Inflation causes global recession

Slower growth is spreading around the world with inflation being main threat to causing global recession, U.S. Conference Board said here on Thursday.
Vice President and Chief Economist of U.S. Conference Board Bart van Ark told a press briefing that with U.S. consumer confidence hitting the lowest level since 1992, and employment trends index showing no relief in short term, U.S. economy is in a solid slow growth mode, with little perspective to move much in rest of 2008.
Meanwhile, Europe and emerging economies in Asia are also showing significant slowdown in economy growth, he said.
Van Ark pointed out that the main downward risk comes from global inflation. While U.S. and European inflation trends may come down as demand eases, the global trend, in particular for emerging economies remains worrying, he said.
"Even after speculative bubbles burst, inflation rate may not come down to level before the increase," van Ark said. "Demand- supply mismatches will not be easily relaxed, and protectionist backlashes may distort global growth."
Established in 1916, the U.S. Conference Board is the world's preeminent business membership and research organization, best known for its monthly U.S. Consumer Confidence Index and the Leading Economic Indicators.

Tracking the Dow on Thursday,12/06/08.




9:30am--Bullish Gap up 70.00 points.
Premarket optimism has resulted from a dip in oil prices.Philadelphia Fed President Plosser stated in an interview on CNBC that the Fed has to be careful its accomodative policy does not create inflation pressures.
10:30am--Graveyard Doji + Hangman.
Open a sell-short position.Aim to close at anything below MAV.ie:(12270+12090)/2=12180. Set to close position at (12180+12090)=12135 region.
11:30am--Bearish Hammer + graveyard doji.
A technical retracement to the high again forming the double top.According to CNBC, Lehman Brothers (LEH) is axing its Chief Financial Officer, Erin Callan, and its Chief Operating Officer, Joseph Gregory.
12:30pm--Graveyard doji + Bearish marubozu.
This session's primary leaders include financial players Bank of America (BAC 29.81, +0.96), JPMorgan Chase (JPM 38.20, +1.07), and Citigroup (C 19.98, +0.77).Of the Dow Jones Industrials components, only four are trading with a loss. Materials company Alcoa (AA 39.27, -0.05) and energy companies Chevron (CVX 98.23, -1.19) and Exxon Mobil (XOM 87.85, -0.76) are all posting a decline. General Motors (GM 15.94, -0.18) is also trading in the red.
1:30pm--Bearish shooting star.
Oil has also made a bit of a comeback. Crude prices are now down roughly 1.1%, a bit below $135 per barrel.
2:30pm--Bearish Hangman.
The S&P 500 Retail Index continues to sport a strong gain on the session, currently up 1.7%. Sector members Target (TGT 52.06, +0.45), Best Buy (BBY 44.23, +0.77), and Macy's (M 21.31, +0.45) are receiving positive attention after retail purchases in May climbed more than expected, suggesting consumers are not yet sunk by higher fuel and food costs.
My objective of bear pivot index at 12,135 achieved so close and buy-back.
3:30pm--Bullish marubozu.
The day's low was set here and for an extensive rebound is limited.
4:00pm--Graveyard Doji.
It seem that there are still weakness and cracks on the Wall.


The bullish inverted hammer is a good sign the 2nd bottom of the Dow formed this week will boost the index again in time for the big swing on Triple Witching Day on 20/06/08.