Tag Archives | homefeature

The Next China Boom

The call was scratchy and barely audible. I was instructed to not mention any names. I should only use the prearranged code words when talking about political parties. You never know when the phones in China are tapped. I was just about to get a heads up that the People’s Bank of China was going […]

Read full story Comments are closed

Ben Bernanke Will Say Nothing on Thursday

All eyes will be focused on Federal Reserve Chairman, Ben Bernanke, on Thursday looking for any hints that further quantitative easing is on the way. Don’t get your hopes up. I don’t expect the esteemed former Princeton professor to conveniently tip his hand. At the most he might make a reference to “keeping all options […]

Read full story Comments are closed

Reach for Yield With Master Limited Partnerships

The dramatic collapse in the price of oil is creating a rare opportunity to get into some of the highest yielding paper in the financial markets, master limited partnerships (MLP)’s. These are LP’s that are publicly traded on a securities exchanges. These unique and versatile instruments combine the tax benefits of a limited partnership with […]

Read full story Comments are closed

Apple Redux

The news out this morning that Apple (AAPL) may launch its HD television product in time for the Christmas holidays caused a nice pop in the stock this morning, so I thought I would quickly review the fundamental case behind owning the company. The story originated from rumors in China that its main manufacturer, Foxcon, […]

Read full story Comments are closed

Time to Buy JP Morgan

This is far and away the world’s premier banking institution. Estimates of the huge trading losses by the London “whale”, initially pegged at $2 billion, have since skyrocketed to $6 billion. I’ll ignore the Internet rumors that speculate about a $30 billion hickey. As you well know, almost everything on the net is not true, […]

Read full story Comments are closed

My Tactical View of the Market

The easy money has been made on the short side this year for a whole range of asset classes. While we will probably see lower lows from here, the risk/reward ratio for taking short positions in (SPX), (IWM), (FXE), (FXY), (GLD), (SLV), (USO), and (CU) are less favorable than they were two months ago. Of […]

Read full story Comments are closed

Why My Boeing Trade Crashed and Burned

This trade was an unmitigated disaster, and hopefully it will be the worst of the year. I’m glad we had one of these because it provides a wonderful opportunity to illustrate everything that can go on with a trade. Every loss is a learning opportunity, and a loss not learned from is an opportunity wasted, […]

Read full story Comments are closed

Charts Are Breaking Down All Over

They say a picture is worth a 1,000 words, so here are 4,000 words worth. My friends at www.stockcharts.com put together this series of charts establishing beyond any reasonable doubt that the “RISK ON” trade is breaking down across all asset classes. Everything is breaking down, simultaneously and in unison, including the S&P 500 (SPX), […]

Read full story Comments are closed

The Energy Revolution on Our Doorstep

A major plank in my golden age scenario for the 2020’s is the collapse of the cost of energy. This won’t occur because of a single big discovery, but from a 1,000 small ones that aggregate together to create a leveraged effect. The upshot is that we may be free of OPEC in 3-5 years, […]

Read full story Comments are closed

Oregon Becomes the First All Electric State

As of this week, Oregon will become the first state to complete a chain of charging stations that will enable electric cars to travel from one end of the state to the other. It completed the last of eight 440 volt fast charging stations that allow travel for the full 310 miles on the beaver […]

Read full story Comments are closed

Check Out (HDGE) to Limit Downside Exposure

While scouring the markets looking for great ways to participate in the current slide in the equity indexes, I discovered a real gem. The Advisor Shares Active Bear ETF (HDGE) offers a rifle shot at the true garbage in the market, low dividend companies with deteriorating fundamentals. Run by former Bass Brothers associate Brad Lehmansdorf, […]

Read full story Comments are closed

Why Dr. Copper is Looking Ill

Traders like to refer to the red metal as Dr. Copper because it is the only one that has a PhD in economics. This year it has been proving its credentials as a great predictor of future economic activity once again. Copper has been leading the downside charge for all risk assets since it peaked […]

Read full story Comments are closed

China’s View of China

I ran into Minxin Pei, a scholar at the Carnegie Endowment for International Peace. Who imparted to me some iconoclastic out of consensus views on China’s position in the world today. He thinks that power is not shifting from West to East; Asia is just lifting itself off the mat, with per capita GDP only […]

Read full story Comments are closed

Cheniere Energy (LNG) Gets the Green Light

There is never any guarantee that a government agency will not do something idiotic. This time it didn’t, thankfully. The Federal Energy Regulatory Commission (FERC) granted the final license needed by Cheniere Energy (LNG) to build the first of two liquifaction plants at Sabine Pass on the Texas Louisiana border on the Gulf of Mexico. […]

Read full story Comments are closed

Check Out These Interesting Charts

I ran through a number of charts provided by my friends at Stockcharts.com, and as a person who has been piling on the shorts for the past two weeks I was greatly encouraged. Almost every single one was pregnant with gloomy implications. This is all happening a mere 12 days before the Great Escape in […]

Read full story Comments are closed