The Obama Speech

By the end of the day everybody will be focusing on Obama's speech tonight. It is hard to believe that there will any positive expectations of the speech. The only room for disappointment is in industrials, which have done well because of the proposed infrastructure projects. The market might be  a little hesitant today ahead of the speech, but it will be hard for Obama to disappoint the market as nobody expects anything good from him.

2 comments:

Anonymous said...

Tsachy, do you still believe we are headed higher post-Speech?

Tsachy Mishal said...

I believe expectations are rock bottom for Obama. I think we will rally as long as nothing bad comes out of Europe. The US Dollars rise is disturbing if it is a symptom of some sort of stress in the system that has emerged in recent days. I believe, as I wrote earlier, that it is likely a side effect from the devaluation of the Swiss Franc. We should find out soon. I think many focus on the US because it is closer to home but all that matters right now is Europe.