DJIA

open10,098.12

close 10,154.43 up 56.53

day high 10,187.28

day low 10,073.68

today's volume 176,966,763

3mo avg. daily volume 237,772,945

DJTA

open 4,119.44

close 4,131.27 up 12.27

day high 4,144.44

day low 4,059.79

today's volume 23,682,642

3mo avg. daily volume 24,097,598

Volume down, markets up... marginally... so nothing exciting to write about.  The only thing hot on the mind right now is QE.  Quantitative Easing is a fancy way of saying Monetizing Debt, which is of course a fancy way of saying Inflation... which is unfortunately no more than a fancy way of saying printing additional US Dollars without additional income, backing or tangible support of any kind... isn't it interesting how definitions of things change as the general public catches on.  I wonder what phrase will replace QE... I'm not clever enough to come up with one... perhaps that's a prerequisite for heading up the Federal Reserve Bank, being clever.


Moving past the rant, the reason I'm wondering about QE is that we have been in, according to the bobbleheads, a period of "deflation."  The word deflation earned my dreaded " " because I don't buy it, as national debt has soared over the past few months, the only explanation is QE, but perhaps we haven't seen as much QE at a single time as, say, Obama's "bailout" plan (oh dear, here come the " "'s again).  Regardless, as we push into this coming election, what can we possibly do to encourage the general public that the Dem's plans of increased government intervention and socialization of specific private sectors as well as Keyensian Economic Theory (by this writers understanding, was proven wrong during the Volcker years), if we'll just "stay the course" for the next two years, this will "work itself out."  
Unfortunately I believe the average person is incapable of understanding what is really taking place, not because the average American is dumb, but because we are too uninterested in anything that doesn't affect our daily lives... unfortunately when these types of things DO affect our daily lives, it's about too late to do anything.
So, will we see additional QE this year, perhaps late fall to early spring?!?  And if so, how will it coincide with the coming elections.  If it is pushed through too early, then the desired effect will be shown for what it is, a shot of heroine in the veins, if it's too late, then the cards will already be dealt and the GOP will have already reached an unchangeable amount of support... there has to be a "perfect" timing on this... 


That's why I love Dow Theory, there's no need to be "perfect."


See, I warned you about the " "'s.

Until next time...