OCT Trick or Treat?

Agreed our "window" of opportunity is fading. But HOW much lower will the market allow the VIX to go with any further advance?

If we had a rising VIX and high historically put call ratio I would be more concerned, those just siting the PC without adding back into equation other evidence of investor attitude are missing the bigger picture IMHO

With any further advance in markets I believe good chance for long int rates to climb, acting like a break.

I would like to know what bit of GREAT news the market used to propel itself higher last Friday?

Fact is, this economy is SLOWING, GDP last reading grew because of "INVENTORY BUILDING" at the same time we have annecdotal evidence of a slowing consumer, a recipe for trouble IMHO

COming into OCT it is possible many bulls have been buying puts JUST IN CASE.

Friday rise coincides with week ending $40 billion rise in money supply, again this is CRISIS levels, but this has come after 2 months or so of FALLING money supply, and just as we enter OCT WHAMMO.

http://www.weedenco.com/welling/lilogopv.asp Great read by LAcy Hunt Bond Bull.
IMHO, an opportunity in Bonds is approaching,last reading of daily sentiment showed near 86% bulls. As this corrects the yield should rise.It is important to me NOT to miscalculate this, IMHO last chance to get on board as rates could fall all the way to 3% area as article suggests it could, worst case scenario I may have to hold til maturity so to NOT lose principle.

Again not sure if yields will make back near old highs, I think sentiment might hold key and any upcoming data surprises.

In the world we have OVERCAPACITY, what is it that we want of need that is in short supply?

WE DO NOT have too many dollars chasing too few goods, then we must have something else.WHat we do have is relative price increases many of which constrict ability for consumer to spend on other items.

In particular mortgage debt, but have rates come down so low there to mitigate? We have historical high credit market debt to gdp some 300%, never before seen.

Duratek