Friday's Outlook

A nationwide call for a "Day of Rage" is being called for on March 11 and 20 in a nation where protests are outlawed--Saudi Arabia.

The worst case scenario is if the government open fired on protesters and the protesters retaliated. This would spike the prices of oil up dramatically and cause the markets here in the US to close in the red tomorrow.

But I don't believe that that will happen. Instead, I think the government will do absolutely everything a day before the scheduled protests to keep things under control. Whether it be kidnapping big name activists or whatever, they will do everything to keep the markets calm. The US government would also like to see this happen, they do not want civil unrest to pour over into Saudi Arabia (but they encourage it in Libya and Egypt).

Nevertheless, if the markets open lower it will be due to violence at the protests so expect continued weakness throughout the day. If not, look for a muted day on Wall St. and for the Federal Reserve to buy up the market during the first or last hour of trading.