Market Commentary as of June 6th, 2008

This week the Markets tried to rally several times.  Unfortunately for the Bulls, none of these attempts worked.  And Friday's move down was the worst for the market in a year-and-a-half.

So the headlines are "another week of a weak dollar, rising oil prices and falling markets."  One of the key take-aways, from my perspective, is that the Markets are not responding as resiliently to bad economic data as they had a few weeks ago.

You don't have to look much farther than this chart from FinViz.com.


Also, something I'm hearing more of are questions about whether you can trust the government's economic numbers?  Some people are saying that key measures have been distorted lately.

Some things that caught my eye this week:

• The weekly newsletter from StockCharts.com had some interesting insights.
• The International Monetary Fund published research on Herding Behavior in Markets.
• Self-Motivation & Other Hyper-Intentional Mistakes from the Financial Philosopher.
• Why the sky-rocketing VIX may not be so bearish, from VIX and More.