Tuesday, May 19, 2009

Odds and Ends

Jeff Saut should be part of your regular reading.  Click on the pic below to be transported to a very informative and funny piece.



I’ve been a little under the weather with a mild stomach bug.  Thankfully it was just stomach pain, headache and low grade fever and none of the other accoutrements that make a stomach bug ‘uncomfortable’ and downright perilous if one ventures too far from the loo.I’m drinking coffee this morning with no pain….so I’m declaring myself free from the bug.

I was reading a bit before turning in and AFTER watching the last episode of 24 (and missing the first, early hour in the two-hour finale).  I picked up John Murphy’s The Visual Investor.   I read it some time ago, and it is a good primer.  I like to be reminded of the basics—because simplicity has its own elegance.  It is too easy to get caught up in so many technical factors giving mixed signals that one feels like they are chasing their tail.

One of the sections of this book is on intramarket analysis.  I’m a big believer in looking at sectors because there is always actionable action somewhere (other sectors, other markets). I was reminded of the importance of the bond market and the inverse relationship of bond prices and stock market action.  More specifically, bond prices and utilities as utilities are very interest rate sensitive.  Interestingly, this a.m. I see a column my Helene Meisler on RM and Saut mentioning utilities.  Here’s a 10 year chart on XLU—




I’ve no opinion other than it’s a tenuous looking chart.

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