ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Fitch Says U.K. Rating Most at Risk Among Top-Rated Nations – Bloomberg.com he U.K.’s sovereign credit rating is most at risk among top-rated nations, Fitch Ratings said, citing concern over the country’s budget deficit. (tags: United_Kingdom govt_spending debt) Life on Severance: Comfort, Then Crisis – WSJ.com Mr. Joegriner is a member of what might be … Read more
On a strong market day, RIMM opened up over 2% and, at the time of writing, is up over 4% on the day. RIMM’s share repurchase period begins today, and, so far, so good for propping up the stock. Yesterday, I expressed my doubts that RIMM would spend the entire $1.2B that its board authorized, … Read more
Obama team ignores Volcker at its peril – MSN Money We ought to learn our lessons from the mistakes of the Greenspan period. It's a shame that after the near-vaporization of the financial system last year, with all the attendant consequences, so little intelligent thought has been given to how we got into the mess … Read more
On November 5, Research In Motion (RIMM) announced a buyback of up to $1.2B in shares starting November 9 and lasting for up to a year. When I read this announcement, I pounced on the stock the minute pre-market trading opened. This was quite a mental exercise for me because I had just closed out … Read more
Yesterday, the Bank of England left its interest rate at 0.50% and increased its program of quantitative easing by £25 billion to a total of £200 billion. The British pound immediately rallied on the news against all major currencies – apparently, analysts already expected the increase and were afraid the BoE might actually increase quantitative … Read more
Soon after Google’s earnings I bought a November 570/580 call spread given that the year-over-year revenue growth rate finally seems to be turning around and revenue per employee looks ready to trend upward as well. I am finally getting around to explaining the move (as I promised to do) now that GOOG has reversed all … Read more
BoE needs to increase QE by 50 bln stg-Blanchflower | Reuters Bank of England policymakers must agree to top up the 175 billion asset purchase programme when it meets on Thursday to stop the economy "dropping off a cliff," former Monetary Policy Committee member David Blanchflower said. (tags: BankofEngland quantiative_easing) The significance of the IMF-RBI … Read more
Why Do Green Energy Experts Buy Solar Stocks? | Alternative Energy Stocks Green energy experts accept that solar panels are one of the least cost effective ways to reduce your carbon footprint. Nevertheless, many buy solar stocks. They should rethink their investment strategies. (tags: solar alt_energy)
Mother of all carry trades faces an inevitable bust The Fed and other policymakers seem unaware of the monster bubble they are creating. The longer they remain blind, the harder the markets will fall. (tags: Nouriel_Roubini bubbles interest_rates Federal_Reserve monetary_policy) Schools Are Where Stimulus Saved Jobs, New Data Show – NYTimes.com The best symbol of … Read more
Whenever the market sells off, it is good to track whether the selling marks any change in character in the health of the market. Back in June, the change in character was marked by the deepest oversold conditions since March. Those conditions deepened into July and helped provide the fuel for the next strong leg … Read more