Archive for 2009

Hedgefundgate Begins: Numerous Insider Trading Charges Forthcoming

Courtesy of Tyler Durden

Rajmahal was just the beginning. The Sri Lankan, who just made the record books for spending a generous $100 million on bail and has even bigger digs in New York’s Sutton Place complex (although not quite Richard Perry big), is just the proverbial appetizer. And if regulators have truly decided to start treating the hedge fund industry like the 21st century equivalent of organized crime (which they have as previously disclosed by the US attorney), tonight many other wannabe billionaires are not sleeping too well (and even considering checking out Expedia for some sweet one-way trip deals). Because if they are not, they will be after reading the most recent take on their upcoming plight. From Bloomberg: “Federal investigators are gearing up to file charges against a wider array of insider-trading networks, some linked to the criminal case against billionaire hedge-fund manager Raj Rajaratnam that shook Wall Street last week, people familiar with the matter said.” If nothing else, this will hopefully force many of them to reevaluate the nomenclature of what funds to allocate the hundreds of billions of dollars that have emerged from the “sidelines” recently: it would appear The Insider Trading Rapid Value Appreciation Offshore Fund, most recently developed at Shady Pickins Asset Management (SPAM L.P.), may not be the best appellation after all.

And, in the most delicious sense of Kafkaesque irony, nobody is safe anymore: if you have talked on the phone, exchanged text messages, or even communicated in smoke signals to get that $100k “sure thing” – you are on the hook.

The pending crackdown, based on at least two years of investigation, targets securities professionals including hedge- fund managers, lawyers and other Wall Street players, the people said, declining to be identified because the cases aren’t public. Some probes, like the one that focused on Rajaratnam, rely on wiretaps. Others stem from a secret Securities and Exchange Commission data-mining project set up to pinpoint clusters of people who make similar well-timed stock investments.

And the following advice demonstrates just why the SEC is so terrified of going after not just the medium fry, but the really big fish (pardon, we may have some interspecies confusion as we realize cephalopods are a different phylum than fish):

“If you’re going to shoot


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PhD Economists and Economic Professors Call For Protests

Courtesy of George Washington

You know that the government and the giant banks are not being responsive to the needs of the economy and the American people when even PhD economists and economics professors are calling for protests.

Indeed, many top experts and even politicians say that the American political system has suffered almost total regulatory capture, where Wall Street calls the shots. See this, this, this, this, and this.

As respected financial commentator Yves Smith points out, PhD economist Dean Baker, economics professor William K. Black and others are helping to organize peaceful protests outside of the annual meeting of the American Association of Bankers.

Smith notes:

If you saw Michael Moore’s Capitalism: A Love Story, a disconcerting bit was
his discussion of a series of research reports put out by Citigroup for some of
its asset management client in 2005 on “Plutonomy”. It argued that a world
ordered to suit the whims of the top 1% was well underway. The only thing that might get in the way was that the other 99% had the force of numbers on its side.

Sometimes it takes a show of numbers to change the dynamic. As Baker pointed out:

The elites hate to acknowledge it, but when large numbers of ordinary people are moved to action, it changes the narrow political world where the elites call the shots. Inside accounts reveal the extent to which Johnson and Nixon’s conduct of the Vietnam War was constrained by the huge anti-war movement. It was the civil rights movement, not compelling arguments, that convinced members of Congress to end legal racial discrimination. More recently, the townhall meetings, dominated by people opposed to health care reform, have been a serious roadblock for those pushing reform….

A big turnout at this event can make a real difference.

Baker is correct about Vietnam.

Specifically, in a little known fact, Nixon was considering using nuclear weapons in Vietnam (and see this).

At that time, Nixon was also repeatedly publicly saying that he didn’t care what the American people thought about Vietnam, and that he was going to escalate the war anyway. However, according to a biography by a well-known historian, when Nixon saw hundreds of thousands of…
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Detailed Look At TIC Flows: August Treasury Purchases By China, Japan And UK Drop To Lowest Total Year To Date

Courtesy of Tyler Durden

The most convoluted monthly report issued by the US Treasury, that of Treasury International Capital (TIC) flows was released on Friday, and it disclosed some troubling data points. While foreigners overall continued purchasing domestic assets, their appetite continues to decline. In particular foreigners increased their purchases of Treasuries marginally, while they continued selling off corporate bonds and agencies, while buying corporate stocks. Yet, most troublingly, the Big 3 (China, Japan and the UK) purchased the least net total of Bonds and Bills year to date: as the Fed now dominates the market for Treasuries, traditional buyers are becoming increasingly nervous.

In summary:

  • $23.9 billion of Treasury Bonds and Bills were acquired in August, a decline from $31.1 billion in July and $100.5 billion June. 
  • GSE holdings continued declining – it appears only the Fed has any desire to hold on to that toxic trash these days: $5.3 billion was sold in August, after $17.8 billion was sold in July and $8.6 billion was sold in June.
  • Corporate bonds same story: $11.7 billion sold in August, after $20.5 billion was sold in July and $6.8 billion in June
  • Equities continue being the only capital flow bright spot: desire for Fed sponsored risk is still rampant although much subdued: $17.3 billion was bought in August, after $21.4 billion was purchased in July and $104.2 in June.

In the red flag category, China reduced its holdings of US Treasuries from $800 billion to $797 billion. In August Mainland China purchased $15.4 billion of UST Bonds and sold $18.8 billion of UST Bills, for a net sale of $3.3 billion. The other two big purchasers, Japan and the UK, increased their holdings by $6.5 billion and $4.5 billion, respectively (more below).

Also notable is the continued increase of near-term UST Bill holdings by foreigners: even though August saw a nominal sale of Bills of $2.5 billion (compared to a $14.2 billion increase in July), the amount of Bills in UST holdings has nearly doubled to 25% from a pre-crisis average of 10-15%.

We present a more detailed look at Long-term (Bond) and Short-term (Bill) Treasury holdings by the Big 3 foreign purchasers: China, UK and Japan. The chart below presents the total UST purchases/dispositions by the Big 3 broken down by Long-Term and Short-Term:

Isolating merely the LT component,…
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Death of Muddle Through

Death of Muddle Through

Courtesy of Mish

The US government is on an unsustainable path. Deficits are soaring and the Obama administration is planning massive tax hikes.

Moreover, businesses have little reason to hire already because of massive overcapacity. Add increasing health care costs to the list of reasons for businesses not to hire.

killing the gooseGiven that government spending crowds out private investment, these policies all but assures that unemployment is going to remain high for a long time as noted in Structurally High Unemployment For A Decade.

Killing The Goose

Last week in Thoughts on the Economy: Problems and Solutions I listed the problems and some of the solutions facing the economy. It was a discussion between John Mauldin and I about his weekly E-Letter Killing The Goose.

John and I agreed on many, but not all solutions. I would also like to add something I have proposed before, killing the Davis-Bacon prevailing wage act.

Muddle Through Where Art Thou?

Back in 2002, the usually optimistic Mauldin proposed the economy would somehow manage to "Muddle Through".

However, because of the unsustainable path we are on. John has changed his mind. Please consider these excerpts from Muddle Through, R.I.P?

I defined a Muddle Through Economy in the past as one of slow growth (in the area of 1-2%) and a slack employment environment, such as we had in 2002 and the early part of 2003. In early 2007, I suggested we would return at some point to such an environment at the end of the recession I was predicting.

However, gentle reader, never in my wildest dreams did I think we could be looking at government deficits of $1.5 trillion dollars and actually budgeting future deficits of over $1 trillion as far as the eye can see. And there is real reason to think that under current plans, $1 trillion deficits are optimistic.

Obama Budget Agenda

Look at the graph above from the Heritage Foundation. They suggest that current policy would bring us closer to a $2 trillion deficit by 2019. And that assumes nominal growth that is north of 3% and unemployment dropping back below 5% in reasonably short order.

Japanese Disease

Some readers wrote this week telling me I am far too worried about a rising government deficit. Right now we are at roughly 42%


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Who is Carlos Slim?

Who is Carlos Slim?

Courtesy of Simon Johnson at Baseline Scenario

The US increasingly displays characteristics that we have seen many times in middle-income “emerging markets” – new dimensions of vast inequality, forms of financial instability that benefit the best connected, and consistently easy credit for the privileged.  But this raises the question: who exactly is going to dominate our economic and political landscape moving forward?

In most emerging markets, a major crisis means that some powerful people and their firms fall from grace.  After the Asian Financial Crisis (1997-98), some of the biggest Korean chaebol disappeared or broke up, numerous Thai bankers lost their top positions, and there was a discreet reshuffle among the Malaysian business elite.  Russian oligarchs rise and fall with the price of oil; the process in Ukraine is similar, although somewhat murkier.

With every sharp turn of the cycle, new people rise to the front – taking advantage of low asset prices and the fact that most people struggle to borrow on reasonable terms.  In Mexico, after the crisis of 1994-95, Carlos Slim consolidated his position in telecoms and used this as a launching pad to become one of the world’s richest people.

Three sets of players look positioned to do the same in the US today, mostly based on the amazing set of “carry trades” available if you have access to large amounts of cheap short-term funding (e.g., along the yield curve, from dollars into other currencies, and – arguably – into equity in some parts of the world).

First, obviously nothing can stop Goldman Sachs and JP Morgan.  With unfettered access to the Federal Reserve and no effective controls on their ability to take risk, they are in the catbird seat.  The weakness of other big banks is further icing on their cake.  GS and JPM are symbols will loom large over the national and international economy for a long time to come, with the main threat (to them) coming from their rather too blatant market share in many products.

Second, the surviving big hedge funds will do very well (partial list).  They can move fast, they have no regard for anything other than profit, and they will not be effectively regulated.  Their access to credit runs through the biggest banks and this can be a double-edged sword – expect


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Crude Oil – Déjà Vu Year 2008, No Fundamentals Required

Courtesy of asiablues

By Economic Forecasts & Opinions

Last Friday, U.S. crude oil futures finished above $78, the highest level in a year, surging more than 9% during the past week making it the largest weekly gain since the height of the summer driving season, even though the U.S. continues to sit on ample supply of petroleum.

Given the continued sluggishness of the economy, high unemployment rate and large amounts of excess oil production capacity around the world, analysts said a sudden upward spike was still unlikely, while others are predicting an immanent correction down below $70.

However, if you take a closer look, it is evident that the current crude oil market is almost entirely detached from fundamentals. Furthermore, there are several factors supporting oil rising to new levels, as fundamentals are out the window in the near to medium term.

Technical Breakout

Oil has been locked roughly in a band of $65 to $75 a barrel since the start of June as traders weighed optimism over the prospects for a recovery in global demand against a supply glut. (see chart below) Typically, the longer it is trading in a sideways pattern, potentially the more powerful a breakout is going to be.

And breakout it did on the first sign of a seemingly positive indication. In addition to dollar weakness, the oil rally last week was sparked also in part by government data that showed surprise inventory drawdowns in domestic gasoline and distillates (mostly due to lower refinery runs at around 81%).
This, coupled with stronger-than-expected China trade data, was enough to send a ripple through the markets midweek boosting market bullish sentiment on global economy recovery hopes along with oil demand.

Now that oil blew past its previous 2009 high of $75, many analysts believe the recent increase is a sign that prices will now trade at a higher range.

U.S. Dollar Policy…If There Is One

The recent rallies in commodities, including crude oil, and even the stock market to some extent, have been driven primarily by the floundering dollar on the lack of fundamental support from the demand side since the recession.  (see chart below)

The U.S. dollar dropped to a 14-month low against a


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Finally a Hybrid Among Hybrids. Mercedes-Benz is Singing the Blues With the 2010 S400 BlueHybrid

Courtesy of Travis

Gasoline-electric hybrids.  So, you might breakeven in fuel costs in about ten years of careful driving.  By then, the battery will need replacing, and to fix it, it may cost you just as much as your car is worth- or more.  Are gas-electric hybrids really worth looking into?  Well, that’s still debatable, and more on that, a little later…  I firmly believe, and a lot of other “car guys” will contest, the gas-electric hybrid is an intermediate technology at best- a solution till something truly superior or sustainable comes along.

The S400 BlueHybrid

Mention “hybrid” to most German manufacturers, and they’d almost scoff at the notion.  Since the late 1970’s diesel has always been their first choice in environmentally friendly, economical solutions to a greener automotive footprint, and they’ve done well with them.  Mercedes-Benz, BMW, and Audi/VW all offer a lineup of efficiently powerful diesels to fit the bill, even importing a handful of models Stateside.  But things are changing. 

(You didn’t think Mercedes-Benz would ever pattern a hybrid after what?  A Lexus?  Please….) 

The Lithium Ion Battery for Mercedes-Benz 

Mercedes-Benz is the first to unveil the production hybrid that uses a lithium ion battery.  The very same type of battery found in your cell phone or laptop.  But isn’t this the same type of battery as found in the Tesla Roadster?  It is- but the Tesla Roadster is an all-electric plug-in, a glorified kit-car in comparison; hardly a mass-produced, sophisticated road machine like the Mercedes-Benz S-Class.    

Mild Hybrid 

The 2010 Mercedes-Benz S400 BlueHybrid™- is the first hybrid ever for the manufacturer; in fact, it’s actually a “mild hybrid” with an electric motor kicking-in for a few seconds at startup, mostly.  To note- even the use of the color “blue” over “green” sets this hybrid apart…  But anyway…  That’s just marketing.  It is the first-ever production car to use a lithium-ion battery, unlike most that use nickel-hydride types. 

 

Being a “mild hybrid,” its hybrid effect is subtle, with the thin, twenty-horse, 118 lb-ft electric motor wedged between the conventional 3.5-liter Mercedes V6 engine and the advanced seven-speed automatic transmission as found in any top-range S-Class…
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Words from the Wise?

Words from the Wise?

Courtesy of Michael Panzner at Financial Armageddon

I just got back from The Economist‘s "Buttonwood Gathering" in New York and thought I’d share a few of the more interesting (and, in some cases, quite enlightening) quotes (in no particular order) from the movers-and-shakers at the (well attended) conference:

Secretary Tim Geithner, United States Department of the Treasury:

"Generally, we did not do enough." (Referring to the failure to address growing concerns over excessive risk-taking in the period leading up to the financial crisis.) [Editor's note: understatement of the year?]

Stephen Roach, Chairman, Morgan Stanley Asia:

Those who are looking for a "V"-shaped recovery are in for "a rude awakening."

"The imbalances going into the crisis were large to begin with. Now, they are bigger than ever."

George Soros, Chairman, Soros Fund Management:

"Bankers have too much power." (Referring to the hold that Wall Street has over Washington.)

The "globalization of financial markets is built on false premises: namely, that markets can be left to their own devices."

Sheila C. Bair, Chairman, Federal Deposit Insurance Corporation:

"Insured deposits are being used in ways that I don’t like to see."

Wilbur L. Ross Jr., Chairman and Chief Executive Officer, WL Ross & Co.:

People were focused on "risk-ignoring rates of return." (Describing one of the things that went helped bring about the financial crisis.)

If regulators had taken the time to visit a Countrywide Lending office, they would have seen something akin to "a Wall Street boiler room," rather than a bank branch. (Referring to regulator’s unwillingness to go out into the field and see what was really going on during the housing boom.)

"Government is its own systemic risk in the mortgage market."

Lawrence H. Summers, Director of the National Economic Council, The White House:

The root of most financial errors is "when you try to do today what you wished you had done yesterday."

"I can assure you that on Main Street, it is a very different conversation." (Referring to the contrast between the optimism on Wall Street and the more pessimistic mood of those struggling to get by in other parts of the country.)

"It is not the administrations’s view to bribe those who have been part of the problems


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Weekend Reading

Courtesy of Tyler Durden

  • The best unknown activist investment of 2009 (Greenbackd)
  • Words from the wise (Financial Armageddon)
  • CME in talks to buy CBOE for $5 billion (Bloomberg)
  • UBS warned U.S. customers by registered mail their account details may be given to U.S. tax authorities (Reuters)
  • Goldman can spare you a dime (NYT)
  • The extinction of ethics in finance – The Fallout (Reality Arbiter)
  • China’s September data suggests that the long-term overcapacity problem is only intensifying (M. Pettis)
  • As we have long claimed, others now seeing Wachtell as biggest BofA loser (BreakingViews)
  • Good news on Wall Street means… what exactly (Matt Taibbi)
  • VIX posts worst losing streak in four years as Dow tops 10,000 (Bloomberg)
  • Earnings coming from companies that are not merely recipients of Chinese and US excess liquidity benefits: may get very ugly quick (CNN)
  • Look beyond usual suspects in countdown to next crisis (FT)
  • Malone not in talks to buy NBCU, would be at a lower price (Bloomberg)
  • Global banking body may be needed (Reuters, h/t Joe)
  • Goldman Sachs: “Trading with advantages” (The Agonist, h/t news item)
  • Overleveraged autosupplier Continental AG to sell junk bonds, idiots to buy (Bloomberg)
  • Real homes of genius: An Economic Investigation of La Mirada. Median Sale Price, Incomes, Trends, Shadow Inventory, and the case for no Price Bounce. Mortgage Equity Withdrawal Home Value from $157,000 to $570,000 (Dr Housing Bubble)
  • SG: Worst case debt scenario (The Big Picture)
  • Ottawa’s bubble (Greater Fool, h/t H.)




Once? Happenstance. Twice? Coincidence. Thrice? Enemy Action.

Courtesy of Marla Singer

A lone suicide bomber, on foot managing to catch unawares five “senior commanders” in Iraq where only the smartest and best organized insurgents are still alive to mount such action might be a three or four sigma event. A lone suicide bomber, on foot managing to catch unawares five “senior commanders” of Iran’s Revolutionary Guard by waiting by the entrance of the complex where they were to meet local tribal leaders… that’s a bit rarer still. Whisperings of western involvement in the incident are… still just whisperings.

One wonders, however, what strength Tehran will now have to divert to Sistan-Baluchestan near the Pakistan and Afghanistan to beef up security, where those forces will come from and what confusion the loss of senior commanders in the area will cause. All in all, rather an effective bit of work if you are in the force disruption business. Crude longs: take note.





 
 
 

Zero Hedge

Move Over Entrepreneurs, Make Way for Speculation!

Courtesy of ZeroHedge. View original post here.

Submitted by Gold Standard Institute.

by Keith Weiner

Once upon a time, before banks and before even private lending, there was only one way to prepare for retirement. People had to hoard something durable. Every week, they would set aside part of their wages to buy salt (later, it was silver). Assuming it didn’t get wet, the salt accumulated until they couldn’t work any longer. Then, they would begin selling it off to buy groceries.

This was the best they could do. By modern standards, it wasn’t a very good method. Stockpiling a commodity does not finance business growth, so the hoarder contributed no capital to the economy. And, it carries a very big risk: what if you run out before you die?

The development o...



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Market News

News You Can Use From Phil's Stock World

 

Financial Markets and Economy

In Parched California, a Farmers Market Is Emerging for Power (Bloomberg)

Californias record drought may be a boon to power companies.

Millennial investors are buying in volatile market (CNN)

The wild stock market gyrations may have scared many investors. But not the twenty-something newbies.

If anything, the young investors are doubling down, opening new accounts and buying stocks.

...

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Phil's Favorites

Beige Book Highlights: Will They or Won't They? Still Undecided?

Courtesy of Mish.

The Fed's Beige Book is a summary and analysis of economic activity and conditions, issued roughly two weeks prior to monetary policy meetings of the Fed.

"Book" is an adequate expression. This month, the Beige Book is 50 pages long. It's prepared with the aid of reports from the district Federal Reserve Banks.

Don't bother reading the book. It's not worth the slog. 

Beige Book Highlights

Bloomberg offers these Beige Book Highlights.
The Beige Book, prepared for the September 17 FOMC meeting, is not underscoring any urgency for a rate hike. Eleven of 12 districts report only moderate to modest growth with the Cleve...



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Chart School

Gann Angle Apple Inc Review

Courtesy of Read the Ticker.

Time to review Apple Inc with the Gann Angle.

Gann Angles may work best on either daily trading days, daily calendar days, or weekly. All should be considered.

In the chart below Apple Inc works very well. Gann Angles with Fibonacci arc forecasts do work well together.

Any bounce of Apple Inc into previous resistance should be considered as a possible short. Watching and waiting.



Click for popup. Clear your browser cache if image is not showing.



NOTE: readtheticker.com does allow users to load objects and text on charts, however some annotations are by a free third party image tool named Paint.net

Investing Quote...

.."Tape reading was an...



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All About Trends

Mid-Day Update

Reminder: David is available to chat with Members, comments are found below each post.

Click here for the full report.




To learn more, sign up for David's free newsletter and receive the free report from All About Trends - "How To Outperform 90% Of Wall Street With Just $500 A Week." Tell David PSW sent you. - Ilene...

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Kimble Charting Solutions

Long-Term bull market still alive, trend support is where?

Courtesy of Chris Kimble.

The S&P 500 is now down around 7% on the year. Is the very long-term bull market still in play? Yes it is!!!

The chart below looks at the NYSE Composite on a monthly basis, dating back to 1965.

CLICK ON CHART TO ENLARGE

As you can see, since the mid 60’s, the NYSE composite has remained inside of rising channel (A). The last time the top of the channel was touched was in the late 1990’s and the last time the bottom of the channel was touched took place back in 2009.

Despite the quick down turn of late, this long-term rising channel remains in ta...



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Insider Scoop

Look Beyond Q3 For This Digital Marketing Leader

Courtesy of Benzinga.

Related ADBE Benzinga's Top Upgrades Baird: Now's The Time To Buy Adobe The Vetr community has upgraded $ADBE to 4.5-Stars. (Vetr)
  • Shares of Adobe Systems Incorporated (NASDAQ: ADBE) have risen over 5 percent year-to-date.
  • Oppenheimer’s Brian Schwartz has initiated coverage of Adobe Systems with a Perform rating.
  • While expr...


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OpTrader

Swing trading portfolio - week of August 31st, 2015

Reminder: OpTrader is available to chat with Members, comments are found below each post.

 

This post is for all our live virtual trade ideas and daily comments. Please click on "comments" below to follow our live discussion. All of our current  trades are listed in the spreadsheet below, with entry price (1/2 in and All in), and exit prices (1/3 out, 2/3 out, and All out).

We also indicate our stop, which is most of the time the "5 day moving average". All trades, unless indicated, are front-month ATM options. 

Please feel free to participate in the discussion and ask any questions you might have about this virtual portfolio, by clicking on the "comments" link right below.

To learn more about the swing trading virtual portfolio (strategy, performance, FAQ, etc.), please click here ...



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Sabrient

Sector Detector: Finally, market capitulation gives bulls a real test of conviction, plus perhaps a buying opportunity

Reminder: Sabrient is available to chat with Members, comments are found below each post.

Courtesy of Sabrient Systems and Gradient Analytics

The dark veil around China is creating a little too much uncertainty for investors, with the usual fear mongers piling on and sending the vast buy-the-dip crowd running for the sidelines until the smoke clears. Furthermore, Sabrient’s fundamentals-based SectorCast rankings have been flashing near-term defensive signals. The end result is a long overdue capitulation event that has left no market segment unscathed in its mass carnage. The historically long technical consolidation finally came to the point of having to break one way or the other, and it decided to break hard to the downside, actually testing the lows from last ...



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ValueWalk

Some Hedge Funds "Hedged" During Stock Market Sell Off, Others Not As Risk Focused

By Mark Melin. Originally published at ValueWalk.

With the VIX index jumping 120 percent on a weekly basis, the most in its history, and with the index measuring volatility or "fear" up near 47 percent on the day, one might think professional investors might be concerned. While the sell off did surprise some, certain hedge fund managers have started to dip their toes in the water to buy stocks they have on their accumulation list, while other algorithmic strategies are actually prospering in this volatile but generally consistently trending market.

Stock market sell off surprises some while others were prepared and are hedged prospering

While so...



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Digital Currencies

Bitcoin Battered After "Governance Coup"

Courtesy of ZeroHedge. View original post here.

Naysyers are warning that the recent plunge in Bitcoin prices - from almost $318 at its peak during the Greek crisis, to $221 yesterday - is due to growing power struggle over the future of the cryptocurrency that is dividing its lead developers. On Saturday, a rival version of the current software was released by two bitcoin big guns. As Reuters reports, Bitcoin XT would increase the block size to 8 megabytes enabling more transactions to be processed every second. Those who oppose Bitcoin XT say the bigger block size jeopardizes the vision of a decentralized payments system that bitcoin is built on with some believing ...



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Pharmboy

Baxter's Spinoff

Reminder: Pharmboy and Ilene are available to chat with Members, comments are found below each post.

Baxter Int. (BAX) is splitting off its BioSciences division into a new company called Baxalta. Shares of Baxalta will be given as a tax-free dividend, in the ratio of one to one, to BAX holders on record on June 17, 2015. That means, if you want to receive the Baxalta dividend, you need to buy the stock this week (on or before June 12).

The Baxalta Spinoff

By Ilene with Trevor of Lowenthal Capital Partners and Paul Price

In its recent filing with the SEC, Baxter provides:

“This information statement is being ...



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Mapping The Market

An update on oil proxies

Courtesy of Jean-Luc Saillard

Back in December, I wrote a post on my blog where I compared the performances of various ETFs related to the oil industry. I was looking for the best possible proxy to match the moves of oil prices if you didn't want to play with futures. At the time, I concluded that for medium term trades, USO and the leveraged ETFs UCO and SCO were the most promising. Longer term, broader ETFs like OIH and XLE might make better investment if oil prices do recover to more profitable prices since ETF linked to futures like USO, UCO and SCO do suffer from decay. It also seemed that DIG and DUG could be promising if OIH could recover as it should with the price of oil, but that they don't make a good proxy for the price of oil itself. 

Since...



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Promotions

Watch the Phil Davis Special on Money Talk on BNN TV!

Kim Parlee interviews Phil on Money Talk. Be sure to watch the replays if you missed the show live on Wednesday night (it was recorded on Monday). As usual, Phil provides an excellent program packed with macro analysis, important lessons and trading ideas. ~ Ilene

 

The replay is now available on BNN's website. For the three part series, click on the links below. 

Part 1 is here (discussing the macro outlook for the markets) Part 2 is here. (discussing our main trading strategies) Part 3 is here. (reviewing our pick of th...

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Help One Of Our Own PSW Members

"Hello PSW Members –

This is a non-trading topic, but I wanted to post it during trading hours so as many eyes can see it as possible.  Feel free to contact me directly at jennifersurovy@yahoo.com with any questions.

Last fall there was some discussion on the PSW board regarding setting up a YouCaring donation page for a PSW member, Shadowfax. Since then, we have been looking into ways to help get him additional medical services and to pay down his medical debts.  After following those leads, we are ready to move ahead with the YouCaring site. (Link is posted below.)  Any help you can give will be greatly appreciated; not only to help aid in his medical bill debt, but to also show what a great community this group is.

http://www.youcaring.com/medical-fundraiser/help-get-shadowfax-out-from-the-darkness-of-medical-bills-/126743

Thank you for you time!




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