About That Rant

I know sometimes my articles/posts seem, well, like I don't know the definition of succinct. I love the market though and I hate what's being done to it, but you work with what you have and make the best of it.


Back to the point... Yesterday I talked at length about the fight between the Fed's levitation act they play out in the market and fundamental realities and how the two are seemingly starting to clash. I also mentioned EPS guidance will have to be lowered due to rising input costs.


Here's an article from the WSJ, if you can't get the full article then Google this headline for it: 

Appliance Makers Whirlpool and Electrolux Post Weak Results, Face Price Pressures

Here's the first paragraph:

"Two big global makers of home appliances, squeezed by rising costs for raw materials and sluggish demand in North America, reported weak results for the fourth quarter and modest expectations for the current year."

I'm a chart reader not a fundamentalist, but it's that painfully obvious and anyone who does grocery shopping, runs a small business or puts gas in their car can see it too. Why can't the Fed? I fear when they finally do, it'll be thrust upon them and if that happens, we may be talking about what a Black Swan looks like on a price chart. Remember, Bernanke is human too. We as traders know that when we've really committed to a position, sometimes it can be hard to say, "I'm wrong". Is Bernanke any different?