Election Day 2007

OK it's next Election Day now. Let's review: Saddam Hussein was captured Dec. 16, 2003 and finally executed Dec. 30, 2006. (I wonder how many have died in Iraq since 12/16/03?) Dow Jones is at 13,660 - up 1,500 from last election day. Crude oil traded at a record $97 a barrel today.

Speaking of oil prices, I remain bullish. Producers seem unable to increase production, inventories are short, and in China and India car ownsership is booming. There's no telling how high oil will go - it could easily reach $200.

VDMIX closed at $14.63, up 28% from May of last year when I touted it. I remain bearish on the dollar. The trade deficit shows no sign of slowing and the budget deficit is out of control. The big event coming up is when foreign goverments start to keep their currency reserves in a mixture of dollars and euros (which is only prudent) and which will hammer the dollar.

Microsoft is $36.41 - getting to that $39 target. The point & figure target is now $50, but I don't believe it. The new Windows Vista is lame and IMHO inferior its predecessor Windows XP. The new Office is nothing special. Soon people will wonder why they are upgrading. And the Mac OS now runs on Intel and could easily be sold for use on non-Apple PCs - then what happens to the Windows franchise? More on this later.