Archive - Mar 21, 2010
Think Twice Before Buying That Vacation Home
Submitted by madhedgefundtrader on 03/21/2010 23:53 -0500A meltdown of Biblical proportions hits the vacation home market. A market plagued by giant snow drifts and burst pipes. Cash out refi’s have come back to haunt. Sales on the county court house steps at prices down 60%-70% from the 2006 peak. Jumbo financing is now an extinct species. A shortened school year has killed the rental market. A “bear” market of a different sort. Care to join Fredo Corleone?
Dollar On Verge Of Break Out; Goldman On Verge Of Being Stopped Out (Of Long EURUSD Reco)
Submitted by Tyler Durden on 03/21/2010 23:20 -0500
The DXY is ripping, and is about to break out of recent resistance levels. News out of Europe that no bailout of Greece is to be expected, further compounded by some serious doom and gloom out of Evans-Pritchard about the EMU and the euro in general, means that the euro will soon make a date with the one point two-handle. This is certainly not good for Goldman clients who just one week ago bought into Goldman's pitch of going long the EURUSD, with a 1.35 stop. Looks like that stop is about to be breached.
Fraction ... Er ... Fictional Reserve Banking
Submitted by George Washington on 03/21/2010 23:05 -0500Reserves? We don't need no stinkin' reserves!
Investor Sentiment: Going Forward
Submitted by thetechnicaltake on 03/21/2010 23:03 -0500This past week the S&P500 made a marginal new high at 1159. Since the last marginal new high 9 weeks ago, the S&P500 has made 1.2% and along the way it had a 7% draw down. In my opinion, that's the path to the poor house - not the end of the rainbow.
"Passage Of The Healthcare Bill Means The Double-Dip Is Coming" - Market Insight From Permabull Jim Cramer Who Just Turned Bearish
Submitted by Tyler Durden on 03/21/2010 22:03 -0500Jim Cramer may be in hot water with the SEC over his theStreet.com, and he may be a mouthpiece for the biggest ponzi enabling organization the developed world has ever seen, however, he did have some interesting and spot-on observations on the just passed health care bill. In a nutshell, and for once we agree with Cramer, if futures are not limit down right now, it is because of the same bidding hand that has kept the market going straight up at a 30 degree angle for the past year.
A Generous Government Keeps Doling Out The Refunds Even As 2009-2010 Tax Withholding Difference Hits New Low
Submitted by Tyler Durden on 03/21/2010 21:25 -0500
We previously discussed the curious phenomenon of increasing individual tax refunds handed out by the US Treasury, despite record weak tax withholdings, and speculated that the Treasury's generosity, which is very much unfounded, is one of the main reasons for the consumer "outperformance" year to date, due to the excess money obtained by US consumers courtesy of what appears an oddly lax Internal Revenue Service. We won't speculate on the secondary implications of governmental cash flows to and from taxpayers, and instead will focus on actually following the cash. The conclusion is simple: even as the IRS has paid out far more in refunds in 2010 versus 2009, the difference in gross tax withholdings between 2009 and 2010 is at year highs. The government can not afford to pay refunds, yet does so at an alarming pace. The net difference (withholdings net of refunds) for just the first 10 weeks of 2010 is already at a ($42.7) billion cumulative number: a new 2010 high.
Guest Post: Weekly Gold, Silver, Oil & Natural Gas Analysis
Submitted by Tyler Durden on 03/21/2010 16:58 -0500Last week was nothing special as stock market continued to drift higher on light volume and the Volatility Index (VIX) reaching a new multi-year low. This mix of higher prices on light volume, multi year lows in the VIX and an overbought market paints a clear picture to a market technician – Be Ready for a Pullback! Last Wednesday I sent out a report covering sector rotation comparing the price performance of these sectors from the January peak with last weeks price action. It was very interesting and it pointed to a sharp sell off Thursday or Friday.
OilPrice.com Weekly Oil Market Update: 03/15/2010 - 03/19/2010
Submitted by Tyler Durden on 03/21/2010 16:33 -0500Crude oil futures kept falling back from highs even though speculative funds increased their bets that prices are headed higher. The benchmark West Texas Intermediate contract ended the week at $80.68 a barrel, after nearing $83 earlier in the week, compared to $81.24 a week ago. Saudi Arabia’s oil minister, Ali Naimi, made it clear once again on Tuesday that the world’s largest oil producer prefers a range of $70 to $80 for oil prices. Speaking to journalists in Vienna prior to and OPEC meeting, Naimi said the oil-exporting group, which accounts for 40% of daily oil consumption, won’t let tight supplies push prices too high.
China: An Infrastructure Anecdote For Your Sunday Reading
Submitted by Econophile on 03/21/2010 12:33 -0500China: When you build roads so fast, sometimes you never know what you may run into at the end of the road. A very short story for your Sunday reading.
Open Thread: The Real State Of The Economy
Submitted by Tyler Durden on 03/21/2010 10:10 -0500Over the past two years, one of the most salient topics of discussion has been America's collapse into a Chinese state of economic disclosure - limited, opaque, and, at worst, fraudulent. Due to Zero Hedge's extremely "eclectic" selection of readers who are professionals in a variety of industries, we would like to take the opportunity to hear from all of you on what the true state of the US economy is where you are - be it (un)employment, inventories, overall business conditions, moods, general supply and demand, etc. Consider it an objective, crowd-sourced, non-manipulated business perspective.
The Real Crisis in Health Care?
Submitted by Leo Kolivakis on 03/21/2010 09:53 -0500As the House gets ready to pass a "historic" bill on health care reform, let me introduce you to the real crisis in health care...







