In the first ever appearance of an acting President on late night television, Obama explained how the economy and stocks will recover from economic indicators not seen since Monica Lewinsky was making headlines.
Last Sunday, Bernanke shared his hopeful prognosis for the economy and what has and can be done. He furthered his optimistic outlook by announcing Wednesday the Fed’s decision to buy up to $300 Billion Long Term Bonds.
Does the appearance of these leaders in these mediums demean their respective positions? Guess not. The market loved it. Stocks and commodities staged a solid rally and finished the week with decent gains. With the “success” of last week’s decline stoppage, expect to see more of the Obama and Bernanke Show.
A revue filled with theatrics and illusions that may leave us all broke, but at least erstwhile we will all be entertained.
Powershares DB Crude (DXO): This double long did not get the news it wanted out of Vienna this week. No matter. DXO bulls must be looking to the heavens because they were saved by a miracle in that the market did not tank to new lows on OPEC’s decision to leave oil output unchanged. WTI’s move to $52 only took DXO to $3. That is troubling considering the last time WTI was at this level, DXO was closer to $4. But, the “oil gods” appear to be working their magic. In addition to the positive week in the US, China has put in motion plans to substantially increase their petroleum reserve over the coming years, adding a long term underlying bullish factor.