Today continues the trend of the decoupling of correlation between the main equity indicies and the bond market – both are down today, heavily. Along with Gold and other commodities, my guess at the moment is that this is going to be the start of some significant downturn.
I have continued to sell shares and am anxiously awaiting a proper time to pounce. These sorts of mini-developments take time to work their way through the technical trading side of the marketplace, so it is far too early. I still had the belief that there would be an intermediate rally up to the S&P 1700-ish level but obviously this is mistaken. That said, I am decently positioned and 2/3rds of the portfolio are in things that are trading under tangible book value, so I am quite defensively positioned.