K96.3 FM Kelowna's Classic Rock - Rallies and Reversals Investment Advice on the Radio

Today markets are lower so far on a few drivers. The first is falling commodity prices. The price of oil, gold and base metals are dropping along with the Canadian dollar. It's trading below 98 cents. Needless to say the US dollar is higher and the Euro is dropping relative to the US dollar. Sovereign debt concerns are driving this and it's Portugal this time. Their credit rating was lowered leading to focus back on Greece. It doesn't help matters that Germany and France are suggesting IMF involvement in the possible Greece rescue. The third pull downward on the markets is the data on home sales in the US. Home sales fell for the 4th straight month in the US. The housing market appears to be struggling despite government support. Sales haven't been responding to the extention and expansion of their tax credit. The Fed will also end purchases of mortgages ralated securities next week. US mortgage applications fell for the 2nd straight week. On a positive note, Canada is experiencing a housing boom according to The Canadian Press in Canadian Business.