It feels like Obama has been on vacation in Hawaii all year as business struggles and workers sit idle while Obama’s socialist Czars suck the life out

It feels like Obama has been on vacation in Hawaii all year as business struggles and workers sit idle while Obama’s socialist Czars suck the life out of America.

China’s goods remain inferior and their prices are no longer as competitive so we expect Japan and South Korea will start eating China’s lunch. Over the weekend Japan completed new trade agreements with China and India.

China’s stock market is also now breaking down below the lows of July 2010. China’s goods remain inferior and their prices are no longer as competitive so we expect Japan and South Korea will start eating China’s lunch. China however is on the verge of releasing free enterprise. Then China will be a great contributor to the human race and will no longer have to sustain their dignity with their “4000” years of civilization which in fact has been 4000 years of gross barbarism.

World markets

With such corruption and hacking, theft and espionage even among “friendly” Asian nations, investments in Asia could have a 1998 type contraction disaster as in 2012.

Asian markets (especially China) care failing to break out some on the second and third times at resistance levels.
http://finance.yahoo.com/intlindices?e=asia

Germany is showing strength: Choose 2 or 5 years
http://finance.yahoo.com/echarts?s=%5EGDAXI+Interactive#chart2:symbol=^gdaxi;range=2y;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on

The Swiss are showing strength. Choose 2 or 5 years http://finance.yahoo.com/echarts?s=%5ESSMI+Interactive#chart1:symbol=^ssmi;range=2y;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined

Emerging markets show strength.
http://finance.yahoo.com/echarts?s=^BVSP+Interactive#chart1:symbol=^bvsp;range=2y;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefine

American Economy
The US markets are still showing strength especially as funds try to put year-end lipstick on their performance pig. The US economy may not dip as Americans increasingly have hope that the Obama Regime will be thrown out of office so Americans can change back to an honest free enterprise system. Obama administration corruption rivals that of Greece and Italy.

Last Week
The good
NAHB Housing Market Index Dec now 21 up from 20, possibly another bottom indication. Good
Housing Starts Nov 685K Up 8% from October’s 628K Unusually good since winter is setting in.
Building Permits Nov 681K up 4% from 653K last month. Unusually good
Initial Claims 12/17 364K down slightly from 366K
Continuing Claims 12/10 3546K down slightly from 3603K
Michigan Sentiment - Final Dec 69.9 up slightly from 67.7 -
New Home Sales Nov 315K greatly improved from 307K
PCE Prices - Core Nov 0.1% stable 0.1% and not good for metal’s speculators.

The Bad
MBA Mortgage Index 12/17 declined -2.6% for seasonal reasons after increasing 4.1% last month when sales were up.
Existing Home Sales Nov were 4.42M down from 4.97M still not good thanks to Obama-Holden racist housing policies.
Crude Inventories 12/17 -10.570M dropped sharply after dropping -1.932M last month. Oil prices may rise again if Iran shuts down the Strait of Hormuz
GDP - Third Estimate Q3 1.8% down slightly from 2.0%
Leading Indicators Nov 0.5% down slightly from 0.9% -
FHFA Housing Price Index Oct -0.2% down slightly from -0.1%
Durable Orders Nov - 3.2% down slightly from -0.7%
Personal Income Nov 0.1% not goo, declined from 0.4%
Durable Goods Orders -ex Transportation Nov -0.2% down slightly from0.7%

The indifferent
Personal Spending Nov 0.1% stable and a flat 0.1%-
GDP Deflator - Third Estimate Q3 2.6% up slightly from 2.5%
Durable Orders Nov 3.8% much improved from November’s -0.5%
Durable Goods Orders -ex Transportation Nov 0.3% ok but not many aircraft were sold vs. 1.1%

This week
Dec 27 9:00 AM Case-Shiller 20-city Index Oct
Dec 27 10:00 AM Consumer Confidence Dec
Dec 28 7:00 AM MBA Mortgage Index 12/24
Dec 29 8:30 AM Initial Claims 12/24
Dec 29 8:30 AM Continuing Claims 12/17
Dec 29 9:45 AM Chicago PMI Dec
Dec 29 10:00 AM Pending Home Sales Nov
Dec 29 11:00 AM Crude Inventories 12/24
Dec 30 9:45 AM Chicago PMI Dec

Market outlook December 27, 2011

This week funds do their best to improve their portfolio for year-end fund performance reports. We expect a good week for investors and expect the good weather in the larger cities and the East Coast relative to the terrible weather last year will improve the mood of the nation as well as retail sales and business in general.

The rally continued and our indicators are saying it will continue for a while. In addition to an improving US and German economic outlook, smart American investors are getting out of insolvent government backed bonds and back into the stock market. That is bullish but we should be ready to take profits as they recover near July highs. Remember though that January was very good last year and the market went down significantly afterwards. But American stocks could still rise close to this past year’s highs by the end of January. The NYSE MACD is definitely bullish and implies we could see the bull market last until November 2012.
http://www.martincapital.com/index.php?page=graph&view=macd

Real estate has turned the corner with the latest home sales, housing starts, and the recent NAHB survey giving more confirmations. But the market will not take off until Americans are confident that Obama and his racist-leftist supporters will be ejected in 2012. Racist liar-loans to Obama’s minority group brought down the American banks after several years of racist minority group appointments to the highest levels of Fannie and Freddie by democrat-socialist.
http://www.martincapital.com/index.php?page=graph&view=permits_and_construction

When it comes to jobs, Obama has to manipulate the government statistics just like all communists do to pretend things are better. Sales are up because consumers have been refinancing dropping their monthly expenses. http://www.martincapital.com/index.php?page=graph&view=unemployment

The VIX has is approaching 20 which would indicate complacency. That means the coming exuberant rally will be a good time to take profits and raise cash.
http://finance.yahoo.com/q/bc?s=%5EVIX&t=6m&l=on&z=m&q=l&c=

We predict we could possibly have as much as 95% recovery. But realize that as the upside potential is approached, then the downside risk exceeds the upside potential and it is time to lighten up. Also, remember January was very good last year and the market went down significantly afterwards so January is not necessarily a good predictor for the year. View 1yr. See:
http://finance.yahoo.com/echarts?s=^NYA+Interactive#chart4:symbol=^nya;range=1y;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined

Growth in bulk shipments in November was down and still at less than 20% of the bulk trade level that existed before Obama declared the USA was in a depression in one of his 2007 campaign speeches. http://www.bloomberg.com/apps/quote?ticker=BDIY:IND

Stock market update:
Asian Stock markets were down last night. China down –1.1%, Hong Kong closed, India closed, S. Korea down –0.8% and Japan down –0.8%.

European markets are up today in a range –0.2% to +1% half way through their day.

American market futures are up about +0.4% in after hour trading at 7:00 AM EST. It is an unreliable predictor.