El-Arian, CEO of Bond giant PIMCO, was on CNBC this morning. He basically agrees with what I was saying in my post last night. Dubai really isn't that big of a deal. I don't think he is putting enough weight on Dubai but in general I agree that Dubai is not enough to start the crises all over again. I do think it foreshadows what is to come.
CNBC El-Arian interview.
Now it looks like the U.S. markets is almost completely blowing off the news. The short day with lower volume is working in the markets direction. Of course if the government is trying to stabilize the markets, it would take alot less money to do it today than normal. The fact that Europe stabilized today really helped the U.S. markets also. Considering the markets sold off so hard overseas the last couple of days, Asia will probably be up Monday night and one could see green worldwide leading into a U.S. Monday open.
Citigroup is only down 2%. Ridiculous.