04/12/2002
As full members know Potter went out for lunch yesterday and never came back. At 10.00pm last night his "handbrake" called me at home saying: " Oi, he has just got back and won't shut up and let me watch Star Wars until he speaks to you." Anyway this morning I remarked to a red eyed Potter that he hadn't sounded too mangled. He informed me that it was fortunate that I didn't have a video phone!
Ok news.
The White House is apparently considering sharp cuts in taxes on dividend payments which, if it occurs should be good news for the stock market, though I would also suggest that this is hardly unexpected.
Yesterday auto sales for last month in the US fell 13%. This is probably good news for car makers as it seems to me they are now losing on each car they sell what with their 0% financing.
Position wise, yesterday we added a short S&P position and a short dollars against the swiss franc which has helped to balance the book out somewhat. The market is finely poised and figures out of the US this afternoon will hopefully help pust it one way or the other. If not then traders will focus on the ECB rate announcement tomorrow.
EU ministers are considering a law that would punish analysts, journalists and investors who either deal on or spread flase or misleading information. Could the last investment banker to leave the square mile please turn the lights off.
Harry