Rumors Rule...

When Wall Street needs rumors to push the market one way or the other, you know that how splited the views to the future are. Basically, the bulls and bears are in a stalmate, They try to use anything to gain an upper hand. Based on the reactions to the rumors in the last two days, we may conclude that there are probably just a little more bulls than bears, at least for now.

Yesterday, when DOW was down 200 points, the rumor about an emergency rate cut save the day and we probably know who spread that rumor. Today, it looks like we could have a calmer day, only to see the DOW drop more than 100 points based on the rumer the AIG will have a bigger write down, but this time, the authencity of the rumor are questioned, and the consequence ignored, we actually have an up day. If we believe the saying that what counts is how the market end, then, we have to say that there are more believers in the bull\'s camp, however slightly that could be.

With a rate cut overhanging, the bears are handicapped, thus, it is probably safer to say that the market may not fail too far from here. and we could see a few up days until to the FED meeting, after that, we will have to see how the reaction to the FED cuts.

Finally, the heavy hitters of earning season are done. we may see a reduction in the volatilities, which is a welcome news to all traders. Those roller coast rides are just too taxing physically, mentally and especially timely. Hope we will have 2 or 3 good days ahead of us.

so, Let\'s pray :)