Tuesday, May 4, 2010

Dow Down 250 Points; Fear Index Soars

The IMF/EU bluff  appears to have failed.  The concerns in Europe over exploding sovereign debt have reached the shores of America. At 12:45 ET, the Dow Jones Industrial Average is down approximately 250 points.

The Fear Index, the Chicago Board Options Exchange volatility index, or VIX, continues to climb in the shadow of European debt problems  The VIX is up 23.7% in recent activity.


  1. I am a bit puzzled being an amateur, but shouldn't gold and silver be going up today ?
    They are getting hammered right now.

  2. If you read through EPJ, you can see that I have consistently warned that gold and the stock market would be heading down. There is no money in the system to hold either up.

    It is a fallacy that gold goes up during a down turn.

  3. It is a fallacy that gold goes up during a down turn.


    Oh really. I look forward to calling you out on this comment when the time comes....see you in July. And like the elephant I never forget.