The Market is still waiting for the Congress's approvement on $700 billion bailout plan. Today's information shows that the Bush's administration's $700 billion rescue plane was hammered out by the Congress.
The US Senate Passes Energy Tax Credit today at September 23, 2008 6:00 PM. Solar Stocks Jump in After-H.
Based on today's information, The fundamental analysis is below:
In recent two days. Investors are worried about the $700 billion bailout will decrease the USD. Lots of
funds flow to the oil and gld stocks as hedge against inflation which in the end push the oil stock and gold stock high.
The USA economy doesn't support the high oil price, but the $700 billion will bring oil price up. The only left is reduce the need of crude oil and increase the production of oil. These two ways will balance the reduce USD effects on crude oil.
So what going to happen. Gold probably go up, the crude oil is under adjust, the direction is not clear. the solar stocks should goes up since it is used to adjust crude oil price.
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