When I look at the housing and jobs market in Florida in particular, however, the picture still isn't that bright. Housing prices are still falling in many neighborhoods and many of the companies geared at public services in particular are still laying off workers. As federal funding dries up, the cities are finding it difficult to meet their budgets and are taking drastic means to do so, namely by putting off public works projects and downsizing. There was a quote I read this past week about one director cutting toilet paper supplies, saying you wouldn't believe how much they spend on toilet paper. I am rather relieved that I don't work in that department! I can see it now: "From now on, all employees are required to provide their own toilet paper." Yikes!
Now, staying on the topic of government intervention, but away from the topic of toiletries, let's move onto China and it's latest news. China's been trying to get a handle on its rising inflation in an attempt to prevent the type of economic crash that's been affecting so many of the global economies over the past several years. Along those lines, the People's Bank of China increased its reserve requirement ratio even further. It will take a little time to see if this measure alone is enough.
Unless otherwise stated, the index action described in this article relates to the E-mini futures contracts for the respective indices. Actual index action may differ slightly in terms of pattern formation, although the market bias will remain the same.
Toni Hansen is president and co-founder of the Bastiat Group Inc., DBA Trading From Main Street. Toni is one of the most respected technical analysts and traders in the industry. She has been trading and educating new traders, money managers, professional market analysts and traders throughout the boom and bust of the last decade. She has worked in conjunction with some of the world's top financial exchanges. Learn more about Toni Hansen and the educational services she provides through her website at http://www.tonihansen.com.