All things euro...

I could feel it in my bones today - that the US market would rebound. Fundamentally, it is crazy for the Dow to have plunged 3%. Now, the U.S. stock-index futures are rebounding and European shares have pared declines. The reason - a surge in German export orders allayed concerns that the global recovery is faltering. The euro erased losses against the dollar and the yen. Futures on the Standard & Poor’s 500 Index rose 0.3 percent to 1068.70 at 12:33 p.m. in London, recovering from a drop of as much as 1.3 percent, and the Stoxx Europe 600 Index was down 0.2 percent, after sliding as much as 1.7 percent.

Ok the Dow rose 123 points -- big relief for investors. The volatility was nerve wracking tho. Dow swung like a drunk pendulum - gains then losses, then gains and losses . The boss of the Fed, Ben S. Bernanke, had good news : the economic recovery is intact and a private report showed confidence among U.S. small businesses rose to the highest level since September 2008. So hello bulls: the recovery cycle continues? Market is cheap and undervalued?

Dow down 41 points, not too big a fall. Bernanke said US. growth is “not as fast as we would like.” Interpretation: There is growth but a little slower than expected. The best news is, the Fed’s regional business survey said the economy expanded in all 12 Federal Reserve districts for the first time in more than two years, with a “modest” pace in many regions.

Asian markets are looking stable and tending to rise. I agree with this fellow who was quoted by Bloomberg just now: “Macro data has been good and the signs of a modest recovery are on track,” said Nader Naeimi, a Sydney-based strategist at AMP Capital Investors, which holds $90 billion. “The market is not showing that much momentum on the upside, but at the same time, the selling pressure is waning. Market sentiment is still like a fragile glass.”

i believe the local mkt has already hit a bottom, and with the World Cup around the corner, with STI forming a cup and handle base, very likely support at 2,700. Oleh! We will see a retest of the year\'s high by Oct & a new high in 2011.

Hey Sean, what stocks you reckon are good to buy now for the rally that you say is coming? If you are \'zhun\' in yr forecasts, wah, u may be this forum\'s Edward Hugh. U know who he is? He is a blogger that the gods are now wanting to know more of...... London, England (CNN) -- A blogger who left Britain 20 years ago for rural bliss in Spain has become an unlikely economic sage whose advice has been sought by the International Monetary Fund. Edward Hugh counts Nobel Prize winner and American economist Paul Krugman among his avid followers. In fact, Krugman told CNN, \"I wish he posted more.\" Hugh attended the London School of Economics in the late 1960s but says he \"wasn\'t learning a lot\" and his interest in the subject waned until Japan\'s economic woes captured his attention, decades later.