Stocks closed flat on Friday ending a week of mild losses of .74% after a strong 4% gain the previous week. The market topped in mid-January and corrected 8% before bouncing in mid-February and now trades just 3.7% off the rally's highs.
Apple seems to be emerging as the clear leader to the upside trading just 5% off all-time highs. I still think shares of AAPL can see $300 by year end. Google and Amazon look strangely weak but a strong move in AAPL may squeeze out some of the selling pressure. Conglomerates are leading the way so far this year up 3.4% as a group while technology lags down 3.9% with materials also providing no support down 4.7% so far YTD.
What a hockey game! I think Canada deserved it though, they looked like the stronger team for much of the game. Those couple power plays in the 2nd period where the US couldn't even get a shot on goal, much less get setup were terrible. The US made it fun though going to sudden death but ultimately Canada had it pop free and snuck one home for the win.
Excerpt from interview in Businessweek: Charlie Rose: "So what is the outcome the Administration wants?" Peter Orszag, Director of the Office of Management & Budget: "A bill that reduces the deficit over time, that expands coverage so that fewer Americans face the health and financial risks associated with no insurance, and that puts in place the key infrastructure that will help move to a higher-quality system over time." Seriously?! A bill that expands coverage, increases quality and cuts costs...I'm pretty sure that defies the laws of economics. Promoting this concept is highly disingenuous at best.
What tragedy in Chile, 8.8 earthquake. Man, earthquakes are devastating. 708 counted dead so far and 2 million displaced, no electricity, lack of water. Chile's president, Michelle Bachelet, is publicly asking for help from the international community after the "catastrophe".
Warren Buffett released Berkshire Hathaway's Annual Report yesterday, always worth the read!