Archived IMT (2008.11.24)

IT IS ONLY THE SECOND 2-DAY RALLY in stocks this quarter. After $306 bln of govt guarantees in Citigroup's assets, $20 bln from the TARP package, and at least $175 bln in stimulus funds from the Obama White House, S&P and Dow rally 6.4% and 4.8%, making the biggest 2-day rally since 1987 and second back to back gain this quarter (after late October). The intensity of the last 2 sessions could suggest the beginning of a year-end rally, which is consistent with a seasonal reversal in foreign exchange. Further supporting this notion is next month's rate cuts from the Fed, ECB and BoE. Asian trading promises prolonged gains in yen crosses with EURJPY, AUDJPY and NZDJPY targeting...