Failure to thrive refers to a condition of weight loss or lack of weight gain, particularly in children, as well as a cognitive decline and an apathetic lack of will to live in the elderly. In the elderly patient failure to thrive is often a late stage and terminal condition.
The stock markets remind me of this condition. The averages are not having the sharp rallies that they should when they get to a support area of the past. In the S&P this is the 1990 area. Perhaps the bottom pickers are getting tired of picking higher bottoms.
And the animal spirits are lacking. Recent economic numbers continue to disappoint, the GDP as a measure of U.S. Economic Growth came in slower that the last numbers today. Is the U.S. slowing?
There is no buying down here today. So far. There was some yesterday but the volume was disappointing. The banks continue to hope for higher long term rates, and the yield on the U.S. Treasury bond keeps declining. Despite the political blather it seems the world is ready to loan the U.S. Government money at ever declining rates. They must think we are good for the money. Dollar is strong.....But that is the financial world and sooner or later the stock averages will have to accurately reflect the real economy and will have to come to grips with the fact that demographics in this country and around the world do not favor the kind of "growth" that we came to expect as normal for the last 30 years. That may be a hard nut to swallow.
NOW: 1125 PST.
gold strong and oil strong..... Is the middle east blowing up??