Wall StreetBrace yourselves for a potentially rocky week of trading.

The market's remarkable six-week rally will be put to the test in the next few days by the much-anticipated midterm election and the Federal Reserve policy statement. And if that weren't enough to make things interesting on Tuesday and Wednesday, the October employment report is slated for Friday.

"The most commonly accepted [election] scenario is. . .gridlock in Washington, which the market likes," says Ted Weisberg, president of Seaport Securities." That's the anticipated scenario, and we could actually see the market sell off because that's pretty much baked in."


Indeed, apart from a better-than-expected showing from Republicans, there may be no upside catalysts this week, Weisberg says. He doesn't see anything coming from the Fed or latest jobs figures surprising the market -- at least not in a good way.

And besides, when the week's hoopla dies down, the reality of the situation will still be the same, says Weisberg. "The bottom line is the U.S. economy continues to be sluggish and go nowhere fast."

For more on Weisberg's view from the floor of the New York Stock Exchange (NYX), see the video above.

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theseventhlegend

The guy that wrote this article forgot one thing... greed. The DOW is currently up over 100 points. Guess greed over rules fundamentals.

November 01 2010 at 10:57 AM Report abuse +2 rate up rate down Reply
bill

Face it, "We've been had" and for a long time. The corruption is in Washington and in our state capitols and they have to be held accountable no matter what party they are with. I always had a job when the republicans were in, can't say the same for the Democrats. All I really know is that Wall St. exec's are responsible and I want action. No more tax payer money being spent, take the wealth gained by all Wall St. exec's and pay down the national debt. When that's finished, repay all homeowners that were duped by shady practices. I believe in capitol punishment and as far as I am concerned everyone involved from the Fed to Wall St and Congress should be tried and found guilty of treason and put to death because they have destroyed so many lives. Jail time is a slap on the wrist, but nothing will ever be done because they are all in bed together and no one has a back bone including the guy that married the former Weatherman extremest.

November 01 2010 at 10:40 AM Report abuse +2 rate up rate down Reply
4 replies to bill's comment
BHarrison2

Our economic system has been "broken" by the frauds and corruptions of our financial institutions, the Wall Streeters, and Congress. As long as our government props up insolvent finanical institutions, and fails to enforce the integrity of business operations, the corrupt management of the financial institutions and Wall Streeters have absolutely no motivation to conduct legitimate business operations. If bankers and CEOs continue to receive exorbitant salaries and bonuses without regard to the profitable operation of their companies, then they have no incentive to conduct the level of business that is necessary for the economic recovery of our nation. Trying to "save" the corrupt institutions is a losing proposition for the long term. We need to enforce the basic capitalistic principles of business with integrity.

November 01 2010 at 10:27 AM Report abuse +6 rate up rate down Reply
1 reply to BHarrison2's comment
cpo1514

Hello evil.... time to fall on the sword, drink the Ohmama juice, whatever. When it appears that folks finally get the message and are aware of the fix- hold an election. For sure ACORN & the Libs (Progressives) will campaign on fear & assaults. Forget the Ohmama takeover of this country's business & banking ... just scare the folks & keep drinking the juice... .

November 01 2010 at 10:20 AM Report abuse +2 rate up rate down Reply
erink91321

Nomatter which party wins, Stay Away from the Wall. It Will Collapse Again shortly

November 01 2010 at 9:33 AM Report abuse +1 rate up rate down Reply
1 reply to erink91321's comment
ksmwtm

Bernanke pushes the dollar LOWER & Geithner ask G20 "Can't we just all have parity?" Australians are buying foreclosed properties because their dollar is so strong---Just how did they do that? Will someone in Aussieland tweet Ben, Timmie, & Barock-----PLEASE!

November 01 2010 at 9:21 AM Report abuse +1 rate up rate down Reply
ultraz2

This isn't about electing the Republcan lobbiest controlled thieves or the Demoratic lobbiest controlled thieves, it's about voting them out, and putting noncontroled independents in.Or at the very least voting the incumbents OUT. A true TEA PARTY MEMBER is one that denounces both of those parties and becomes an independent

November 01 2010 at 8:59 AM Report abuse +4 rate up rate down Reply
1 reply to ultraz2's comment
trblhnds

With a BIG Republican win Wall Street will confidently advance. The American public wants to know that there is a favorable economic climate and consumer confidence will soar. I predict a big surge in the market. Get your money out of the CD's and put it back in the market if you want to see your money grow.

November 01 2010 at 8:13 AM Report abuse +4 rate up rate down Reply