Portugal Parliament rejects austerity plan, government may fall, Silver!

 Some news after hours:

Portuguese Prime Minister Jose Socrates said he presented his resignation to President Anibal Cavaco Silva after parliament rejected the government’s deficit- cutting plan, raising the chance of an international bailout.
Socrates made the announcement tonight in an address to the nation after meeting with Cavaco Silva at the president’s residence in Lisbon. “This crisis occurs in the worst possible moment for Portugal,” Socrates said. - Bloomberg 

This is another blow to the Eurozone, the bailout from the ECB will have to be quite large to handle an economy that large.  In 2009, GDP was $232 billion.  This will put further strain on the global economy that is already dealing with multiple riots and government collapses in the Middle East. US dollar continuing its weakness.  Japan and its current nuclear and earthquake/tsunami situation.  Greece and Ireland requiring bailouts. And the list can go on.



The S&P500 again closed under that 1300 level.

Using an Andrews pitchfork to draw channel lines, it appears that if 1300 can be reclaimed the 1325-1335 range will be heavy resistance as well.  I picked up my usual call options on SDS at strike of 23.  SDS is a 2x bear etf, so these calls are basically put options on the general market.

 Just a review of the Comex inventories for silver.  With the current demand for physical silver it will be interesting how the Comex will hold up over the next 6-9 months.

Current Silver mining holdings AXR.TO, FVI.TO, GPR.TO, USA.VN