Looks like the juice has been made

Banking shares never recovered on the last rally.

It looks like the brief squeeze was used to sell and to short at higher levels.

The dollar is falling almost .01 against the euro, and gold made another new high at 810.60. I expect gold to open higher next week and continue upward. I think that the fed will not step in again soon to help out the struggling banks. I am also expecting the market to rally on hopes that the fed will do something over the weekend. It seems like investors are deeply worried about banks like Citigroup and Merrill Lynch.

Rumors are flying that Citigroup may cut its dividend, or even worse that it is potentially insolvent. The company stopped all lending in California on October 31st.

There are claims that Merrill Lynch attempted to hide assets by selling them to hedge funds with an agreement to purchase them back at a later date for a set price. Not only is this unethical, but I am sure that the government will be looking into this. The pressure from the street to beat estimates is tremendous, but lying, cheating, and stealing to get there is much worse than just taking the loss. Now is a good time to remind you about how great of a place America is. Where else can someone tank the company stock, hide liabilities, make unethical decisions, get fired, and leave with $130 million dollars?

Yes, America is a great place.