Monday, September 8, 2008

Fannie Pack Monday

Well, it was exciting day but not a whole lot changed except for some momentary relief from the banking panic. If one is thinking about bottom fishing in the financial sector, the Fed has made it clear that the majority of the risk is being carried by the common shareholders. If something bad happens the common shareholders will be thrown to the wolves.

On the more positive side, there is some evidence that the general market decline is starting to slow. I still feel that todays upside activity was not the start of a new leg up and that tax loss selling will put further pressure on the markets as we near years end.

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