TURNAROUND MONDAY? NO

The markets tried to rally in the last hour but again the sellers overwhelmed the dippers and back down we went. Yes, the OIH took off from where I shorted it this morning but if you want volatility that is one place to find it.

The internals never came around as there were almost 2,200 more losers than winners (generally the best tell) and I love the CNBC commentary as they find the bright side of anything. It is interesting how they now declare victory when the markets are higher than they were earlier in the day.

We also have some news out of one of the more famous fed heads as revshark of realmoney.com fame notes:

"This time it's Dallas Fed President Richard Fisher who says inflation is too high for his comfort, and that there is a lot to learn form the data that will be released prior to the next Fed meeting.

Keep in mind that this is the same guy who almost exactly a year ago said we are "clearly in the eighth inning of a tightening cycle. We have the ninth inning coming up at the end of June." Unfortunately that was June 2005. Fisher also said last year, "(It) may go into extra innings." So I guess we are in about the 18th inning now.

I can't help but wonder why the Fed doesn't have some sort of policy restricting those comments. If the Fed members want to confuse people into thinking they are doing a good job, wouldn't it be helpful to speak with a single voice rather than constantly make conflicting and confusing statements? "


I do wonder if the markets would be selling off this hard if Greenspan were still the top fed head, not that it matters.