how low can it go?, page-3

This week will be massive and will set the mood for the remainder of the year. If we get through this week we are away, if it is bad $20 will be re-tested for sure.

Economy
Monday: The Institute for Supply Management (ISM) releases what is expected to be a grim report on manufacturing in the morning. November ISM is expected to fall to a 26-year low of 38, according to a consensus of economists surveyed by Briefing.com, versus a reading of 38.9 in October.

Construction spending likely fell in October, with economists expecting the government report to decline by 0.9% after it fell by 0.3% in September.

Also on Monday, Treasury Secretary Henry Paulson will give a speech on the markets and economy at the Fortune 500 forum in Washington.

Federal Reserve Chairman Ben Bernanke is also speaking Monday. He will be in Texas, talking about the Fed's policies in the financial crisis at the meeting of the Greater Austin Chamber of Commerce.

Tuesday: The automakers have until Tuesday to submit proposals for how they would use $25 billion in taxpayer money to make their companies "viable."

The House Financial Services Committee holds a hearing next Friday on the proposals and the Senate Banking Committee is expected to hold a hearing sometime during the week too.

Separately Tuesday, monthly auto and truck sales figures for November will be released during the normal trading session. October auto sales were the weakest in 25 years. (Full story)

Wednesday: The ISM releases its report on the services sector of the economy. The November services sector index is expected to fall to 42.6 from 44.4 in October.

Payroll services firm ADP releases its report on private sector employment in November, ahead of the big national report Friday. Employers are expected to have cut 173,000 jobs from their payrolls after cutting 157,000 jobs in October.

Also, the revised reading on third-quarter productivity is due in the morning, while the Fed's "Beige Book" reading on the economy is due in the afternoon.

Thursday: Factory orders are expected to have fallen 2.7% in October, when the government releases its report in the morning. Orders fell 2.5% in September.

The weekly jobless claims report is due in the morning, as well as November sales from the nation's retailers. October sales were disastrous as retailers continue to struggle with attracting consumers in an economic downturn. (Full story)

Also, before the market opens, luxury homebuilder Toll Brothers Inc. (TOL, Fortune 500) is slated to release its quarterly financial report. Toll gave a glimpse into its state of affairs in early November, when it said revenue dropped 41% but also noted it had enough cash on hand to weather the turmoil.

Bernanke is scheduled to speak about housing and housing finance in Washington, D.C., at the President's Conference on Homeownership and Mortgage Initiative.

Friday: The November jobs report is released in the morning. Employers are expected to have cut 300,000 jobs from their payrolls after cutting 240,000 in the previous month. The unemployment rate, generated by a separate survey, is expected to have risen to 6.8% from 6.5% in the previous month.