WEEKEND NOTES

Travel weekend so short and to the point.

The bond market looks like it is in the midst of putting in a good low for now. A bottoming process has been going on for weeks.

Of course, the UTILITIES and REITS have been leading the bond move. Both have turned the corner with a few breaking out. We are now watching to see if HOUSING moves out.

Big money flows have been going into consumer staples as FOOD, DRUGS,BEVERAGES,TOBACCO, HOUSEHOLD products have been catching up…some coming straight up off the bottom.

MEDICAL names are also showing up on our screens.

Major indices again showed buying as soon as anyone tries to sell the market down. Friday was another case in point. SEMIS down nicely…almost finished up. NASDAQ down decently…finished up.

Everything remains stretched and extended to the upside while bullishness has picked up but so far, nothing doing on the downside. If anything changes…