupees.

After falling 11% in 2007, hitting nine-year lows to hoover around 39
rupees, the dollar is out.

Charging only rupees now seems more practical and will save tourists money
because "the dollar was weaker against the rupee," Tourism Minister Ambika
Soni told the CNN-IBN news channel.

"Before the dollar lost its value, there was a demand to have (admission
tickets) just in rupees," he added.

The Taj Mahal, India's famed white marble monument to love, began refusing
dollars in November.

It means just one more place where U.S. tourists will have to shell out more
money - now nearly $20.

And it's likely to get worse in booming India.

"We expect a slight appreciation of the rupee to continue, although it won't
be as dramatic as last year," said Agam Gupta, head of foreign exchange
trading at Standard Chartered Bank in India.

Joseph Stiglitz:

Stagflation Cometh

Just another Nobel laureate sounding like a stoolie.

Bush's legacy - foreclosures and Iraq....

On the verge of reversal with 3 and 5 day cycle indicators all in gear to the upside. They need to break 13136 on the Dow, 1457 on spx. Otherwise, no dice.

The drain was $33.25 billion.

im not making a move right now but things look better to find some longs.... just m 2 cents. that chart is not very bearish yet. is it not better with charts to not predict but to play the price. i had to learn and still learn to watch the price and not front run it. so something that looks to be bearish or bullish could not play out as expected. good play on your shorts though. i had thought about shorting FTO .... they would have been sweet. i ve been missing tradesleft and right.

CNE lookin sweet today ..... also PEIX is moving up
if the 20 crosses the 35 on CNE that will be good indicator that the price will accelerate up.

Some potential for a turn back to the upside or some sideways churn in Bucky here. Especially if the 10 year puts in a bottom. If CCI60 drops below -100 though, another major leg down is probably in the works.

The Pigmen cry in unison, Do you mean we have to use our own money to buy this toxic crap?

I wonder if this is just a blip or has the value all fled ABCP now and left the fictitious capital to mold in the tranches? Doc, do you have a handle on the timing yet of the flood out of ABCP ending?

One has to say, given a deteriorating economic outlook, credit crisis, oil at 100, gold at all time high and so on the markets hold up extremly well, look at DAX, it just refuses to drop down hard, even after several tests of the all time highs, i mean, yet, it doesnt really crack. I wonder when this will happen? Do they wait till people from mars land on earth or what???

I wonder if this was the ringing of the bell. I'm thinking that if there's no more cash available for redemptions, then everyone is forced to roll over existing holdings plus accrued interest.

Just a tiny blip so far. The not seasonally adjusted # was up about $15 billion.

Extended free preview of yesterday's podcast now posted on http://radiofreewallstreet.fm

Patience. We are only 18 months off the last 4 year cycle low. These things take time to turn around. Actually, if October was the high, it was way early, an extremely bearish portent for the future.

Holy crap! I missed something. Tanks.

That would merely provide increased demand for housing and
'financial assets'. (channeling Kudlow )

Good advice. I am only 25% committed. Shorted some stocks and waited to see if they gained or lost. Will only add to shorts after previous are showing a profit. All signals are a go right now, but haven't added. Watching GRMN, LVS, FAST, TXN and DELL.

In addition to a bunch of different expiring repos, the Fed redeemed $12.5 billion in T-bills.

spx 5 hr cycle projection 1459-60

dow projecting 13185.

qqqq projection 50.80.

gdx projecting 51.50

gdx 5 day cycle projection 51.75.

Speaking of the 10yr yield, here's an obvious chart. Area between red is Fed rate cuts, area between blue is rate increases, and area between blue and red is no change.

Anybody looking at Micron (MU)....might be nearing a bounce point soon...

[attachmentid=94269]

next resistance should be 5 day cycle MA and trendline at 13165 on Dow, 1459 on spx. qqq has crossed its 5 day cycle MA at 50.58, heading for 2 resistance lines at 50.79, then 8 day cycle MA at 50.86. 3 and 5 day cycle indicators beginning to accelerate.

HGX sucking diesel fumes.