Just a few stray thoughts this morning.
What did you think about the presidential debate? I watched so I wouldn't miss anything as opposed to expecting to hear something great.
I think I have been consistent in expecting that Obama is going to end up winning (not a preference just an expectation) but one thing I just don't get and am surprised that we don't hear more about, but why do so many people think that a senator in his mid 40s serving first term (of which he has spent a lot of the time campaigning) is the best choice for the job?
My dad made a comment about Palin lacking experience and having her only be one heart beat away makes him uncomfortable. Fair enough but Obama is only a couple of years older and he would be the heartbeat.
Is Fox all done with the Business Block on Saturday morning? For several weeks now the shows have been preempted (maybe they were shown later in the weekend?) for special crisis coverage. At some point the special coverage becomes the regular show, doesn't it?
As I write this there is no deal yet on the bailout. There is a consensus that says if they announce a deal that the market will then rally. It certainly could but if everyone thinks it will go up I'm not sure how it can go up.
One reader noted that muni money markets are yielding more than taxable money markets and wonders if that is where money should be placed. I tend to be very conservative with this sort of thing. In my opinion this is exactly the wrong time to reach for yield (return of versus retrurn on). Aside from just thinking this is a bad time to that, how do municipalities use the credit market to function? They have short term financing needs just like companies and the US government. What happens to your muni money fund if there is a problem there?
It would be reasonable to assume that at some number (yield) you are seeing some concern about being able to access capital? Other than Valejo, CA and Jefferson County, AL there have not been any other municipalities to have trouble (but maybe there have been and I missed them?). At this point with the way the dominos have fallen would it be shocking to to hear the the muni market ends up getting touched? I'd rather have an individual issue that will very likely pay me back par when it is supposed to than have a money market right now. And for short term money I'll take the crappy yield for now.
Update Update; Looks like a tentative bailout was agreed upon. Here is the WSJ version. I still am uncertain why so many people can be correct about the market going up so much come Monday but it'll very probably be me who is wrong about this.
We have a house guest for the next couple of weeks. That is him in the picture, his name is Ben and he is a golden retriever.