« Is S. Korea a good bet today? Tues., August 16, 2005, 11:13 AM | Main | Hewlett-Packard blow-out? Wed., August 17, 2005, 5:47 AM »
August 16, 2005
Triple-digit Dow loss, Tues., August 16, 2005, 5:11 PM
Whenever the Dow has a triple-digit move, I think it pays to take a snapshot of the Dow list to try to figure out what's going on.
Something was going on, because the Dow was off today -121.

Today's list shows some concern for the Industrials, like CAT, HON and BA, which are three of the weakest seven today. The worst, WMT, was explained by management's concerns that consumers are having difficulty paying for gasoline prices to be able to drive to their stores. Top-line revenue wasn't what it should be. Then XOM was 4th weakest because traders feel that crude oil prices might come off??? And INTC was off "2.0 pct on the day, which is more of the 4-week decline of "7.9 pct.
Now the technical traders -- Bull and Bear -- are looking at the following chart:

As for a humorous explanation of what's wrong with this equity market, I just turned on CNBC to watch Kudlow. To my surprise he said that there has been a bump in the road caused by a slowdown in the economy. Wow! I didn't think he had it in him.
Don't panic!"
Those are Kudlow's words, not mine.
P.S. I just figured out why I'd never go on the Kudlow show: I wouldn't have anything to say.
Posted by Posted by Bill Cara on August 16, 2005 05:11:06 PM | Category: Cara Today in the Market , U.S. Dow 30
David Wyss comment from AP article:
"... (People) can take money out of their homes and put it in their gas tanks." He should be pilloried by his peers for such idiocy. That has to be one of the all-time corkers.
Posted by: Susan Szumski at August 17, 2005 7:59 AM [link]