REVERSAL OF FORTUNE

I was Shocked ! Shocked ! when I saw the stock market futures last night and more so when it opened today. After all the turmoil - domestically and globally of the weekend, and a dismal August for stocks, the next 4-5 weeks are consistently the worst of the year historically. So we're not out of the woods yet, at least for a minor correction - a Recession is probably still 18-24 months away. But when it hits, it will be a doozy as US and global Debt rises exponentially out of control.

Volume was down, due to the 4-day week, breadth was slightly negative ( Advances, New Highs, etc.); most all else was frozen from last week. See below:

	SPX	2461	2476
WklyVolume (Bshs).	naz/ny….	7.5/3.3*	8.2/3.6
Specul.Ratio hi=bullish		2.27	2.28
Sentiment:	put/call-CBOE	63	57
VIX>50-alltmlow=8.8		12.1	10.1
DeltaMSI-50%	MAC crossover	54	51
Advance/Dec-NYSE..		1227/1839	2210/867
Weekly Net:		-612	1343
Cumulative:		179534	180146nh
Weekly	NYSE hi/low…	280/88	285/115
New Hi's/Low's	Nasdaq h/l	300/132	302/133
McClellan	Oscillator	13	46
McClellanSum	.+750/-1000	347	267
Newsletter	Inv.Intel -Bull	49.5	49.5
Surveys-Tues	Bear:-5yrs	19.1	19.1
Wed.	AAII  -Bull	29.3	25
	Bear	35.7	39.9
US$-WSJ		91.3	92.8
3-box rev	Bullish%-	66	66
US equity -ICI	Fund Flows	weeklate	3.7B
MMF flows	Change in $B	11.1B	(20B)
MargDebt- top (300M)	monthly		JULY:
10-yr Tsy yield	hi= stock buying	2.05	2.17
2-yr Tsy Yield: Inflation		1.27	1.35
TIP (ETF)	Inflation	115.2	114.2