The world seems to hate Goldman Sachs right now. Rarely have I seen such vehemence, except perhaps the hate for Monsanto and its business practices which seem, to an astute observer, possible even more dangerous than what cretaed our banking crsisis.
In the case of Goldman, I suppose all that greed eventually catches up with you. With the threat of a government lawsuit that hit the firm by surprise, the stock stumbled taking Wall Street with it. But the seasonals suggest that this may soon present a great bargain hunting bottom.
Goldman Sachs Trend Projection
I spent two months in China recently and can only confirm what I always say. This century will belong to the Chinese. This is coming from someone who has lived there and visits once or twice a year for a month or so each time, talking to countless politicians, businessmen, monks, factory owners, professors, students, military men … you name it.
I’d throw in Brazil and India as two other coming powers because they also will be producers and exporters, and can grow their middle class of consumers which as yet do not have access to lots of consumer credit. Nevertheless, in my view China will be king.
China is becoming the world’s manufacturing capital before our eyes and will be that in the near future. We cannot stimulate jobs but they can. They can export. They can close in on themselves and develop internally without need of exports. They’re not shackled with expensive health care burdens, nor with union problems or expensive labor (yet) nor expensive foreign wars. Naturally they have other probems and one that I’d worry about is the potential for political problems around 2012…
China ETF Trend Projection
As to the rest of the US market …
S&P 500 Index Weekly Trend Projection
Dow Jones Industrial Average Trend Projection
NASDAQ Index Weekly Trend Projection
