September 21 update on investment horizons

this update follows one of the most turbulent weeks in the history of wall street.
Lehman failed on monday, aig given bridge loan wednesday, talk of a systemic
bailout plan by the government with first cost appoximations put at 700 billion.
the market plunged and credit markets all but seized at the start of the week, but
by the end of the week with increasing rumours of a resolution trust II approach,
stocks soared 700 points in last 2 days.

hopeful guidance.
Again i want to move to positions which require less investment of time and nervousness.continue discipline and safety. hedge against weakening dollar. oil might rise, take modest positions in foreign currency and gold.

short term plays - dhi, gld and merkx (play against dollar), iyf (the financial
index) play for bailout.

sold dhi (bought 13.4 - sold 14.5)sell iyf with another 6% rise (currently 76)keep gld position to 94 (currently 84)
long-term purchase - bought 35000 bond of Goldman

the market went to 10600 but i did not yet increase my position in vti. i believe
market will retest the 10600 mark and i will then purchase vti.

beginning to invest the money from the sale of father and mother's home.

for the trust purchased on long-term savings preservation type trust promising 1% above 3 month trailing cpi.will buy one short-term cd.

joint account.
keep cash in etrade savings account anticipating a drop in the vti and perhaps in the price of an interesting bond. tempted to buy a caterpillar bond but the price may go lower. perhaps its better to wait out this process in a 4% cd, but the savings account does pay 3.3%