Wednesday, April 11, 2012

Daily Briefing for Wednesday, April 11, 2012

Yes, I'm Still Alive

An email from a frequent reader, inquiring into my absence from blogging, was a nice reminder that a number of you read the blog.  It's been a busy couple of weeks, especially over the Easter holidays.

You may recall I mentioned in my January 2012 newsletter and prognostication for the year I intended to blog less.  I didn't really keep that promise in the first quarter of the year, so I am working towards that.  Less blogging means more time to work on other things.  I've written quite a bit lately, and one day soon I hope to share it with you.

What's On The Radar?

Here's a quick situation report of things I think you should be watching:

  • Where are all the buyers?  CNBC asks the question I've been asking for some time now.  Fewer and fewer shares of stock are being traded on the major exchanges over the last several months.  From my January 2012 newsletter: "In determining the overall trend of the stock market, it's important to look not only at the price trend, but also at the volume trend.  You'll note that the [graph showing the volume of shares traded] between October and the end of the year has a downward slope.  This means that despite the fact the stock market was going higher, fewer and fewer people were buying into the rally.  Seasoned traders will often tell you that lack of volume during a major market uptrend is a sign that the uptrend will likely fail."
  • Racial tensions stemming from the George Zimmerman case continue to percolate.  Regardless of what you think of this case, it's becoming evident that many are taking radical action as a result of it.  With these tensions rising during a presidential campaign season, we should expect things in society to become more contentious.  Be alert.  Don't be a victim.
  • Agribusiness is booming.  (Despite what you people think, I am not all doom and gloom.  I just lay it all out there, trying to make sense of it.)  This is good news in that it will continue to attract investment and technology into agriculture.  We need a strong ag sector for our own national security.
  • Are we entering a good time to invest in precious metals?  Some people think so, due to the Federal Reserve's latest decision not to inject more liquidity (a nice way of saying "printing more money") into the economy.  When the Fed takes this position, generally the dollar increases in value, often driving down the price of commodities like gold and silver.  Good buying opportunities on metals may be coming in the future.
  • Housing sales and starts continue to languish.  Check it (thanks to Jerid):

Keep Talking

Are you building a team or a group of like minded people to discuss these issues?  It helps.  I'm attending one summit this summer where we'll be discussing such issues.  Start looking for people who share your interest in this and share ideas with them.

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