GOIH Capital Markets: Market Overview---09-04-07

Our indicators see the market opening flat to lower.

The market is recovering after the Fed's speech on Friday basically leaving the market with no new information pending the next scheduled FOMC meeting on Sept 18, 2007. Wall St. is howling for a rate cut in the Fed Funds rate. However, a cut in the Fed Funds rate will have a negligible effect on the current market intangibles. If a rate cut is announced, it will be primarily symbolic and psychological.

The consumer is facing major risks to its standing in the market. With wages flat and no new increase in home equity prices, the consumer is tapped out just before the major Christmas buying season.

We expect to see weakness in Best Buy, Target, Wal-mart, Sears, GM, F

We expect to see continued weakness in the consumer discretionaries as well as weakness in consumer financials.

We expect to see tech and energy leading the way until the end of the year.

We see Apple trading up to to a new high in anticipation of the release of the new Ipod. We are taking a speculative position for short term trading profits.