• The Room - 10/24/2008

    I have woken in the pre-dawn to find our direst predictions coming true, with global stock markets taking yet another pounding and U.S. stock futures limit down. Serving as a proxy for the mindset now gripping governments around the world, French President Sarkozy has announced that the French government will, henceforth, buy shares in important French companies in an attempt to prop them up. 'We will intervene massively whenever a strategic enterprise needs our money,' said Sarkozy, a supposed economic conservative, as he pounded the table on behalf of nationalizing industry. The New Age of big government is upon us. Armed with Harry Potter-like magical monetary wands, they are wildly conjuring a deluge of money from thin air to bind the free market and keep it from facilitating the resolution of economic and investment dislocations created over decades. Bud Conrad tells me he is having a hard time adding up all the fiat money that has been committed to the battle for economic - and, by extension, political - survival over the past couple of months. The numbers rolling off the lips of officialdumb have progressed well past the hundreds of millions, or even hundreds of billions, and have now reached the trillions. In that theme, the Fed announced this week that it would drop over half a trillion - $540 billion, to be exact - on the purchase of suspect commercial paper now clogging the portfolios of 'safe harbor' money market funds. Given that there is a total of $3.4 trillion of your money resting in those very same funds, the commitment of $540 billion - about 16% of the total - should be taken as an indicator of just how bad the problem really is....
  • The Trading Theme Remains In Place...

    * Heeee's Baaaaaacccckkkkk... * Carry Trade Depth... * RBA intervenes... * Oil weighs on the loonie... ** The Trading Theme Remains In Place... Good day... And a Marvelous Monday to you! It's been a long time, now I'm coming back home, I've been away now, oh how, I've been alone... Two weeks gone by the wayside! This Friday is Halloween! WOW! Where did the month go? Airports, hotels, and taxi cabs, that's where! But, I did it... The Currency Tour is finished... Time well spent I might add, but very taxing on me... Of course, my beautiful bride tells me if I were in better shape, it wouldn't be so taxing! Well... As I look at the currency screens this morning, I see that nothing has changed... The Trading theme I left you with is still in place, as the more deeper, darker, dangerous outlook for the U.S. becomes, the more the dollar gets bought... Things look better, and the dollar will get sold... The dollar has become the new Japanese yen!...
    Posted to Daily Pfennig by Chuck Butler on 10-27-2008
  • Sectors and Styles Strategy Report: October 27, 2008

    excerpt from this week's report*: "The traditional method of fundamental analysis implies a market that is substantially undervalued. Even under a strong recessionary scenario of 12.5 times $72 (= 900), the current S&P 500 price produces...
    Posted to Musing on the Markets by Vinny Catalano, CFA on 10-27-2008
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  • Morning Call

    The Morning Call 10/27/08 Economics This Week’s Data Other A look at hedge funds: A not very positive view on consumer spending: http://calculatedrisk.blogspot...
  • The Stock Playbook 10/27/08

    Format: swf Duration: 02:56
    Posted to The Stock Playbook by Dave Dispennette on 10-26-2008
  • The Closing Bell

    The Closing Bell 10/25/08 Statistical Summary Current Economic Forecast 2007 Real Growth in Gross Domestic Product: 2.0- 2.5% Inflation: 2 - 2.5 % Growth in Corporate Profits: 6-8% 2008 (revised-again) Real Growth in Gross Domestic Product (GDP): -1.0...
    Posted to Steve Cook on Disciplined Investing by Steve Cook on 10-25-2008
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  • Greenspan: Shoocked Disbelief

    Alan Greenspan was in Congress yesterday. Congress is digging through Wall Street’s rubble to find out who was responsible for the financial crisis. Of course, the old “Orient Express” conclusion – that everybody, from borrowers...
    Posted to Growth Report by Ian Wyatt on 10-24-2008
  • Why Most Retirement Investment Plans Are Wrong—Part I

    The current financial crisis and market panic demonstrate why most of the investment plans for those in or near retirement are wrong. There are better ways to manage retirement money, but you will not learn about them from conventional advisors and sources...
  • A Brutal Opening--Part two

    Subscriber Alert 10/24/08 The Market’s open this morning was much more orderly than the behavior of the futures suggested and it is rebounded off the lows of the morning. Even if the Averages close above the October 10 to present up trend, it still...
    Posted to Steve Cook on Disciplined Investing by Steve Cook on 10-24-2008
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  • A Brutal Opening

    Economics This Week’s Data Weekly jobless claims rose 15,000 versus expectations of a 1,000 decline. Other More on the current tax structure--this from the congressional budget office:
    Posted to Steve Cook on Disciplined Investing by Steve Cook on 10-24-2008
  • Quotable Quotes: Luna-cy

    Blame it on the moon. If you are looking for a reason why the markets are in freefall, then the 1998 Charles Dow award winning paper has the answer. With the 28th day of the 7th lunar month occurring on Saturday, October 25th, a major selling climax is...
    Posted to Musing on the Markets by Vinny Catalano, CFA on 10-24-2008
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  • The Stock Playbook 10/23/08

    Format: swf Duration: 4:00
    Posted to The Stock Playbook by Dave Dispennette on 10-23-2008
  • Association for Investor Awareness - Week of 10/23/2008

    In This Issue:

    It's Too Early For A Sustained Rebound
    But, There Are Finally Some Signs Of Relief
    What Everybody Knows Is Often Wrong
    Another Contrary Economic Outlook
    Cheaper Energy: The World's Biggest "Tax" Cut
    This High Yield Investment Looks Good
    The Bottom Line This Week

    Mother Market took pity on investors last week when she tossed a few points our way. Actually, it was more than just a few. The total for Monday and Thursday came to a whopping 1338. Since she took back "only" 937 points, the Dow and the Nasdaq ended the period up a welcome 4.8% and 3.8% respectively.

    When the closing bell finally rang on Friday and the week's gains were locked safely away, some of us let out a happy little "hurray." However, our killjoy number cruncher pointed out that with so many wild swings happening every week it was inevitable that the market would occasionally end on a high point. In other words, the bounce could have just been a random event. Rats!

    On Monday of this week the market jumped another 413 points, but it gave back 746 points on the following two days. Oh well, the mini-rally was fun while it lasted.

  • Chuck finally heads back home...

    * Chuck's thoughts... * US housing still a drag... * Rate cuts push currencies lower... * Yen rallies and is joined by some odd partners... ** Chuck finally heads back home.. Good day...Another big move up by the dollar and the Japanese yen last night. Really just another repeat of what we have been seeing each day of this week, dollar down, gold down, and oil down. And with the stock market falling dramatically yesterday, all of us on the desk were searching for something that was actually up yesterday. Our bond trader, Don Reis let me know that muni bonds rallied dramatically, along with US treasuries. So I guess investors are just continuing to park funds into the US fixed income markets. Chuck is headed back home this afternoon, after spending the past two weeks traveling the country with FX University. I'm sure he will be happy to get to sleep in his own bed again tonight, and will catch up on his rest tomorrow. He sent me the following note to share with readers....
  • The Stock Playbook 10/22/08

    Visit us at and let us help you navigate these tough markets. Format: swf Duration: 4:00
    Posted to The Stock Playbook by Dave Dispennette on 10-22-2008