Here's this week's Ponzo updates for SPY, VIX and XLU and the dreadful crash scenario is still evident via the SPY and VIX charts. Barron's this week opined not to get suckered in by the current rally due to both domestic weakness and geopolitical risks.
Mauldin had an interesting post on questionable accounting practices now in vogue....just another example of the rampant manipulation of market data. Given the current level of market anxiety XLU looks like the best risk/reward profile although it too has an implosion scenario.
Nobody believes the FED will raise rates on the 16th (FED fund rate =0), and with good reason.
Bad news out of China today and a new low in the Japanese yield curve (currently negative) created a global selling blitz that may carry over for a few days.
