Gold shortchanged.

Gold is currently a very useful commodity as a safe haven against economic uncertainty.According to World Bank report,Vietnam was the world’s biggest importer of gold.
With the tumbling greenback against almost every currency under the sun, Vietnam is one of the few places where the dollar still command a good premium.
Inflationary concerns, rampant credit growth, and balance of payment problems have all fostered local distrust of the Vietnamese dong.
The widespread use of gold in Vietnam as an alternative currency, higher gold prices are essentially flagging not only a weaker currency but tighter monetary conditions and an economic slowdown.Vietnam's supercharge economy bubble burst due to its citizen's desire to store gold which causes the main symptoms.
Ha Trung street in Hanoi, one of the most popular locations for the gold shops that double as black-market dong-dollar exchange houses.
Saigon Jewelry Holding Company (SJC), Vietnam's largest gold merchant, announced on its website that the yellow metal's prices amounted to VND37.63 million per tael in Ho Chi Minh City and VND37.65 million in Hanoi. A tael is slightly more than 1.2 troy ounces.
Domestically, gold fetched VND150,000 a tael lower than global price.
Lately the god market here in Vietnam has a jolt.half-fake gold was detected.Gold mixed with volfram has appeared in Vietnam and a tael (1.2 ounce) of such gold will cause a loss of up to VND10 million (US$483) to buyers, warned Nguyen Minh Chau, general director of the Bao Tin Minh Chau Co.
Such gold has appeared in Vietnam for the first time, he confirmed.
The impure gold contains volfram and some other heavy metals that are mixed into pure gold according to a special method during the gold melting process.
The difference is so subtle that experienced gold traders and gold analysis machines currently used in Vietnam fail to detect it, he said.
When melting a tael of such gold, local experts found that only 60-80 percent of it was gold and the remainder was foreign matters looking like fine sand.
Volfram, a hard and heavy metal that can more easily melt than gold, sells now for around VND1 million per tael. And a tael of gold containing 10-30 percent Vonfram will deprive buyers of up to VND 10 million ($450), he warned.

Tracking the Dow on Friday,27/05/11.
Asian market Index Futures expiry:2 more market days.
Market focus news: 1)Personal Income & Outlays 2)Consumer Sentiment 3)Pending Home Sales Index.
24 market days to Fed's ending of Quantitative Easing.
9:30am:--Nearly 25 points bullish opening gap up completing the 3rd move with a bullish hammer.
10:30am:--Bears have cornered the market.Opening gap being completely filled.A bottom spinning star depicting a good sign of rebound.
11:30am:--Aggressive bulls brought the indicies to morning session new high.Again the 3rd move has a bearish engulfing.
12:30noon:--Index is now hoovering at the bull pivot support line.A hangman and shooting star at this moment is a sign of caution.
1:30pm:--Sellers emerged and brought the index to the Moving Average pivot support.A mild technicl rebound follow suit.
2:30pm:--Hangman and bearish hammer slightly above the MAV support pivot is no good sign.It can collapse again any time soon.
3:30pm:--After hitting a second bottom of the day,bulls attempted to bring it back to life to the MAV resistance line only to see a bearish doji hindering its last few minutes hattricks.
4:00pm:--The bulls were held back slightly below the MAV resistance line.There will be fresh attempt to follow through.

The bookmakers have smartly brought the Dow to a correction that wiped off April months gain.
In the event this pair of candlestick (April & May) remains in such formation,a bearish harami will not augurs well in the following month.
The previous month May lower shadow will be in the limelight.Meantime caution is the name of the game in view of the mid-year financial closing report and expect more of threatening news by those ratings companies.It's their season of manipulating the market to capitalised on the weakness.If May candlestick can close slightly above April month candlestick body,the market will be fine and more promising.

Citigroup reverse stock split.

The near collapse Citigroup has on Monday executed a reverse split to lift its stock out of the single digits. Friday's closing was $4.43 per share.Under Citi's plan, 10 shares of stock were exchanged for one new share, raising the price by 10 times
And the reverse stock split gave investors one new share to replace 10 - will raise the trading price from $4.43 to a more respectable $44 a share but not increase the stock's actual value, of course.Instituitional fund managers are restricted to hold stocks below the $5.00 mark so with this new found cosmetic adjustment,Citigroup is now heading towards a new dimension and will definitely compete with its other peers on the Dow Industrials.
As a result of the 1-for-10 reverse split, planned on May 6, the number of total Citigroup shares will fall to 2.9 billion from 29 billion. There will be no change in the par value per share.
No fractional shares were issued in connection with the reverse stock split. Instead, Citi’s transfer agent will aggregate all fractional shares that otherwise would have been issued as a result of the reverse stock split and those shares will be sold into the market. Shareholders who would otherwise hold a fractional share of Citigroup common stock will receive a cash payment from the net proceeds of that sale in lieu of such fractional share.
As a result of the reverse stock split, adjustments are required to be made to certain of Citi’s outstanding securities including its warrants, convertible preferred stock, T-DECS and the rights issued pursuant to the terms of Citi’s Tax Benefits Preservation Plan (the “Plan”).
“Executing the reverse stock split and our intention to reinstate a quarterly common stock dividend are important steps as we anticipate returning capital to shareholders starting next year,” said Vikram Pandit, Chief Executive Officer of Citigroup. “Taken together, we believe these actions will reduce volatility while broadening the base of potential investors. Now that we have established consistent profitability, we are working towards our next goal of responsible growth.”
Warrants Due October 28, 2018
Warrant Share Number Prior to Adjustment :One share of Common Stock
Warrant Share Number After Adjustment :1/10th of one share of common stock
Exercise Price Prior to Adjustment:$17.85
Exercise Price After Adjustment :$178.50 (17.85 X 1/0.10)

Tracking the Dow,Monday 9/05/11.
Economic calender:No economic news today.
Dow Futures expiry:9 market days to go.
9:30am:--A mild 20.0 points gap up followed by bearish hammer.
10:30am:--Pullback filling the opening gap to find a session low.
11:30am:--A rebound to session bull pivot.
12:30noon:--Sudden spike up to find a new session high.Shooting star checkmate.
1:30pm:--A pullback to bull pivot support.
2:30pm:--Still hoovering around the bull pivot support for the second time.
3:30pm:--Bull pivot supporthas been breached.
4:00pm:--Gap down with a powerful bearish hammer.Follow through might be very bearish.
The overall first week Dow's candlestick is a very bearish hammer(blue candlestick).
Oil prices, which have fallen heavily during the week on fears of falling demand and were trading as low as $105.15.
A strong nonfarm-payrolls number helped lift shares of American Express Co. and some other consumer-financial firms Friday, though gains in many in the sector finished off session highs.
As at today the Dow index is still in the bear county which doesn't looks safe at the moment.The negative sentiment strength is still haunting the overall market due to the Greek economy in doldrum fears being slotted in for this month theme play.
The market is pricing in the effect of next month Quantitative Easing expiry when easy money comes to a halt.

Vietnam Dong advance.

The Socialist Republic of Vietnam is the easternmost country on the Indochina Peninsula in Southeast Asia.


With a population of over 89 million, Vietnam is the 13th most populous country in the world.
Lately the country's currency,the Vietnam Dong advanced to a two- month high on speculation the supply of dollars has increased after the government capped deposit rates for accounts denominated in the US currency. government bonds gained.
The country now has an "abundant" supply of dollars as individuals and companies have been selling about $10 million to $15 million a day to banks, the government said in a statement on its website yesterday.
The State Bank of Vietnam imposed a 3 percent ceiling on the dollar-deposit rates banks could offer to individuals, which took effect April 13. Dong accounts offer interest as high as 14 percent.


The dong gained 0.5 percent, to 20,540 per dollar as of 4:01 p.m. in Hanoi, according to prices from banks compiled by Bloomberg. That was the strongest level since February 10.
The country's exports earned $7.3 billion in April, down by $150 million from the previous month, according to the Ministry of Industry and Trade (MoIT). The ministry said price increases helped raise the export turnover by over $2 billion. The nation's import value reached $8.7 billion in April, down slightly from March's figure, bringing the total import turnover in the first four months of the year to $31.83 billion, a year-on-year increase of 29.1 percent.
As a result, the country's trade deficit for the January-April period was estimated at nearly $4.9 billion, up 6 percent in comparison with the same period last year.
Meanwhile Moody's Investors Service Inc. said its negative outlook on Vietnam reflects balance of payments uncertainty, with any change contingent on recent tightening measures arresting inflationary pressures and containing the volatile exchange rate.
The ratings agency also warned, however, that the rating could face further downward pressure if there was continuing erosion of the Southeast Asian nation's foreign-exchange reserves estimated at $12.2 billion at the end of 2010, compared with a peak of $25.8 billion in February 2008.

Tracking the Dow,Friday 29/04/11.
Economic Report:Personal Income,Employment cost Index,Chicago PMI,Consumer sentiment,Farm Price & Bernanke speaks.
Asian Index Futures expires .

9:30am:--Bullish 30.0 points gap up.Economic data has been very positive .
10:30am:--Holding at near session high.No sign of opening gap being filled.Caterpillar were up 2.8 percent after it reported a record first-quarter profit on strong demand.
11:30am:--Another session high confirming bulls in control.
12:30pm:--Bulls charging to another double top.Shooting star warning.
1:30pm:--Dark clouds hanging near morning's high.
2:30pm:--A pullback to the bull's support line.Hammer pattern noticed.Any technical rebound here is a trap.
3:30pm:--Inverted bulls prevented profit-takers from pulling it to the MAV support line.
4:00pm:--A bearish graveyard doji closing.
Better-than-expected earnings helped lift the Dow Jones Industrial Average to its highest closing level in early three years.
[Federal Reserve Chairman] Ben Bernanke, vows to keep interest rates low forever, or at least for awhile and this will further booost the Dow index. Although the Fed said there would be no new quantitative-easing program,the low interest regime will be the powertool to spearhead the US economy back into a strong footing.