324. Market Rebound

Keep an eye on 12200 resistance. We may stop there yet again until Congress agrees on next "financial/job" issues: Extension of jobless benefits by increasing weeks already at 99 (against -- time to take ANY job), punish the wealthy who had greater than a $1M income by removing unemployment benefits (okay), punish the upper 1% of wealthy with 3.5% surtax (okay, we need the help, but let's make it personal income, not small businesses), increase medicare premiums for wealthy (okay, all seniors need their help), how about freezing of government payrolls (YES, need to get them in line with private salaries; cutting PENSIONS would be nice too!), reduce goverment jobs by 200,000 (okay, funnel off to private sector). Even more important is to kill the 27% cut to doctors for medicare services -- we do not need to spend Congress resources on a health issues to burden their economic decisions. Frank-Dodd repeal would be a blessing! With only about 20% implemented, we've already spent over $250M from OUR pockets for NO benefits. I just want to repeat again: BYE BARNEY FRANK, you loser! For some insight on latest economic battles in House, see this article.

With another Congressional vacation after mid-month, I wouldn't expect anything to happen until the end-of-the-year show. So, look for 12200 resistance once again. Maybe we'll shoot through it in December to next resistance of 12700. We need a strong finish to stave off the rating companies.