The DJIA (-178.11 to 13340), S&P 500 (-20.46), and Nasdaq Composite (-32.75) indexes sank after the CPI report. Just like Thursday's PPI report showed that inflation in the US is surging because the falling $USD is boosting the cost of imports to US producers, the Consumer Price Index (CPI) surged +0.8 pct in November, which is the fastest monthly growth rate for quite some time and has led to a Y/Y growth of +4.3 pct.

On the earnings front, Black & Decker (BDK) 4Q earnings dropped almost -40 pct to $1.03 from $1.55 - $1.65 a year ago, and to $6 from $6.50 - $6.60 for the full year.

As the $USD surged on expectations of higher interest rates and other action by US authorities to muzzle inflation, the Crude Oil and Precious Metal prices dropped.

The $USD gained +1.12 pct on the day to close at 77.396, off the high of 77.485. It was just Nov 23 that the $USD hit a 52-week low at 74.484.

Spot gold dropped -1.06 pct on the day to close at 794.00, rising in the afternoon from the morning low around 9:45am of 787.70. Spot silver was weak most of the day, falling -2.82 pct to 13.77, close to the low of 13.71.

Earlier in the day, Asian markets finished mostly lower, while European markets remained strong, given that the ECB did not drop rates and will likely not have to raise them either.

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Comments & Outlook

The DJIA is now at 13340, off its 52-week high of 14198 on Oct 11. The line in the sand for the Bull-Bear struggle is 12800.

You may argue that the DJIA is headed for 14,000 or 15,000, and I have agreed that with certain govt and central bank policies anything is possible, but you cannot deny that, in the big picture, wealth is being destroyed today.

The list of things you cannot ignore are piling up, such as:

• Stagflation (slowing economy and rising inflation) is rapidly destroying wealth.

• The balance sheets of the largest banks in the world are of dubious, but unknown quality, and requiring massive capital injections to maintain the required reserves.

• The market top was reached for the world’s two most important capital markets, the US (early Oct) and Japan (July), and probably for the next most important, UK and Europe, and China (both Shanghai and Hong Kong) also in October.

Are you prepared for the Bear Market? Have you even accepted my opinions we are in one?

Based on the many communications I have received in recent days and weeks, expressing serious financial concerns, I have started discussions with a private Swiss bank (non investment banking or SIV involved) to develop a “Managing Armageddon” Fund. This Fund will start up in 1Q08. As and when details are agreed, I shall let you know.

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Links & Charts

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International Economics Review

US Economic Calendar.

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Knobias Cara100 Tables

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Cara 100 Daily RSI-7 Charts

At least one RSI value >70:

Ticker	Last	RSI-7M	RSI-7W	RSI-7D	Zone
KO	63.81	95.66	88.40	66.27	Sell alert (triggered 1 days ago [on 2007-12-14 at $63.81, +0.00% chg], after a 2 day DZ)
VIP	38.63	89.84	80.96	61.21	Sell alert (triggered 4 days ago [on 2007-12-11 at $37.08, +4.18% chg], after a 4 day DZ)
PG	73.90	86.46	74.33	51.18
MBT	95.22	85.35	78.29	55.70	Sell alert (triggered 4 days ago [on 2007-12-11 at $93.80, +1.51% chg], after a 1 day DZ)
HDB	131.58	85.04	65.73	43.80	Sell alert (triggered 6 days ago [on 2007-12-07 at $138.74, -5.16% chg], after a 1 day DZ)
NOK	37.78	83.94	52.66	35.38
TEF	96.77	83.27	63.93	33.27
PBR	107.33	83.14	68.67	57.19	Sell alert (triggered 2 days ago [on 2007-12-13 at $110.59, -2.95% chg], after a 1 day DZ)
CHL	87.11	83.09	53.69	38.77
RIMM	105.98	81.47	50.86	51.51
LYO	47.76	81.13	75.34	68.42	Sell alert (triggered 5 days ago [on 2007-12-10 at $47.41, +0.74% chg], after a 1 day DZ)
GOOG	689.96	80.90	62.84	45.65	Sell alert (triggered 4 days ago [on 2007-12-11 at $699.20, -1.32% chg], after a 2 day DZ)
COST	68.49	79.06	59.82	45.08	Sell alert (triggered 4 days ago [on 2007-12-11 at $69.96, -2.10% chg], after a 5 day DZ)
AET	57.85	78.10	69.65	56.61	Sell alert (triggered 4 days ago [on 2007-12-11 at $57.92, -0.12% chg], after a 4 day DZ)
ATVI	26.72	77.05	75.69	70.64	Distribution Zone (for 1 days)
WBK	129.20	76.16	59.36	60.64
ABB	27.68	75.02	49.98	32.89
NKE	64.32	74.82	68.02	45.37
MICC	112.43	74.74	58.80	36.52	Sell alert (triggered 6 days ago [on 2007-12-07 at $124.14, -9.43% chg], after a 1 day DZ)
JNJ	67.59	73.66	75.54	48.26	Sell alert (triggered 6 days ago [on 2007-12-07 at $67.68, -0.13% chg], after a 1 day DZ)
BBD	31.44	73.33	54.57	39.65	Sell alert (triggered 5 days ago [on 2007-12-10 at $34.25, -8.20% chg], after a 1 day DZ)
EXC	83.93	73.04	65.45	51.93	Sell alert (triggered 4 days ago [on 2007-12-11 at $83.51, +0.50% chg], after a 1 day DZ)
SU	103.26	71.75	56.20	59.36
INTC	26.29	71.67	53.92	41.56
RIO	32.90	70.89	49.89	34.94
IBN	61.81	70.34	61.19	48.32
OXPS	31.63	66.46	76.95	67.04
ERTS	58.08	61.29	58.79	72.03

At least one RSI value <30:

Ticker	Last	RSI-7M	RSI-7W	RSI-7D	Zone
JCP	42.52	14.10	27.96	35.23
SBUX	21.25	16.83	17.15	23.71	Accumulation Zone (for 2 days)
BC	18.20	18.86	26.58	23.47	Accumulation Zone (for 1 days)
KSS	46.69	22.88	29.13	28.93	Accumulation Zone (for 1 days)
WAG	36.65	23.49	27.57	37.82	Buy alert (triggered 7 days ago [on 2007-12-05 at $36.46, +0.52% chg], after a 1 day AZ)
MCO	38.48	24.60	31.55	49.54
BBBY	29.51	24.92	28.29	28.23	Accumulation Zone (for 1 days)
MU	8.37	25.81	31.63	37.93
DNA	68.43	27.29	27.42	33.78	Buy alert (triggered 6 days ago [on 2007-12-07 at $68.49, -0.09% chg], after a 2 day AZ)
TGP	29.45	29.16	32.37	38.50
TM	106.30	33.75	36.91	29.31
TGT	51.56	34.85	29.54	23.51
BDK	73.31	35.77	27.21	22.31
DELL	23.57	37.15	27.75	31.29
YHOO	24.06	37.92	35.34	21.64
CCJ	36.18	40.84	30.00	19.15
GFI	14.84	40.95	29.19	27.64
TCK	35.25	42.24	24.50	34.71
GE	36.91	48.30	29.53	41.77
TS	44.55	49.50	29.49	28.97
BHP	71.07	63.11	41.28	29.71
CEO	159.59	68.60	44.79	27.63

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International Equity Markets Review

Europe

Here is the latest session data for the bourses of Europe.

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Here is the latest session data for the London stock exchange FTSE.

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Here is the latest session data for the German DAX.

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Here is the latest session data for the French CAC 40.

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Here is the latest session data for the Milan Italy stock exchange MIBTEL.

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Here is the latest session data for the Swiss market index.

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Asia-Pacific

Here is the latest session data for the Asia-Pacific stock exchanges.

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Here is the latest chart for the Japanese Nikkei 225 index.

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Here is the latest chart for the Singapore index .

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Here is the latest chart for the Shanghai Composite index .

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Here is the latest chart for the Hong Kong Hang Seng index .

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Here is the latest chart for the India BSE 30 index .

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Here is the latest chart for the Australian All Ordinaries index .

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US Equity Markets Review

DJIA (interactive) chart

NASDAQ Composite (interactive) chart

Table: Dow 30 List

Sorted by 1-Week Price Performance

Symbol	Close	1Day Change	1Day %Change	1W %Change	2W %Change	4W %Change	YTD %Change	3M %Change	6M %Change	12M %Change
T	41.14	-0.66	-1.58%	6.94%	7.67%	4.50%	17.71%	1.73%	1.43%	15.37%
HON	59.98	-0.67	-1.10%	2.51%	5.93%	4.93%	32.99%	6.27%	2.99%	40.50%
MSFT	35.31	0.09	0.26%	2.26%	5.09%	4.59%	18.25%	21.59%	15.69%	17.43%
MCD	61.16	-0.35	-0.57%	1.66%	4.60%	6.96%	39.41%	10.30%	17.05%	39.99%
KO	63.81	-0.28	-0.44%	1.05%	2.75%	3.00%	31.35%	13.14%	24.36%	30.22%
DIS	33.01	0.25	0.76%	0.67%	-0.42%	1.88%	-3.48%	-1.64%	-2.31%	-4.93%
HPQ	52.14	-0.23	-0.44%	0.58%	1.92%	6.63%	25.28%	7.77%	14.17%	30.64%
JNJ	67.59	-0.28	-0.41%	-0.13%	-0.22%	1.06%	1.79%	6.95%	8.23%	2.02%
PG	73.90	-0.50	-0.67%	-0.30%	-0.14%	2.88%	14.50%	8.98%	18.39%	16.65%
MMM	85.93	-0.99	-1.14%	-0.30%	3.21%	7.88%	9.80%	-3.47%	-1.70%	9.09%
XOM	91.18	-1.54	-1.66%	-0.35%	2.27%	7.92%	23.03%	2.83%	7.56%	15.81%
GE	36.91	-0.67	-1.78%	-0.86%	-3.60%	-3.65%	-2.79%	-8.53%	-2.35%	1.93%
MO	76.82	-0.94	-1.21%	-1.01%	-0.95%	6.30%	18.33%	14.61%	9.01%	20.46%
CAT	73.39	-0.83	-1.12%	-1.09%	2.07%	5.25%	20.00%	0.31%	-9.09%	18.14%
UTX	76.69	-0.92	-1.19%	-1.77%	2.57%	3.71%	22.10%	0.72%	7.59%	23.57%
MRK	59.57	-0.22	-0.37%	-1.81%	0.35%	2.85%	35.32%	20.25%	18.59%	36.63%
JPM	45.20	-0.56	-1.22%	-1.91%	-0.92%	3.84%	-5.97%	-0.75%	-10.17%	-5.74%
VZ	44.37	-0.65	-1.44%	-2.05%	2.68%	3.09%	17.32%	4.35%	2.66%	22.94%
WMT	47.63	-0.70	-1.45%	-2.84%	-0.56%	3.10%	0.17%	9.95%	-3.35%	2.39%
IBM	105.77	-2.41	-2.23%	-2.84%	0.56%	2.09%	8.74%	-8.13%	1.85%	10.92%
AA	35.19	-1.14	-3.14%	-4.66%	-3.24%	-3.14%	19.98%	-0.82%	-14.50%	14.40%
BA	88.42	-0.13	-0.15%	-5.09%	-4.45%	-3.20%	-0.84%	-11.00%	-10.66%	-1.68%
INTC	26.29	-0.87	-3.20%	-5.19%	0.81%	2.98%	29.19%	5.46%	13.17%	26.64%
DD	44.73	-1.49	-3.22%	-5.21%	-3.08%	-1.41%	-8.79%	-6.89%	-11.43%	-7.58%
PFE	23.10	-0.54	-2.28%	-5.33%	-2.78%	-0.82%	-12.13%	-4.90%	-12.47%	-9.62%
GM	26.52	-0.43	-1.60%	-7.34%	-11.10%	-12.01%	-9.95%	-22.50%	-21.07%	-10.92%
AXP	52.29	-1.55	-2.88%	-8.20%	-11.34%	-10.22%	-13.37%	-11.28%	-17.18%	-15.53%
AIG	55.65	-1.40	-2.45%	-9.44%	-4.27%	-2.28%	-22.87%	-14.33%	-23.07%	-22.74%
HD	26.63	-1.01	-3.65%	-9.70%	-6.76%	-8.11%	-35.16%	-25.36%	-29.53%	-33.38%
C	30.70	-0.31	-1.00%	-10.52%	-7.81%	-11.22%	-44.43%	-34.18%	-42.80%	-42.20%

You can do this table yourself by entering the following string into the Summaries window at www.billcara2.com and then clicking on the link for Performance.

AA AIG AXP BA C CAT DD DIS GE GM HD HON HPQ IBM INTC JNJ JPM KO MCD MMM MO MRK MSFT PFE PG T UTX VZ WMT XOM

Here are the links to interactive Dow charts from Billcara2.com that I broke into groups of ten, which you can add technical indicators for as well. (list one) (list two) (list three)

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The Americas

Here is the latest session data for the exchanges of the Americas.

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Here is the latest chart for the Brazilian Bovespa stock exchange in Sao Paulo.

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Here is the latest session data for the Toronto Stock Exchange composite index.

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Sector ETF Summary for the US equity market

The tables I show in this section 2007_11_29 are for ten (GICS) Sector Index Funds (ETF's) only, but they cover the full spectrum of the US equity market.

Table 1: Cara ETF List is sorted by price performance Week over Week (W/W), i.e. 1W%