Stock Market Update -Oct 11th

The market was up this week, hitting a new high for the year as Alcoa reported better than expected earnings, and as we saw further weakness in the US Dollar (I suggested last week, we could see a contrarian rally as everyone was expecting further weakness!). Energy and Financials have been leading the way for the past month (see chart below). The big story this week was Gold soaring to new highs!



New Unemployment claims for this week were 521,000 (chart).
(still over the half million mark every week)
No bank shutdowns this week! (list).

Commodities: Oil prices were up, closing this week around $72 per barrel, Natural Gas was both up and down, closing around $4.70. The US Dollar dropped further this week, pushing Gold prices up to new highs around $1060! Bond prices tumbled.

The US Dollar has been making headline news this week. Here is a 'big picture' look at where we are right now (20 year chart):


Next week kicks off a new earnings season with the following companies among those reporting: Tue: INTC, JNJ Wed: JPM Thu: C, GS, GOOG, IBM Fri: BAC, GE. Don't forget that this week we also have Option expiration on Friday.

Market analysis: We moved higher this week as I suspected we would. I think we can easily see more upside this coming week as we get earnings reports from some of the big banks and technology companies. DOW 10,000 is an attractive target for the market, in spite of what the chart readers might think!

The Curse Of Dow 10,000
Why It's Time to Retire the 401(k)
CBO: Budget deficit hit record $1.4T in 2009
The Fed's $2.2 trillion fire hose
October surprise from bank earnings?
Small Banks Fail at Growing Rate, Straining F.D.I.C.
Banks cutting back on loans to businesses
Banks still stuck with the junk
The Coming Bank Bust

Why Junk Bond ETFs Are Calling To Investors
Away From Wall Street, Credit Keeps Contracting
So How Is the Stimulus Working Out?
Chart of the day, hours-worked edition
Recession Is Over; Depression Has Just Begun
Gold Has More Upside
Gold will hit $2,000 an ounce within decade, says Jim Rogers
The dollar's weak -- but it's not a crisis
Russia Soaring
Rio Rising
China buys the world
All I want for Christmas: A job