Featured Trades: (RAIL TRAFFIC)
1) Is ‘Snookie’ our New Investment Guru? The ultra bears were sent packing in recent days, thanks to a spate of economic indicators showing some unexpected strength. Take a look at the chart below for rail car loadings showing an unequivocal spike upward. I warned last week that there was some positive action in this area (click here for the piece), and the latest data confirms my belief that we are not going into another crash, or even a double dip, but merely a slowdown to a 2% annualized GDP growth rate. It also gives credence to my expectation that the stock market is not going to collapse, but merely move to the lower end of a long term 900-1,200 range in the S&P 500. You knew that when the media was blaring in unison about ‘death crosses,’ stocks could only rally. But how much money do you want to put into a market where the characters of MTV’s ‘Jersey Shore’ get to ring the opening bell?
Our New Investment Guru?