Stocks: Law Of Supply (Plenty) And Demand (Lacking)
Two consecutive 170 point losses in the Dow. Supply of stock for sale seems to be plentiful, and demand seems to be lacking. If lack of liquidity during the last two weeks of the year has been one reason the market has had the jitters, then theECB's $500 billion injectionshould be a big help. We are modestly higher, but it's the energy stocks leading, not financials.
Lowry's summed up the technical position this morning: "Bottom line is, thus far, there appears to be little evidence the market is in the process of putting in a sustainable low."
Goldman down: there are comments that the earnings quality was a bit less than expected, also CFO Viniar says he is cautious on the near term outlook for business; he also says that while they are getting closer to the bottom if the subprime market, we are not there yet.
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