Archive - 2009 - Blog entry

For the first time ever, there are as many women in the workforce as men.

Do you know why?

The big question is how will other nations respond to the symbiotic relationship between the U.S. and China? This week we saw Asian currencies declining on intervention speculation. Will we see intervention in the currency markets? I am not sure, but the current path is unsustainable and will require some sort of intervention as it poses serious risks to the global recovery.

Big time fraud in the Housing Tax Credit. The estimate is up to $600mm. This could be the kiss of death for this program. The backup plan relies on Fannie and Freddie. In other words, there is no plan.

There is some interesting new data out on how recessions affect people who come of age during distressed times. Not surpisingly, recessions can have a lasting impact on young people and literally alter the way they view the world going forward. Therefore, it makes sense for investors to understand exactly who the financial crisis will influence and what that will mean for companies and products.

I agree with Barry Eichengreen, reports of the U.S. dollar's demise are greatly exaggerated. The mighty greenback will come roaring back, perhaps sooner than you think.

Here we go again ...

Reggie - I am a large hotel company and have been treated like a thief by the doo doos [he is referring to Reggie Middleton's notorious Doo Doo 32 (As I see it, these 32 banks and thrifts are in deep doo-doo!)].

Here we deconstruct the largest of the AAA rated Agency MBS offerings that the Fed just bought (at the bargain price of just under $9B). No mortgage insurance and no verifiable assets or income are all highlighted features for a non-trivial portion of these CA-dominated loans, 18% of which are cash out refis. Who says the taxpayer isn't getting his money's worth?

For all of you momentum chasing, non-calculating, never touched a spreadsheet, CNBC luvin', James Cramer watchin' bulls out there, I have a feeling you will be hearing a lot of I told'ja so's over the next 12 months.

Here is a quick look at the Ackman short, O's covenant risk and a comparison to the cash shortage at American Campus Communities. ACC's issues are more imminent!

No matter where the stock market rises to, no matter what accounting shenanigans are being pulled, and no matter what program traders or momentos are pushing for the moment, sooner or later (usually sooner than many realize) the fundamentals come home to roost. Enter Wells Fargo...

As you can see, there are many things going on in the world and I am just trying to connect all the dots as best as I possibly can, focusing on the major trends that will shape our future.

Citi upped the rate on my CC to 30%. Do these guys get it that we hate them? It would appear not. These stupid practices will do this bank more harm then good. How many times will they shoot themselves in the foot? Once too many will be the answer.

MoveOn.org is not one of my favorite institutions. What really irks me about them are the lies and economic falsehoods they promote. Now they are agitating for the public option in the regressive health care bill as good old American "healthy competition." It's a lie and they know it. They've produced a silly video starring that well known expert on health care policy, Heather "I've-seen-you-naked" Graham. It's probably her best performance since Boogie Nights. The public option will kill health care in America.

Same as it ever was ...