Pre Market - September 11th 2007

We are waiting for Ben Bernanke to speak in Germany. This will take place at 11 am (eastern time). And as usual all ears will be listening to what he has to say.

Also today OPEC is meeting to discuss if changes are necessary in crude production levels. We should expect some volatility today in the energy sectors.

A thought on what happens on September 18 with the FOMC announcement. Lisa and I share the view that in light of the recent economic indicators that when (and if) the FOMC issues a cut to the Fed Funds rate we will see a spike in the broad markets. However, we feel it is likely that the spike will be an opportunity for those who are looking much further down the road an opportunity to sell out. They will take advantage of the spike to sell into the strength. It may last a day, a couple weeks, we just don't know. But we do see a rate cut as providing only a temporary boost to the market and then we will sell off again and begin our bear market. We believe the economic damage is just beginning to be known and the rate cut will only be another shot with the paddles but the end result will be "a code" (first responder talk for a death). Keep in mind that a rate cut will further weaken the US dollar which is already near historic lows now.