9 replies to this topic

[nimblebear]

http://www.bloomberg...ticker=BDIY:IND

Swift, deep, and still diving.

[Rogerdodger]

Sentimentrader.com had some thoughts and statistics on that:
About That Collapse In The Baltic Dry Index…

[fib_1618]

We wouldn’t read a whole lot into this indicator’s recent decline.

Agreed. If anything, it just compliments the halt in the accelerated building we saw in Asia prior to the 2008 collapse, and the cost of goods sold has decreased as a direct result.

Fib

[NAV]

Bottoms fallen out of bdi

It tells you one thing - The greatest unproductive real estate investment in the history of mankind has come to an end in china. Long live the ghost town of Ordus !

If one is a committed bear, it's a good index to look at, considering all others are marching up

Edited by NAV, 28 January 2012 - 04:28 AM.

[TechMan]

It's not a trading tool, but the discord shouldn't be a laughing matter.

I haven't looked at the BDI chart for a long, long time, but a quick draw this morning makes me want to take note and keep track of this development.

[zoropb]

I agree with Nav about the China RE bubble halt of construction also with all else being up including price and with TM about the discord. One thing is a divergence BDI had with the SPX like 2005-06 but this is on a whole other level. It is so large that it cannot be all overcapacity and China. Some of it has to be lack of demand for goods to produce stuff everywhere else. I think it is warning sign down the road until this divergence is relieved somewhat. The bullish scenario, BDI comes up to meet SPX. The bearish, SPX comes down to meet BDI. The most probable BDI comes up to meeting a dropping SPX in the future some time after this rally terminates.

[Echo]

It's not a trading tool, but the discord shouldn't be a laughing matter.

I haven't looked at the BDI chart for a long, long time, but a quick draw this morning makes me want to take note and keep track of this development.

Interesting TM that the first recent divergence began on August 31, 2010 with QE2 and the latest began in fall 2011 with "Twist and Shout".

[selecto]

"Central banks continue to pump a massive amount of liquidity into the system. And, this week, they again left little doubt about their commitment to this course of action notwithstanding it's failure to deliver the desired economic outcomes." El-Erian

[TechMan]

It's not a trading tool, but the discord shouldn't be a laughing matter.

I haven't looked at the BDI chart for a long, long time, but a quick draw this morning makes me want to take note and keep track of this development.

Interesting TM that the first recent divergence began on August 31, 2010 with QE2 and the latest began in fall 2011 with "Twist and Shout".

Well, what's more interesting, or rather, intriguing is that the Operation Twist has "twisted" almost everything else except the yield curve that it's intended to "twist" in the first place.

I'm trying hard not to go there, but somebody's not telling the truth.

T-bills yield curve on the day of the announcement of the Operation Twist (9/21/11) and yesterday.

"This program should put downward pressure on longer-term interest rates and help make broader financial conditions more accommodative," per the Fed statement.

Edited by TechMan, 28 January 2012 - 11:18 PM.

[securelstmile]

Well what do we make of the fact that the railroads are making all time highs while the BDI is scraping the bottom? We are getting more of our energy from within our continent for one. Beyond that, not sure what it means. I just look at charts which tell me after about a 4% pullback we will go on to new highs.

Short the banks...so says our fearless leader Kre.

http://stockcharts.c...amp;a=246644983