Now for the Scary Part....................

The scary part of the world’s 10 most polluted cities list is that Chernobyl is number 9. Which brings to mind the point of this post energy and food appear to reemerging as short term issues. With all the focus on sub prime its been little noticed but wheat and oil having been hitting new highs almost everyday. Seems there are fears that supplies won’t meet demand. I have found in the recent past the market can rise for a while in the face of higher energy prices but then there come a breaking point and the market gives in to corrective influences. I would look for the DOW and S&P to stay in the same channel and use the price of the index as a trading point instead of higher fuel prices.