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Will We Hold It Wednesday – Strong Bounce Edition

Fly markets, FLY!!! 

Sure it doesn't look all that impressive on the Big Chart, but what a turnaround we're having this month as China drops $236Bn into their market, boosting the Shanghai back to barely a 35% drop from their highs, back at 3,243 at the day's close.  Only 50% more and we're back to 5,000!  

It sure isn't for lack of trying as China just lowered the tax-rate on dividends to ZERO for stocks that are held 12 months or longer but, silly China, this will have the unintended consequences of halting all investment and expansion in Chinese companies as investors demand all the profits be returned as dividends, which then become a problem for the Government and their tax revenues sink.  

Of course China may realize this mistake and change the policy even before the year is up but then they would seem fickle and out of control and that will spook investors out of the market so, in short, we're really just kicking the crash down the road – one way or another.  The government also intends to cut taxes for small businesses and allocate more funds for infrastructure projects, with two railway projects worth almost 70B yuan ($11B) being approved.  

The Matthews China Dividend Investor (MCDFX) should do quite well if you're looking for a way to partake ($13.09 at the close) and CHN should do well as well, as should our long-time favorite Chinese stocks, China Mobile (CHL), which already pays a hefty 3.5% dividend ($1.97) in what is now a $59.45 share (down from $70s in May).  To play this one I like:

  • Selling 5 2017 $50 puts for $5 ($2,500 credit)
  • Buying 10 2017 $55 calls for $9.80 ($4,900 debit) 
  • Selling 10 2017 $65 calls for $5.60 ($2,800 credit)

That nets out to a $400 credit and returns up to $10,400 if CHL is over $65 in Jan 2017 for a very nice 2,600% return on cash.  The worst-case would be owning 500 shares of CHL at $50 ($25,000) less the $400 credit, so $24,600 or $49.20 a share is your "worst case" and that's a 15.5% discount off the current price (see this weekend's "Buying Stocks for a Discount").  

Technically, the whole Chinese market is at a discount if you think they can pull off a rescue here and I'm not particularly bearish on China now that they've had their 40% correction – but I will be if they pop right back to the highs they never should have hit in the first place.  

I don't mind owning the phone company but I'm still very leery about other Chinese stocks because, as has been demonstrated of late – they are really hard to value.  For years CHL has been our favorite pure China play and, given this latest move to drive investors back to the market, we think it's a good time to get back in and will be doing so in our Long-Term Portfolio, which has gone to mainly cash and will remain so into the Fed meeting.  

SPX DAILYSpeaking of the Fed meeting, we've raced back to our strong bounce levels, as noted in yesterday's post, with the Dow making up the last 150-points this morning on more pre-market pumping and the Nasdaq well over and the NYSE also testing the line at 10,300 on this morning's pump job.  Russell Futures (/TF) are hovering near 1,070 and yes, we prefer a short there to a long but we'll want to see how the DAX handles 10,500 before we place any bets.  

Dave Fry notes on his S&P 500 chart that we're still forming a bear flag, which is marked by a strong volume decline during the rally, which is often followed by a very sharp decline, breaking below the previous lows.  While not the only reason we decided to go to cash – it's a damned good one that we'll be following into next week's Fed meeting.  The short story is, if we're not over 2,025 on the S&P – continue to be very nervous if you are still heavily invested in the market.  

Keep in mind that we EXPECTED a strong bounce – it's what happens after that which will tell the tale of the markets in Q4.  Yesterday, we talked about Barron's analyst consensus and today we'll look specifically at Goldman Sachs because David Kostin has been kind enough to make a very detailed list of their assumptions, including that the Fed will not hike until December, in this chart:

Screen Shot 2015 09 08 at 8.41.24 AM

David sees the S&P finishing the year at 2,100 DESPITE the 0.3% (more than 10% increase) in US 10-year rates and a 50% increase in Japan's 10-year rates.  I find that unrealistic regarding Japan due to their immense debt load of $12.5Tn, which means even a 0.2% rate increase will cost the country $25Bn a year in additional interest, which would be almost $100Bn in the US economy.  It doesn't kill but it stings and that then makes you wonder how we move higher from there?  

SPX WEEKLYTo give him credit, Kostin does not see much growth past 2,100 for the S&P for the rest of 2016 and that we can agree with.  He sees the GDP declining somewhat but I have to disagree with his bullish take on oil – I don't see the $60s without some sort of crisis.  Nonetheless, inflation will rear it's ugly head but his assumptions that exports will pick up substantially along with Business investments don't seem too likely to me.  

This morning we should get 20 more points out of the S&P, to around 1,985, but still a far cry from 2,000 and the real test is way up at 2,035, which is our 10% line on the Big Chart and represents the halfway point between the top and recent bottom, a very critical juncture – if we get there at all.  

Meanwhile, we'll be locking in our bullish gains as this rally is all Chinese stimulus (and Japan also cut Corporate Tax Rates – goosing the Nikkei) and expectations that the Fed is now off the table next week – confirmation of that which may give us that test of 2,035 after all.

While we wait for all that excitement, we have the big Apple event today, which will be 1pm, EST.  I was pitching an Apple (AAPL) play on BNN's Money Talk during the crash two weeks ago (8/26) but they only aired the 2nd part of the segment last week (9/2) as we ran over, but here it is with a play that is still valid:

We also had a BHI trade if you watch the clip (click on the image) and already both are doing well, with the AAPL short puts down to $5.20 ($10,400) off yesterday's action and the bull call spread already at $37,840 for net $27,440, which is already up 35% off our $17,800 cash outlay.  That is, of course, why it's our trade of the year!  

The max potential gain on this is $42,400 so up $9,640 is "on track" at the moment.  If we're lucky, Apple will disappoint investors today and we'll get another nice entry point – stay tuned!  

 


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  1. You guys had an interesting discussion AH yesterday – damn, missed it! 

    One last comment before hours about this Kim Davis circus – I wonder how many of these clowns like Ted Cruz and Huck would come to the defense of a county clerk who decided not to issue gun permits on the ground of religious beliefs. Just askin'


  2. Good rant about comparing historic valuations from Josh. Don't agree with everything, but some it does make sense:

    http://thereformedbroker.com/2015/09/08/and-now-a-brief-rant-about-historic-valuation/

    One of the dumbest thing’s I’ve seen this entire summer (no small feat) is this thing where Deutsche Bank says that the combination of stocks, bonds and real estate haven’t been as overvalued as they are now in 200 years.[...]

    Even today we don’t know what real earnings are. 20% of the S&P 500 is made up of tech companies and about half of them play games with GAAP on a regular basis. They pretend that employee and executive comp can be expensed as an item that may or may not appear in future quarters. Cisco does it. Google does it. Anything that might lower reported EPS is treated like a non-recurring freak accident of some sort. And then bathtubs full of stock options are handed out and they do the same thing 90 days later. And then there’s goodwill, and tax-advantaged write-downs and all sorts of other fun stuff that wasn’t going on even a decade ago. And you’re going to tell me you feel good about the PE multiples of railroad monopolies from the fucking Civil War era?[...]

    Historical context is excellent for understanding financial markets. But let’s remember that the numbers on a spreadsheet don’t exist in a vacuum. They are a function of what’s happening in the world, as progress steadily mows down the economic realities of the past.



  3. Great synopsis on the 2 political parties at the end of last post Phil


  4. Maybe commodities are close to a bottom. At least sentiment could not get any lower it seems:

    https://shortsideoflong.com/2015/09/commodities-close-to-a-major-bottom/

    Commodities are now on track for their fifth annual decline in the row. This is an extremely rare occurrence for any asset class. In the case of commodities, prices have now declined below March 2009 bottom and have recently started to test the level of 185 on the CRB Index. This price dates all the way back to 2001, when the China driven commodity bull market began. Such a persistent decline has resulted in production and supply cuts, which will eventually saw the seeds for a strong rebound.

    Commodity Sentiment

    Of course, as Josh said, numbers in a spreadsheet (or chart) don't exist in a vacuum! Maybe this time it's different.


  5. Good Morning!


  6. Interesting article:

    http://www.philosophicaleconomics.com/2015/09/invest/

    It’s possible to construct the functional equivalent of a put option at a given strike price by selling covered call options at that strike price–going long the equity at the market price, and then selling calls at the strike price.  Deep in the money covered call options, which mirror out of the money put options, provide a return from premium and a return from the dividends that accrue to the seller over the time horizon.  By put-call parity, the difference between that return and the premium offered by the corresponding out of the money put option should equal the interest rate earned on the cash, plus a premium to cover the risk of the early exercise of the call option, which will deprive the seller of subsequent dividends.

    Right now, the difference seems large.  The deep in the money covered call option would therefore seem to be the more attractive choice, especially given that the cash held on reserve to secure the put option won’t be able to earn any interest in an IRA, and that the last dividend that accrues to the deep in the money covered call option will be paid three months before expiration, increasing the cost of exercising the call early so as to receive the dividend.  If the holder of the call chooses to exercise the call before expiration in order to receive the dividend, preventing us from receiving it, fine–we will be “freed” from a 12 month commitment three months early.


  7. BTW, no "FU VXX" today Jabo! TOS P&L shows up 12% in less than 3 weeks for my position and actually over 20% on actual Reg-T margin for the short calls. Doesn't sound sexy, but still 200% on an annual basis. Some of these short calls are actually up close to 100% on margin alone now since I kept selling some as VXX kept going up! 

    I'll stick to that strategy for sure! It's like my little free money machine.


  8. Trade of the Year: I guess it's only fair for any Canadian BNN viewers who placed the AAPL bullish trade to note that on September 4th they should have closed out the position :)

    And we're OUT!!! 

    That's right, we've had enough of these idiotic market moves and, after discussing the idea with our Members all week, I sent out Alerts this morning that we will be cashing out our main Virtual Tracking Portfolios ahead of what we consider market conditions that are simply too unsafe to hold large, bullish positions in.  


  9. Phil, we did the other day a sale of Jan17 puts. Sofare nice credit what about setting up a BCS jan17 65/90 for 13.35 and I would still add some putters at Jan17 60 for 5.90 net cost 7.45 on 25$ spread.


  10. stj, morning…would you mind sharing the strikes and exp on the vxx that you are playing…..as i would like to take another look at them…..tks


  11. Good morning!  

    Right on Davis, StJ, good point about permits.  I doubt Huckabee would throw a party.  

    Josh making sense as usual.  Our defense budget (even the low-ball version) completely out of control on a Global scale.  

    Thanks Jomp. 

    Commodities/STJ – Well that's been my theory.  

    Oh no, everything failing already and we didn't press our shorts!  


  12. ANTM Jan17 125/150 BCS @ 13.80 and sell the Jan17 125 putter for 9.30 net cost 4.50 on a 25$ spread.


  13. I didn't press my shorts either… they're a bit wrinkled, but I'm already wearing them.


  14. VXX / Mill – I have been selling Jan 17 50 calls. My average price is now over $6.00. I have been adding contracts with big spikes to raise the average sales price. I guess the reverse doubling down play! I am not closing anything yet because it's a really small portion of my portfolio and I have a lot of spare margin. I might add more if we spike again as long as it raises my average price. 

    You are really playing the reversal to mean that is normal for the VIX. Unless we think that the VIX is going to 50 and stay there for the next 18 months which I don't think has ever happened, I feel pretty good about that play! And by then, we will have the 2018 and 2019 expirations to roll to anyway! And if the VIX stays at 50 the entire time, we will probably have other worries1


  15. Deep cover/StJ – We used to do that when premiums were high enough but been long out of that habit as they thinned out.  It is a great strategy – especially for restricted portfolios. 

    Closed/Winston – As I had pointed out, it's a position (the original) that we already closed out but we were back in a similar on prior to Friday.  Now I want to get back in very badly but I'm going to wait until after the announcement in case we get lucky and they disappoint (or the broad market fails and takes AAPL with them). 

    Sorry Yodi, I can't figure out what stock you're talking about (been a busy week!).  

    ANTM/Yodi – I'm not so confident that I'd add a bull call spread so soon.  Still don't trust the broad market.  


  16. YHOO/Phil – Are we still interested in adding YHOO to the portfolio per yesterday's post.

    "phil 
    September 8th, 2015 at 6:14 pm | Permalink | Tweet thisIgnore this user

    YHOO very interesting below $30.  …..

    So very undervalued with wriggle room makes this a no-brainer to add to our portfolio tomorrow (someone remind me).  "


  17. back to even money on CLF… yay!


  18. sold UCO Jan 19 puts for 2.40 to complete the strangle – sold the Jan 30 calls for 4.14 – 2 of each. Low of the year was 17.05


  19. The stock I was talking about is SWKS


  20. Phill/  Question – why do you want to get back into AAPL badly?  Any news that you think might propel the stock further?  Thanks.


  21. This is a good sign for our economy but not a good sign for Corporate Wages:

    Embedded image permalink

    Once people begin to realize there are other jobs out there, they will begin quitting or asking for more wages and then, finally, we'll start to get the good kind of inflation!  

    YHOO/Bshing – Thanks for reminding me.  Yes, because of – MATH!!!  Didn't get a great sell-off but still way behind BABA, which popped 4% today.  Here's what I said yesterday + trade idea:

    YHOO very interesting below $30.  Just had to summarize for a reporter and here's what I said:

    The IRS did not reject a request  for the spin-off.    What the IRS did (or did not do) is they refused to issue a ruling that would have confirmed that the planned spin off would be a tax free event.  By refusing to give an opinion, the IRS has introduced a level of uncertainty that Yahoo cannot live with and they are then forced to cancel the spin-off, for fear that, if they did go through with it, all the shareholders getting new Alibaba shares would have to pay tax on them as if they were cash. 

    What Yahoo can still probably do is create a holding company for it's Alibaba stake (about $23Bn) and that should have no tax consequences, though the function of that holding company would be difficult to understand. 

    Yahoo has been moving in lock-step with BABA since BABA went public.  At the time it was worth $40Bn and is now down about 40% and YHOO's  stock value has dropped to $29Bn, $23.25Bn of which is 382M $61 shares of BABA and the company is sitting on over $6Bn in cash from previous sales of BABA stock (taxes already paid).  That gives YHOO an enterprise value of NEGATIVE $800Bn but (and it's a big but) if they incur taxes while liquidating the BABA shares, there goes $8.2Bn (35%) up in smoke and shareholder lawsuits would fly, and everyone involved in the mishandling of this transaction would have their careers ruined. 

    So they must back off this transaction without a definitive ruling from the IRS but, if they do manage to put something together that creates a tax-free structure, the company does drop about $300M to the bottom line and even a conservative 10x value on that puts them $3-4Bn (10%) undervalued and, if BABA recovers some of the 50% it's lost from it's highs – well, that's another 1% per BABA $1 that Yahoo gains in value on those shares. 

    The stakes are very, very high on this one and no one is going to rush to make a move until they are SURE it won't blow up in their faces.  Shareholders will be very unhappy and dump the stock – but we consider it a great opportunity to take a cheap position below $30.

    - Phil

    What's funny about talking to the press is I did all that work as a "rush favor" and here's what got printed:

    The Sunnyvale, California, company announced its plans for Aabaco in January, much to the delight of shareholders. Under current IRS rules, this method can work if the spun-off company has an active business, which Aabaco would since it would house Yahoo's small business unit. Some on Wall Street began to worry that this plan might not work after an IRS official in May said the agency was considering changing those rules, and following the Tuesday filing, those worries are now in full force. "The stakes are very, very high on this one and no one is going to rush to make a move until they are sure it won't blow up in their faces," said Phil Davis, founder of Philstockworld.com.

    Oh well, that's why I hardly ever do those things…

    Anyway, as a trade idea, we can in the LTP:

    • Sell 10 2017 $30 puts for $3.80 ($3,800) 
    • Buy 10 2017 $25 calls for $8.50 ($8,500) 
    • Sell 10 2017 $38 calls for $2.20 ($2,200)

    That's net $2,500 on potential $12,500 upside, not bad and worst case is aggressive but owning YHOO at net $32.50, $1.30 higher than it is now.  

    CLF/Mkucstars – Congrats.  

    While we're on the top of positions – CHL is up 0.86 today but still cheap at $60.22 and we can sell 5 2017 $50 puts for $3.90 and that drops $1,950 into the LTP and keeps our eye on it.  

     SWKS/Yodi – Oh, in that case I like the idea but too soon for the LTP.  I'd rather see if we have another sell-off over the next week first.  

    AAPL/Rookie – Well it's still my stock of the year and my 2017 target is still over $140 so, at $112 – it makes me sad not to own them.  I don't think it needs news to get to $140, just keep doing what they are doing.  What I do fear is good news popping the stock when I'm not in it and missing the move up.  


  22. Openings / Phil – A good sign indeed. And BTW, we hear all the time for one side of the political spectrum that we have had a soft recovery, but look at the way job openings bounced from the end of the recession in 2001 and the way they did in 2009! And tell me which recovery looked softer despite all these idiotic tax cuts!


  23. HRB – now why didn't I buy them in late 2012 when I was looking at them?


  24. UTX – good way down from highs, and around weekly trendline support, monthly 50ma. Now is there a 'reason to buy'?


  25. Good afternoon, everyone!

    Sorry for the delay. Took longer than normal to get the file this morning and do the editing. (2.3 Gb final video size in HD!)

    BUT… This week's webinar will be up shortly on YouTube! (It's being "processed"… whatever that means…) It should be ready in a little while. Here's the link:

    http://youtu.be/mW1sJTqp1YM


  26. BKS/Phil – ouch on earnings today. Are they fixable like BBY was or doomed?


  27. In the 5% Portfolio we now have 10 long and 20 short and we're going to close our remaining 10 long DIA Sept $155 calls at $10.20 and HOPE the short calls expire lower than they are now.

    HOPE, however, is not a valid investing strategy so we will protect ourselves with 15 DIA Nov $165 ($5.65)/$170 ($3) bull call spreads at $2.65 ($3,975). That gives us $6,025 of upside protection in case the Dow pops higher than it is now and, of course, if it does, we'll add more bullish positions.

    On the whole, though, it reflects my bearish attitude because I don't see $167.50 as a big threat and certainly not $170 which is less than 5% up from here (17,250) by next Friday.  


  28. Soft/StJ – I still don't like the downshift in job quality and, in the not too distant future, the robot-driven lay-off cycle will begin.  In fact, Watson is already doing its own commercials now.  Humans are so incredibly stupid – this commercial will one day be recognized as the day computers began to replace us en masse.

    HRB/Scott – Old fave.  They always run up into the end of the year.  

    UTX/Scott – Too much turmoil and Otis in big trouble due to lack of Global Construction.  Not bad for a long-term poke with a short put but not much else.  

    Thanks Greg.  

    BKS/Scott – I tried to give away boxes of books to charity and the people at Big Brother wouldn't take them and our own library doesn't want them – what does that tell you.  I think if they didn't have SBUX inside for people to hang out, no one would be in those stores.  I'm still a book person but I'm old so that doesn't count.  My kids only read them for school and half of those are going digital.  


  29. Hey, who was in charge of watching the DAX this morning?  I told you failing 10,500 would be a bad sign:

    All of Europe had a rough finish after a strong open:


  30. Now the STP is all updated – I apologize for yesterday's mix-up as we didn't have a lot of changes in yet.  This seems to be right but let me know if anything is missing :

    Clearly we're too bullish as we're still up from yesterday but we've certainly accomplished having a much more manageable and flexible set to work with.  I'm pretty content to just see what happens at the moment. 


  31. SRCL – yet another 'boring' company that just keeps growing.



  32. Cook says MONSTER announcements – so many they have to get right to them. 

    Starting with watch.  Claims 97% satisfaction rating.  

    Oddly, Cook is not wearing an IWatch while telling us how life-changing it is.  


  33. Jobs/Phil, STJ -  Here is a perspective from someone who's currently employed and interviewing.  Once companies get people cheap it takes a long time for them to adjust to the new reality.  Most, including my current employer, think they can still get well-qualified people for pennies as if it's still 2009.  This mentality causes them to leave positions open for an extended period of time and waste everyone's time interviewing dozens of people who never get offers (very often for trivial reasons).   Very often, they just leave these positions open and distribute the work among current employees.  When they do hire someone, they often hire whomever works cheap regardless of qualifications.  Offers are routinely declined by many because they are too low, but management is undeterred and continues to refuse to pay anyone.  No one believes there is an impending expansion large enough to require bringing people on board immediately.  And they don't care about getting less qualified people as long as they are cheap.  I know that things have gotten better than they were, but the view from the field indicates that this logjam is not going to break anytime soon.  Of course this varies by field and compensation, but I think most fields are like this currently.   


  34. Seer: Jobs…You get what you pay for.  In the executive search industry we see just the opposite to what you are seeing.


  35. Judging by the audience, I'd be surprised if more than 20% of the dedicated Apple fans that are there even care about the watch.  Still, they are certainly doing cool things:

    90 language translator. 

    Facebook messenger

    GoPro remote control

    Airstrip (they have doctors demoing) lets doctors keep track of patients live.  Lot's of cool features.  Watch authenticates user so "secure".  Dr can see live EKG of any of his patients in hospital on the watch and then send nurse message.  Essentially, they can do their rounds on a golf course…

    OB-GYNs can keep track of mother and babies heart rates using their home monitor.  That's pretty cool.

    watchOS2 ships next week.  

    Now Hermes watches. $$$$$$$

    Jobs/Seer – Very true but this is normal at an early stage of job expansion.  Like a dam, cracks will form and people like you will leave for a better offer and your company will wake up to the fact that it needs to spend money on employees to compete effectively.  Sadly, it's a long, painful process.


  36. AAPL stock $113.50 so far – up 1% on the day. 

    Now it's IPad time!  

    BIG NEWS, says Cook.  Music and everything…


  37. ipad pro!


  38. Clinton email – Not to drag on this topic from yesterday but I just got a chance to read it this morning.  I'm not making a political statement or taking sides.  I ran the Communication Systems for a Fortune 500 for 7 years, since have changed positions.  The only thing about that situation that surprises me was the assertion that running business email through a personal email account isn't wrong.  So the U.S. Government has no policy on proper use of its information beyond "Classified".  That surprises me.  This particular organization looks at it as they own that information and it needs to be within its control and discoverable for legal reason.  At minimum, it sounds sloppy and lacking controls.  If there was no policy, why not.  If there was a policy, then it seems like this would be clear.


  39. Doctors keeping track of my vitals while playing golf?!  What is that going to cost me???  Yikes!


  40. Oh, it's actually huge!  

    IPad Pro.  OK, I'm sold.  

    Now let's find out what the features are of my new toy….

    12.9 inches – very nice!   More than 50% more screen.  

    iPad Pro resolution is 2732×2048 pixels. More than a 15-inch MacBook Pro with Retina Display.

    Shows AutoCAD running on it. 320,000 objects in a wire mesh, pan around with 60fps smoothness.

    Multitasking.

    A9X chip: 64 big. 2x memory of A8X in iPad Air 2. Double the storage performance. 1.8x faster than the A8X it replaces. "This is desktop-class performance."

    A9x chip is 2x faster – getting close to desktop performance.  

    Full-sized virtual keyboard.  

    10-hour battery?  Now they are just making things up!  

    4-speaker audio???  Re-balances sound depending on how you are holding it???  

    iPad Pro is 6.9 mm thick. (iPad Air is 6.1.) iPad Pro weighs 1.57 pounds. (The OG iPad is 1.54 pounds, but Phil assures you this iPad Pro is better.)

    This computer will take our jobs!  

    There's a surface-looking cover with a built-in keyboard too.  

    Cool – computer is smart and knows to give you more screen space when you switch to external keyboard.  

    LOL – they finally have a stylus:

    There's a whole video about it.  


  41. The commercial made me want to short it


  42. Phil, new iPad wow, what's the new PSW trade for AAPL?


  43. Looks a lot like like a Surface Pro!


  44. what's hitting the market? certainly isn't Apple news. 


  45. Now they say we can simulate surgical procedures on it??  Hmmm, I'll let you guys know.


  46. AAPL $112.60.  Don't know why, they just got $1,200 from me!   Maybe one for my daughter too as it looks like it makes a great art pad.  

    Pencil plugs into the IPad to recharge. 

    They are super-proud of the pencil and I'm sure it was hard to get right.  I know this because Maddie and her art friends are always going on about which tablet/pencil combos are best for which things (they mostly use strange Japanese pads made specially for digital artists).  

    Wow, they are introducing MSFT's head of development to show you how well office works on the IPad.  

    Office already works with the pencil?  Wow, these guys have been getting close..

    Running two apps side by side is very nice – means I can take more vacations!  

    MSFT getting applause at an Apple Meeting – Jobs must be rolling over..

    Now ADBE doing a demo (subtle hint that flash wars haven't killed relationship).  

    I don't even understand what the ADBE guy is doing – something very cool for graphics design/DTP

    1,000 fonts! 

    Well, the guy did make a professional-looking magazine layout from scratch in 30 seconds so whatever it is, it's impressive.  

    What's really impressive is the speed at which everything happens on this machine – not a pause yet.  

    LOL – and he just did an undo that went back through elements added from 3 programs all the way back to the blank paper and then reloaded them.  Wow!  

    One more! 3D 4Medical, an anatomy app for doctors, patients, and students. Irene Walsh with the demo.  Doc can show patient 3D models of the bones and muscles in their body. Smooth animations show joints, muscles, skin.

    Drawing tools that use the Pencil. You can even simulate a surgical procedure by "cutting away" tissue with the pencil. Create 3D models of injuries, arthritis, etc.

    Did I say Wow?  This is like landing in a science fiction movie 50 years in the Future.  

    It's so FAST!  

    Excuse me – I have to go wait in line….   


  47. Nope, don't think you can do that. But the anatomy thing is pretty cool



  48. where can you buy it?


  49. That's a lot cheaper than the drawing tablet I bought for Maddie!  

    EMail/Sewright – No one's disputing the whole thing is poorly designed but they were in the process of changing the rules when Hillary was there and that's how she got technically "caught" as the rules change while she was in office (Jan '09 – Feb '13).  Let's not forget, those "sloppy" rules were from the previous administration and Obama's changes made them a lot more secure and that's where Hillary got squeezed in between as she continued to do what was allowed under Bush.  You know Bush, the guy who ignored this briefing:

    Gosh, I wish that wasn't classified at the time – maybe someone would have actually read it and acted on it!  Although that's not fair to Bush as he certainly did read it – or at least had it read to him as it was the PRESIDENT'S DAILY BRIEFING.  

    AAPL/Silver – Same as above at the moment but I'm hoping for a better entry.  As good as the new IPad may be – it's just an IPad and isn't likely to move the needle much, other than cannibalizing more laptop sales.  

    Hitting/Den – Just the BS pump job hitting some sellers.  These low-volume things turn on a dime as soon as sellers show up.  

    Where/Jomp – Boy AAPL sure is missing the mark in their marketing if you don't know the answer to that!  cheeky


  50. Phil / AAPL – Apple TV – they cracked the interface…. this is a big deal ( everyone  will be copying) …. now let's see if they have some unique content…  


  51. Wow! Apple TV with the Siri Interface is so cool! Waiting to see what the price is going to be.


  52. That's why I started with, I am not choosing sides.  The systems was sloppy, unacceptable regardless who/what/when.  I'm increasingly saddened (sickened!) by what I see from our government.  I don't know if this greedy behemoth was always so awful or if it just appears that way because we have so much information at our disposal.  


  53. Siri…make the market stop going down


  54. OK, back to AAPL TV – I'm not impressed and the stock is now $112.08. 

    "Our vision for TV is simple and perhaps a little provocative. We believe the future of television is apps." —Tim Cook.

    Filter searches via voice. "Show me family movies. Animated. Just the new ones." Search by actor, genre. Tilt the controller to play Asphalt 8, other games.

    New Apple TV remote has a glass touch surface up top, and then Menu, Home, mic, play/pause, up/down buttons. "Glide" across the menus.

    It does do what I always thought these things can do.  You can say "find that star trek with the Gorn" and it does.  That's how a TV thing should work.  You can tell it to go forward or back specific amounts of time.  You can say "what did he say" and it goes back 15 seconds and turns on the captions – that's smart.  They don't say you can say skip commercials but that will quickly be an app.  

    You can build on the searches (go levels deeper without losing what you've done), that's good.  

    While you're watching TV you can use Siri for whatever you want too.  No split screen – I'd think that's an obvious thing to have.  

    And now this:

    Plays console games as apps.  That could be a big money shifter.  


  55. Someone summed up my exact thoughts re: IPad Pro in comic form in 2012.

    Some NSFW language so here's the link: https://pbs.twimg.com/media/COenroJWEAAjLoi.jpg:large


  56. I've gotta say, I'm sitting here watching a 90-minute commercial and I'm loving it – that in itself is a great trick!  Can't say I've ever done that for a MSFT product.  

    LOL Greg, very true!


  57. That's what I said Greg… Everything they have shown today, my daughter does on her Surface Pro already! Pen – check, keyboard cover – check, Office with a pen – check. And you can run desktop applications. There is not much unique there except the Apple logo. It does look like a great product, but it's really not that innovative. Here for the the guys at Engadget:

    Do both of these tools sound familiar? They should, because it's the same one-two punch that Microsoft has been touting with its Surface laptop-tablet hybrids. Not that there's anything wrong with "copying" the competition, but it's notable that Apple seems to be taking a page out of Microsoft's playbook for once, rather than the other way around.


  58. AAPL $111.50 – IPhone needs to save them.

    Whole market turned sour.  


  59. Apple TV – same old form factor.  Other than Siri UI, Not much of a sizzle. only fizzle.  Sad!


  60. This IPhone better be good, I've been holding off for almost a year waiting.

    Nope, same phones with new letters. 

    That's annoying – there goes $111.50.  


  61. Tim says these are the most advanced smartphones in the world. (And the rose goldiest!)

    Apparently, they've improved the aluminum casing and the glass is some special process that sounds like sapphire that they stole ("dual ion-exchange glass").  

    Got the 3D touch 

    Force touch an email to preview it without opening it. Keep pressing to open. Works on home screen and in apps.

    Force touch an address in Messages to preview in Maps, like a Quick Look window, but you aren't switching apps.

    Now I have to worry about how hard or how gently I'm touching my phone?  I may as well marry it!  surprise

    $111.33, resting on support and not good if it fails ($109.50 is next).  

    I shouldn't criticize AAPL features, mostly you get used to them and then can't imagine living without them.

    Still, nothing thrilling here – same phone is the overlying message here.  Of course that same phone is a huge success, so why mess with it?  


  62. AAPL just broke through 111 – getting ready to close out some of my short calls today…


  63. SJL – Exactly. I've had my Surface 3 Pro for almost a year at this point and it's got everything and a little more in some respects.

    ONLY 128 GB for the iPad?!?!?!  [Sad Trombone.] My Surface has the 256GB SSD… and all Surfaces have the microSD slot to hold another 128GB more too!

    What Microsoft needs is to hire a more in-tune, and… what's that word… oh yeah… BETTER… marketing team immediately. smiley 

    And… Especially with the Surface 4 Pro coming next month.


  64. AAPL- Another big difference between Microsoft and Apple is the apps that are avaialble for the Ipad vs the Surface. LAst time I checked there were still not nearly as many great apps for the Surface and this is holding them back making it not as attractive. Has this changed at all since I haven't looked at the surface apps lately.


  65. Seer:  What you describe feels a bit like the traditional "prisoner's dilemma.  If all companies started to hire, the population would have more income, and would presumably spend more, lifting all company boats.  But if only certain companies hire and others don't, their costs would be higher and they would make less money or lose, perhaps even going out of business, while the non-hiring companies would benefit from more customers without having to hire.  This could be remedies through government action in myriad ways  – hiring credits, etc.  But, absent any government / third party intervention, however, no responsible management can afford to take the first step. "~~What we've got here is… failure to communicate. Some men you just can't reach.",  


  66. Craigs// Surface has a lot more applications not apps.


  67. Craig / Surface – Ad rookie said, on the Surface you can run every Windows applications. Sure, the iPad has over 1 million apps (like Android now) but how many of them do you actually use? I have like 50 of them on my phone and don't need more than that. How many flashlight apps do we need? In any case, there is a use for both of them. These new iPad Pros look great, the screen seems really good but like I said, nothing innovative there. Apple is more in catch up and incrementally improve mode than straight innovation mode which has worked for many others for a long time.


  68. Phil,

    ABC corrective 2 up needs to hop 1993 to finish. Gravitating back down to 1955… In my best Keith Jackson… theres a hole lotta head knockin and pumpin goin on out there.

    Bush admin knew 9/11 was coming, they played it like Roosevelt played Pearl Harbor. Neither was the first nor last time a Pres Adm KNEW an attack was coming, and let it happen to obtain Carte Blanche.

    SJL… c'est magnifique, ma… I agree nothing new this Apple Ipad Pro, This is something we all need and MUST have? PULLLEEZE Jessica!!! Wait six months, half the price and eclipsed by another product on the market.  All the while dragging down the CPI sham, as an IMPROVEMENT in our lives. There is no inflation, unadulterated hog manure. Not even, at least I can turn that into 108 octane drag racing fuel.

    Respectfully submitted for your perusal… any increase in rates, through Fed raise or market forces, will royally screw the Fed as their portfolio has major asset liability duration mismatches. The borrow short (but not short enough) to go long mismatch could lead to disorderly unwinds (short end on the run ill-liquidity) and the Fed losing money. If rates rise enough, the Fed could incur losses on both sides of the balance sheet as in negative cash flow (short end liability cost rises) and falling asset values (long end value declines).  (With cigarette dangling in hand) How does one take a preemptive strike to control public sentiment? The Fed might raise 25bps to kick equities off their perch, reigniting a flight to safety in UST's. The Fed might then be better positioned, with respect to the tilt of the yield curve, to selectively roll, or not, certain debt at maturity, as they gradually shrink the balance sheet.  Just a passing thought inspired by certain past Presidential administrations NOT acting on discerning information in their possession.  That is tonight's bill of fare in the Naybob Zone.


  69. This game looks great!  

    Guy from gaming company says better graphics and processor allowed them to ramp the game way up – looks amazing.  Pixeltoys – let's buy them!  

    Looks just like my conversations with Siri….

    New camera: 12MP on the front for more detail. 50 percent more pixels and more focus pixels.

    They are very proud of their camera.  Jackie has a 6 (couldn't wait) and her camera is amazing, this one is 50% more so.  

    63 megapixel panoramic photo.

    Now a 2-hour commercial.  

    That's cool, they use the screen as a flash to give you good lighting for a selfie.  

    3D Touch on a photo to see a "Live Photo," a little video of the moment when you took the image. Wow, that's neat.

    It's like those Harry Potter pictures.  

    Live Photos can have sound. Even shows a tiny bit of the movement as you thumb from one photo to the next in your album.

    I can't believe they added all these pictures without letting you have 256G memory.  

    Live Photos happen automatically. It's on by default, but you can tap the bullseye icon to turn it off. 1.5 seconds before & after.

    iPhone 6s an 6s Plus have LTE Advanced, twice as fast. 23 bands of LTE networking. Up to 866 Mbps Wi-Fi.

    Uh oh – New Android App from AAPL lets you move all info, apps and preferences from your old Andriod phone to your new IPhone!  

    Ooh, colors:

    $111.69

    This is new:

    iCloud is 5GB for free, new prices: $1/month for 50GB, $3 for 200GB, $10 for 1TB. – that's pretty reasonable (and why I won't put any money in cloud storage stocks).  

    Argh – have to wait until the 25th. 


  70. I had a hard time finding certain apps that I used all the time on my Ipad when I was trying to use a windows based tablet a while back. Sounds like the main ones are now available and that most people use surface for the software applications and not the apps. I am looking forward to upgrading my phone to the new Iphone when my contract expires next month.. The Samsung phone I use now is starting to really have issues and I love wife;s Iphone.


  71. Fed/Naybob – True but eventually they'll have to take the loss on those ridiculous bonds they overpayed for.  Just kicked the price support can down the road.  The Fed's losses roll over to the Treasury budget, that will be ugly too.  


  72. Apple:

    Viewed all, if this don´t lift the stock I don´t know what will.


  73. advill// Everything you saw today at the apple event was leaked all over.  Not much of a surprise and no cool looking device introduced.  So I wasn't expecting much of a lift from today other than to state that it has caused the stock to fall faster today.


  74. Advill// Sorry typo in my last sentence.  I meant to say "I wasn't expecting much of a lift from today other than to state that it hasn't cuased the stock to fall faster today".


  75. AAPL – that was the best Event since Tim took over.   A great suite of products, and Apps / OS with great presentations.  Apple TV will actually make money at these prices on the hardware.  I also think it will drive a lot of tangential revenue with it.  And the  iPad Pro will also have higher margins than the other iPad models.  This is all good.  The phone will hold it's own for another year.

    Hopefully the MSM trashes the announcements  and we can get in this stock soon.  


  76. Phil – do you think we'll hold 1950 to close…. I've still got some TZA that expire this week and have been playing russian roulette with them… 


  77. SPX – now at 1945…


  78. AAPL / USA TODAY – canned almost everything about the announce…. except the TV


  79. $109.97 – ouch!  

    Indexes erasing yesterday's ill-gotten gains too.  

    1,950/Batman – Nope, that's why we have naked Sept SDS and SQQQs. 

    RUT is the obvious laggard to short below 1,150 but don't forget /NKD at 18,250:

    IPad/Batman – I imagine bigger is cheaper to make.


  80. AAPL – with my two cents, I am still on blackberry and looking to upgrade.  I always thought that Android was the way to go.  I have always been anti-Apple from the PC vs Apple days of old.  Always considered Apple to be flashy but PCs did the real work.  Now that I am faced with the need to upgrade my phone, I don't see how I can't choose Apple.  The inter-connectivity between devices is amazing.  Just bought my daughter a Mac book.  Never thought I would do that.  Fear-of-missing-out … it is why blackberry died. 


  81. That little Jenga move in the 5% Portfolio was perfect, now up $3,000 today off that one little change.  

    Not so smart on the STP, locked in neutral on this sell-off means we have to look carefully as what we're doing wrong tomorrow.  LTP taking no damage yet but I'm worried about our sell-off triggering a round the world thing into the weekend.  


  82. LULU earnings tomorrow 9 am.


  83. AAPL / Ipad Costs – Nobody will buy the 32G… the jump for more memory up is a huge mark up compared to memory costs.  Also processor costs are much lower in this space…. The mfg costs are about the relative to size.   Hopefully IBM and Cisco can help move these….  With the long buy cycles in this space, we won't know for a couple of quarters…. 


  84. Phil,

    1988 to 1942, giving all of yesterdays pump back, despite the 7.7% Nikkei and global pump, now thats called making a statement of no conviction.  Gotta keep tabs on A/D and overall volume for these pumps and selloffs.


  85. Phil with that big drop in US markets late in the day, do you think it might be a good play to short /NKD into the open tonight since it is still showing a gain from yesterday of over 1%? Although it is dropping now so by the time you see this it may be too late to get in at a decent price. Also since the cost has doubled since last month it is a tough one to play with multiple contracts.


  86. Iran deal already having some positive impact:

    http://talkingpointsmemo.com/livewire/louie-gohmert-glenn-beck-iran

    Conservative pundit Glenn Beck said Tuesday that he had received an email from Rep. Louie Gohmert (R-TX) vowing to quit his Congress if the Iran deal went through.

    I knew it was a good deal….


  87. Lets see if the son of a gun,  Rep. Louie Gohmert (R-Tx) keeps his promise.  I'll take odds he doesn't.  


  88. API report shows a 2.1 million barrel build which is why we had the drop at 4:30. If EIA report tomorrow shows the same numbers or anything close and we have another bad day tomorrow in the markets it should be lookout below for oil. Of course I am guessing they will find a way to manipulate the EIA to get a temporary rise but we will see.


  89. 5 years back:

    http://www.engadget.com/2010/04/08/jobs-if-you-see-a-stylus-or-a-task-manager-they-blew-it/

    Answer: (Steve Jobs) It's like we said on the iPad, if you see a stylus, they blew it. In multitasking, if you see a task manager… they blew it. Users shouldn't ever have to think about it.

    Unless everyone else has a stylus and we can sell one for $100. Then it's OK… Tech is a moving target and everybody ends up copying each other in the long run. I recall when there was no way they would make a screen bigger then 4" or a 7" iPad. And now Apple sells millions of them because the demand was created. 


  90. 0.46 points on the S&P pushes us below the line!


  91. The difference between the 2 supposedly extremes:

    http://fivethirtyeight.com/features/stop-comparing-donald-trump-and-bernie-sanders/

    Sanders is campaigning on substantive policy positions, and Trump is largely campaigning on the force of his personality. I’m not sure this assertion requires a lot of proof, but if you need some, check out the candidates’ websites. Sanders’s lists dozens of specific policy proposals across a wide range of issues; Trump’s details his position on just one, immigration.

    And there you have it – reality TV against governing!


  92. And magical thinking from the Donald:

    http://www.motherjones.com/kevin-drum/2015/09/we-must-crack-down-refugees-except-refugees-who-are-news

    Donald Trump, Syrian refugee humanitarian, yesterday:

    Do you have people from ISIS in that group? You know, there’s a lot of security risks with it. But, something has to be done. It’s an unbelievable humanitarian problem….I hate the concept of [admitting refugees to the US], but on a humanitarian basis, with what’s happening, you have to….It’s living in hell in Syria, there’s no question about it. They’re living in hell.

    This is what makes Trump the perfect Republican: magical thinking doesn't slow him down a bit. Tax cuts and budget surpluses? Sure. Free trade and higher tariffs? Why not. Tougher rules for refugees and humanitarian relief for Syrian asylum-seekers? You bet.


  93. Futures being taken to the woodshed. 


  94. It really is comical :) He's sucking up the oxygen, but that won't last. C'mon, tell me you haven't laughed! He's great for ratings. That's about all he's good for. Relax.


  95. China will open its domestic foreign-exchange market to overseas central banks, making it easier for other nations to hold yuan assets as Asia’s biggest economy pushes for the currency to win reserve status at the International Monetary Fund.


  96. Boeing Co., the world’s biggest planemaker, expects the Asia-Pacific region will need almost half a million new pilots and technicians over the next 20 years as economic growth enables more people to travel by air.


  97. Joseph LaVorgna, Deutsche Bank AG’s chief U.S. economist, has had a change of heart about the Federal Reserve.


  98. Elon Musk, whose Twitter photo evokes Dr. Evil, refused to let Stephen Colbert pigeonhole him as super-hero or super-villain.


  99. In Kentucky’s Letcher County, emergency response time for sheriff’s deputies averages an hour, up from 30 minutes a year ago. Martin County, also in eastern Kentucky, couldn’t afford to open its public swimming pool this summer. West Virginia’s Boone County, once the richest in the state, is considering ending free garbage pickup. The cutbacks stem from a steep drop in coal production as tougher environmental regulations and low natural gas prices make coal less competitive. “It’s just been devastating to us,” says Kelly Callaham, judge-executive of Martin County, which has a $7 million budget, down $1.5 million from three years ago. “You take a million and a half out of a budget that size, it’s a disaster.”


  100. As the U.S. presidential campaign exposes contempt for elites and angst over the future, Pope Francis arrives for his first visit with plans to denounce gross inequality and planetary neglect.


  101. Asian stocks retreated with high-yielding currencies, ending a two-day rally amid renewed concern over higher U.S. interest rates and China’s economic slowdown. The yen swung to a loss.


  102. For the first time this year, Japan’s stock market is wilder than China’s.


  103. China’s consumer prices rose at the fastest pace in a year as a pork supply crunch drives up the cost of the staple while factory-gate deflation deepened to the worst in almost six years, compounding challenges for policy makers.


  104. Brazil’s sovereign rating was cut to junk by Standard & Poor’s, taking away the investment grade the country enjoyed for seven years, as President Dilma Rousseff’s struggles to shore up fiscal accounts amid a faltering economy.


  105. Supreme Leader Ayatollah Ali Khamenei sought to counter speculation that Iran’s with world powers heralds an era of improved ties with the U.S. and changes in the country’s foreign policy.


  106. Congressional Republicans were allowed by a judge to pursue their lawsuit accusing the Obama administration of violating the Constitution by spending money on the president’s signature legislative achievement, the Affordable Care Act.


  107. For bears who just got burned by the Nikkei 225 Stock Average’s biggest rally since 2008, history should provide some comfort.


  108. Kraft Heinz Co., which counts Warren Buffett’s Berkshire Hathaway Inc. as its largest shareholder, is pushing some of its retirees to health exchanges as the company cuts expenses.


  109. If you’re in the market for Inc.’s Fire phone, you might have to look for it on EBay Inc.


  110. A Citigroup Inc. trader fired amid a global probe into foreign-exchange rigging alleged that improper conduct was endemic in the bank’s currency-trading activities, ranging from front-running to disclosing client orders to competitors in a bid to boost the company’s own positions.


  111. Yahoo owns a bunch of appreciated stock in Alibaba. It to its shareholders without incurring any tax. Just giving the stock directly to the shareholders would incur tax. But putting the stock into a nice little package, and then giving the package to the shareholders, could avoid tax, depending on whether Yahoo constructs the package correctly and mutters the right incantations over it. So Yahoo put the stock (along with ) into a package called Aabaco Holdings, typed up a draft of the incantations and went to the Internal Revenue Service to ask if they were right.


  112. The avoidance of taxes, John Maynard Keynes wrote, is the only intellectual pursuit that still carries any reward. Don’t executives in Japan know it: Even with national debt skyrocketing, more than 70 percent of companies here still pay no .


  113. For sale, quite soon: Two towers of luxury homes in Shanghai’s thriving Xuhui district overlooking the Huangpu River. Just maybe not in time to bring their developer some badly needed cash.


  114. Hedge funds are piling into bets that the dollar will gain against emerging-market currencies, especially those vulnerable to falling commodity prices, according to a money manager which invests in the funds.


  115. China’s stocks dropped for the first time in three days, led by commodity producers, after the biggest tumble in producer prices in six years reignited concern about a deeper economic slowdown.


  116. The Republican-controlled U.S. Congress fought President Barack Obama for the right to have a chance to reject the Iran nuclear deal.


  117. India’s rupee snapped a two-day gain amid speculation outflows from stocks will worsen as a weak global economy and potentially higher U.S. interest rates drive investors away from riskier assets.


  118. Moody’s Investors Service misled the public and violated a code of conduct when it disseminated a report about Chinese companies in 2011, Hong Kong’s financial regulator said. The rating company denied wrongdoing.


  119. A Dutch court is set to hear arguments that production from Europe’s largest natural gas field should be suspended because earthquakes linked to extraction threaten safety.


  120. China’s yuan declined after the central bank lowered its fixing by the most since its August devaluation amid speculation the authority is turning away from active intervention to prop up the currency.


  121. Asian currencies fell, led by Indonesia’s rupiah and South Korea’s won, as concern China’s economic slowdown is worsening and the prospect of higher U.S. interest rates deterred risk taking.


  122. America’s labor market may be inching closer to a tipping point.


  123. Oilseed processors from Glencore Plc to Bunge Ltd. are sinking millions of dollars into expanding in Canada only to see profits shrivel to the lowest in two years as a drought parches prairie fields.


  124. JPMorgan Chase & Co.’s decision to exclude Nigeria from its local-currency emerging-market bond indexes tops a year of pain for a nation reeling from a collapse in oil prices, slowing growth and a lack of economic leadership.


  125. China’s interest-rate swaps rose to a two-week high as inflation accelerated to the fastest in a year.


  126. The U.S. Justice Department is seeking to increase prosecutions of individual employees for corporate crime and coax companies to turn over evidence on executives after criticism that the government failed to punish wrongdoers in the financial crisis.


  127. The cost of insuring corporate and sovereign bonds against nonpayment in Asia rose the most in more than a week, traders of credit-default swaps said Thursday. * The Markit iTraxx Asia index climbed 4bps to 138.5bps as of 8:47am in Hong Kong, ANZ prices show * Gauge is set for its biggest one-day jump since Sept. 1 and its highest close since Sept. 7, according to data provider CMA * The Markit iTraxx Australia index rose 3.375bps to 113bps as of 10:52am in Sydney, Citigroup prices show * Benchmark is also poised to climb by the most since Sept. 1, after falling 4.8bps in the past two days: CMA * The Markit iTraxx Japan index advanced 1.5bps to 63bps as of 9:44am in Tokyo, Citigroup prices show * The measure is set to rise for the first time in four days: CMA


  128. Gold declined for a second day to near its lowest level in more than four weeks as jobs data in the U.S. pointed to a possible interest rate increase next week and on signs that India may slow imports.


  129. Trade volume at the second-busiest U.S. port surged 23 percent in August, breaking a record set in July, spurred by rising consumer confidence and a strong dollar.


  130. Oleg Deripaska, the chief of Russia’s largest aluminum producer, says the equity rout may only be the first act of a drama unfolding in Chinese financial markets.


  131. Goldman Sachs Group Inc. is warning that Treasuries are too expensive just as a bond rally resumed amid renewed demand for haven assets.


  132. Malaysia’s ringgit fell to its lowest in more than 17 years as a renewed selloff in stocks and Brazil’s rating cut reignited concern capital will flow out of emerging markets as the U.S. prepares to raise interest rates.





  133. Brazilian bonds fell and shares of Petroleo Brasileiro SA tumbled in Germany after Standard & Poor’s cut the sovereign’s credit rating to junk, fueling bets outflows will accelerate from this year’s worst-performing BRICS market.


  134. China’s state-backed auto association is lobbying the government to introduce stimulus measures after vehicle sales fell for a fifth straight month following a stock-market rout.


  135. Ikea Group, the world’s largest furniture retailer, said full-year sales rose 11 percent, led by growth in China and Russia and helped by improvement in southern Europe.


  136. Nobel laureate Paul Krugman said risks of failure are growing for Prime Minister Shinzo Abe’s “Abenomics” campaign to end Japan’s two-decade slump.


  137. The pound weakened for a second day against the euro as investors awaited the result of the Bank of England’s policy meeting for clues about when officials will start raising interest rates from a record low.


  138. The Bank of Japan should expand its monetary easing program by at least 10 trillion yen ($83 billion), ruling Liberal Democratic Party lawmaker Kozo Yamamoto said in an interview Thursday, adding that its Oct. 30 policy meeting would be a “good opportunity” to add stimulus.


  139. Phil,

    Gotta love Wacky Wend when those positions unwind.  Another one of those "things" usually happens the week before, Tues, Wen sometimes Thur.  Back to 1942, should be interesting.


  140. Good morning!

    After being up way too early, I overslept but at least I got my reading done, so on to the new post.