So Much For All That Discomfort After Ms Yellin's Comments; After The Election, It Appears Mr Putin Has More Flexibility

Updates

Later, 12: 16 p.m.: hitting new highs today: BK, DAVE, HP, SRE, XLNX, and about 280 others. 

Original Post

Except on rare occasions, I do not watch CNBC. It would be interesting to hear how the talking heads are talking about this "bubble." From Yahoo!In-Play:

Opening Market Summary: S&P 500 Sets New Intraday Record High: The major averages jumped out of the gate with the Dow Jones Industrial Average (+0.6%) in the lead. The S&P 500, meanwhile, trades higher by 0.5% after climbing above its intraday record high of 1883.57 that was established on March 7.

The benchmark index saw all ten sectors take part in the opening rally with energy (+0.8%), financials (+0.6%), and health care (+0.6%) contributing to the opening surge. The top-weighted sector-technology (+0.3%)-began the day among the laggards. Chipmakers displayed relative strength yesterday, but the displayed relative weakness at the open with the PHLX Semiconductor Index trading flat.

On the fixed-income side, the 10-yr note is flat with its yield at 2.77%.

9:39AM Top performing sectors: Sectors pacing the way in early trade include: Gold Miners GDX, Coal KOL, Steel SLX, Utility UTIL, Gold GLD, Copper JJC, Oil Service OIH, Silver SLV, Crude Oil USO, Industrial XLI.

9:36AM New all time high for S&P +11.9 at 1883.97.

9:34AM Solid opening gains for stock indices -- S&P +8.8, Dow +83, Nasdaq Comp +21: The S&P has edged above its all time close high at 1878 with the March/all time intraday peak at 1883.

As I've said for the past week, investors must be looking favorably on Putin's moves in Eurasia. At least one world leader can make a decision. I wonder if the pundits got it wrong. It was always reported that Mr Obama said that after the election, he would have more flexibility. I wonder if the reporters got it wrong. One could argue that Mr Putin was thinking that if Mr Obama was re-elected, he (Putin) would have more flexibility. LOL.

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A Note to the Granddaughters

I wear my love for this country -- that would be the United States -- on my sleeve, as they say. I love this country. I love the opportunity it provides so many, many folks. This morning in Starbucks, I learn that one of the more-requested, and more successful, general (?) surgeons in the Dallas-Ft Worth area worked his way through medical school as a model for Calvin Klein underwear. Sorry, folks, he recently got married.

I never would have published that bit of gossip except for a bit of trivia from Sylvia Nasar's Grand Pursuit: The Story of Economic Genius. In chapter seven of that book, Ms Nasar discusses the situation of Europe after WWI -- the chapter: "Europe is dying: Keynes at Versailles."

European movers and shakers had moved to Paris to try saving Europe. The British delegation was housed on the third floor of the magnificent Hotel Majestic where Maynard Keynes, the rising Treasury star (think Tim Geithner) was staying. Sylvia writes:

The most extraordinary people floated in and out of the Majestic. Ho Chi Minh, the future leader of the Viet Cong, washed dishes in the kitchen. T. E. Lawrence, aka Lawrence of Arabia, was oftenin the lobby, as were Jean Cocteau, the playwright; and Marcel Proust, "white, unshaven, grubby, slip-faced, wearing a fur coat and white kid gloves." 

I can't think of a more boring subject, economics, but Sylvia does an incredible job with this subject. I don't particularly enjoy it to the extent I might enjoy other books. I find that I can't read more than one chapter at one sitting, and I often find myself skimming several pages until I find something of greater interest. It is definitely a book that can be returned to as a reference book; it is laid out quite nicely.

Sylvia's description of the Majestic at that time reminded me of The Great Gatsby (the recent movie). I watched it for the third time last night (Blu-Ray dvd, of course). I bet if one went through the movie frame-by-frame, one could take 1,000 stills, blow them up (in size), frame them, and devote an entire wing to the "art" in a fine art musum. The movie is more than just a story on film; it is truly a series of art works. It would be "fun" to be a curator of a museum and devote a wing to a movie like The Great Gatsby -- not only "stills" but also short clips on large flat screens. In many ways, The Great Gatsby seems to be a sequel to Moulin Rouge but for some reason I think The Great Gatsby is better art. If that makes sense. And it probable doesn't.

By the way, the next movie I will be watching will be the "second chapter" of The Hunger Games, Catching Fire. On Blu-Ray, a two-disc version is available everywhere, but it is my understanding that only Target has the three-disc version which means a whole lot more extras. Yes, I got the three-disc version from Target but paid cash. Target is practically giving away the first Hunger Games, maybe $9.99 -- I forget -- but the second chapter is fairly expensive right now. It, too, will collapse in price when the third episode comes out, but I couldn't wait. Maybe sometime this weekend.