General Motors Bankrupt, Household Income Up

What a start to the day! Not only is it the first day of the second half of the year, but we are also getting all kinds of news and seeing movement in various investments.

GM Bankruptcy
General Motors today filed for bankruptcy protection. The United states government, yes us tax payers, will own about 60% of the US auto maker. Although a bankruptcy is far from good news, the markets were expecting it, and now that it has happened, it's out of the way, and any uncertainty is finally lifted.


Gold Approaches $1000 Mark
For the third time in the last 18 months or so, Gold has approached the $1000 mark. Helped by rising energy costs and a lower dollar, prices could soar past that mark. Many experts predict that if Gold can hold above $1000 for a third time, and make even the slightest move above it, we could be headed for a Gold rally not seen in years.

Technology Booming
The E3 Video Game conference is today, which means we will likely see some new technological advances in the Video Game market. This along with the Fact that Microsoft's new search engine, Bing, has launched this morning, and Google announced a possible game changer of a communications setup, called Google Wave, last week, the tech sector is on a role. Expect this to continue into next weeks Apple conference.

Personal Income Rose
For the month of April, Personal income rose an unexpected 0.5%. This was well above the drop of 0.2% most economists were predicting. Yet another signal things are finally turning around. As a side note though, the saving's rate increased, meaning consumption decreased just a bit.

The rest of this week should continue to be interesting. Back in a March post I predicted that the Dow will be in the 9000-9500 range by August. That is actually looking very possible right now.