- feeling awful; and
- kicking Tesla's tires.
It Sure Feels Awful Today Posted at 3:28 p.m. EDT on Friday, May 31 Here's why it feels so awful: The resource-based stocks, the bond-equivalent stocks and the housing stocks are headed down but so are the banks, and while the latter's just profit-taking, it sure feels awful. The resource-based stocks are getting killed because of a belief that China's taking another leg down. I watch the Baltic freight index, which is now threatening to head back to recession levels. I can't remember a day when it was last up. The oil stocks today, as well as the oil futures, actually feel as if they are going to, at last, join copper, aluminum and iron in what can only be considered bear markets.
Housing's still in the grips of a rate backup that won't really hurt housing -- but who cares, it will hurt the stocks. In the end, I am totally sticking with my view that the techs, the banks and the industrials must be bought into this weakness because they can do very well with a little interest-rate backup, which is what we are having (no, it is not bigger than that and I don't think it will be huge). But it sure feels awful if you are in the wrong groups -- and I don't expect that to change until prices go lower still.
Tesla Gets the Yellow Flag Posted at 11:48 a.m. EDT on Friday, May 31 I got to test drive a Tesla (TSLA - Get Report) Model S last night. Took it around CNBC, took it on the highway, took it on the side streets of Summit, N.J., where I live. I even took it to the inn that I co-own to get a "refill" at our charging station.
All I can say is, wow, I want one. It is that terrific. I don't need a new car and I don't even know if it is practical because driving to the shore or to see my dad in Philly, my longest trips, would have me run out of power on the Garden State Parkway or Jersey Turnpike -- not what I would pay $90,000 for. But I want to be very clear: It was the best, most quiet and most powerful ride I have ever had. No wonder Consumer Reports gave the car the highest rating possible. It deserves it.