Good morning,

I always wake at about 3am just to check the US markets. It’s an odd habit but I was once told that most people die at 3am so figured that if I was awake then ,how could I possibly die..makes perfect sense to me..anyway the US markets were following their Zombie Cousins down the plug hole, down 190, then the computers turned on a dime and up she went closing only 6 points down..now to me the real scary thing about last night’s trading was how complacent the Euro Bureaucrats are now. They really believe that Greece can exit the Great Experiment and they can minimise the damage..there is a huge game of chicken going on right now..and I have only one question..”Do you feel lucky punk..well do you?” Cos I can tell you one thing you are going to get your head blown off if you make the wrong choice.

 

Most Equity markets were weaker across the board with ‘Zombieland’ bearing the brunt..hints and allegations were flying across trading screen with every utterance by some official scrutinised..the new summit is taking place at the moment ..let’s hope they have some answers or as our Russ said in Gladiator “At my signal unleash hell”

 

Anyway yesterday our market gave up all its previous days gains so expect a slight positive day to start but the sad truth is we are just a small ship to be tossed on the Euro sea..one big question for our market is what happens when the big miners pullback on their infrastructure investment..is is cheaper to just buy other companies who have already sunk their bucks in these investments..I suspect so in which case we may see some corporate action..in the meantime I remain sceptical of rallies and would urge you to reduce risk if the markets rally..also be careful you don’t try to buy too early..the elections in Greece on June 17th will be crucial..in the end they can have summit after summit but the people will decide and that’s what democracy is all about.

 

Interestingly the Greek two Euro Coin depicts the raping of Europa! Coincidence..I think not!

 

Things to make me go mmmm…

 

1.Man City lost a massive 197m pounds..not bad for the winning team..

2.Faceplant rallied…back to 32..not bad..now they are getting sued by just about everyone..gonna make Gina Rinehart’s legal bills pale into insignificance and she knows how to rack them up. Looks to NYSE to change from NASDAQ.

3.Gina is now the World’s richest woman..why don’t you ever see her smile..I would.

4.HP is slash 27,000 jobs Worldwide..more networking events no doubt to go to.

5.Myers downgrades again and stock gets pummelled…maybe analysts should take a walk around their stores once in a while to see what’s really happening..I just count the number of carrier bags people walk around Pitt Street with and it’s not many..Can’t remember seeing a DJs  bag for some time!

6. Australian Internet Vacancies Down 7.0% In May Vs April ..vacancies advertised on the internet fell by a seasonally-adjusted 7.0% in May from April to 207,200, a government report showed. The figure is down 15% from the same month a year ago.

7. The Bloomberg World Mining Index (BWMING) has lost 24 percent from its 2012 high in February. Metal prices in London have plunged 13 percent from this year’s high on Feb. 9.

8.NBN struggling to connect…Anonymous Prostitute recognises Craig Thomson..are we surprised by these two events.

9.Twiggy Forrest has called the woes in ‘Zombieland’ a media beat up..you were doing so well until you said that..he is clearly wrong!

10.Hollande says they have agreed that Greece would stay in the Euro..isn’t that up to them?

 

Market Strategy.

 

I remain slightly pessimistic and this Twilight Zone will be filled by bluff and counter bluff..don’t be that Seagull..there is always plenty of time to increase risk and now is not it!Volatility is good for traders but makes it hard for the average man on the Clapham Omnibus..I am that man!

Thought for the day

Gina Rinehart earns $36,000 a minute..she could eliminate World Hunger for a year!

Clarence

XXX

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