There's no doubt today is a rough trading day in the markets, and it's probably safe to say that this pattern of volatility will stay with us for a while. Lower trading volumes and the inevitable uncertainty surrounding September and October typically make up the lethal receipe for an intense up-and-down pattern in the markets.
I've received a few calls--not many, though--from somewhat concerned investors about today's action and I'll write to you exactly what I'm telling them: Be prepared to buy more! That's right, I'm not saying today is the day to jump in, but this healthy modification in the markets is just what the bulls were hoping for. Our LandColt analysts have been examining a couple of key sectors to concentrate on, and the big three oil companies keep popping up on our radar. It seems now that Mother Nature is reminding us that this is hurricane season and she is brewing up a couple of cells that homeowners and vacationers are not just keeping an eye on--but also the drillers and refiners in and along the Gulf are, as well.
No question any disruption in supplies will push oil higher regardless of market conditions. Keep checking back from time-to-time as we have one eye on the markets and the other on the Weather Channel. :)
Todd M. Schoenberger, Managing Director
LandColt Trading, Inc.