NYSE Euronext (NYX)

[Not_Bill_Oneil]

Hey Metro, good comment...

on the total listed volume you noted versus what many newspapers publish - the regular session closing volume. Today the total was 7.4B as you wrote (a little more on the final tab), versus only 2.7B at the session close. So, do you think NYX is making out right now?

The markets really moved after the news came out today on the rescue meetings with the banks and brokers and NY state insurance regulators (and especially moved the ABK like you noted - up over 70%). There have been lots of other related rumors also floating around out there with other private names and pools including Buffett. And remember, the rating downgrade by Fitch last Friday on top of our weak markets are likely what really spooked the global markets over the long weekend. We'll just have to monitor how this shakes out.

And if anyone is looking at financials, depending on their exposure to all things related toxic or more appropriately any company's lack of exposure, then some analysts estimates can still be used, and some of them still have strong numbers for 2008. i.e. NLY (and their related new 52wk high yesterday).

Mortgage applications are up, refi's up, dramatically in the past couple of weeks. Out here in CA, we have a major foreclosure auction organized by REDC this weekend: http://www.ushomeauction.com/ Everybody will be watching and there's a lot more inventory offered out there than just these. Rates are coming down - let's see how far home prices are going to come down before buyers appear.

Last item, however, is back to the Fed. Since they blinked yesterday, now they are really going to feel pinched to act again next week. I mean, now that Bernanke has flinched and reacted again to our markets, he doesn't want to appear to be setting a pattern and looking too nervous now. Especially in the face of the 50 to 75 bps of additional cuts the Fed funds futures indicate for next week. Bernanke's taking on some heat and you can bet he's feeling it, so, here we are once again wondering what the Fed is going to do next week (because we think he could try "creative" again). The markets are likely going to stay volatile because of it.

Amazing, isn't it, how you can't get out of some things regardless of what you do (after falling behind). And that introspective may be what the Fed thinks they have to change now.

I did some buying today, but, staying nimble.

GL.