July economic outlook

There are signs - my friends! NOt all are positive, but there are enough positive that continues to quench the thirst of those hopeful for an end to the recession without worrying about inflation - are having the stock markets rise again!

I know, easier said than done, and though I do feel we are moving in the right direction with some of these issues, I'm not convinced we can do this all with the huge debt load we will be carrying for the next 7-10 years.

Existing home sales have risen for the third straight month. Home sellers are starting to get multiple offers which is a good sign. After some time with jobless claims in a decline, there was an uptick in new jobless claims of about 30,000 (though not too bad overall).

The Dow closed above 9000 today, the S&P above 960 (which means that 1000 is only a whisper away!). The NASDAQ had its 12 consecutive up day which would lead you to believe that tech stocks are doing great! As always, you can never be exactly certain what any of this means. Though Apple is now about $157 a share (I remember buying it in the $80s and watching a quick move of about $10 a share and I got out, watched it fall and did it again - I missed the up on this one - maybe it wil split 2 for 1!), Microsoft did not meet expectations. More earning reports are on the way, which will confirm an overall direction for the market or cause some confusion if a number of companies come in lower than expected.

A lot of investment advisors are talking about buying banks - though I think you must be very selective to do this. I am still a believer long-term in the BRIC countries (Brazil, Russia, India, and China), and would buy anything related to energy, infrastructure, utilities and technology.