Thursday, February 10, 2011

China Pressure

The market when it pullbacks 5% will likely be because of China.  Right now, there is an inflation scare and also fear of higher rates in the emerging markets.  The Chinese markets have lagged the US badly since the QE2 announcement.  I don't think the formation of this market is set up for that 5% pullback right now, but within a month, I see it happening.  Probably in March.

1 comment:

Anonymous said...

great call on this market never falls last month. Yet, it still sucks in shorts.