WEEKEND POST

The market since making its low on August 5th has had multiple 90% days and triple digit gains and losses and seemingly has no direction.

The bears will say distribution and the bulls will say accumulation is taking place. According to the data of supply and demand, it is more likely IMHO that the lows currently in place along with the inability to break out will get tested.

We are back to policies of fix the roads and bridges from Obama administration and claims it will ADD ONE MILLION JOBS??!! again!! how well did it work last time? and at 2 to 3 X the cost.

We need policies that will STIMULATE small business and investment. We need policies that will help grow good jobs and steady employment gains, we need lower taxes on businesses, but perhaps close some tax loopholes and slight increases on families over $250,000 and more so on dividends....the ones making hay on dividends don't need addt'l gov't asssistance...a MEASURED equal approach to working down the deficits and debt....any CUTS by the gov't will SLOW the economy down however.

We are at a crossroads, after all that has been done, the 0% interest rates, all the bailouts.....we are still stuck in the mud. This is NOT a NORMAL business/inventory cycle slowdown , this is a debt crisis and nothing will stop the march back to the mean.....historical norms....and the dealing with the debt binging of the past several deacdes....you DO eventually have to pay the piper....and UNWIND the excesses.

This is a powerful 60-70 year cycle forces at work, and it is TOO powerful for govt and FED policies to dismiss it. One can hope their policies have NOT made it worse and last longer!

WHO cares for the conservative and the SAVER? As these policies of ZIRP wreck havoc on investment and savings, it has helped to PROP UP the stock market and raise OTHER assets, mainly commodities. The end result of much higher commodity prices has made the position of the Consumer even more difficult.

The climate uncertain, polls show the approval rating for the President at the lowest levels and even lower for Congress where not even 20% feel they know their ass from a hole in the ground!

Consumer Sentiment readings are still 2 years after "RECOVERY" BELOW the lowest readings after 911. Not an end all to be all, but sentiment DOES effect spending habbits and investment decisions.

Friends, there is a BRIGHTER day in our future, but those charting the course may not have the visions to guide us there.

If the stock market spins its wheels at best, or crashes at worst, with 0% interest rates and longer term yields barely enough to pay for coffee, what is left for the avg Joe to do?

Duratek