What the heck is going on?  Blink and you miss a 100 point move down.  Blink again and the market moves another 300 points (most likely lower).  With sheer and total panic out there, investors pushed the global markets significantly lower this week and didn’t really need much of a reason.  Sure earnings season kicked off, but everyone already knew they would be weak. Sure the credit crisis has elevated, but the Central Bankers are making coordinated efforts to stem the pessimism (to no avail).  Sure redemptions are causing some forced sales, but aren’t any  bottom fishers ready to emerge based on market fundamentals?  A herd mentality can be a powerful thing and the Dow and other indexes (including global ones) suffered through what may be considered the worst week in market history.  Many investors have sold on sheer panic; others have reallocated to restructure portfolios more in line with goals and tolerance for risk.  Still others (especially those who will not need the funds for years) nervously watch, sit on their hand, and try not to cave to the capitulation.   The last hour of Friday’s trading was a roller coaster in the truest sense.  Hopefully, calmer heads will prevail over the weekend and some semblance of normalcy (or, at least, less chaos) will prevail. 

Attached/linked please find And That’s The Week That Was, the Brounes & Associates market/economic commentary for the week ended October 10, 2008.

Coming up this Week:  PPI (Wednesday), Retail Sales (Wednesday), Fed Beige Book (Wednesday), CPI (Thursday), Industrial Production (Thursday), Housing Starts (Friday) Fed Policy Meeting Minutes (Tuesday), Trade Balance (Friday)

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