It's September 9th, and the Yankees are 40 games above .500. They're 9 games ahead of the second-place Red Sox in what is known as the toughest division in sports--the American League East. To compare, the next most competitive division in sports is probably the NFL's AFC North, which has the Baltimore Ravens and Pittsburgh Steelers. But, that topic is for another time.
For now, though, the Yankees are a lock for the pennant. But, take a look at the China Shanghai Composite Index, which rose for a 7th day in a row. This Index is now up 12% since it hit it's intraday low on September 1st. September 1st!! That was just last Tuesday, and the index is already up in double-digit territory. I would have to say the Shanghai Composite is hotter now. (Sorry, Hank.)
What's makes it even more impressive is the performance hasn't mirrored the other Asian equity markets. For example, the Nikkei dropped 0.8% yesterday and the Hang Seng declined 1%. Word on the street is the Chinese banks are lending more, contrary to opinion last month that stated the Chinese banks would begin tightening their belts. But, it seems the cheap money is flowing just fine.
Here in the U.S., the S&P 500 rose 0.9% yesterday. In addition, crude oil spiked higher by $3 to $71.35 a barrel.
The big financial news item to be released today is the Fed's Beige Book at 2:00 NYT. Check-in later for an analysis.
Talk to you,
Todd M. Schoenberger, Managing Director
LandColt Trading, Inc.