Archive - Oct 9, 2009 - Story

"So far, it would appear that the “buying” has come more from program trading, short-covering and institutional portfolio managers putting cash to work. This is the big risk for the bears — what if Ma and Pa Kettle capitulate?"

"The amateur investor is going to get hit badly again because they're pouring money into these funds. Some of these funds managers I do not think are experienced enough to handle some of the distressed stuff they're buying and they're going to get burned." - Carl Icahn

• Unemployment will supress U.S. consumer spending, survey shows (Bloomberg)
• California bond sale pushes munis down, lifts yields most since June (Bloomberg)
• Fed begins testing reverse repo trades (FT), also Fed said to consider clearing banks, facility to drain reserves (Bloomberg)
• Thomson CDS settlement snarls Europe restructurings (Bloomberg)
• The most hated rally in Wall Street history (Ritholtz)

• Asian stock markets rose Friday on US gains, with resource and energy stocks leading.
• Bernanke says Fed ready to tighten monetary policy when economy improves.
• Dollar rises for first time in 5 days after Bernanke says Fed ready to 'tighten' policy.
• Initial Jobless claims in US decrease 33,000 to 10-month low of 521,000.
• Japan Machine Orders increased 0.5% in August, rebounding from record low.
• Treasuries decline, set for weekly drop, after Bernanke signals tightening.