Swiss Government
Stocks moved sideways, but everything else moved.
Bonds gained (lowered interest rate) as a successful bond auction occurred.
The Dollar gained over one cent.
Gold fell $20, and is close to $900/ounce, where there is a buy signal.
Oil and gasoline fell dramatically, as we are locking in lower energy prices.
In the news today…..
Stimulus – Is more coming?? It depends who you ask. But, there are some important Congressional and White House folks who are talking it up. I believe they are testing the water to see if it will fly. So, if it does, what happens? Well, if the last Stimulus package means anything – nothing will happen. How is that stimulus working for you? The White House “misread” the economic situation – which means they are amateurs. Who’s going to trust them. If stimulus doesn’t work, and there are a lot of economists who believe it doesn’t and won’t work, then more won’t work just as well. Congress is home to a bunch of ignorant folks who think they know something about economics – so they must be ignored at all costs. Just vote them out of office.
Swiss Government – is ready to step in and seize the data that UBS is willing to turn over to the IRS through a court order in Miami. The Swiss Government says that UBS employees would be breaking the Swiss law by handing over that data, and they are not about to let that happen. In other words, the Swiss banking secrecy laws will remain in tact, as far as the Swiss government is concerned. I agree with the Swiss government in this case, as they are a sovereign government and can write their own laws, and not be bullied by the US Government – that’s President Obama trying to pay for his overspending programs. Naturally, the Swiss will have to stand up to whatever consequences that the US Government is going to place on them. Maybe the US arm of UBS will eventually be sold off.
Here are the last numbers for today:
Dow Jones 30 Industrial – 8178 (up 15 points)
10 Year Treasury Bond – 3.29% (down 0.17%)
Euro – $1.3876
Gold – $909 (down $20)
Oil – $60.14 (down $2.79)
Gasoline $1.63 (down $0.10)
