Friday, July 9, 2010

S&P 500 : Where to next??

Global Equity markets are as volatile as ever.

Should you double up on stocks or expect a double dip around the corner instead?
The news flow is almost manic.
Confusing and contradicting data and news flow have made the last few months a rally testing time for investors.

Some pundits are calling for the resumption of a bull market, while others like David Rosenberg and Robert Prechter are expecting the markets to head back down again.

Data from the US Housing market and US unemployment numbers continue to be weak.
Sovereign debt worries have not yet been resolved.

Graham Summers over at ''Gains Pains & Capital'' put up some interesting charts.
Perhaps now is not the best time to be doubling up on risk.

Meanwhile as Mr Summers rightly points out, the Bond market is continuing on its upward trend. David Rosenberg is another ''bond'' fan who seeks 'safety and income' at a reasonable price in these volatile markets.

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