Archive | Newsletter RSS feed for this section

Where The Economist “Big Mac” Index Finds Currency Value

My former employer, The Economist, once the ever tolerant editor of my flabby, disjointed, and juvenile prose (Thanks Peter and Marjorie), has released its “Big Mac” index of international currency valuations. Although initially launched by an imaginative journalist as a joke three decades ago, I have followed it religiously and found it an amazingly accurate […]

Read full story Comments are closed

November 12, 2013

Global Market Comments November 12, 2013 Fiat Lux Featured Trade: (YOU JUST CAN’T KEEP AMERICA DOWN), (TLT), (SPY), (GLD), (A SPECIAL NOTE ON NOVEMBER EXERCISED OPTIONS) iShares 20+ Year Treasury Bond ETF (TLT) SPDR S&P 500 (SPY) SPDR Gold Shares (GLD)

Read full story Comments are closed

You Just Can’t Keep America Down

You just can’t keep America down. That is the overwhelming message from Friday’s blockbuster October nonfarm payroll showing that 204,000 jobs were added, double the industry forecasts. The headline unemployment rate ratcheted back up from 7.2% to 7.3%, the first gain in many months. August and September were revised up by an eye popping 60,000 […]

Read full story Comments are closed

A Special Note on November Exercised Options

There are only 4 days left until the equity option expiration on November 15. My short dated November expiration play turned out to be wildly successful, with all nine of these trades quickly turning profitable. Including the six positions we now have on board, the last 14 consecutive Trade Alerts have been profitable, raising the […]

Read full story Comments are closed

November 11, 2013

Global Market Comments November 11, 2013 Fiat Lux Featured Trade: (MAD HEDGE FUND TRADER 2013 PERFORMANCE TOPS 51%), (TLT), (TBT), (AAPL), (XLI), (IWM), (SPY) (TESTIMONIAL), (A TRIBUTE TO A TRUE VETERAN) iShares 20+ Year Treasury Bond ETF (TLT) ProShares UltraShort 20+ Year Treasury (TBT) Apple Inc. (AAPL) Industrial Select Sector SPDR (XLI) iShares Russell 2000 […]

Read full story Comments are closed

A Tribute to a True Veteran

Today is Veterans Day, and I’ll be putting on my faded Marine Corp fatigues and railroad track bars and leading the home town’s Veteran’s Day parade. So I thought it would be a good day to tell you the story of my Uncle Mitch. Since job prospects for high school graduates in rural Pennsylvania in […]

Read full story Comments are closed

Mad Hedge Fund Trader Blasts to new All Time High

The Trade Alert service of the Mad Hedge Fund Trader has posted a new all time high in performance, taking in 46.05% so far in 2013. The three-year return is an eye popping 101.7%, taking the averaged annualized return to 35%. That compares to a far more modest increase for the Dow Average during the […]

Read full story Comments are closed

November 8, 2013

Global Market Comments November 8, 2013 Fiat Lux Featured Trade: (THE RISING RISK OF A MARKET MELT UP) (FXE), (FXY), (YCS), (FXA), (SPY), (USO), (THE PARTY IS JUST GETTING STARTED WITH THE JAPANESE YEN), (FXY), (YCS), (DXJ) CurrencyShares Euro Trust (FXE) CurrencyShares Japanese Yen Trust (FXY) ProShares UltraShort Yen (YCS) CurrencyShares Australian Dollar Trust (FXA) […]

Read full story Comments are closed

The Rising Risk of a Market Melt Up

The risk of a major market melt up just took a quantum leap upward with the European Central Bank’s surprise 25 basis points in interest rates a few minutes ago. The move had not been expected from normally sleepy and moribund European monetary authorities for a few more months. The ECB’s action has major positive […]

Read full story Comments are closed

The Party is Just Getting Started With the Japanese Yen

“Oh, how I despise the yen, let me count the ways.” I’m sure Shakespeare would have come up with a line of iambic pentameter similar to this if he were a foreign exchange trader. I firmly believe that a short position in the yen should be at the core of any hedged portfolio for the […]

Read full story Comments are closed

November 7, 2013

Global Market Comments November 7, 2013 Fiat Lux Featured Trade: (SELLING THE YEN, AGAIN), (FXY), (YCS), (DXJ), (ENJOY THE DOLLAR RALLY WHILE IT LASTS), (FXA), (FXC), (BNZ), (CYB), (FXE) CurrencyShares Japanese Yen Trust (FXY) ProShares UltraShort Yen (YCS) WisdomTree Japan Hedged Equity (DXJ) CurrencyShares Australian Dollar Trust (FXA) CurrencyShares Canadian Dollar Trust (FXC) WisdomTree Dreyfus […]

Read full story Comments are closed

Selling the Yen, Again

The Bank of Japan released the minutes of its previous meeting last night, so we now officially know what’s bothering them. While the inflation rate has edged up to 0.7%, it is still miles (kilometers) away from its two year target of 2.0%. The 100% growth in the money supply promised by the end of […]

Read full story Comments are closed

Enjoy the Dollar Rally While it Lasts

Any trader will tell you the trend is your friend, and the overwhelming direction for the US dollar for the last 220 years has been down. Our first Treasury Secretary, Alexander Hamilton, found himself constantly embroiled in sex scandals. Take a ten-dollar bill out of your wallet and you’re looking at a picture of a […]

Read full story Comments are closed

November 6, 2013

Global Market Comments November 6, 2013 Fiat Lux (SPECIAL BATTERY ISSUE) Featured Trade: (THE GREAT RACE FOR BATTERY TECHNOLOGY), (TSLA), (GM), (BYDDF), (NSANY), (SQM), (TM) Tesla Motors, Inc. (TSLA) General Motors Company (GM) BYD Company Ltd. (BYDDF) Nissan Motor Co. Ltd. (NSANY) Chemical & Mining Co. of Chile Inc. (SQM) Toyota Motor Corporation (TM)

Read full story Comments are closed

The Great Race for Battery Technology

One hundred years from now, historians will probably date the beginning of the fall of the American Empire to 1986. That is the year President Ronald Reagan ordered Jimmy Carter’s solar panels torn down from the White House roof, and when Chinese Premier Deng Xiaoping launched his secret “863” program to make his country a […]

Read full story Comments are closed