[8:26am ET] Since I am having ISP issues today again, like the past couple days, both cable and dsl, where the service is sporadic, I decided to just upload a partial Daily Report today. The notes I published are, however, important. Hopefully the systems here stabilize soon.
[9:30am ET] Matt Goldstein of Reuters has unveiled a bizarre spy drama at Goldman Sachs wherein one Serge Aleynikov is alleged to have stolen the Goldman Sachs real-time proprietary trading system and shipped it secretly to Europe. I
[8:05am ET] While you would not know it from this morning
[7:35am ET] Appropriately on Canada Day today, I noted an article in the National Post by the country
[5:40am ET] Aussie-based technical analyst Colin Twiggs believes that gold at 940 is at a break-out point, either up or down. As you know, I agree; moreover I have opined that the price of gold will any day make a spurt to $1,000/oz, and so I have closed the bullish put writes in the gold and silver miners and switched to an even more bullish program of buying calls. Today could be the break-out day. Of course, central banks are loathe to permit that break-out. It
[9:30am ET] I woke up this morning with a moderate pain running down my right arm from the back of my neck to my wrist. Thinking carpal tunnel syndrome, I checked up on wiki, but discovered that, despite my right hand being married to a mouse, the event was more likely of a psychosocial nature:
[7:52am ET] “Goldman Sachs engineered every major market manipulation since the Great Depression – and they are about to do it again”
[See attachment.]
Oh really? Is there anything newsworthy in this article that bloggers and mainstream media seem to be heralding as shocking
[5:10am ET] As I sat in the doctor
[7:19am ET] The gold trade is back on today as central banks have agreed to take actions that will reduce the cost of borrowing for banks, companies, mortgage holders and consumers. European Central Bank’s first ever one-year refinancing operation today was an incredible Euro442 billion at 1%. Banks will start lending again. Later today, the Fed will almost certainly follow up with a similar action despite the verbiage we may see in their FOMC report.
I sensed this coming. Yesterday I wrote:
[7:19am ET] The gold trade is back on today as central banks have agreed to take actions that will reduce the cost of borrowing for banks, companies, mortgage holders and consumers. European Central Bank’s first ever one-year refinancing operation today was an incredible Euro442 billion at 1%. Banks will start lending again. Later today, the Fed will almost certainly follow up with a similar action despite the verbiage we may see in their FOMC report.
I sensed this coming. Yesterday I wrote:
[7:52am ET] A report from the World Bank that opines that the global economy will shrink -2.9% in 2009 and that commodity prices have peaked, has moved speculators into selling commodities, which has led to selling of the commodity price related equities. The global equity market is taking it on the chin.
[10:35am ET] The World Bank has reported today that the global economy will shrink -2.9% in 2009 and that commodity prices have peaked. This report is having an impact in the market today, particularly for commodity producing countries like Brazil, and in the commodity related industries that trade in NY.
http://www.bloomberg.com/apps/news?pid=20601086&sid=a0r3UGqnHprg
Presently we are net short equities about -5% in our positions, excluding gold. GLD has traded as low as 90.13 in the first 30 minutes. At 10:34am ET, GLD is bid 90.37.
[8:28am ET] The Wall St Journal headline reads,
[7:49am ET] President Obama has outlined the Treasury Department
[6:18am ET] As the world turns and equity markets seem ready to break-out up or down
[7:25am ET] Yesterday, I made the point that a move was afoot by Interventionists to suppress concerns over the logical result of the Great Reflation Era, that being extreme inflation, and there were comments from people who believe that printing all this money would not head off the coming deflation. All I can do is keep the discussion simple in that if there is a massive action, I expect a massive reaction.
[7:50am ET] This morning, the market picture can be summed up as follows: global equities down; metals and precious metal prices down; US bonds up (yields down); and US Dollar up. Interventionists have stepped up their campaign to suppress the logical result of the Great Reflation Era, which is that extreme inflation is the most probable outcome.
In any case, wait 24 hours and the weather will change. More importantly, it
[8:55am ET] Although the Paychex Inc stock chart (PAYX) looks not dissimilar to the broad equity market, Goldman Sachs has downgraded the stock from Sell to Conviction Sell. Clearly there are a number of corporate client losses through the recession and the employee numbers per client are falling for this payroll accounting service company, but if Goldman sees Green Shoots and Abby Joseph Cohen envisions clear skies ahead for corporate America, I am puzzled why they now rate Paychex the worst level in their coverage.
[8:55am ET] Although the Paychex Inc stock chart (PAYX) looks not dissimilar to the broad equity market, Goldman Sachs has downgraded the stock from Sell to Conviction Sell. Clearly there are a number of corporate client losses through the recession and the employee numbers per client are falling for this payroll accounting service company, but if Goldman sees Green Shoots and Abby Joseph Cohen envisions clear skies ahead for corporate America, I am puzzled why they now rate Paychex the worst level in their coverage.
[7:45am ET] Will we ever get to the bottom of the controversy that Ken Lewis stirred up with respect to behind-the-scenes management of the private sector by monetary authorities such as the US Federal Reserve Bank and the US Treasury Department?
[6:21am ET] Fortune Magazine has published their list of 40 quality companies, calling it
[6:24am ET] The US Treasury Department will be receiving repayment of about $68 billion in bail-out money. Whether or not an associated $5 billion in warrants will be collected is another issue. Humungous Bank & Broker (HB&B) is now saying they didn
[6:24am ET] The US Treasury Department will be receiving repayment of about $68 billion in bail-out money. Whether or not an associated $5 billion in warrants will be collected is another issue. Humungous Bank & Broker (HB&B) is now saying they didn