Featured Trades: (THE WORLD’S LARGEST SOLAR PLANT)   4) The World’s Largest Solar Plant. Unfortunately, I know Blythe, California too well. This natural blast furnace is in a God forsaken corner of the state where I hunted jack rabbits as a kid, the Indians survived on Gila monsters for protein, and it regularly reaches 130 [...]

Featured Trades: (SYDNEY, AUSTRALIA STRATEGY LUNCH) 1) Join Me For Lunch in Sydney, Australia on Tuesday, October 11. Come join me for lunch at the Mad Hedge Fund Trader’s Global Strategy Update, which I will be conducting in Sydney, Australia on Tuesday, October 11, 2011. An excellent meal will be followed by a wide ranging [...]

Featured Trades: (BERNANKE SAYS BUY STOCKS, OR ELSE!) 2) Bernanke Says Buy Stocks, Or Else! I believe that the risk markets are discounting a recession that isn't going to happen. Not yet, anyway. So I am going to start adding some small, limited risk call options here. After analyzing the statement from the Federal Reserve [...]

If you can get a dividend higher than the yield on ten year debt, it's an opportunity we haven't seen in our lifetime. On a five year horizon, investing in large multinationals with high dividends will have a large payday,' said Lawrence Fink, CEO of BlackRock.

Featured Trades: (IS QE3 BACK FROM THE DEAD?)   2) Is QE3 Back From the Dead? When I went to bed late last night, the (SPX) was trading down 30 points, and I was thinking 'here we go again'. When I woke up, the market was up 30 points, and I had to blink hard. [...]

Featured Trades: (THE WORST CASE SCENARIO)   3) The Worst Case Scenario. 'There is oversold, and there is OVERSOLD'. That was a comment made by my friend, technical analyst Arthur Hill, in the wake of the Dow's breathtaking 634 point crash. Some indicators were showing the most oversold levels in 12 years. I think that [...]

Featured Trades:  (THE SECOND SHOE FALLS IN THE DOWNGRADE CRISIS) 1) The Second Shoe Falls in the Downgrade Crisis. Today, Standard and Poor’s fired the second barrel of its shotgun at the credit worthiness of the US with its downgrade of Fannie Mae debt from triple ‘A’ to AA+. Other government-backed securities are soon expected [...]

Featured Trades: (JAPAN’S RECOVERY STARTS EARLY), (EWJ)   2) Japan Recovery Starts Early. It looks like the second half of the ‘V’ shaped recovery of the Japanese economy, the leg up, is starting sooner than expected. Long time readers of this letter already know that in the wake of the March tsunami that hit Japan [...]

Featured Trades: (WHY I’VE BEEN WRONG ON THE MARKET), (SPX) 3) Why I’ve Been Wrong About the Market. On Friday I was fairly convinced that we are close to a bottom in the market at 1,166. As I write this the next day, I am staring at the (SPX) futures ticking down to 1,114.60. I [...]

Featured Trades: (BUY THE SUNHATS WHEN IT'S RAINING), (SPX) 1) Buy the Sun Hats When It's Raining. I don't think that we are going into recession immediately. I believe that we can eke out a few more quarters of 2% ish type growth before we put in the final top of the great bull market [...]

Featured Trades: (RIP FOR AMERICA'S TRIPPLE A RATING), (TLT), (TBT) 2) RIP for America's Triple A Rating. At long last, after months of warnings, leaks, hand wringing, and speculation, Standard and Poor's has at last downgraded US Treasury bonds a notch to AA+. The change was the most telegraphed ratings change in history. You can [...]

Featured Trades: (THE JULY NONFARM PAYROLL: ROCKETING BACK UP TO ZERO) 3) The July Nonfarm Payroll: Rocketing Back Up to Zero. The monthly nonfarm payroll report finally surprised to the upside, the much watched figure coming in at +117,000, well above a consensus of +90,000. The headline unemployment rate is back down 0.1% to 9.1%. [...]

Come to the September 16 Seattle Strategy Luncheon. Come join me for lunch for the Mad Hedge Fund Trader’s. Global Strategy Update, which I will be conducting in Seattle on Friday, September 16, 2011. A three course lunch will be followed by a 30 minute PowerPoint presentation and a one hour question and answer period. [...]

Featured Trades: (HERE’S WHERE TO WATCH FOR THE TURN), (GLD), (FXF), (FXY), (TLT) 1) Here is Where to Watch for the Turn. What to say about Thursday’s market? The ‘RISK OFF’ trade had its finest hour. The Dow average WAS down 512 points, NASDAQ (QQQ) cratered by 135 points, oil (USO) was off $6, and [...]

Featured Trades: (REPORT FROM EUROPE, PART V) 2) Report From Europe, Part V. My first morning in the Swiss mountain hamlet of Zermatt, home to the Matterhorn, I was awoken by an army platoon outside my door, fully armed with fixed bayonets. No, I was not being arrested for past indiscretions in the idyllic Alpine [...]