All's well that ends well
Financial market trading volume is reduced significantly around the holidays. This week was no exception. In addition to sluggish holiday sales, geo-political concerns are weighing on financial market players. The year is not ending on a good note.

Safe haven
Sluggish holiday sales hurt equity prices and this helped boost Treasury prices in the thin trading environment. Geo-political sensitivities have been heightened after North Korea expelled U.N. weapon inspectors. Defense Secretary Donald Rumsfeld's words were encouraging when he stated that the U.S. could maintain a war with on two fronts: North Korea and Iraq. Yes, encouraging indeed.