OIL up up and away...$4/gl

Last post was on May 9th and i stated that
DOW is not going anywhere past 12500.

Before the memorial day weekend, DOW closed at 12487.

OIL $4 and grains/gold are still high.
Dick Bove states there is lot of capital but it is sitting on
the sidelines. Also he predicts the inflation calculated by
Reagan methods is 11% and not the 4% the govt claims.
He states that the capital is sitting on the sidelines with the soverign
funds and the money supply in the first quarter (M3) is explosive growing
at 16%.

9 may dow 12700
15 may dow 12992
19 may dow 13028
21 may dow 12601
23 may dow 12479.

from 19 thru 23 a fall of 4.3% 12479/13028

"Looks like a good runup and time market took a breather."
Is what i wrote last on April 25 Looks - Apri; 25 12891 DOW

May 09 - AIG screws up - Wants to raise 12 billion expected loss 0.76/sh cents
posts $3.09/sh loss. Down 8% in pre-market. OIL up $125.

I think the market is not going to go up beyond 12500 for sometime till OIL
subsides and the the credit crunch settles down.