Jan 28, 2005


Heard some third hand rumors of a mutual fund being liquidated as the cause for today's weakness. No way to comment if it was true or not. In my opinion Monday's action felt like a liquidation with supports being sawed through in the early going without much thought. Check out a chart of CME to see what I mean. Very rarely do stocks (or any asset) recover so quickly after such intense selling.

Maybe there was some short-term cause for the weakness but whether that is true or not there was certainly a lack of buying interest.

Because of the time difference we should have a fair idea of the Iraqi election turnout and the press reaction by the time we show up on Monday. Because of the range we have put in this week Monday's action should get follow through either way.

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