Daily Markets

Dumb Comments On Energy Prices And Manipulation

Jeffrey Miller — Fri, 10 Jul 2009 04:35:16 +0000

There are so many silly assertions and so little time!

One of our missions at “A Dash” is to identify strong sources of information and analysis. Even the most intelligent reader needs some expertise to make the key distinctions. Let us consider some examples.

Oil Demand and Price

The Statement: One of the CNBC talking heads repeatedly stated that oil prices fell by 80% but demand did not drop that much. To her, this was evidence of an inaccurate market. None of the many … [visit site to read more]

Not So “Golden” Anymore?

OptionsXpress — Fri, 10 Jul 2009 01:57:51 +0000

Gold bulls cannot be too happy with the way the “yellow metal” has acted the past few weeks, with the most active August contract slumping to two-month lows yesterday. I guess the old saying “misery loves company” kind of applies here, as the entire commodity complex has slumped of late — especially the energies and the grains. Traders’ glasses have apparently become half empty, as talk of renewed deflationary concerns has crept back into the spotlight on signs that the speed of any … [visit site to read more]

A Good Leading Indicator: Intial Claims For Unemployment Insurance

Bill Conerly — Fri, 10 Jul 2009 01:55:45 +0000

No leading indicator is perfect, but initial claims for unemployment insurance is fairly good. Here’s the latest chart (data available here):

It looks like the worst is behind us, but that the improvement has been very, very mild. In other words, consistent with much of the other data coming out. So I expect things to get better, but at a very gradual pace.

The rest of this post is about data issues, which most readers will want to skip.

Why is initial claims the better … [visit site to read more]

Why ETFs Are The Best Way To Play The Google/Microsoft Rivalry

Tom Lydon — Fri, 10 Jul 2009 01:27:48 +0000

Google and Microsoft have long been at each others’ throats in the fight for dominance. As investors look for a way to play the face-off, here’s a reason why exchange traded funds (ETFs) may be the way to go.

Although the official lifting of “beta” off of Google’s (GOOG) Gmail service means nothing to daily Gmail users, it gives the company the chance to get the paid version of Google Apps adopted inside big companies. Miguel Helft for The New York Times reports Google is trying to … [visit site to read more]

Pimco Punts On The PPIP

Larry Doyle — Fri, 10 Jul 2009 01:20:53 +0000

Did Bill Gross just flip off Uncle Sam? It would appear that he did. While the U.S. Treasury is touting the official launch of the Public Private Investment Program (PPIP) as a noteworthy event, the most significant aspect is the absence of Mr. Gross and Pimco as one of the managers. As Bloomberg highlights, U.S. Treasury Opens Distressed-Debt Program Without Pimco:
The U.S. plan to help buy as much as $40 billion in assets from banks got started almost four months after it was proposed … [visit site to read more]

Commercial Real Estate A Time Bomb; FDIC Anticipating Large Number Of Bank Closures

Michael Panzner — Fri, 10 Jul 2009 01:15:54 +0000

Sometimes, connecting the dots doesn’t require too much knowledge, education, or analytical ability.

For example, when you read reports like the following from Bloomberg, “Commercial Real Estate Is a ‘Time Bomb,’ Maloney Says” -
The $3.5 trillion commercial real estate market is a ticking “time bomb” that may lead to a second wave of losses at large U.S. banks, congressional Joint Economic Committee Chairwoman Carolyn Maloney said.

About $700 billion in commercial mortgages will … [visit site to read more]

When Will The Recovery Begin? Never.

Robert Reich — Fri, 10 Jul 2009 01:13:11 +0000

The so-called “green shoots” of recovery are turning brown in the scorching summer sun. In fact, the whole debate about when and how a recovery will begin is wrongly framed. On one side are the V-shapers who look back at prior recessions and conclude that the faster an economy drops, the faster it gets back on track. And because this economy fell off a cliff late last fall, they expect it to roar to life early next year. Hence the V shape.

Unfortunately, V-shapers are looking back at … [visit site to read more]

China Uses G8 Summit As Forum For Currency Debate

Money Morning — Fri, 10 Jul 2009 01:05:34 +0000

With a global stage at this week’s Group Eight (G8) summit in L’Aquila, Italy, China again took the opportunity to push for global currency reform, arguing that the dollar’s position as the world’s main reserve currency is a source of instability.

“We need to improve the international monetary system,” State Councilor Dai Bingguo said, according to RTE Business. “We should have a better system for reserve currency insurance and regulation, so that we can maintain relative stability of … [visit site to read more]

Stock Market Correction: The Pause That Refreshes

Joseph Meth — Fri, 10 Jul 2009 01:04:42 +0000

The bears continue to try scaring you into thinking that we’ve seen the best we’re going to see this year and it’s going to be all down hill from here, back to the low 800’s or even 700’s (the bear market bottom) on the S&P.

What these perennial pessimists fail to understand is that all markets, whether trending higher or lower, periodically need to pause, catch their breath, marshal their strength before continuing in the direction they were determined to head in the first … [visit site to read more]

US Treasury Finally “Unveils” PPIP

Zacks Investment Research — Fri, 10 Jul 2009 01:00:16 +0000

Treasury finally “unveiled” details of the much-anticipated, much-delayed and now scaled-down version of its toxic or “legacy” assets purchase program, which was announced earlier as a part of the Financial Stability Plan in February.

The Public-Private Investment Program, or PPIP, will leverage private capital with government subsidies, so that the chosen investment firms can buy up the legacy assets, which have been clogging the balance sheets of the banks, making them reluctant to … [visit site to read more]

Investors Now Lost Between Fears Of A Resumption Of The Bear Market Downtrend And Hopes For Green Shoots

Dave Fry — Fri, 10 Jul 2009 01:00:01 +0000

The highlights Thursday were weakness in the dollar and feeble bounce in gold currently more attached to oil; Alcoa’s (AA) failure to hold Wednesday’s gains; news that Goldman Sachs (GS) will exceed its record 2007 earnings; a comeback of sorts for banks and materials stocks; and more second round stimulus trial balloons aloft.

Volume was ultra light but breadth improved enough to move stocks from their short-term oversold conditions.

Meanwhile, the trusty McClellan … [visit site to read more]

2009: The Coming Out Year For Gold ETFs

Tom Lydon — Fri, 10 Jul 2009 00:59:46 +0000

A gold exchange traded fund (ETF) investment can be one of the most conservative ways to provide a safe haven, especially during times of inflation.

Analysts and financial advisors are predicting a substantial rise in gold prices over the next few years. With the prospect of inflation looming, gold investors are hoping that the commodity will give the necessary shelter. This isn’t a new trend - over the last 2,000 years, gold has been a popular way to shelter capital from inflation, … [visit site to read more]

The VIX As A Hedging Tool

Bill Luby — Fri, 10 Jul 2009 00:56:13 +0000

I generally use the VIX (^VIX) as a speculative vehicle rather than a hedging tool, but lately I have received several questions about how one might go about hedging a portfolio with the VIX. The subject of hedging is going to require a series of posts in order to do it justice, but before I dive in, I thought I should share an interesting paper from Edward Szado that recently became available on the web site of the Center for International Securities and Derivatives Markets (CISDM) at … [visit site to read more]

Stock Picks For Friday: Ross Stores And DXP Enterprises

Antonio Costa — Fri, 10 Jul 2009 00:54:58 +0000

Chart courtesy of stockcharts ( click to enlarge )

DXP Enterprises (DXPE) failed to continued it’s bearish scenario today. The stock topped at 10.13 and closed at 9.99. On the daily chart we can see the short term bearish trend line has been violated to the upside. The bias is now bullish in nearest term but remains neutral in medium term. With KD rising we could see possible rally coming for the stock. In addition the RSI is extremely oversold. After the recent free-fall we may … [visit site to read more]

Walgreens Lifts Dividend

Zacks Investment Research — Fri, 10 Jul 2009 00:50:20 +0000

The Board of Directors of Walgreens (WAG) approved a 22.2% quarterly dividend increase from 11.25 cents to 13.75 cents, payable on September 12, 2009, to shareholders on record as of August 21, 2009. The annualized dividend is raised to $0.55 from $0.45 per share.

The dividend increase is testimony of the company’s confidence in its key growth strategies and its ability to generate strong cash flow going forward. WAG is the largest national retail pharmacy chain in terms of revenue … [visit site to read more]

Another US Stimulus Package? Say What?

Bob McTeer — Fri, 10 Jul 2009 00:05:58 +0000

Last Friday’s weak jobs report accelerated discussions of a possible second stimulus package. Will wonders never cease?

I agreed that the first stimulus package should’ve been large and have come soon. We got large and we got soon, if soon is defined by the date of the legislation. Not soon as defined by when it might do some good. What happened to all those “shovel ready” projects? We’ve been out stimulated by China, and, now, by France. Yes, France!

We also got $787 billions worth … [visit site to read more]

Commodity-Related Warrants Now Outperforming Gold 14:1 YTD

Lorimer Wilson — Fri, 10 Jul 2009 00:01:54 +0000

Last Week’s Performance*

vs. Prev. Week
vs. Prev. Month
YTD**

Warrants (+24mo.)

-2.8

-13.1

71.5

Stocks with … [visit site to read more]

How To ‘Juice’ Your Conservative Portfolio

Growth Stock Wire — Fri, 10 Jul 2009 00:01:39 +0000

You’d be hard-pressed to find a worse time to buy a stock than January 2008.

The market was just starting to struggle after the big rally that started in March 2003… the worst credit crisis in generations was in the future… and stocks went on to lose half their value over the next 15 months.

Yet by following a strategy I’ve been writing about for years in these pages, Advanced Income readers who bought on my recommendation in January 2008 are up 40%.

I’ve often written about … [visit site to read more]

Day Trading Price Gaps: Rules And Strategy

Paddy Power Trader — Fri, 10 Jul 2009 00:01:27 +0000

‘Mind the gap’ is the warning announced at all London Underground platforms as a tube train arrives or departs from a station. It refers to the gap between the platform and the train, and is broadcast loudly and incessantly. It is an essential part of the sound of the city.

A different sort of gap occurs on the stock market, but a ‘Mind the gap’ warning is not broadcast to traders. On the stock market we use the term ‘gap’ when referring to a situation where a share price opens … [visit site to read more]

Video: 07/09 Ticketmaster Partners With Priceline.com

NYFP — Fri, 10 Jul 2009 02:07:30 +0000

07/09 Ticketmaster and Priceline.com announced thursday that they will team up in order to create a one-stop shopping experience on one Web site. … [visit site to read more]

Video: 07/09 Oil Prices Trade Below $60

NYFP — Fri, 10 Jul 2009 02:02:52 +0000

Oil prices may have fallen below $60 a barrel this session, but an improvement in initial jobless claims led the way for crude prices to post a slight rise. … [visit site to read more]

How To Target Emerging Market Currencies With ETFs

Tom Lydon — Thu, 09 Jul 2009 21:00:32 +0000

Emerging markets have been going strong. Another way to capitalize on this gaining market is through emerging market currencies and their related exchange traded fund (ETF).

Strong numbers from emerging market equities and investor desire to play on the weakness of the U.S. dollar has emerging currencies garnering more attention, writes Carl Delfeld for ETF XRAY. For any interested investor, Delfeld suggests taking a look at WisdomTree Dreyfus Emerging Currency (CEW).

Emerging … [visit site to read more]

McDonald’s Corp. - A Growth And Income Stock Buy

Zacks Investment Research — Thu, 09 Jul 2009 20:00:39 +0000

McDonald’s Corp. (MCD) continues to rack up impressive gains, distinguishing itself as a steady player in a very choppy market.
Company Description
McDonalds Corp, operates one of the world’s largest fast food chains, with over 35,000 restaurants world wide. The company has a market cap of $63 billion.
McDonalds is set to report its second-quarter results on July 15, and if the company’s first-quarter results, reported on Apr 22 are any indication, investors should be … [visit site to read more]

Cartoon Of The Day: Congress And Health Care Reform

Mark Perry — Thu, 09 Jul 2009 19:00:07 +0000

Note: If the opposite of “pro” is “con,” then what’s the opposite of … [visit site to read more]

Video: 07/09 Maier’s Market 360°

NYFP — Thu, 09 Jul 2009 23:25:05 +0000

Following a flurry of positive economic data, broker Maier J. Tarlow of Raven Securities shares his thoughts as to why the positive figures have yet to translate into a market rally. … [visit site to read more]

Lift The Embargo Against Cuba And Drill, Drill, Drill

Mark Perry — Thu, 09 Jul 2009 18:10:36 +0000

The 47-year-old trade embargo against Cuba has been shaken by the revelation that drilling for oil and natural gas is about to take place less than 50 miles off the U.S. coast - in Cuban waters. The Cuban government is not only sitting on a potential oil bonanza but it has already awarded oil and gas exploration leases to companies from Canada, China, Spain, India, Venezuela and Norway. And Cuba is negotiating with Brazil’s Petrobras, a company with years of experience in deepwater … [visit site to read more]

Will Google Chrome Take Over The Entire PC Market?

Zacks Investment Research — Thu, 09 Jul 2009 18:00:57 +0000

Google Inc. (GOOG) has announced a new operating system that is specifically targeted at netbooks. The Google Chrome, as it is called, is expected to hit the market in the second half of 2010.
Meanwhile, Google’s new Android operating system (specially designed for mobile phones) has already been selected for Acer netbooks (scheduled to launch in October this year). Apple (AAPL) has also indicated its intention to introduce its own netbook by the end of this year.
Since Microsoft … [visit site to read more]

Video: 07/09 AIG Back In The Spotlight

NYFP — Thu, 09 Jul 2009 22:48:18 +0000

AIG shares plunge after analysts note the company’s stock may be worthless. … [visit site to read more]

Video: 07/09 Greenback Falls Further Into The Red

NYFP — Thu, 09 Jul 2009 22:18:20 +0000

A rise in continuing jobless claims and growing concerns over an extended recession has paved the way for the US dollar to lose more value in currency pair trading. … [visit site to read more]

USD/JPY Continued Bearish Bias

James Chen — Thu, 09 Jul 2009 16:52:00 +0000

Yen strengthening this week has manifested itself in a dramatic fashion on USD/JPY, a daily chart of which is shown. Needless to say, the 300+ pip plummet in the pair yesterday, not to mention the even more drastic drops in the yen crosses, highlighted the sheer magnitude of the yen’s very recent dominance. The drop on USD/JPY reached a low below 92.00 before relenting and retracing. That low point represents the lower border of a parallel downtrend channel that price has been traversing since … [visit site to read more]

Video: 07/09 Oil Prices Push Stocks

NYFP — Thu, 09 Jul 2009 21:42:33 +0000

Low oil prices may be good in the short term but it reflects a weak demand because of a weak economy, says Broker Alan Valdes of Hilliard Lyons. … [visit site to read more]

“Worthless” AIG Has Option Bears’ Claws All Over It

Andrew Wilkinson — Thu, 09 Jul 2009 16:23:14 +0000

(AIG) - American International Group, Inc. - Investor uncertainty over the fate of the insurance company surged this morning following extremely bearish reports from analysts at Citigroup. One analyst at Citi reported “a seventy percent chance that the equity at AIG is zero”, sending shares of the insurer lower by more than 21% to $10.31. Option traders looking to reel in profits on the rapid erosion in price today were seen gobbling up bearish put options in the near-term July … [visit site to read more]

New Unemployment Claims Fall

Dirk Van Dijk — Thu, 09 Jul 2009 16:00:48 +0000

Initial claims for unemployment dropped by a much bigger than expected 52,000 in the last week to 565,000, the lowest level so far this year. This brought the four-week average down by 10,000 to 606,000.

Without a doubt this is good news, but before we break out the bubbly, remember that this was a holiday-shortened week. I would wait at least another week to see if this looks real.

Still, the four-week average is now a full quarter past its peak and 52,750 below it. Historically, … [visit site to read more]

The “Secret” Investing Strategy That’s Your Best Bet For Commodity Profits

Money Morning — Thu, 09 Jul 2009 15:42:26 +0000

There’s never been a better time to invest in commodities.

That’s a very simple statement, but it’s backed by three powerful points:

Commodities tend to do well when more-popular investments (with retail investors) are doing poorly, and when economic conditions are less than ideal.
When the typical economic underpinnings are at play, a “Secular Bull Market” for commodities tends to last for about 17 years. And right now, the underpinnings are far from typical - and may even be … [visit site to read more]

Cartoon: The Cartelization Of America

Prieur du Plessis — Thu, 09 Jul 2009 15:35:13 +0000

With the cartelization of many major US industries, one is invariably reminded of the robber barons of the middle ages. Any suggestions as to who the robber barons of today might be?
Click on image for larger view.

Hat tip: Charleston Voice, June 8, … [visit site to read more]

Forex Trading: Strong Chinese Car Demand Forces Safe Haven Rethink

Andrew Wilkinson — Thu, 09 Jul 2009 15:23:18 +0000

Thursday’s trade is shaping up to be something of a relief trade. The Japanese yen is down on relief that a key Chinese report shows that its stimulus efforts are alive and kicking. The Aussie dollar is higher after employment losses were not greater. The British pound is stronger relieved by no change in the Bank of England’s appetite for buying debt. The dollar has lost its bid as investors find a lesser need to turn on the safety valve on corporate earnings relief. The key euro-dollar … [visit site to read more]

ABB Scores With Saudi Contract

Zacks Investment Research — Thu, 09 Jul 2009 15:20:38 +0000

ABB Ltd. (ABB) has been awarded a $34 million contract by the Saudi Electricity Co. for upgrading and expanding twenty distribution substations in order to strengthen its network in the western part of the country.
The goal is to improve the power factor to close to one and increase efficiency of distribution. This, in turn, will enable the national supplier to meet growing demand for electricity with minimal distribution losses.
ABB will be responsible for design, engineering, … [visit site to read more]

Ethanol Continues To Be Oversold As Magic Potion

Mark Perry — Thu, 09 Jul 2009 15:15:44 +0000

Corn-derived ethanol has been heralded as the magic potion that can drive us to the promised land of energy freedom while at the same time slowing global warming and helping America’s farmers. To that end, the ethanol industry is urging Congress to increase the share of ethanol required in gasoline to 15 percent from 10.

This is not a surprising request, considering that the industry’s facilities are 20% idle and that several large ethanol refiners have recently filed for bankruptcy, … [visit site to read more]

Crude Futures Suffer Further Large Declines

FastBrokers — Thu, 09 Jul 2009 15:13:48 +0000

Crude futures are continuing their brisk decline on rising volume today, entering the heavy-handed $60-$61/bbl zone we mentioned in our previous analysis. Crude’s declines are feeding off of quite a few fuels, the foremost being a report from OPEC saying they don’t expect crude consumption to reach 2008 levels until 2013. OPEC’s prediction manages to provide a starker image than the IEA’s estimation last week of 2011-2012. Altogether, both OPEC and the IEA are indicating that the … [visit site to read more]

Video: 07/09 Alcoa Posts 2Q Profit Loss But Beats The Street

NYFP — Thu, 09 Jul 2009 20:10:49 +0000

Aluminum giant Alcoa Incorporated (AA) announced late Wednesday that it posted a 2Q profit loss that still managed to beat Wall Street estimates. … [visit site to read more]

New NFA Rule For Forex Trading

James Chen — Thu, 09 Jul 2009 15:10:48 +0000

With the preponderance of confusion regarding the new “First-In, First-Out” (FIFO) rule, which the National Futures Association (NFA) will implement on August 2, 2009 for all NFA-registered Forex Dealer Members (FDMs), I wanted to provide some information here to help clear up any confusion. This information is specific to my company, FX Solutions, but includes a good explanation of how trading will work under the ruling.

For the large majority of traders, this new process should … [visit site to read more]

Forex Trading: EUR/USD Moves Back Lower

Greg Michalowski — Thu, 09 Jul 2009 15:10:18 +0000

The 1.3940 level remains support, but the intraday 100 bar moving average on the 5 minute chart has been broken. The intraday chart pattern is forming a Head and Shoulder formation as well.

Still watching for bearish confirmation from a move below the 1.3940 level and would like to see the price remain below the 100 bar MA at the 1.3962 … [visit site to read more]

GBP/USD Rallies Strongly After BoE Keeps QE Level Unchanged

FastBrokers — Thu, 09 Jul 2009 14:30:33 +0000

The Cable is posting a solid rally Thursday after the BoE kept its 125 billion Pound quantitative easing plan unchanged. Though many analysts were expecting a 25 billion bump up this time around, we warned that these rumors may have been unsubstantiated. Investors are taking the BoE’s inaction as a sign of confidence in the British economy. However, we believe the central bank just wants to see how the remainder of the 125 billion Pounds fares as its injected into the economy over … [visit site to read more]

Company News: Goldman Sachs Upgraded By Merrill, Walgreen Increases Dividend

Zacks Investment Research — Thu, 09 Jul 2009 14:26:58 +0000

Chevron (CVX) is the only DJIA component expected to report its earnings today. Analysts expect the company to report second-quarter earnings of $1.27 per share, down from $2.90 a year ago
AIG (AIG) is reportedly in early talks with rival MetLife (MET) to sell its Alico unit, which could bring in as much as $15 billion
Credit Suisse (CS) raised its rating on KB Homes (KBH) to “outperform”
Bank of America/Merrill (BAC) upgraded Goldman Sachs (GS) to “buy,” on … [visit site to read more]

Gold Bounces After Heavy Losses

FastBrokers — Thu, 09 Jul 2009 14:22:08 +0000

Gold has bounced from our 1st tier uptrend line and is battling with our 2nd tier downtrend line as we type. Gold managed to avoid a test of the psychological $900/oz level, and is strengthening on better than expected earnings from Alcoa coupled with an encouraging decline in weekly unemployment claims. However, gold’s pullback yesterday came on a large spike in volume compared to the relative calm of previous trading sessions.

Additionally, we have yet to see any substantial … [visit site to read more]

USD/JPY Logs Significant Losses

FastBrokers — Thu, 09 Jul 2009 14:17:06 +0000

The USD/JPY continued its heavy losses yesterday after the currency pair reactive negatively to the inflection point of our 1st tier uptrend and downtrend lines. Volume increased to the downside with the currency pair breaking below important March 19 lows. The USD/JPY seems to finally be making a decision trend-wise after months of heavy consolidation. We viewed our 1st tier uptrend line as a critical support, and it wouldn’t be surprising to see losses accelerate over the coming … [visit site to read more]

GBP/USD Back Down Testing The 1.6187 Level

Greg Michalowski — Thu, 09 Jul 2009 14:13:28 +0000

The key 1.6187 level was tested again in the GBPUSD (low 1.6191). The level is where both the 100 hour MA (100 hour MA comes in at 1.6182 currently) and the low from the consolidation period that contained the GBPUSD over the last month or so (before this week that is). The level should provide support.

The market was able to bounce off the level for the second time post the 7:00 AM interest rate decision. This suggests buyers against the support level. A move below … [visit site to read more]

Swiss Franc: Rebound

Trading Central — Thu, 09 Jul 2009 14:10:20 +0000

Update on supports and resistances. … [visit site to read more]

Japanese Yen: Under Pressure

Trading Central — Thu, 09 Jul 2009 14:10:19 +0000

Update on supports and resistances. … [visit site to read more]

British Pound: Rebound

Trading Central — Thu, 09 Jul 2009 14:10:18 +0000

Update on supports and resistances. … [visit site to read more]

Euro: Rebound

Trading Central — Thu, 09 Jul 2009 14:10:17 +0000

Update on supports and resistances. … [visit site to read more]

Video: 07/09 Asia Left Hanging While Hang Seng Rises

NYFP — Thu, 09 Jul 2009 18:56:21 +0000

Hong Kong’s Hang Seng index posted the only gain within todays Asian markets which was led by a rise in domestic automaker DongFeng. … [visit site to read more]

Overnight Strength In European And Asian Session Boosting Higher Risk Assets

Brewer Futures Group — Thu, 09 Jul 2009 12:48:29 +0000

Traders are calling for a higher opening in the September British Pound this morning. Overnight strength in European and Asian equity markets is helping to increase trader demand for higher risk assets.
After a six-day sell-off, the British Pound is attracting buyers. Fundamentally this market has been getting beat-up since June 30th when an economic report showed that the U.K. economy had its worst quarter since 1958. Since then there have been signs that the economy is improving. The … [visit site to read more]

Toxic Assets For Sale

David Spurr — Thu, 09 Jul 2009 12:33:55 +0000

Pimco’s withdrawl from the PPIP gives cause for thought. Essentially, the government is hiring investment banks to sell the crap to unsuspecting investors. This is a bad scene. The government is paying these nine firms to convince investors that this stuff actually has value. They’re being paid to market the junk assets - because nobody else can. Be prepared for more green shoot talk after this program is finalized. IB’s will start telling everyone how things are getting better - soon and … [visit site to read more]

China Says G8 Should Promote More Currency Diversification

Greg Michalowski — Thu, 09 Jul 2009 12:24:43 +0000

Chinese Official Dai is on the newswires saying the management of reserve currency system must be improved with the goal of a more diversified system

This has led to some further selling of the USD. The EURUSD is making new highs for the day and approaches the 200 hour MA at the 1.4003 level and the 38.2% retracement level of the move down from July 1st at the 1.4018 level. Look for sellers against the levels.

The GBPUSD is once again approaching resistance at the 38.2% … [visit site to read more]

News Briefs: Pickens’ Wind Farm Delayed, Higher Gas Prices Reduce Traffic

Money Morning — Thu, 09 Jul 2009 11:00:07 +0000

Pickens’ Wind Farm Delayed; Apple Tarnished by SEC Scrutiny; UBS May Settle Tax Dispute; Higher Gas Prices Help Reduce Traffic; Discount Retailer Thrives in Recession; Pepsi Bottling Profits Rise

Billionaire oilman T. Boone Pickens has delayed his plan to build the world’s largest wind farm in the Texas panhandle, blaming financing issues and transmission limitations. “I didn’t cancel it,” Pickens told Reuters after a press conference on Capitol Hill. “Financing is tough right now and … [visit site to read more]

Google Fires Shot Across Microsoft’s Bow With New Operating System

Money Morning — Thu, 09 Jul 2009 10:37:20 +0000

Google Inc. (GOOG), not satisfied owning the search engine market, yesterday (Wednesday) revealed it is going to assault Microsoft Corp. (MSFT) on the turf it has dominated for two decades: the operating system (OS).

In a blog posting, the Mountain View, Calif.-based company introduced the Google Chrome Operating System, which shares the same name as the web browser it introduced in September. Google expects the OS to be available in the second half of 2010, and it initially will … [visit site to read more]

Indian Market Down 11.69 Points On Thursday

Sunidhi Securities — Thu, 09 Jul 2009 10:33:58 +0000

Sensex fell 11.69 points or 0.1% to 13757.46.
Nifty rose 2.05 points or 0.05% to 4080.95.
Mid Cap index rose 0.6%. Small Cap fell 0.1%.
BSE 500 was up 0.2%. Sensex losers: 15

Of 13 BSE Sectoral indices, 6 posted losses.
Advancers: 1078, Decliners: 1465, Unchanged: 95
Advance/Decline ratio: 5:7

Sensex Day’s Range: 13879.18 - 13643.97
Nifty Days Range: 4114.90 - 4039.85
52-Week Range: 15600.30 - 7697.39
52-week change: -11.8%

Sensex gainers included Reliance Infra +2.5%, Sun … [visit site to read more]

Bank Of England Can’t See Beyond More Quantitative Easing

Capitalists@Work — Thu, 09 Jul 2009 09:37:24 +0000

Yes, that is what the Bank of England is likely to say today: print more money, the Government spending is the only thing keeping the economy alive.

This is an horrendous trap, see FT here, we have fallen into, now that the UK is existing on printed money for its government financing, it will be difficult to see how this can be stopped. The Bank of England may need to keep extending the ‘window’ and I have no idea where that will lead, but Zimbabwe is the worst option and Japan, … [visit site to read more]

An L Of A Recovery

Macro Man — Thu, 09 Jul 2009 09:35:09 +0000

Macro Man was pleased to receive plenty of kind feedback on yesterday’s little hip-hop effort, though somewhat chagrined to see that “California Love” is apparently now considered “old school.” Speaking of old school, “Going Back to Cali” was suggested as an alternative source of inspiration…..hmmmmm…..I don’t think so.

Anyhow, we finally started to get some signal yesterday with the release of Alcoa’s (AA) earnings after the close last night, which apparently means the return of … [visit site to read more]