Soon, you know, we’ll be talking of wage inflation. How do I know? Amongst other sources, the airlines told me. The fact is there isn’t an airline in the world that can make a profit at $130 oil or even $100 oil, and possibly not above $80 oil. The fact is the world absolutely needs airlines; they cannot all go bankrupt. But, in order to put bodies in the seats, people will have to pay the price these airlines need to at least break even. At $130 oil, the issue is irrelevant since enough people cannot pay the tab to keep these airlines operating. Even at $100 oil, people will require higher personal earnings to manage that. Ergo, wage inflation is on the horizon.

On the other hand, the price of oil (poo for short) has turned nasty, with analysts like at Goldman Sachs, and hedge fund managers like Boone Pickens, calling for $150 oil. Maybe they are short the airlines, and want to see them all bankrupt. Maybe those people have private jets and don’t care. Maybe they are long Million Air and ready to do an IPO?

Life is strange sometimes when common sense doesn’t register.

Further to this point, just because commodity prices rallied on Friday, there are clear indications that prices for oil, metals and precious metals are headed south. Soon, the 200-day Moving Average lines, which are presently areas of technical support will become battlegrounds as the commodity Bulls will put up a fight. My point in the past several weeks is that the Bulls will lose this fight, but eventually win the war.

By the end of this year I do think we’ll see higher oil and precious metal prices, based on supply and processing cost issues, but in the interim I also expect a major Buy opportunity to pop up.

Btw, in my referring to gold bugs, there are two types: one is the persistent proselytizer and the other is the gold-focused trader.

I happen to be a little bit of the former because I do agree with the GATA position that (i) there is a conspiracy against transparency and honesty in the gold market and (ii) fiat money value is constantly deteriorating due to seemingly unstoppable fiscal deficits and monetary growth.

Regarding, the latter, you know I am somewhat gold-focused because the subject is so interesting and involved with macro- and micro-economics, politics, the excitement of discovery, and the allure of the metal, that traders love to trade it, which brings liquidity. Traders need liquidity.

The same thing applies, I suppose, to oil, but frankly I have never seen the allure to oil. I look at oil strictly as a consumable rather than the investible product that gold is.

The key point is that, as a trader, I don’t get caught up in the constant selling of gold as a concept. I got the point some 30 or 40 years ago. I find the selling process abusive and just more random noise we traders need to avoid.

I hate it that whenever there is a small trend up in the price of gold the gold-bugs trot out their band-wagon pulled by a one-trick pony. Seeing this for so many years, I can say that the picture is so old I’m surprised some traders get fooled by it.

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Global Economics Review

The macro-economic data continues to worsen, both in America and abroad.

Here are the key US economic reports and the Econoday analysis from last week.

US Economic Calendar.

According to Econoday, “The Conference Board's consumer confidence report for May, without exaggeration, is dismal. The main index fell nearly -5 points to 57.2, the lowest reading since 1992. But more importantly, 12-month inflation expectations swelled to 7.7%, up +9/10’s from May and confirming a similar spike seen in the mid-month Reuters/University of Michigan report. Views on the labor market continue to deteriorate, with those saying jobs are currently plentiful falling 8/10’s to 16.3% while those saying they are hard to get rising +1/10 to 28.0%.”

Re US New Home Sales for April, Econoday reports that “the current annual rate of 526,000, next only to March's 509,000, is the lowest since the early 90s with the year-on-year percentage decline of 42.0 percent the worst since the early 80s.”

US Durable Goods Orders data for April. Durable goods orders in April slipped a further -0.5%, following a -0.3% decline in March. However, the spin is that April's figure was pretty good considering the consensus had been for a -1.1% decrease. The point is that the manufacturing industry is worsening in America.

US Personal Income and Spending data for April. Econoday reports that “personal income in April slowed to a +0.2% increase, following a +0.4% advance in March. April's gain equaled the consensus forecast for a +0.2% rise. But the average worker appears to be bearing the brunt of the economic slowdown as the wages and salaries component actually fell -0.2%, following a +0.5% boost the month before. The strength in personal income was gains in rental income and especially a jump in government benefits. The surge in benefits reflected the start of the income tax rebates intended to boost the economy.” I think that the slowdown in US personal income is the key. I expect that to lead to demands for higher wages.

So much for last week, it was another bad one although retail sales started to pick up.

Let’s look ahead. Here is next week’s economic calendar, which is shaping up to be a not-so-quiet post-Memorial Day week:

US Economic Calendar.

ISM Manufacturing data for May. The Institute for Supply Management's manufacturing index is still pointing toward contraction in the manufacturing sector, although not by much. Emphasis will be placed on the order backlog.

US Factory Orders data for April. March orders were higher than expected, and if April proves the same, there will be some economists who will be opining that the US is not, nor will be, in recession.

ISM non-manufacturing survey data for May. The April data was borderline recessionary, and also a tad better than expected. Let’s see what information the latest data brings.

US Jobs Report for May. The April report was a loss of -20,000 jobs, but the spin was that it was a good report because a loss of -70,000 was anticipated. The point is that a healthy US economy needs a monthly gain of about +180,000 jobs, and jobs are disappearing except lower paid jobs related to the so-called tax rebates, which leads to spending and the need for service workers.

On Thursday, both the Bank of England (BOE) and European Central Bank (ECB) report their decision on monetary policy. My thinking is that there will be no further rate cuts this year on account of the inflationary pressures that policy generates.

The inflation and other macro-economic issues that Americans are struggling with are global in scope. High inflation rates will likely result in very few central bank rate cuts in the next couple years. If the global economy suffers further contraction, the monetary authorities can do very little at this point.

Weekly International Economic Report . Econoday reported:

(Last week’s) data ran the gamut of the usual month-end Japanese numbers including consumer inflation and spending along with industrial production to the spate of European data including disappointing confidence surveys and uncomfortably high consumer and producer price data. German data also disappointed including a decline in German retail sales for a second month and an increase in the number of unemployed… Seemingly, the data deluge was overridden by easing commodity prices which sent equity investors to stocks previously shunned such as airlines and autos.

Government bonds sank to multi-month lows despite declining commodity prices. Lower prices failed to dispel investors’ concerns about mounting inflationary pressures. The yield on the 10-year U.S. Treasury bond briefly touched 4.14%, the highest since December, before easing back while the 10-year German bund yield climbed to 4.44% after having hit a 10-month high during the week. And in Japan, the 10-year Japanese government bond yield settled at a 10-month high of 1.8% before receding.

Commodity prices staged a significant retreat —oil prices fell about $5 in volatile trade on Thursday while gold hit a two-week low of $870 an ounce and copper fell below $8,000 a ton for the first time in two months. And in currencies, the U.S. dollar was up against both the euro and yen. The yen sank to a three-month low against the dollar as risk appetite improved once again.

Global traders are skeptical at this point that falling commodity prices can develop a sustainable trend to the downside. But maybe the Energy sector ETF (XLE) losing -2.0% this week, and -3.0% a week ago, is the start of traders believing that oil prices might be heading south.

In closing, I think this weekly report by Econoday is a succinct review of international markets, and a good use of your time to read.

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US Equity Markets Review

DJIA ino.com chart

DJIA stockcharts.com chart

This week was somewhat mixed to bullish as 7 of 10 sectors lifted, but only 13 of 30 Dow components were up on the week. The DJIA index was up +1.3% W/W, but is still down -4.7% YTD.

The S&P 500 and NASDAQ Composite gained +1.8% and +3.2% W/W, but are down YTD by -4.6% and -4.9%.

This week Technology and Telecom were leaders. Energy stocks were losers.

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NASDAQ Composite ino.com chart

NASDAQ Composite stockcharts.com chart

Tech, including Semi-conductors, were gainers on the week.

Here is the list of the ten highest-weighted non-financial stocks in the Nasdaq Composite. Put them in a watchlist (see Google Finance Portfolio) and watch them like a hawk. If you want, add a couple like SNDK and ADBE:
AAPL MSFT GOOG QCOM RIMM CSCO INTC ORCL GILD EBAY

Daily RSI-7 for the Nasdaq 100 Big-10

Weekly RSI-7 for the Nasdaq 100 Big-10

Monthly RSI-7 for the Nasdaq 100 Big-10

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The US equity market Sector ETF Summary

This week, there were 3 sectors down and 7 up. On Friday the scoreboard read: 4 sectors down and 6 up.

Here’s the SPY Monthly, Weekly and Daily data charts:

SPY Monthly data:

SPY Weekly data:

SPY Daily data:

The tables I now show are for eleven GICS Sector Index Funds (ETF’s), including two for Technology (XLK and SMH), for a total of ten GICS sectors. 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%N.

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
XLK	25.35	0.10	0.40%	3.34%	-0.31%	2.14%	-2.95%	13.42%	-3.47%	-0.71%
IYZ	26.89	0.02	0.07%	2.32%	0.45%	2.44%	-7.82%	13.80%	-8.07%	-22.06%
XLI	38.84	0.20	0.52%	1.38%	-1.37%	0.23%	0.86%	6.64%	-1.42%	-0.21%
IYH	64.71	0.22	0.34%	1.17%	1.65%	0.42%	-7.69%	-1.45%	-11.03%	-10.30%
SMH	32.65	-0.02	-0.06%	1.08%	-1.51%	3.22%	4.11%	14.36%	1.02%	-9.73%
XLP	28.49	0.07	0.25%	0.96%	-0.04%	1.21%	0.35%	4.94%	-2.40%	2.52%
SPY	140.35	0.35	0.25%	0.60%	-1.53%	-0.54%	-3.16%	4.93%	-5.58%	-8.55%
XLY	32.31	-0.19	-0.58%	0.19%	-4.04%	-2.86%	0.34%	3.69%	-6.81%	-19.20%
XLB	44.51	0.31	0.70%	0.07%	-1.85%	5.95%	7.77%	8.61%	6.53%	9.36%
XLU	41.31	-0.17	-0.41%	-0.74%	2.05%	2.03%	-1.85%	9.49%	-3.32%	-0.94%
XLF	24.76	-0.26	-1.04%	-1.12%	-6.57%	-10.16%	-12.69%	-4.33%	-20.26%	-34.84%
XLE	86.00	0.88	1.03%	-1.99%	0.21%	7.55%	8.18%	13.08%	17.17%	25.27%

You can do this table yourself by entering the following string into the Summary window at Billcara2.com and then clicking on the link for Performance. SPY XLE XLB XLI XLY XLP IYH XLF XLK SMH IYZ XLU . You can also add more ETF’s – up to 30 in total.

For a list of components to many ETFs, go to the AMEX.com web site, and click on ETF’s.

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10 (energy: XLE)

15 (basic materials: XLB)

20 (industrial: XLI)

25 (consumer discretionary: XLY)

30 (consumer staples: XLP)

35 (healthcare: IYH)

40 (financial: XLF)

45 (technology, semiconductor: SMH)

50 (telecom: IYZ)

55 (utilities: XLU)

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Individual Sector ETF Review

I use XLK for the Tech sector for a total of ten (10) sectors, but also include Semiconductors (SMH) because it is my bellwether on the economy plus use SPY to see where each sector stands relative the broad market.

Sector 10 (energy: XLE, IYE, VDE, OIH, PBW and IXC)

Here’s the XLE Monthly, Weekly and Daily data charts:

XLE Monthly data:

XLE Weekly data:

XLE Daily data:

Table 2: Senior oil & gas equities

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
PTR	142.55	3.40	2.44%	-0.08%	-1.94%	-6.74%	-17.91%	-2.91%	-25.65%	11.44%
SLB	101.13	0.14	0.14%	-1.31%	-2.24%	2.83%	0.55%	16.98%	8.22%	26.55%
PBR	70.50	-0.28	-0.40%	-2.11%	3.27%	-42.19%	-40.66%	-39.92%	-26.79%	30.34%
TOT	87.26	0.18	0.21%	-2.55%	2.32%	4.97%	4.78%	15.74%	7.83%	15.88%
CVX	99.15	0.29	0.29%	-2.71%	0.67%	4.43%	6.09%	14.41%	12.97%	20.55%
RIG	150.19	-1.89	-1.24%	-3.17%	-3.35%	3.04%	2.91%	6.89%	9.40%	52.59%
IMO	58.05	0.89	1.56%	-3.94%	2.04%	1.56%	5.70%	2.58%	18.40%	23.20%
XOM	88.76	-0.59	-0.66%	-4.05%	-2.78%	-1.05%	-5.08%	2.01%	-0.45%	5.67%
ECA	90.37	0.92	1.03%	-4.18%	-1.57%	16.25%	29.82%	18.58%	38.50%	46.09%
SU	68.35	0.77	1.14%	-4.84%	5.59%	25.74%	23.98%	32.46%	42.75%	57.09%
STO	39.15	1.05	2.76%	-7.29%	-1.81%	9.94%	25.32%	28.19%	21.13%	43.88%
CEO	177.29	1.14	0.65%	-10.55%	-8.47%	-1.47%	5.90%	6.95%	-3.94%	91.91%

Crude Oil ($WTIC -$4.87/bbl -3.66% W/W) lost power, closing at 127.35. I thought that might happen when a week ago I reported, “But, Energy (XLE -3.02% W/W) turned bearish following a solid two weeks as it seems that traders now see that there is a limit to the high oil prices before the economy crashes.” This week, XLE dropped a further -1.99% to close at 86.00.

All stocks on my monitor were negative on the week although PTR was down just -0.08%. CEO dropped -10.6%.

If the economy stays weak, oil prices might drop further here. In time they will have to because critically important industries like the airlines cannot make profits when the price of oil is at 127.35, or anywhere close.

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Integrated Oil & Gas - Canada

Oil & Gas Exploration & Production -Canada

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Sector 15 (basic materials: IYM, XLB, IGE and VAW)

Here’s the XLB Monthly, Weekly and Daily data charts:

XLB Monthly data:

XLB Weekly data:

XLB Daily data:

Table 3: Senior metals and steel equities:

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
VCP	33.66	0.11	0.33%	6.12%	1.54%	5.06%	13.33%	6.99%	1.32%	55.69%
PKX	136.65	1.56	1.15%	2.16%	-5.04%	10.60%	-6.70%	1.00%	-13.44%	17.81%
MT	99.33	0.38	0.38%	0.53%	-1.24%	13.39%	30.01%	30.66%	34.56%	69.33%
NUE	74.80	1.90	2.61%	0.42%	-8.15%	1.33%	29.03%	15.84%	26.33%	10.19%
GGB	49.96	0.37	0.75%	0.28%	8.63%	25.91%	74.08%	52.46%	77.73%	121.36%
TS	61.30	0.93	1.54%	0.13%	5.91%	14.15%	38.09%	37.91%	29.93%	27.97%
AA	40.59	0.25	0.62%	-0.51%	-5.03%	16.91%	12.34%	9.29%	11.60%	-1.58%
TCK	49.55	1.63	3.40%	-1.49%	-1.26%	16.18%	36.73%	24.00%	29.68%	19.14%
DOW	40.40	-0.23	-0.57%	-2.93%	-4.94%	0.00%	4.26%	7.19%	-3.67%	-11.11%
RIO	39.78	0.22	0.56%	-4.01%	-5.67%	3.95%	21.61%	14.18%	15.04%	-10.87%
RTP	483.00	-0.25	-0.05%	-8.08%	-11.62%	4.09%	15.08%	6.28%	3.32%	66.47%
BHP	84.34	-1.41	-1.64%	-8.62%	-9.72%	5.42%	19.78%	15.25%	11.22%	62.38%

Basic Materials (XLB +0.07% closing at 44.51) managed a small gain this week. But a week ago, the loss was a significant -4.38%.

The big losers were Rio Tinto base metals (RTP -8.1%), which follows the week prior where the loss was -9.0%. BHP dropped -8.6% this week.

As I opined a week ago, “These stocks had been very strong, so traders will be looking closely at the upcoming trading patterns. Typically, a global economic slow-down is expected to produce a cyclical bear phase in these stocks.”

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Sector 20 (industrial: IYJ, XLI, VIS, and IYT)

Here’s the XLI Monthly, Weekly and Daily data charts:

XLI Monthly data:

XLI Weekly data:

XLI Daily data:

Table 4: Senior capital goods makers and transportation:

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
FDX	91.71	-0.46	-0.50%	3.24%	0.94%	-7.03%	6.44%	4.06%	-6.87%	-15.72%
UPS	71.02	-0.58	-0.81%	2.41%	-0.48%	-3.48%	2.69%	1.11%	-3.61%	-0.75%
TXT	62.55	0.86	1.39%	1.67%	-2.63%	1.33%	-6.38%	15.47%	-9.41%	16.94%
BA	82.77	0.66	0.80%	1.67%	-3.25%	-3.09%	-4.44%	-0.02%	-10.56%	-17.68%
MMM	77.56	-0.20	-0.26%	1.20%	-0.39%	-0.36%	-6.23%	-1.07%	-6.85%	-11.79%
CAT	82.64	-0.14	-0.17%	0.51%	-1.03%	0.35%	17.00%	14.25%	14.94%	5.30%
HON	59.62	0.29	0.49%	0.42%	-4.50%	-1.73%	-0.47%	3.61%	5.30%	3.27%
GE	30.72	0.08	0.26%	-0.94%	-5.10%	-7.25%	-16.43%	-7.30%	-19.77%	-18.58%
UTX	71.04	0.81	1.15%	-1.11%	-4.37%	-4.64%	-5.54%	0.75%	-4.99%	2.32%
FLR	186.54	4.10	2.25%	-1.16%	-2.66%	23.65%	29.18%	33.96%	26.75%	79.37%
ABB	32.48	-0.05	-0.15%	-1.43%	0.12%	4.64%	13.41%	29.71%	10.55%	52.99%
ERJ	37.52	0.76	2.07%	-1.60%	-10.33%	-13.07%	-16.86%	-15.34%	-13.91%	-22.81%

The Industrials (XLI +1.38% W/W), closing at 38.84, were strong. There was some blue sky seen in the US economic data that was used to jack up the prices of UPS (UPS +2.41%) and Fedex (FDX +3.24%).

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Sector 25 (consumer discretionary: XLY, IYC and VCR)

Here’s the XLY Monthly, Weekly and Daily data charts:

XLY Monthly data:

XLY Weekly data:

XLY Daily data:

Table 5: Senior consumer discretionary equities

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
CCL	40.06	1.04	2.67%	5.56%	-0.74%	-3.59%	-8.25%	1.80%	-11.21%	-20.55%
NKE	68.37	-0.02	-0.03%	5.17%	0.51%	0.83%	8.04%	13.57%	4.14%	22.68%
GOL	15.36	-0.06	-0.39%	4.21%	-7.02%	-13.85%	-35.97%	-10.70%	-39.62%	-52.81%
WHR	73.68	-0.66	-0.89%	1.78%	-2.91%	-1.73%	-7.76%	-12.67%	-8.99%	-34.11%
TM	102.05	2.84	2.86%	1.56%	-1.99%	-0.99%	-4.14%	-5.99%	-9.25%	-14.99%
BDK	64.70	0.70	1.09%	1.28%	-5.38%	-3.62%	-7.48%	-5.92%	-21.72%	-31.17%
BBBY	31.86	-0.21	-0.65%	1.27%	-7.89%	-5.38%	12.34%	12.42%	1.30%	-22.41%
TGT	53.36	-0.39	-0.73%	0.66%	-3.16%	-1.62%	7.78%	1.43%	-11.02%	-12.64%
DIS	33.60	-0.21	-0.62%	-0.03%	-3.97%	0.90%	5.53%	3.67%	1.36%	-6.43%
JCP	40.24	-1.27	-3.06%	-0.67%	-13.13%	-8.42%	-3.39%	-12.92%	-8.79%	-50.06%
EBAY	30.01	0.20	0.67%	-1.77%	-6.01%	-5.57%	-7.63%	13.85%	-10.50%	-9.66%
BC	13.70	-0.45	-3.18%	-8.91%	-18.26%	-19.17%	-19.03%	-15.90%	-32.81%	-60.37%

Consumer Cyclicals (XLY +0.19% closing at 32.31) held ground but failed to make up for the prior week where the loss was -5.20% W/W, and the loss on Friday alone was -1.71%.

The leader-board had the Fun Ships, Carnival Cruise Line (CCL) up +5.6% based on the falling oil price. If Oil continues to fall, look to these shares to have more days like Tues, Thurs and Friday this week.

The Cara 100 loser continues to be Brunswick (BC -8.91% W/W), which is now down -18.3% over 2 weeks. Friday’s loss alone was -3.2%. I think it will take oil prices to fall well under $100/bbl before customers return to Brunswick’s pleasure boats (Sea Ray) and marine engines businesses.

This stock was almost $17 two weeks ago and is now just $13.70. The M-W-D is just 13.90/28.30/11.97 and has been in the Accumulation Zone for two days. Alternatively, on further weakness early this week, I would consider writing a short put, say the Sep-12.50’s at +0.95, taking my cost basis to 11.55 if the stock is put to me this summer. If I could get $0.25 for the 10’s, I’d take that too.

And if, as and when a Buy Alert is set off as the Daily RSI-7 hits 30 and rising, then I might be persuaded to also buy the stock, although I know this is a Bear market, so I am reluctant to take long equity positions over and above long-biased options positions.

The RBC analyst seems to agree with me about Brunswick’s prospects and the fact there is value here. The stock was at $49.50 at Dec-2004 (and may take some time returning to that level), but traders should be looking to buy stocks of quality companies at a discount to value. The trailing 12m P/E is about 15.4 and the Forward PE is just 12.5. The dividend yield is about 4.20% (trailing and forward) and is likely to be sustained as insiders own over 10% of the stock. I like that. I also like the fact that the short position is 22% of the float. I find it hard to believe this buying power would remain on the sidelines if they see oil prices starting to fall again this week like last.

So, if I can position myself to buy the stock with a potential 12-month gain of say 70% to 100%, then I’m in. My leveraged options trades will take me there faster.

The point is if you can line up 10 trades like this, I believe at least 8 will be winners. Your Job #1 is to have more winners than losers and to keep the losses smaller percentage wise than the winners. But you need to be patient, and stand by with a plan in hand.

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Sector 30 (consumer staples: XLP, VDC, RTH and IYK)

Here's the XLP Monthly, Weekly and Daily data charts:

XLP Monthly data:

XLP Weekly data:

XLP Daily data:

Table 6: Senior consumer staples equities

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
PDA	65.70	1.75	2.74%	11.45%	10.33%	17.74%	36.51%	37.45%	37.62%	84.55%
BUD	57.46	0.91	1.61%	9.28%	10.91%	15.64%	11.29%	22.02%	8.99%	9.07%
SBUX	18.19	-0.14	-0.76%	6.44%	13.19%	9.25%	-5.80%	1.17%	-22.23%	-36.62%
WFMI	29.00	0.01	0.03%	3.57%	-0.41%	-16.62%	-27.06%	-17.50%	-32.57%	-29.46%
WMT	57.74	-0.20	-0.35%	3.02%	1.09%	-0.57%	23.11%	16.43%	20.54%	22.54%
KR	27.64	-0.10	-0.36%	1.58%	2.41%	-0.65%	7.67%	13.98%	-3.86%	-8.05%
WAG	36.02	-0.01	-0.03%	0.95%	-1.48%	0.92%	-3.54%	-1.34%	-1.56%	-20.40%
PG	66.05	0.58	0.89%	0.66%	-0.47%	-1.46%	-8.66%	-0.20%	-10.74%	3.45%
DEO	78.62	-0.06	-0.08%	0.28%	-1.53%	-5.05%	-7.57%	-4.24%	-13.20%	-7.59%
PEP	68.30	-0.53	-0.77%	-0.12%	0.34%	-0.29%	-9.28%	-1.81%	-11.51%	-0.39%
KO	57.26	-0.61	-1.05%	-1.73%	0.44%	-3.10%	-6.27%	-2.05%	-7.79%	7.94%
ABV	68.67	-0.64	-0.92%	-6.79%	-12.76%	-10.88%	-5.26%	-15.72%	-8.54%	2.43%

Consumer Staples (XLP +0.96% W/W) was a bit stronger, closing at 28.49.

Anheuser-Busch, referred to as Budweiser (BUD), up +9.4% a week ago on the hopes that (Cara 100) Brazil’s InBev (ABV) will buy it out, also jumped +9.28% this week. From the trading activity, I think some kind of deal is in the works.

(Cara 100) Brazil’s Perdigao (PDA) soared +11.45% W/W, hitting a record $66.11 on Thursday, closing at 65.70. With a RSI-7 at 80.15/84.10/75.81 for the M-W-D, the stock has been in the Distribution Zone for 3 days. A Sell Alert will be made as the Daily RSI-7 falls below 70. If the Weekly RSI-7 also falls below 70, then I would off the stock.

Perdigao was added to the Cara 100 on Jan-08 this year at $47.42. At Friday’s close of 65.70, that is a 5-month gain of about +38.5%, up near my usual Buffett-type performance (LOL). Actually, when I add or subtract companies to/from the Cara 100 there is zero consideration for the stock price or the technical analysis metrics I use.

Having said that, I’m not interested in holding PDA in the high 60’s, particularly a food processor with a Forward P/E of 34 and almost no dividend. When the M-W-D RSI-7 reaches numbers in the 80’s, I’ll buy my hot dogs somewhere else, thank you.

Now, rather than write a covered call, I would not hesitate to sell the stock. I feel strongly I could buy this one back at under $60 in a year’s time. My objective is to protect capital, not sit with amazement while Chinese traders buy up stocks on the Sao Paulo Bovespa with the capital handed to them by Wal-Mart USA customers.

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Sector 35 (healthcare: IYH, XLV, VHT, IXJ, and IBB)

Here’s the IYH Monthly, Weekly and Daily data charts:

IYH Monthly data:

IYH Weekly data:

IYH Daily data:

Table 7: Senior healthcare equities

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
BMY	22.79	0.31	1.38%	3.83%	3.73%	-0.65%	-12.78%	0.80%	-23.08%	-24.34%
AMGN	44.03	0.61	1.40%	2.95%	4.71%	1.85%	-5.52%	-3.27%	-20.31%	-20.32%
DNA	70.87	-0.14	-0.20%	2.87%	2.96%	3.69%	5.15%	-6.44%	-7.06%	-9.99%
JNJ	66.74	0.32	0.48%	2.03%	0.09%	-1.58%	1.26%	7.71%	-1.48%	5.57%
AET	47.16	0.65	1.40%	1.14%	10.16%	9.27%	-16.74%	-4.92%	-15.60%	-11.12%
WLP	55.82	-0.84	-1.48%	0.67%	11.91%	9.58%	-35.84%	-20.35%	-33.71%	-33.86%
MDT	50.67	-0.03	-0.06%	-0.14%	7.65%	1.62%	2.36%	2.65%	-0.35%	-4.40%
GSK	44.53	0.55	1.25%	-0.71%	1.23%	-0.87%	-11.24%	1.41%	-15.47%	-15.53%
NVS	52.35	-0.45	-0.85%	-0.85%	2.27%	3.83%	-4.07%	6.51%	-7.38%	-7.03%
NVO	65.30	-0.33	-0.50%	-1.86%	-3.53%	-4.96%	2.35%	-4.49%	-48.76%	-37.43%
PFE	19.36	-0.04	-0.21%	-2.12%	-3.59%	-5.28%	-15.50%	-13.11%	-18.52%	-29.37%
UNH	34.21	-0.29	-0.84%	-3.09%	7.92%	3.98%	-39.63%	-26.40%	-37.80%	-37.31%

The Healthcare sector (IYH) lifted +1.17% W/W to close at 64.71.

Bristol Myers (BMY +3.83%), Amgen (AMGN +2.95%) and Genentech (DNA +2.87%) were strong. So was the music last night at Senor Frogs. My head needed medicine this morning, and my day is going slowly.

United Health (UNH) and Pfizer (PFE) were losers. So was Senor Frogs; I don’t think I’ll return. Unlike the website claims, I didn’t see too many seniors in there last night!

Getting old. Slowing down. In need of healthcare.

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Sector 40 (financial: IYG, IYF, XLF, VFH, IXG, VNQ, RWR, IYR, and ICF)

Here’s the XLF Monthly, Weekly and Daily data charts:

XLF Monthly data:

XLF Weekly data:

XLF Daily data:

Table 8: Senior financial company equities

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
BBD	24.01	0.42	1.78%	5.68%	4.07%	-1.64%	-21.10%	-23.51%	-25.32%	-5.29%
MS	44.23	0.45	1.03%	2.98%	-7.29%	-12.12%	-13.19%	5.01%	-16.10%	-48.46%
C	21.89	-0.15	-0.68%	0.78%	-7.75%	-15.78%	-24.31%	-7.68%	-34.26%	-60.34%
JPM	43.00	-0.57	-1.31%	-0.12%	-8.55%	-12.69%	1.97%	5.78%	-5.74%	-17.40%
GS	176.97	0.73	0.41%	-0.13%	-6.18%	-11.09%	-14.75%	4.33%	-21.92%	-23.72%
HBC	84.21	0.02	0.02%	-0.51%	-3.27%	-3.81%	2.15%	12.13%	-1.51%	-9.58%
MER	43.92	-0.36	-0.81%	-1.30%	-12.11%	-16.17%	-16.76%	-11.38%	-26.73%	-52.75%
CS	50.89	0.18	0.35%	-2.51%	-7.22%	-7.66%	-14.73%	4.03%	-15.63%	-32.21%
LEH	36.81	-0.56	-1.50%	-4.39%	-17.78%	-21.56%	-40.81%	-27.81%	-41.23%	-49.71%
IBN	37.73	0.02	0.05%	-7.77%	-15.63%	-17.53%	-39.29%	-27.22%	-37.65%	-21.22%
DB	106.47	-6.88	-6.07%	-8.38%	-10.24%	-12.84%	-17.50%	-4.05%	-19.19%	-29.90%
UBS	23.66	-0.88	-3.59%	-20.90%	-23.92%	-31.80%	-48.33%	-26.84%	-53.13%	-63.54%

Financials (XLF) lost a further -1.12% W/W, closing at 24.76.

UBS (UBS -20.90 W/W) continues to get hammered for management’s miscues.

This stock is now down -23.9% over 2 weeks, -31.8% over 4, and -53.1% over 6 months. Imagine, UBS is the world’s premier wealth manager. The problem is they make millionaires out of clients who start them off with two or three.

Deutsche Bank (DB) is another. How do you say ""Gute Nacht! And Auf Wiedersehen!" If I’m going to start with two or three, I don’t want Deutsche Bank turning me into a millionaire either. DB dropped -8.38% this week.

One of the problems here of course is the notion of crowding out. The central banks of the world need to keep printing Dollars or Euros or whatever so that the banks can quickly find them when searching for capital as they write down their dubious assets. Otherwise, the equity market dies an illiquid death.

So blame this inflation curse on your banker as well as on those politicians who bring about war rather than diplomacy.

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Sector 45 (technology: IGM, IGV, IGW, XLK, VGT, IYW, IGN, IXN, MTK and SMH)

Here’s the SMH Monthly, Weekly and Daily data charts:

SMH Monthly data:

SMH Weekly data:

SMH Daily data:

Here’s the XLK Monthly, Weekly and Daily data charts:

XLK Monthly data:

XLK Weekly data:

XLK Daily data:

Table 9: Senior technology equities

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
CTSH	35.28	1.79	5.34%	13.81%	11.54%	9.50%	9.46%	16.78%	13.44%	-10.62%
INFY	49.11	3.75	8.27%	11.08%	5.43%	11.01%	10.53%	26.18%	16.51%	-0.34%
AAPL	188.75	2.06	1.10%	6.61%	-0.52%	4.86%	-3.13%	50.98%	3.58%	58.92%
ADBE	44.06	0.26	0.59%	6.43%	4.90%	12.95%	5.63%	30.94%	4.56%	1.94%
RIMM	138.87	-0.11	-0.08%	6.42%	-1.31%	8.49%	22.13%	33.79%	22.01%	153.00%
QCOM	48.54	-0.68	-1.38%	5.82%	7.87%	9.42%	26.44%	14.51%	19.03%	13.36%
CSCO	26.72	0.51	1.95%	4.46%	0.83%	0.19%	0.68%	9.55%	-4.64%	1.25%
ADSK	41.16	0.23	0.56%	4.41%	0.54%	4.71%	-14.68%	32.39%	-12.59%	-8.59%
SAP	54.60	-0.60	-1.09%	3.55%	7.59%	7.67%	7.63%	15.17%	6.60%	15.29%
ORCL	22.84	0.05	0.22%	2.38%	4.44%	4.67%	1.56%	21.49%	13.18%	17.61%
SNDK	28.31	0.45	1.62%	-1.53%	-14.47%	-2.48%	-14.65%	20.21%	-24.39%	-34.39%
INTC	23.18	0.04	0.17%	-2.93%	-7.17%	-0.47%	-8.56%	16.07%	-11.12%	4.98%

Tech (XLK +3.34% W/W closing at 25.35) was performer #1 this week. The Semi-conductors (SMH +1.08%) was #5.

(Cara 100) Cognizant Technology Solutions (CTSH +13.8%) made a significant bullish move this week. The stock and the IT Services group seem to be on everybody’s Buy list this week, for some reason. Maybe the banks are in need of help! The stock was up +5.34% on Friday alone. Actually, Ajay Krishnan of the Wasatch Ultra Growth Fund said prior to Friday’s open that he likes the stock. But so do a lot of traders after early May when the Company reported Q1 earnings had gained +35%. Seems overkill to me, but only the Daily RSI-7 is overbought at this point.

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Sector 50 (telecom: IYZ, VOX and IXP)

Here’s the IYZ Monthly, Weekly and Daily data charts:

IYZ Monthly data:

IYZ Weekly data:

IYZ Daily data:

Telecom (IYZ +2.32% W/W, closing at 26.89) was second best performer this week among the ten sector ETF’s.

VZ +2.67% W/W and T +1.84% W/W were both winners, but YTD the T is down -2.7% and Verizon is down -11.0%.

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Sector 55 (utilities: IDU, XLU, and VPU)

Here’s the XLU Monthly, Weekly and Daily data charts:

XLU Monthly data:

XLU Weekly data:

XLU Daily data:

Utilities (XLU -0.74% W/W) plus a loss of -1.71% on the prior Friday have been weak. The alternative for income investors are bonds and bond yields soared.

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Bonds & Yields Review

Table 10: US Treasury Yields

US Treasury Bonds

Maturity	Yield	Yesterday	Last Week	Last Month
3 Month	1.83	1.84	1.79	1.33
6 Month	1.94	1.95	1.87	1.56
2 Year	2.64	2.67	2.40	2.25
3 Year	2.60	2.65	2.40	2.18
5 Year	3.42	3.42	3.13	3.01
10 Year	4.06	4.08	3.84	3.72
30 Year	4.72	4.75	4.57	4.46

Municipal Bonds

Maturity	Yield	Yesterday	Last Week	Last Month
2yr AA	2.37	2.35	2.36	2.42
2yr AAA	2.39	2.32	2.33	2.32
2yr A	3.00	2.93	2.54	2.72
5yr AAA	2.99	2.94	2.93	2.90
5yr AA	3.03	3.05	2.97	3.00
5yr A	3.34	3.47	3.29	3.50
10yr AAA	3.69	3.74	3.63	3.69
10yr AA	3.63	3.61	3.54	3.64
10yr A	3.73	3.81	3.65	3.85
20yr AAA	4.49	4.29	4.39	4.43
20yr AA	4.47	4.61	4.43	4.82
20yr A	4.49	4.26	4.36	4.63

Corporate Bonds

Maturity	Yield	Yesterday	Last Week	Last Month
2yr AA	4.15	4.21	4.03	4.06
2yr A	4.10	4.09	3.87	3.70
5yr AAA	4.44	4.55	3.98	4.46
5yr AA	5.06	5.19	4.84	4.74
5yr A	5.15	5.22	4.91	5.03
10yr AAA	5.34	5.33	5.71	5.25
10yr AA	6.04	6.03	5.97	5.83
10yr A	5.72	5.70	5.60	5.45
20yr AAA	6.28	6.33	6.11	5.99
20yr AA	6.25	6.30	5.98	6.38
20yr A	6.53	6.59	6.36	6.24

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A week ago I reported that:

“Basically, the yields have lifted in the past two weeks, which has knocked down bond prices, but not so much that traders want to sell blindly. That means my “(paired) trade of the generation” is not yet ready, although it could be that large bond holders have been clearing off inventory over the past several months… Stagflation hurts bond prices like it hurts equity prices. Inflation requires higher interest rates to snuff out the speculator’s desire to borrow money in order to chase rising prices. Higher interest rates of course knock down the price of bonds… Importantly, just so you understand where I am coming from; higher gold prices can go hand in glove with higher interest rates, so the paired trade is to sell bonds and buy gold—at the appropriate time. Normally, there is not any Noon Day Gun fired that alerts traders to put the trade on, and often the traders will ease out of one and into the other. In fact, that has been happening with both bonds and gold. What you need to appreciate, however, is that trading of this kind is sophisticated—the world’s best traders are keen to go for the big winner, and they edge into the trade. Hence, when I say I’m going to alert you to the “trade of the generation,” I’m probably going to be a little late in order to satisfy myself that you are in the game for the long haul… When it comes to me, I’m often early; but then, I don’t have readers watching, ready to denounce my words as those coming from a crackpot, so I usually err on the late side. As for you, depending on your experience and skill, you may have put on trades earlier than what I’m prepared to say here. Then again, I’m not writing for ego or financial reasons, and I’m just trying to keep you on the right side of trend.

I gave that mouthful after my fourth G&T and rushing to get to Miriam’s house-warming party, which was a great success despite 40 knot wind gusts that ushered in a sudden rainstorm causing the guests to run from the pool deck to the inside where the jump up really got started.

Well this week, I cringed as bond prices sank even lower, so maybe I have been too late on the bond side of the trade.

Yields for the US Treasury 2-year, 5-year ($FVX), 10-year ($TNX) and 30-year ($TYX) closed the week up +46, +29, +22, and +15 basis points, respectively to 1.94, 3.42, 4.06, and 4.72. The 20-year TLT closed down 1.19% to 90.28 and the TIP dropped the same percentage.

Here is the $USB 30-year Treasury Bond chart.

Interest rates and bond yields.

Interactive Daily data charts:

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Interactive Chart of Interest rates and bond yields.

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US Bond Funds -- Interactive Monthly Data Charts

SHY Monthly data series chart:

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IEF Monthly data series chart:

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TLT Monthly data series chart:

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AGG Monthly data series chart:

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LQD Monthly data series chart:

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TIP Monthly data series chart:

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US Bond Funds -- Interactive Weekly Data Charts

SHY Weekly data series chart:

IEF Weekly data series chart:

TLT Weekly data series chart:

AGG Weekly data series chart:

LQD Weekly data series chart:

TIP Weekly data series chart:

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US Bond Funds -- Interactive Daily Data Charts

SHY Daily data series chart:

IEF Daily data series chart:

TLT Daily data series chart:

AGG Daily data series chart:

LQD Daily data series chart:

TIP Daily data series chart:

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Table 11: Interest-sensitive securities

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
CFC	5.260	-0.130	-2.41%	12.15%	5.84%	-13.06%	-41.56%	-16.64%	-51.39%	-86.74%
AVB	101.20	-1.41	-1.37%	1.55%	-3.84%	-2.69%	10.78%	9.49%	1.77%	-23.87%
EQR	42.29	-0.30	-0.70%	1.32%	-4.43%	-1.63%	16.09%	10.76%	13.65%	-18.42%
NLY	17.81	-0.14	-0.78%	1.25%	3.91%	2.77%	-1.60%	-13.92%	3.49%	14.17%
DRE	25.68	-0.01	-0.04%	0.27%	-2.91%	4.14%	0.23%	12.04%	-2.32%	-36.58%
SHY	82.91	0.12	0.14%	0.01%	-0.10%	-0.17%	0.69%	-1.52%	0.50%	3.48%
AGG	100.98	0.36	0.36%	-0.56%	-1.16%	-1.13%	-0.66%	-2.15%	-1.00%	1.61%
IEF	87.31	0.29	0.33%	-0.92%	-1.46%	-1.70%	-0.37%	-3.80%	-0.31%	6.70%
TLT	90.28	0.69	0.77%	-1.19%	-2.10%	-2.69%	-4.34%	-4.33%	-4.34%	4.32%
TIP	106.78	0.42	0.39%	-1.19%	-0.87%	0.18%	0.13%	-3.43%	0.07%	7.24%
FNM	27.02	-0.13	-0.48%	-3.16%	-10.62%	-9.18%	-27.87%	-2.28%	-29.67%	-57.84%
FRE	25.42	-0.31	-1.20%	-3.31%	-6.78%	-5.04%	-22.36%	0.95%	-27.52%	-62.11%

The big three of the mortgage suppliers, CFC, FNM and FRE, were mixed this week, up +12.2%, -3.2% and -3.3% respectively.

Congress is going to permit smaller down-payments, which is the same problem the housing market had in the past couple years. The softness for these GSA companies is likely because traders don’t care for the loosening policies.

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Consumer Finance -USA -- Interactive Weekly Data Charts

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Consumer Finance -USA -- Interactive Daily Data Charts

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Commodities Review

The $CRB lost -2.07% W/W to close at 422.07, including Friday’s gain of +1.03%. So, this week inflation only returned to the minds of traders on Friday.

$CRB Index

Open Futures Contracts

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Interactive Chart of Weekly CRB Commodities Index:

Interactive Chart of Daily CRB Commodities Index:

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Oil Review

$WTIC (US Light Sweet Crude called West Texas Intermediate) dropped -4.84/bbl to close this week down -3.66% from 132.19 to 127.35. There was a high of 135.09 a week ago Thursday.

“How many remember $51/bbl in January 2007?”

The 50d MA for $WTIC is now at 116.55 (amazing!), and the 200d MA is 96.44.

A week ago, I opined, “When the price of oil craters—and it will!—I wonder how many hedge funds get taken down with it?” Should oil drop say -20/bbl in June, there will be hedge funds closing their doors, I feel.

Here is the e-miNY Dec-07 Crude Oil chart.

Interactive Chart of Weekly Crude Oil:

Interactive Chart of Daily Crude Oil:

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Gold & Precious Metals Review

$GOLD lost -34.30/oz this week, which quickly erased the smiles of the Bulls who were boasting the gain of +25.90/oz the previous week. The close on Friday was 891.50.

The 50-day MA for $GOLD is now 906.35, and the 200d MA is 844.30. So the current price is below the 50-day MA, and above the 200d MA. A week ago I wrote in this space, “The trend is clearly up. But here is where I think that the gold-bugs are going to get trapped. I’m watching the $USD for timing of the next trade.” Ergo, this week, the $USD gained +1.26%, including a move of +1.50% from Monday through Thursday. The gold Bulls got hammered despite all their jive talk.

There was a gain of +1.11% on Friday.

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Spot gold chart for the week

Interactive Chart of Weekly Gold EOD Continuous Contract Index:

Interactive Chart of Daily Gold EOD Continuous Contract Index:

Interactive chart of recent trading for the Gold Bullion index.

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Spot silver chart for the week

Interactive daily data

This week, $SILVER lost -1.43 (-7.79%) to close at 16.86. The previous week’s gain of +$1.33 (+7.84%) was wiped out. A week ago in this space I wrote, “(the prior week’s gain was) caused by speculation. Most of the newsletter writers joined the precious metals bandwagon this week, and we know that the Silver Crazies lead that pack. But $SILVER was $21.44 not long ago, and I’m thinking that will be the long-term cycle high. Obviously, my thinking is against the trend, and I acknowledge I may be out of sync.” Silver leads down as well as up.

There was a gain of +2.12% on Friday.

For $SILVER, the 50d MA is now 17.36, and the 200d MA is 15.73. Like gold, the current silver price is below the 50-day MA, and above the 200d MA.

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Interactive Chart of Weekly Silver EOD Continuous Contract Index:

Interactive Chart of Daily Silver EOD Continuous Contract Index:

Interactive chart of the Silver Bullion index.

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This week $PLAT lost -157.50/oz (-7.25%) which takes the bloom off the rose after the prior week’s gain of +45.60. The close was 2016.20, which is no longer close to the record high of 2299. There was a gain of +1.28% on Friday.

The 50-day MA is 2028.20 and the 200-day MA is 1684.13.

Spot platinum chart for the week

Interactive Chart of Weekly Platinum EOD Continuous Contract Index:

Interactive Chart of Daily Platinum EOD Continuous Contract Index:

Interactive chart of the Platinum metal index.

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$PALLADIUM lost -22.25/oz or -4.82% W/W, closing at 439.00. There had been a gain the previous week of +4.05/oz.

There was a gain of +1.67% on Friday.

The 50-day MA is now 450.98 and the 200-day MA is 407.01. Note that the current price (439) is still above the 200-day MA, but below the 50-day MA.

Spot palladium chart for the week

Interactive Chart of Weekly Palladium EOD Continuous Contract Index:

Interactive Chart of Daily Palladium EOD Continuous Contract Index:

Interactive chart of the Palladium metal index.

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This week, $COPPER lost 13.00 (-3.48%), closing at 360.60. The previous week’s loss was -9.05 (-2.37%). There was a gain of +1.33% on Friday.

The 50-day MA for $COPPER is now 381.77 (the current price is lower) and the 200-day MA is 349.11.

“I still think the 50d MA is a battleground for traders.”

Interactive Chart of Weekly Copper EOD Continuous Contract Index:

Interactive Chart of Daily Copper EOD Continuous Contract Index:

Interactive chart of the Copper metal index.

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Table 12: Senior gold equities

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
BVN	65.80	1.16	1.79%	-0.69%	3.95%	9.70%	8.08%	-13.46%	17.86%	108.10%
EGO	8.090	0.210	2.66%	-0.86%	9.32%	19.50%	30.48%	15.57%	39.00%	47.90%
AEM	70.69	2.27	3.32%	-0.99%	5.65%	15.79%	25.07%	2.75%	46.90%	107.24%
NEM	47.53	0.73	1.56%	-2.98%	1.71%	9.95%	-9.28%	-7.11%	-4.35%	20.63%
AUY	15.28	0.42	2.83%	-4.08%	4.87%	18.45%	10.17%	-15.06%	18.82%	17.63%
KGC	19.97	0.35	1.78%	-4.13%	-0.35%	7.25%	-0.89%	-19.48%	15.10%	58.37%
GG	40.14	0.69	1.75%	-4.34%	-0.42%	14.33%	9.55%	-7.10%	23.85%	75.98%
ABX	40.07	0.90	2.30%	-5.85%	2.32%	7.25%	-12.93%	-22.87%	-1.09%	40.10%
GFI	12.93	0.03	0.23%	-8.75%	-6.98%	-1.30%	-16.04%	-8.88%	-21.40%	-24.08%
HMY	11.90	-0.03	-0.25%	-9.09%	-5.71%	3.84%	10.70%	-1.98%	13.98%	-19.38%
LIHR	28.70	0.73	2.61%	-9.55%	-1.61%	2.90%	-13.48%	-25.71%	-14.43%	12.37%
AU	34.79	-0.88	-2.47%	-10.68%	-11.36%	4.07%	-24.14%	-3.68%	-28.67%	-15.74%

A week ago I alerted you to this fact: “Despite a significant rally in precious metals the past few weeks, the $XAU Goldminers index lifted only +0.23 or +0.12%, closing at 188.10. The better performers included EGO +7.2%, AUY +6.8% and ABX +4.7%, but many were losers this week. I note that the $USD dropped sharply -1.19% and yet the goldminers were not treated with any bullish enthusiasm. Clearly, inflation is hitting their cost structures too.”

This week $XAU dropped -3.54% to 181.44.

The 50d MA for $XAU is 180.93, and the 200d MA is 175.82, so the technical support is there, but barely. This week will be a test.

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To watch the moves in precious metal miners, you will have to monitor the individual stock charts, preferably in real-time, as follows:

NEM ABX AU GFI GG HMY AUY KGC BVN
Interactive Daily data
Interactive Weekly data

MDG LIHRY AEM BGO IAG EGO RGLD GOLD CDE GRS
Interactive Daily data
Interactive Weekly data

SSRI SIL NG KRY UXG GRZ TSE_HRG TSE_GUY TSE_AGI
Interactive Daily data
Interactive Weekly data

NXG GSS MNG DROOY MFN RNO RANGY MRB CLG
Interactive Daily data
Interactive Weekly data

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Here are the key Silver miners and the SLV ETF:

SLV SIL CDE HL PAAS SSRI SLW MGN

Interactive Daily data
Interactive Weekly data

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Here are the Weekly and Daily Data charts of the indexes:

Weekly U.S. Goldminers Index:

Interactive Chart of Weekly U.S. Goldminers Index:

Interactive Chart of Daily U.S. Goldminers Index:

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The U.S. goldminer share trust ETF trades under the ticker symbol GDX.

Here are the U.S. Goldminer ETF (GDX) index Weekly and Daily data charts:

GDX Weekly data:

GDX Daily data:

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The Toronto Exchange-listed goldminer iUnits S&P/TSX Capped Gold Index ETF trades under the ticker symbol TSE:XGD. Yes, just like GDX on the AMEX, you can trade XGD on Toronto.

Here are the Weekly and Daily data charts for the TSX Goldshares (XGD) index:

Interactive Chart of XGD Weekly data:

Interactive Chart of XGD Daily data:

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Forex Review

The $USD gained +1.26% to 72.86 this week. Last week after a third consecutive losing week dropping -1.19%, I reported, “Despite their own issues with the economy, other central banks are standing pat on rates for the past few weeks, and traders doubt the resolve of the Fed to follow suit. So the $USD has weakened. The next Fed meeting or perhaps an important speech by Bernanke could change all that.” This week the Dallas Fed Head Fisher stepped up with an impassioned speech—something like “Read my lips!” It’s called ‘moral suasion’ or something. Sometimes it works; sometimes not.

Interactive Chart of Weekly U.S. Dollar Index:

Interactive Chart of Daily U.S. U.S. Dollar Index:

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The Euro ($XEU) lost -1.33% W/W to close at 1.5557.

A week ago after gaining +1.11% to close at 1.5767, I opined, “Despite three weeks of gains, I still think it will go down.”

I added, “But, traders go with the trend, and the past six days has resulted in a gain for the Euro of over +2%.” I still thought the Euro would go down, and it did.

This coming Thursday, the European Central Bank as well as the Bank of England, will announce monetary policy. I have to believe that these central bankers are worried that inflation is about to overwhelm them and they would be reluctant to cut rates—even if that would help UBS and Deutsche Bank, among many others.

Interactive Chart of Weekly Euro Dollar Index, priced in USD:

Interactive Chart of Daily Euro Dollar Index, priced in USD:

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The Pound lifted (+0.09% W/W), which was small but counter the Euro move. The close on Friday was 1.9819.

The 50-day MA and 200-day MA are at 1.9764 and 2.0038 respectively.

Weekly British Pound Index:

Daily British Pound Index:

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Weekly Japanese Yen Index:

The Japanese Yen ($XJY) plunged -2.06% W/W to 94.78. After a winning week the week before, I reported, “(There was a gain of +0.64% W/W) But the first four days was a loser as the gain on Friday was +0.75%. Friday was an important sell-off in equities around the world, leading to a reversal of the Carry Trade… So, watch the Yen rally if, as and when North American and European equity prices sink.” This week, NASDAQ (+3.2%) and the other US markets (DJIA and S&P500 up +1.3% and +1.8%) rallied, and the Yen got hammered. Too many little old ladies in Japan buying Cognizant Technology Solutions (CTSH), Infosys Technologies (INFY) and Dell (DELL), I suppose.

The Yen’s 50-day MA is 97.13 and the 200-day MA is 91.96.

Daily Japanese Yen Index:

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The Loonie (Cdn Dollar) lost -0.37% W/W after dropping -0.44% on Friday. The close Friday was 100.70. (I had a wrong figure here last week.)

The 50-day MA and 200-day MA is at 99.16 and 99.76 respectively, which means the current price (100.70) is above both.

Weekly Canadian Dollar Index:

Daily Canadian Dollar Index:

I should be tracking the China Yuan (CNY). http://stockcharts.com/charts/gallery.html?cny

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International Equity Markets Review

Except for Germany, France and Japan, international equities were weak this week. Even India’s Sensex index dropped -1.4% despite a reported economic growth of +8.8%, which was +9% higher than the government had previously forecast. Still, India’s major equity index is down -19.1% YTD.

UK FTSE from 6204.7 to 6304.30 to 6087.30 down -0.6% to 6053.5
German DAX from 7003.17 to 7156.55 to 6944.05 up +2.1% to 7096.8
Aussie All-Ords from 5844.4 to 6006.1 to 5866.2 down -1.6% to 5773.0
Shanghai Composite from 3613.5 to 3624.23 to 3473.09 down -1.1% to 3433.4%
HK Heng Seng from 25063 to 25619 to 24714 down -0.7% to 24533.1
India’s BSE 30 from 17435 to 16650 down -1.4% to 16415.6
Japan’s Nikkei 225 from 14219 to 14012 up +2.3% to 14338.5

For the Year-To-Date:

UK FTSE down -6.2%
German DAX down -12.0%
Aussie All-Ords down -10.1%
Shanghai Composite down -34.7%
HK Heng Seng down -11.8%
India’s BSE 30 down -19.1%
Japan’s Nikkei 225 down -6.3%

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I added 16 country index charts from StockCharts.com (with their formal approval btw as long as I don’t publish too many) because I think it is important to be watching these markets move through a trend juncture together, and in relation to currency and commodity strength or weakness.

I also made some additions to the country-based ETF tables as I intend to focus more on ETF’s in 2008. In time, I will also set up tables and track the domestic market prices.

The world is now a very small one in capital markets and international business. No longer are corporations just American, British, French, German, Italian, Canadian or Japanese. Most do business internationally. We need to observe their businesses and capital market prices on a global basis.

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

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

Brazilian Bovespa stockcharts.com chart

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

Toronto 300 stockcharts.com chart

Toronto CDNX stockcharts.com chart

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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.

FTSE 100 stockcharts.com chart

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Here is the latest session data for the German DAX.

DAX stockcharts.com chart

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

CAC 40 stockcharts.com chart

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

Italian Milan Index stockcharts.com chart

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

Swiss Market Index stockcharts.com chart

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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.

Tokyo Nikkei 225 Index stockcharts.com chart

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Here is the latest chart for the Singapore index .

Singapore Straits Times Index stockcharts.com chart

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Here is the latest chart for the Shanghai Composite index .

Shanghai Composite Index stockcharts.com chart

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

Hong Kong Hang Seng stockcharts.com chart

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

Mumbai BSE 30 Sensex Index stockcharts.com chart

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

Sydney All Ordinaries Index stockcharts.com chart

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Russia (RTS) stockcharts.com chart

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Table 13: International equities via an ETF perspective (in $USD)

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
EWH	19.41	0.12	0.62%	2.05%	-2.61%	-1.97%	-10.92%	5.15%	-14.64%	15.88%
EWZ	99.24	1.66	1.70%	1.81%	1.80%	7.98%	22.59%	18.81%	22.96%	67.66%
EWS	13.74	0.18	1.33%	1.63%	0.59%	-0.07%	1.85%	13.46%	-4.78%	0.81%
EWJ	13.54	0.18	1.35%	0.82%	-0.22%	1.04%	2.34%	7.97%	-3.70%	-6.36%
EWQ	37.50	0.30	0.81%	-0.35%	0.32%	1.93%	-1.16%	10.52%	-3.72%	-2.77%
TRF	65.30	0.68	1.05%	-0.64%	-2.90%	10.57%	-11.14%	8.78%	-5.22%	-3.56%
EWG	33.53	0.19	0.57%	-0.95%	-0.09%	1.15%	-5.26%	8.23%	-2.44%	3.33%
EWC	35.01	0.33	0.95%	-1.13%	0.40%	8.19%	8.06%	9.37%	9.71%	16.43%
IFN	45.98	-0.52	-1.12%	-1.16%	-7.13%	-10.37%	-25.72%	-9.31%	-24.56%	5.70%
EWA	29.27	0.26	0.90%	-1.25%	-2.04%	4.69%	1.70%	10.29%	-3.05%	6.13%
EWU	22.79	-0.05	-0.22%	-1.81%	-1.56%	-0.91%	-4.56%	4.06%	-11.05%	-10.24%

The Hong Kong (EWH) and Brazil (EWZ) ETF’s had good weeks for the Bulls, up +2.05% and +1.81% respectively, but most the rest were down.

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Japanese equity market ETF: EWJ

Here is the Japanese (EWJ) equity market ETF Monthly, Weekly and Daily data charts:

Interactive EWJ Monthly data:

Interactive EWJ Weekly data:

Interactive EWJ Daily data:

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U.K. equity market ETF

Here is the United Kingdom (EWU) equity market ETF Monthly, Weekly and Daily data charts:

Interactive EWU Monthly data:

Interactive EWU Weekly data:

Interactive EWU Daily data:

EWU Daily data:

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Canada’s equity market

Here is the Canadian (EWC) equity market ETF Monthly, Weekly and Daily data charts:

Interactive EWC Monthly data:

Interactive EWC Weekly data:

Interactive EWC Daily data:

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US Equity Markets Review

Leading up to this week, three of the previous four days were extreme as the DJIA took a hit of -507 points on the week. But this week, there were small gains made in the DJIA (+1.3%) and the S&P 500 (+1.8%), while the NASDAQ Composite soared +3.2%.

A dozen NASDAQ stocks to watch.

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Here is the Monthly data chart of the Interactive Chart of Nasdaq Composite, S&P 500, Dow30, and Russell 2000 (small cap) indexes.

Here is the Weekly data chart of the Interactive Chart of Nasdaq Composite, S&P 500, Dow30, and Russell 2000 (small cap) indexes.

Here is the Daily data chart of the Interactive Chart of Nasdaq Composite, S&P 500, Dow30, and Russell 2000 (small cap) indexes.

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Table 14: 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
HPQ	47.06	0.15	0.32%	4.81%	0.71%	-2.02%	-5.52%	-1.49%	-8.01%	3.04%
IBM	129.42	-0.29	-0.22%	3.79%	0.75%	4.70%	23.63%	13.67%	23.05%	21.04%
WMT	57.74	-0.20	-0.35%	3.02%	1.09%	-0.57%	23.11%	16.43%	20.54%	22.54%
VZ	38.47	0.10	0.26%	2.67%	-1.11%	-2.16%	-10.97%	5.92%	-10.97%	-12.21%
JNJ	66.74	0.32	0.48%	2.03%	0.09%	-1.58%	1.26%	7.71%	-1.48%	5.57%
T	39.90	-0.30	-0.75%	1.84%	0.10%	-0.10%	-2.68%	14.56%	4.42%	-2.64%
HD	27.36	-0.35	-1.26%	1.67%	-7.35%	-8.40%	4.79%	3.05%	-4.20%	-29.30%
BA	82.77	0.66	0.80%	1.67%	-3.25%	-3.09%	-4.44%	-0.02%	-10.56%	-17.68%
MCD	59.32	-0.16	-0.27%	1.35%	-2.53%	-2.63%	2.10%	9.63%	1.45%	18.10%
MMM	77.56	-0.20	-0.26%	1.20%	-0.39%	-0.36%	-6.23%	-1.07%	-6.85%	-11.79%
C	21.89	-0.15	-0.68%	0.78%	-7.75%	-15.78%	-24.31%	-7.68%	-34.26%	-60.34%
PG	66.05	0.58	0.89%	0.66%	-0.47%	-1.46%	-8.66%	-0.20%	-10.74%	3.45%
CAT	82.64	-0.14	-0.17%	0.51%	-1.03%	0.35%	17.00%	14.25%	14.94%	5.30%
AXP	46.35	-0.40	-0.86%	-0.02%	-7.04%	-9.70%	-9.19%	9.57%	-21.41%	-28.69%
DIS	33.60	-0.21	-0.62%	-0.03%	-3.97%	0.90%	5.53%	3.67%	1.36%	-6.43%
JPM	43.00	-0.57	-1.31%	-0.12%	-8.55%	-12.69%	1.97%	5.78%	-5.74%	-17.40%
MRK	38.96	0.04	0.10%	-0.18%	-2.60%	0.03%	-32.09%	-12.05%	-34.37%	-26.09%
AA	40.59	0.25	0.62%	-0.51%	-5.03%	16.91%	12.34%	9.29%	11.60%	-1.58%
MSFT	28.32	0.01	0.04%	-0.53%	-7.00%	-3.67%	-19.59%	4.12%	-15.71%	-8.97%
GE	30.72	0.08	0.26%	-0.94%	-5.10%	-7.25%	-16.43%	-7.30%	-19.77%	-18.58%
DD	47.91	0.11	0.23%	-1.07%	-3.25%	-2.10%	9.53%	3.21%	3.81%	-7.37%
UTX	71.04	0.81	1.15%	-1.11%	-4.37%	-4.64%	-5.54%	0.75%	-4.99%	2.32%
KO	57.26	-0.61	-1.05%	-1.73%	0.44%	-3.10%	-6.27%	-2.05%	-7.79%	7.94%
BAC	34.01	-0.59	-1.71%	-2.07%	-7.35%	-13.66%	-16.15%	-14.42%	-26.27%	-33.06%
PFE	19.36	-0.04	-0.21%	-2.12%	-3.59%	-5.28%	-15.50%	-13.11%	-18.52%	-29.37%
CVX	99.15	0.29	0.29%	-2.71%	0.67%	4.43%	6.09%	14.41%	12.97%	20.55%
INTC	23.18	0.04	0.17%	-2.93%	-7.17%	-0.47%	-8.56%	16.07%	-11.12%	4.98%
AIG	36.28	0.94	2.66%	-4.05%	-8.31%	-24.65%	-35.56%	-22.58%	-37.59%	-49.67%
XOM	88.76	-0.59	-0.66%	-4.05%	-2.78%	-1.05%	-5.08%	2.01%	-0.45%	5.67%
GM	17.10	-0.28	-1.61%	-7.22%	-17.91%	-26.26%	-29.95%	-26.55%	-42.68%	-43.15%

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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Value Line Report(s) this past Friday

This week, Value Line reported on two Dow 30 companies: General Motors (GE) and Johnson & Johnson (JNJ).

One provides healthcare to the public and the other claims that providing it for employees has sunk the company. As the expression goes, one outta two ain’t bad.

Last week I said the GM report ought to be a fun read because “trying to sell cars these days is akin to selling condos on Miami’s Brickell Avenue. Anything’s possible, but there have been easier times.”

Johnson & Johnson, on the other hand, is a Cara 100—probably not the best one, mind you, but still there.

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General Motors [GICS 25, Dow 30]

(GM: Value Line Report May 30: next one is due Aug. 29)

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Johnson & Johnson [GICS 35, Dow 30, Cara 100]

(JNJ: Value Line Report May 30: next one is due Aug. 29)

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Regarding General Motors, despite all the over-the-top hype by the Detroit anchor for CNBC, although perhaps because of it, I offed the stock in June 10, 2005 at $35 (“Sold to you!”). Yes, I couldn’t take the crapola I was listening to on Financial Entertainment Television that day, but there were other factors involved when I threw in the towel on a company I once liked for cyclical trading.

This week GM closed at $17.10 after hitting a cycle low Thursday at $16.73. During the week of April-24-2000, the stock hit a high of $94.62. Oh how the Generals are now Privates.

Value Line analyst Jason Smith opines, “The stock does offer long-term recovery potential. But that assumes smoother-running operations can be achieved in North America, and a sustainable pick up in sales.” I suppose that applies to a lot of companies. The issue as I see it is will the North American economy pick up before the debts of GM drag it down to penny stock status.

What makes a market is that there are always differing views. Today in Barron’s there is an article that claims the shares of GM could triple over the next few years as the company's foreign sales are climbing and its labor costs are falling. Sounds to me like sell-side spin.

Tell me if I was too far wrong in what I wrote in WIR-09 on March 1, the last time GM came up for review?

With GM, the mind boggles at how the company can stay afloat. Maybe it’s a case of the US government not being able to allow the company to fail. After all, they did parachute ex-Treasury Secretary John Snow in to take the control of GMAC off the shareholders’ hands.

Seriously, how does a company that has negative shareholder equity of -$37.5 billion stay in business, and why is the market cap $14.7 billion? How does the company pay off its long-term debt of $45.4 billion, including $16.1 billion due within 5 years? I mean this is a company that has Current Liabilities that are $11.4 billion greater than Current Assets. Sure they might earn $200 million this year from ongoing operations, but that’s considerably less than the company lost a year ago, and they have to practically give away cars and trucks to book those so-called profits.

Things are so tight at GM, the working capital dropped from a positive $116 billion in 2005 to that deficit of -$11.4 billion at Dec 31, 2007.

Now, that’s just the on-star type of stuff, ie, the figures on the balance sheet. How about the unfunded pension liability of $46 billion?

You know, I recall a judge in Canada that ruled bankruptcy for a pittance of unfunded pension liability when the company involved, Canada’s largest steelmaker, was in the midst of its most profitable year ever. And that was a company that had no credit derivatives disaster on its hands or any failed SIV hidden away in subsidiaries – just precious iron ore properties on the books at… well book, which meant they could be stolen in bankruptcy court by the sharpies of Bay Street.

Just think what the Brascan/Brookfield Boys, and a friendly judge, court-appointed re-org officer, court monitor CA firm, and half the big-shot lawyers in Toronto could do with that GM situation…?

Tata… I shouldn’t drive down that road. (LOL)

Oh well.

As VL analyst says, the GM restructuring continues. It’s all the US employees’ fault. Ninety-eight percent of the US workforce has been offered early retirement buyouts with the plan to cut half the wages of the replacement workers.

Do you think the company might start at the top? I’m sure the guy who put the company in this mess could be replaced for half what he’s been paid.

But then, the new guy would not permit a dividend, $1.00 or otherwise, so the string-pullers behind this company wouldn’t receive their 4-pct dividend yield, which btw is a return OF capital that doesn’t exist as I started this section off by pointing to the “negative shareholder equity of -$37.5 billion.”

Why doesn’t the SEC, or maybe a judge, stop this nonsense before the capital market has zero credibility with Mom & Pop?

In any case, GM closed at $23.19 that Friday Feb-29 when I last reviewed it. If anybody’s counting, that’s a 13-week stock loss of -23.6%. And, performance wise, the company lost -$0.62/share in the recent quarter and is expected not to make any $200 million profit this year, as earlier presumed, but to lose about -$1.2 billion.

Going, going, almost gone.

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Regarding Johnson & Johnson, the company has become an exercise in share buy-backs and abnormally high dividend increases—taking on massive debt to do so. I surmise this has something to do with the CEO’s Business Roundtable or whatever they call the American capitalist network that shares ideas in getaway forums where CNBC loves to hang. Pure stupidity, but that’s one man’s opinion.

I ask, what happens to that debt if interest rates rally and share prices fall even further over the next year or two. Did management really have to buy almost 100 million of their shares over two years or increase their dividend by +10% each year?

With high operating margins and return on equity, why not just focus on the business of increasing sales? I honestly don’t understand all the financial engineering that goes on today.

Anyway the last two day’s trading seems excessively bullish. The stock is now $66.74. I’m not interested unless and until it falls to about $56.

Here’s what I wrote in the last WIR that reviewed JNJ (WIR-09 Feb-29):

When you’re hurtin’ you can look to Johnson & Johnson for solutions. Even the baby’s bum feels the better for it.

Value Line analyst Tom Nikic likes this one, as I do.

Even more so. You see, although J&J is a Cara Global 100, there are some concerns.

Where do I start? Well, in two years, the working capital has deteriorated from a plus $19 billion to a plus $9.6 billion, and now the management says they want to buy back shares. The important one time superlative operating and capital metrics have also fallen and are expected to be some 40 pct lower over the next 3 to 5 years for cash flow, earnings and dividends growth rates. The operating margin over the past two years has fallen. The return on shareholders’ equity has fallen. The PE ratio is a fraction of what it used to be, back when investors used to think of J&J as a growth large cap. Finally, the patent expired on the company’s top selling drug, so sales are going to slow.

But there is always hope, as expressed by the VL analyst in the headline to his concluding paragraph: “This stock may prove to be an excellent long-term option if recent stock market turbulence continues.”

Can you figure out the operative part of that statement? If so, traders will want to wait until the current price dips a further -10 pct (to maybe $56) before entering new positions on the long side. That would be nice because the dividends over the next two years will increase (probably $1.77 for 2008 and $1.95 for 2009) and the stock will likely hit $100 before the end of 2009, which I base on 17 times 2009-cash flow of $5.90.

For a strategy, I might look into writing the 4 to 6 month 55 puts on JNJ – but only after more really bad days in the market. When you see the fear in their eyes and the headlines are screaming blood in the water, load up the truck. As I say, the picture is deteriorating for JNJ, but we’re all getting older, right? When the JNJ stock price is getting hammered down, just think about that baby’s bottom.

If you can get your cost basis down to 56, that dividend over the next two years will average a yield of 3.32 pct annually. Did you see what the 10-year US Treasury bond is yielding today? 3.534 pct. I think I’d rather wait and put my faith and trust in J&J.

If you wrote those puts, you cleared +100% profits. Actually the profit is infinity because if you buy something for zero and sell it for $1.00, it’s found money. Just think in reverse: you sell first and buy back later (something like the corporate share buy-backs—but I josh!). When the price goes your way, it’s still found money.

Note also that the 10-year Treasury is now yielding 4.060% vs that 3.534% I quoted three months ago. Dividends are becoming less attractive as the yields on risk-free debt instruments grow. Think about it if you happen to be a Bull in an equity market.

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The Dow 30 Company links in chronological order of next reports

McDonalds [GICS 30, Dow 30]
(MCD: Yahoo Finance file)
(MCD: StockChart chart)
(MCD: Billcara2 chart)
(MCD: ADVFN Financial Data)
(MCD: Value Line Report Mar. 7: next one is due Jun. 6)

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Chevron Corp [GICS 10, Dow 30]
(CVX: Yahoo Finance file)
(CVX: StockChart chart)
(CVX: Billcara2 chart)
(CVX: ADVFN Financial Data)
(CVX: Value Line Report Mar. 14: next one is due Jun. 13)

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ExxonMobil [GICS 10, Dow 30, Cara 100]
(XOM: Yahoo Finance file)
(XOM: StockChart chart)
(XOM: Billcara2 chart)
(XOM: ADVFN Financial Data)
(XOM: Value Line Report Mar. 14: next one is due Jun. 13)

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Boeing Co [GICS 20, Dow 30. Cara 100]
(BA: Yahoo Finance file)
(BA: StockChart chart)
(BA: Billcara2 chart)
(BA: ADVFN Financial Data)
(BA: Value Line Report Mar. 21: next one is due Jun. 20)

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AT&T [GICS 50, Dow 30]
(T: Yahoo Finance file)
(T: StockChart chart)
(T: Billcara2 chart)
(T: ADVFN Financial Data)
(T: Value Line Report Mar. 28: next one is due Jun. 27)

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Verizon [GICS 50, Dow 30]
(VZ: Yahoo Finance file)
(VZ: StockChart chart)
(VZ: Billcara2 chart)
(VZ: ADVFN Financial Data)
(VZ: Value Line Report Mar. 28: next one is due Jun. 27)

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Procter & Gamble Co. [GICS 30, Dow 30, Cara 100]
(PG: Yahoo Finance file)
(PG: StockChart chart)
(PG: Billcara2 chart)
(PG: ADVFN Financial Data)
(PG: Value Line Report Jan. 4: next one is due Apr. 4)

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Home Depot [GICS 25, Dow 30]
(HD: Yahoo Finance file)
(HD: StockChart chart)
(HD: Billcara2 chart)
(HD: ADVFN Financial Data)
(HD: Value Line Report Jan. 4: next one is due Apr. 4)

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General Electric [GICS 20, Dow 30, Cara 100]
(GE: Yahoo Finance file)
(GE: StockChart chart)
(GE: Billcara2 chart)
(GE: ADVFN Financial Data)
(GE: Value Line Report Apr. 11: next one is due Jul. 11)

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Hewlett-Packard [GICS 45, Dow 30]
(HPQ: Yahoo Finance file)
(HPQ: StockChart chart)
(HPQ: Billcara2 chart)
(HPQ: ADVFN Financial Data)
(HPQ: Value Line Report Apr. 11: next one is due Jul. 11)

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IBM [GICS 45, Dow 30]
(IBM: Yahoo Finance file)
(IBM: StockChart chart)
(IBM: Billcara2 chart)
(IBM: ADVFN Financial Data)
(IBM: Value Line Report Apr. 11: next one is due Jul. 11)

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Intel [GICS 45, Dow 30, Cara 100]
(INTC: Yahoo Finance file)
(INTC: StockChart chart)
(INTC: Billcara2 chart)
(INTC: ADVFN Financial Data)
(INTC: Value Line Report Apr. 11: next one is due Jul. 11)

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Alcoa [GICS 15, Dow 30]
(AA: Yahoo Finance file)
(AA: StockChart chart)
(AA: Billcara2 chart)
(AA: ADVFN Financial Data)
(AA: Value Line Report Apr. 18: next one is due Jul. 18)

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Dupont [GICS 15, Dow 30]
(DD: Yahoo Finance file)
(DD: StockChart chart)
(DD: Billcara2 chart)
(DD: ADVFN Financial Data)
(DD: Value Line Report Apr. 18: next one is due Jul. 18)

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Merck [GICS 35, Dow 30]
(MRK: Yahoo Finance file)
(MRK: StockChart chart)
(MRK: Billcara2 chart)
(MRK: ADVFN Financial Data)
(MRK: Value Line Report Apr. 18: next one is due Jul. 18)

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Pfizer [GICS 35, Dow 30]
(PFE: Yahoo Finance file)
(PFE: StockChart chart)
(PFE: Billcara2 chart)
(PFE: ADVFN Financial Data)
(PFE: Value Line Report Apr. 18: next one is due Jul. 18)

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United Technologies [GICS 20, Dow 30, Cara 100]
(UTX: Yahoo Finance file)
(UTX: StockChart chart)
(UTX: Billcara2 chart)
(UTX: ADVFN Financial Data)
(UTX: Value Line Report Apr. 25: next one is due Jul. 25)

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Caterpillar [GICS 20, Dow 30]
(CAT: Yahoo Finance file)
(CAT: StockChart chart)
(CAT: Billcara2 chart)
(CAT: ADVFN Financial Data)
(CAT: Value Line Report Apr. 25: next one is due Jul. 25)

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Coca Cola [GICS 30, Dow 30]
(KO: Yahoo Finance file)
(KO: StockChart chart)
(KO: Billcara2 chart)
(KO: ADVFN Financial Data)
(KO: Value Line Report May 2: next one is due Aug. 1)

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Wal-Mart [GICS 30, Dow 30, Cara 100]
(WMT: Yahoo Finance file)
(WMT: StockChart chart)
(WMT: Billcara2 chart)
(WMT: ADVFN Financial Data)
(WMT: Value Line Report May 9: next one is due Aug. 8)

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Disney [GICS 25, Dow 30, Cara 100]
(DIS: Yahoo Finance file)
(DIS: StockChart chart)
(DIS: Billcara2 chart)
(DIS: ADVFN Financial Data)
(DIS: Value Line Report May 16: next one is due Aug. 15)

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3M Company [GICS 20, Dow 30, Cara US 100 June 25-06]
(MMM: Yahoo Finance file)
(MMM: StockChart chart)
(MMM: Billcara2 chart)
(MMM: ADVFN Financial Data)
(MMM: Value Line Report May 16: next one is due Aug. 15)

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American International Group [GICS 40, Dow 30]
(AIG: Yahoo Finance file)
(AIG: StockChart chart)
(AIG: Billcara2 chart)
(AIG: ADVFN Financial Data)
(AIG: Value Line Report May 23: next one is due Aug. 22)

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American Express [GICS 40, Dow 30]
(AXP: Yahoo Finance file)
(AXP: StockChart chart)
(AXP: Billcara2 chart)
(AXP: ADVFN Financial Data)
(AXP: Value Line Report May 23: next one is due Aug. 22)

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Bank of America [GICS 40, Dow 30]
(BAC: Yahoo Finance file)
(BAC: StockChart chart)
(BAC: Billcara2 chart)
(BAC: ADVFN Financial Data)
(BAC: Value Line Report May 23: next one is due Aug. 22)

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Citigroup [GICS 40, Dow 30]
(C: Yahoo Finance file)
(C: StockChart chart)
(C: Billcara2 chart)
(C: ADVFN Financial Data)
(C: Value Line Report May 23: next one is due Aug. 22)

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JP Morgan [GICS 40, Dow 30]
(JPM: Yahoo Finance file)
(JPM: StockChart chart)
(JPM: Billcara2 chart)
(JPM: ADVFN Financial Data)
(JPM: Value Line Report May 23: next one is due Aug. 22)

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Microsoft [GICS 45, Dow 30]
(MSFT: Yahoo Finance file)
(MSFT: StockChart chart)
(MSFT: Billcara2 chart)
(MSFT: ADVFN Financial Data)
(MSFT: Value Line Report May 23: next one is due Aug. 22)

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General Motors [GICS 25, Dow 30]
(GM: Yahoo Finance file)
(GM: StockChart chart)
(GM: Billcara2 chart)
(GM: ADVFN Financial Data)
(GM: Value Line Report May 30: next one is due Aug. 29)

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Johnson & Johnson [GICS 35, Dow 30, Cara 100]
(JNJ: Yahoo Finance file)
(JNJ: StockChart chart)
(JNJ: Billcara2 chart)
(JNJ: ADVFN Financial Data)
(JNJ: Value Line Report May 30: next one is due Aug. 29)

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Wrap up:

Losing a life mentor through death is another slice of life that forces us to ponder our journey. Yes, life is about the journey, about how certain people have helped us find the way and how we try to do the same for others. I shall always remember the guidance of Ian Notley that was to me life changing, and I hope in a small way to be passing along to others the gifts that Ian bestowed on me. He would have liked that.

But, for sure he would not have wanted the spotlight because Ian was a very private person. May he rest in peace. He earned it.

Have a great week.

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