Daily Commentary by Larry Baer: Nagging worries about a sluggish U.S. economy,
the barrage of news related to the festering European debt crisis and now this morning's
reports suggesting China's economy is cooling far more rapidly than previously
thought have combined to shut the tap on this week's earlier flow of capital
out of the relative safe-haven of U.S. dollar denominated assets like Treasury
debt obligations and agency eligible mortgage-backed securities.
Nothing on the coming week's economic
calendar will likely change that condition significantly.
Tuesday's Producer Price Index and
Wednesday's Consumer Price Index are expected to show modest upticks in their
headline numbers as a result of slightly higher food prices resulting from the
devastating drought in the country's farm belt states - a condition already
priced into most of your investors' rate sheets.
Be patient - be disciplined - and play it by
the numbers outlined above.
THE
MARKET IS ALWAYS RIGHT! . YOU AND I ARE SOME OF THE TIME
