Friday, March 1, 2013

New month same story


Well so far we have an ambivalent market, it doesn’t really care about the sequester.  There are a couple of interesting things going on anyway.  Apple, AAPL, is at a 52 week low, which raises several questions but the most important one being: Is the cult of Apple finally done?  The stock is definitely in bear territory but will it have a round trip reminiscent of 2001?  I am not sure where it will stop but I think Apple’s world domination is over and they will again become a niche company with very loyal core customers.  The President is upset with the Republicans because they won’t cave in today and give him what he wants.  Mr. President just give it a few days of complaints and hysteria and you will come to a compromise that will do nothing for the country but allow both sides to claim victory, we’ve seen this story before.  So the story looking forward will be how television stokes the fire this weekend to see if it has an impact on the market. There is still a lot of veteran market pessimism and while I won't be long this market, I certainly won't be short.  I have had my face ripped off enough times that I have learned to never short something making multi year highs.

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