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Barclays Wants Dark Pool Complaint Against It Dismissed, Says “Nobody Was Harmed”; NY Attorney General Disagrees

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

File this one for the bizarro files.

After Barclays was caught lying to its “sophisticated” clients about how it handles their order following the lawsuit by NY AG Schneiderman, the bank, having suffered an epic 75% collapse of trading volume in its dark pool, has decided to fight back and earlier today filed a motion to dismiss the dark pool complaint against it. Its main argument, as reported by the WSJ, is that the attorney general’s complaint “fails to identify any fraud, establishing no material misstatements, no identified victims and no actual harm.” In other words, Barclays alleges the dark pool participants were smart enough to figure out Barclays was lying to them when it promised their order flow wouldn’t be offered up to predatory algos.

More:

In its response, Barclays says the attorney general’s office took a number of details out of context and didn’t provide a full account of documents cited in its complaint, according to a copy of the motion filed with New York’s Supreme Court early Thursday.

 

The bank says its clients were sophisticated investors who were well aware that its dark pool, an off-exchange trading venue that doesn’t post investors’ buy and sell orders, included trading by high-speed firms.

 

Barclays also argues the Martin Act, the New York state securities law it is alleged to have violated, doesn’t apply to the case. The bank argues the act, which doesn’t require prosecutors to prove a firm intended to defraud investors, is limited to actions related to the purchase and sale of securities and doesn’t apply to claims made regarding the operation of a dark pool.

 

The bank said the New York attorney general’s office is overstepping its mandate by attempting to regulate dark pools, which it says is primarily the responsibility of the Securities and Exchange Commission. The SEC oversees dark pools, which account for abut 14% of U.S. trading volume, under Regulation ATS, short for “alternative trading system.”

 

“Barclays works closely with its regulators in all jurisdictions and will continue to cooperate with the New York attorney general,” Barclays spokesman Mark Lane said in a statement. “However, we do not believe that this suit is justified, and we have a duty to our shareholders, clients and staff


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Marketwide Short Squeeze 5th Day In A Row

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

For the 5th day in a row, US equity markets have been ignoted higher at the open by a sudden and extreme short squeeze among the weakest balance sheet companies. “Most Shorted” stocks have surged 3% in the last 5 days (double the S&P) but have only just managed to get back to unchanged for 2014 (against a 7.7% gain in the S&P).

5 days in a row…

 

Dragging “most shorted” stocks back up to unchange year-to-date…

 

Charts: Bloomberg





The IMF’s Comedy Of Quarterly Errors Reveals The Biggest Hockeystick You Have Ever Seen

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

Readers are familiar with our quarterly summary of the IMF’s laughable forecasts, which we compile after every quarterly release of the fund’s World Economic Outlook. Moments ago, the IMF released its latest update for world growth and trade for 2014 and 2015. Since we have said it all already, we will cut straight to the charts.

Below we show the progression of the IMF’s quarterly forecasts starting in 2012 and continuing through today. What originally was supposed to be 4.1% GDP growth forecast as recently as January 2013 has, a year and ha half later, been slashed to 3.4%, down from 3.6% in April. As for the increase in 2015 growth forecast from 3.9% to 4.0%, just humor us and laugh.

 

Things were not quite as dire in Europe where the 2014 GDP forecast was cut by just one tenth, from 1.2% to 1.1%. It will be cut more before the year is over as the reality of Europe’s deflation-driven triple dip recession unveils itself.

 

When it comes to China, there is absolutely nothing to say here. Not even the IMF any longer believes that China will be a source of future global growth.

 

But the piece de resistance is the following chart of the US 2014 GDP forecast, which was just crushed by 1.1% from 2.8% to 1.7%, an estimate which recently was 3.0%. But where it gets outright surreal is in the biggest hockey stick we have ever seen, because while the IMF admits 2014 will be the weakest year for US growth since Lehman (due to a snow storm no less), it expects GDP to soar  from 1.7% to 3.0%, the same forecast it had a quarter ago.

And so… presenting the biggest stick you have ever seen!

 

Finally, and no humor here at all, where things get serious is that quietly the IMF once again cut its forecast for the all important global trade, this time from 4.3% to 4.0%. This is really all that matters because after the epic slashing to 2013 world trade growth, 2014 it is now 27% below where it was supposed to be as forecast in January 2013.

Why is trade all that matters? Because while the Fed can monetize everything that isn’t (and…
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Presidential Crisis Management Through The Years

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

Presented with no comment…

 

Source: investors.com





Meanwhile, Ukraine’s Government Collapses, PM Yatsenyuk Resigns

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

As if Ukraine was not struggling through enough turmoil currently, Bloomberg reports that the fragile coalition government has collapsed after two parties quit. The UDAR and Svoboda parties said they’d leave the government and seek a snap parliamentary ballot. Tempers have been fraying recently as numerous brawls have broken out in parliament ahead of President Poroshenko’s pledge to call elections this year. All we have to do now is find out who Washington would like to see in power? The end result: Prime Minister Yatsenyuk just resigned. The big question now is what will the IMF do about the remaining tranches of its loans? Via BBG:

  • *YATSENYUK RESIGNS
  • *YATSENYUK SAYS HE RESIGNS BECAUSE OF COALITION COLLAPSE
  • *YATSENYUK SAYS HE WON’T CALL FOR A NEW COALITION
  • *YATSENYUK SAYS HE RESIGNS ALSO BECAUSE GOVT LAWS FAILED TO PASS
  • *UKRAINE SPEAKER TURCHYNOV CALLS FOR INTERIM PREMIER

How The Ukrainian government has settled these problems in the past.

As Bloomberg reports,

Ukraine’s coalition collapsed after two parties quit during a months-long pro-Russian insurgency in the nation’s east that downed a Malaysian Air jet last week.

 

The UDAR and Svoboda parties said they’d leave the government and seek a snap parliamentary ballot, according to statements today on their websites. Under the constitution, the former Soviet republic has 30 days to form a new coalition or it must call early elections. The existing cabinet will remain in place in the meantime.

 

Prime Minister Arseniy Yatsenyuk’s government, took over the country in February after pro-European street protests prompted Kremlin-backed President Viktor Yanukovych to flee to Russia. Yanukovych’s successor, billionaire Petro Poroshenko, had pledged to call parliamentary elections this year.

 

“We will probably have snap parliamentary elections at the end of October,” Yuriy Yakymenko, the head of political research at the Razumkov Center, said by phone from Kiev today. “This option was probably agreed on by political parties seeking elections and the president.”

 

The government and the current parliament will keep working until new institutions are formed, he said. Olga Lappo, Yatsenyuk’s spokeswoman, declined to comment when reached by phone today.

*  *  *

Ukrainian bonds are tumbling on the news…





Europe’s Proposed Russian Sanctions Leaked: Full Report

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

It appears the European leaders, rather than actually unleash sanctions (as the US has dictated asked), has decided to ‘warn’ of possible sanctions with a 10-page memo of options available to them. As The FT reports, the memo (full memo below) prepared by the European Commission and distributed to national capitals, includes a proposal to ban all Europeans from purchasing any new debt or stock issued by Russia’s largest banks and also proposes barring the Russian banks from listing new issues on European exchanges, preventing them from using London or other EU stock markets to raise funds from non-Europeans. While Germany (and many other EU nations remain nervous of the blowback) the ‘options memo’ is extensive and would likely have significant impact on the Russian economy.

Not everyone’s united for these sanctions…

 

As The FT reports,

EU diplomats will weigh sweeping Russian sanctions on Thursday that include a proposal to ban all Europeans from purchasing any new debt or stock issued by Russia’s largest banks, according to a proposal seen by the Financial Times.

 

The sanctions measure, contained in a 10-page options memo prepared by the European Commission and distributed to national capitals, also proposes barring the Russian banks from listing new issues on European exchanges, preventing them from using London or other EU stock markets to raise funds from non-Europeans.

 

far more extensive than sanctions imposed by the US this month which only targeted two Russian banks, Gazprombank and VEB, since the EU proposal would hit all banks with more than 50 per cent public ownership.

 

 

In addition to the capital markets ban, one of the most onerous measures included in the document is a proposed restriction on exporting “sensitive technologies”, which would include components needed by Russia’s critical energy sector.

 

 

Other options included in the paper are an arms embargo, though the document says the EU exports only about €300m in weapons to Russia and it would largely affect the €3.2bn in armaments imported from Russia by Europe. Many former Warsaw Pact countries still rely on Russian military equipment.

Implications…

“Restricting access to capital markets for Russian state-owned financial institutions would increase their


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US Manufacturing PMI Drops, Biggest Miss On Record

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

But, but, but… the rest of the world’s PMIs are soaring as soft-survey data trumps any hard data facts. US Manufacturing dropped from 57.3 to 56.3 despite analysts that were convinced it should rise further to 57.5. This is the biggest miss on record, and the 2nd miss in a row. In spite of soaring markets proving the recoverty is just picking up and accelerating, new export orders weakened, manufacturing production fell, input costs surged, and employment tumbled to 10-month lows. But, stocks are surging on this dismal news…

 

 

as Employment tumbled to its worst of the year!

“Worryingly, job creation slid to its lowest since last September, which in part reflects concerns that current sales growth may not be sustained. A key source of concern is export sales, which continue to show disappointingly meagre gains”

 

*  *  *

A gentle reminder from BofA of the uselessness of the soft survey based PMI data…

the US data mills churn out a lot of surveys. Since the last FOMC meeting, there have been four new ISM readings and a bunch of regional releases. A popular view is that these surveys are better than hard data.

 

In our view, however, these data get way too much air time. They give a timely, rough read on the economy, but should get little weight once hard data are released.





Spot The Lone Objector

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

Yesterday, Navi Pillay, the UN rights chief told an emergency session of the council on Wednesday that Israel’s military actions in Gaza could amount to war crimes.

Shortly thereafter, the 47-member council voted (and adopted) a draft resolution titled “Ensuring respect for international law in the Occupied Palestinian Territory” to conduct an investigation whether Israel is indeed engaging in war crimes. Note: this was a vote just to conduct an investigation, nothing more nothing less, no military intervention, no aid, nothing: just an attempt to get some information aside from the constant propaganda barrage.

29 states voted in favour of the investigation and 17 abstained, including many EU states. 1 voted against. Guess which one.

Source





Obama Prepares To Send National Guard To Texas As Flood Of Immigrant Children Overwhelms US

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

With America’s attention, diverted for the past week to events in the middle east and Ukraine, once again returning to domestic issues, Obama is coming under renewed pressure to address the immigration issues that has gripped the southern states as this will certainly be a hot topic issue during the midterm elections. Which is probably why the president has sent a team to Texas to assess whether a National Guard deployment would help to handle an immigration crisis at the Mexican border having so far resisted Republican calls for such a move, Reuters reports.

The team, made up of officials from the Department of Defense and the Department of Homeland Security, departed on Tuesday and will be on the ground through Thursday.

 

The White House had previously resisted calls from Republicans to deploy the National Guard to fight the onslaught of migrants from Central America because most of the unaccompanied minors and others making the crossing were turning themselves in voluntarily.

 

But during a meeting with Texas Governor Rick Perry earlier this month, Obama said he was open to ordering the deployment as a temporary solution. He directed Secretary of Defense Chuck Hagel to send the team of evaluators to assess the situation, one White House official said.

 

The officials said the federal team would study whether such a role would be useful and make recommendations upon its return.

 

“There’s no foregone conclusion,” another official said.

Meanwhile, the underlying problem is getting from bad to worse, and as Bloomberg reported overnight, the flood of children at the border is now overwhelming the US, and as a result “President Obama and congressional Republicans have begun to offer the same simple-sounding solution for dealing with the flood of children crossing the U.S. border alone: Send the kids home.

Since October, more than 57,000 children have arrived by themselves, most from Central America, and 22,000 more have been detained with their parents. While the majority of those caught are teenagers, the greatest increase has been among children younger than 12.

The influx has pushed wait times for immigration cases to a record high of 587 days, or more than a year and a half, according to researchers


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Bill “What Rosy Jobs Numbers?” Simon Is Out At Walmart

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

There are consequences to speaking publicly about the real state of the economy. After 8 years of service, Walmart CEO Bill Simon has been replaced by Greg Foran as President and CEO of the behemoth retailer. This comes just 2 week after Simon questioned the validity of the government’s “rosy jobs numbers” on CNBC and several quarters of weak performance at the company (due to a weak economy). Walmart’s press release explains that the new CEO has “a passion for fresh food” and is “one of the most talented retailers ever met.” We are sure these are crucial factors to overcome the stagnating incomes of America for the largest retailer…

 

Walmart Names Greg Foran President and CEO of Walmart U.S.

Today, Walmart (NYSE: WMT) announced that Greg Foran, 53, has been promoted to President and CEO of Walmart U.S. Foran succeeds Bill Simon who has been in the role since June 2010 and will be transitioning out of the company.
 
Foran will assume his responsibilities on August 9 and will report directly to Walmart President and CEO, Doug McMillon. Simon will be available on a consulting basis for the next six months to ensure a seamless transition.

“Greg is one of the most talented retailers I’ve ever met. His depth of knowledge and global experience will bring a fresh perspective to our business,” said McMillon. “His passion for fresh food, experience in general merchandise and commitment to e-commerce will help us serve our customers even more effectively for years to come.”

“During Bill’s eight years of service to Walmart, his passion for our mission, dedication to our associates and our customers, and innovative thinking pushed us forward,” said McMillon. “From the very beginning, his vision led us to lower the cost of health care through our $4 prescription offering. And, most recently, he put us on a path to future growth with small formats and efforts that integrate digital and physical retail.”

A 35-year retail veteran, Foran joined the company in October 2011 and became President and CEO of Walmart China in March 2012. While leading the business in China, the team made significant progress with its assortment, pricing, store operations and compliance as Foran led strategic investments in the supply chain and improved the store portfolio. He was promoted to President…
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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!

 
 

Zero Hedge

Barclays Wants Dark Pool Complaint Against It Dismissed, Says "Nobody Was Harmed"; NY Attorney General Disagrees

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

File this one for the bizarro files.

After Barclays was caught lying to its "sophisticated" clients about how it handles their order following the lawsuit by NY AG Schneiderman, the bank, having suffered an epic 75% collapse of trading volume in its dark pool, has decided to fight back and earlier today filed a motion to dismiss the dark pool complaint against it. Its main argument, as reported by the WSJ, is that the attorney general's complaint "fails to identify any fraud, establishing no material m...



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Phil's Favorites

Meanwhile, Ukraine's Government Collapses (PM Yatsenyuk Resigns)

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

As if Ukraine was not struggling through enough turmoil currently, Bloomberg reports that the fragile coalition government has collapsed after two parties quit. The UDAR and Svoboda parties said they’d leave the government and seek a snap parliamentary ballot. Tempers have been fraying recently as numerous brawls have broken out in parliament ahead of President Poroshenko's pledge to call elections this year. All we have to do now is find out who Washington would like to see in power? The end result: Prime Minister Yatsenyuk j...



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Chart School

How Long to the Next Recession? iM's Weekly Update

Courtesy of Doug Short.

Advisor Perspectives welcomes guest contributions. The views presented here do not necessarily represent those of Advisor Perspectives.

The BCI at 179.2 is up from last week’s 178.5. The BCIg, the smoothed annualized growth of BCI, at 22.2 is at its highest level in the current business cycle, rising from last week's 21.6. This week’s BCI does not indicate a possible recession in the near future.

Figure 1 plots BCIp, BCI, BCIg and the S&P500 together with the thresholds (red lines) that need to be crossed to be able to call a recession. Figure 2 plots the history of BCI, BCIg, and the LOG(S&P500) since July 1967, i.e. the last 44 years which include seven recessions, each which the BCI managed to indicate timely.

...



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Insider Scoop

UPDATE: 3M Q2 Earnings Meet Estimates

Courtesy of Benzinga.

Related MMM Earnings Scheduled For July 24, 2014 Stocks To Watch For July 24, 2014 Nasdaq Seen Rallying on Apple, Facebook Results (Fox Business)

3M Company (NYSE: MMM) reported in-line earnings for the second quarter.

The St. Paul, Minnesota-based company posted a quarterly net profit of $1.27 billion, or $1.91 per share, versus a year-ago profit of $1.2 billio...



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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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Option Review

Sizable Call Spread Trades On Orexigen

A large call spread initiated on Orexigen Therapeutics, Inc. (Ticker: OREX) on Monday morning looks for shares in the name to rally approximately 30% by September expiration. The September expiration is noteworthy as the company awaits the results of the FDA’s review of its resubmitted New Drug Application (NDA) for NB32, an investigational medication being evaluated for weight loss, after the review was extended for three months back in June. The upcoming Prescription Drug User Fee Act (PDUFA) date is September 11, 2014, according to a press release issued by the company. Shares in Orexigen today are up roughly 0.40% at $5.34 as of 2:15 p.m. ET.

...

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Sabrient

Sector Detector: Bulls remain unfazed by borderline Black Swans

Courtesy of Sabrient Systems and Gradient Analytics

Despite a highly eventful week in the news, not much has changed from a stock market perspective. No doubt, investors have grown immune to the daily reports of geopolitical turmoil, including Ukraine vs. Russia for control of the eastern regions, Japan’s dispute with China over territorial waters, Sunni vs. Shiite for control of Iraq, Christians being driven out by Islamists, and other religious conflicts in places like Nigeria and Central African Republic. But last Thursday’s news of the Malaysian airliner tragically getting shot down over Ukraine, coupled with Israel’s ground incursion into Gaza, had the makings of a potential Black Swan event, which in my view is the only thing that could derail the relentless bull march higher in stocks.

Nevertheless, when it became clear that the airline...



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OpTrader

Swing trading portfolio - week of July 21st, 2014

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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Stock World Weekly

Stock World Weekly

Newsletter writers are available to chat with Members regarding topics presented in SWW, comments are found below each post.

Here's the latest Stock World Weekly. Please use your PSW user name and password to log in. (You may take a free trial here.)

#452331232 / gettyimages.com ...

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Market Shadows

Danger: Falling Prices

Danger: Falling Prices

By Dr. Paul Price of Market Shadows

 

We tried holding up stock prices but couldn’t get the job done. Market Shadows’ Virtual Value Portfolio dipped by 2% during the week but still holds on to a market-beating 8.45% gain YTD. There was no escaping the downdraft after a major Portuguese bank failed. Of all the triggers for a large selloff, I’d guess the Portuguese bank failure was pretty far down most people's list of "things to worry about." 

All three major indices gave up some ground with the Nasdaq composite taking the hardest hi...



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Digital Currencies

Bitcoin Vs Gold - The Infographic

Courtesy of ZeroHedge. View original post here.

Submitted by Tyler Durden.

While Marc Faber has said "I will never sell my gold," he also noted "I like the idea of Bitcoin," and the battle between the 'alternative currencies' continues. The following infographic provides a succinct illustration of the similarities and differences between gold and bitcoin.

Please include attribution to www.jmbullion.com with this graphic.

...

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Pharmboy

Biotechs & Bubbles

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

Well PSW Subscribers....I am still here, barely.  From my last post a few months ago to now, nothing has changed much, but there are a few bargins out there that as investors, should be put on the watch list (again) and if so desired....buy a small amount.

First, the media is on a tear against biotechs/pharma, ripping companies for their drug prices.  Gilead's HepC drug, Sovaldi, is priced at $84K for the 12-week treatment.  Pundits were screaming bloody murder that it was a total rip off, but when one investigates the other drugs out there, and the consequences of not taking Sovaldi vs. another drug combinations, then things become clearer.  For instance, Olysio (JNJ) is about $66,000 for a 12-week treatment, but is approved for fewer types of patients AND...



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Promotions

See Live Demo Of This Google-Like Trade Algorithm

I just wanted to be sure you saw this.  There’s a ‘live’ training webinar this Thursday, March 27th at Noon or 9:00 pm ET.

If GOOGLE, the NSA, and Steve Jobs all got together in a room with the task of building a tremendously accurate trading algorithm… it wouldn’t just be any ordinary system… it’d be the greatest trading algorithm in the world.

Well, I hate to break it to you though… they never got around to building it, but my friends at Market Tamer did.

Follow this link to register for their training webinar where they’ll demonstrate the tested and proven Algorithm powered by the same technological principles that have made GOOGLE the #1 search engine on the planet!

And get this…had you done nothing b...



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About Phil:

Philip R. Davis is a founder Phil's Stock World, a stock and options trading site that teaches the art of options trading to newcomers and devises advanced strategies for expert traders...

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About Ilene:

Ilene is editor and affiliate program coordinator for PSW. She manages the site market shadows, archives, more. Contact Ilene to learn about our affiliate and content sharing programs.

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