Archive - 2010 - Blog entry

At $19.20 a share, Cisco offers a PE multiple of 10 times, versus a market average of 15, the prospect of a dividend next year, and at 12%-17%, one of the most consistent long term growth outlooks of anyone. Did I mention that they get a majority of their sales from overseas, where growth rates are posting white hot double digit rates? Getting in on growth rates are posting white hot double digit rates on the cheap. (CSCO).

You're not the same!

Retail traders are notoriously wrong at picking market direction/tops and bottoms. Most retail traders very naturally seem to adopt a counter-trend stance and this offers very accurate signals for individuals looking to trade against this group. This daily report is designed to help traders focus their efforts on higher probability pairs.

U.S. stocks dropped more than one percent on Tuesday with two Korea's exchanging fire adding to the already worrisome Irish debt crisis in Europe. Europe's debt crisis has mostly been factored in, so the new development in Korea is what really jolted the market.

The market is limping in to Thanksgiving like Kenny Easterday with a broken wrist thanks to the European Union being on shakier ground than Gabourey Sidibe on a tight rope, North Korea dropping bombs on South Korea after South Korea's TSA apparently tried to touch Kim Jong-ils junk, and the Fed...

The prospect of major hedge funds and mutual funds getting redemption notices makes traders on Wall Street very nervous. This is the type of stuff that makes me nervous too because you don't know how it's going to play out. It might turn out to be nothing, and blow over, or it might snowball and wreak havoc in financial markets.

Peep-and-grope ... coming to a venue near you?

Natural gas has long been touted as a cleaner alternative because natural gas releases about half as much of the greenhouse gas carbon dioxide as coal does. However, a new research by Dr. Robert Howarth at Cornell University says otherwise.

Contagion in the Europe is a foregone conclusion and its risk cannot be truly priced in since no one really knows where it will kick off, how, and what direction it will take through which channels. All that is known for sure is that you have a collective of nations that have been purposely over-optimistic in forecasts, purposely misleading regarding their past and present liabilities and mired in debt and bad assets amid an inevitable hard landing - or worse.

If you think the World's Most Complicated Securitization Chart was complicated, get a load of this baby!

Couldn’t resist taking a time out from our work on The Great ‘flation Debate (and a new short thesis which we’ll be laying out for investors next week) to share this one. It’s not often you get an opportunity to insert New Edition into a blog post. But Hussman’s recent Case Against the Fed opened the window just wide enough for Ronnie, Bobby, Ricky and Mike to slide through:

This is why we must protect the business owners in THIS country before our own workers start getting funny ideas about being able to afford to eat the food they serve or buy the things they make... This is a great example of why China's growth is unsustainable.

Kim Jong Il is like the High School nerd who tries to dress up like Elvis to look cool. He's a loser and a madman, and I couldn't care less if the South Korean military takes him out ... but today's skirmish is being overblown

Full of holes? Yes, but what other plan is out there?

While Bernanke was putting the finishing touches on QE2 in DC, 50 global financial regulators met at the New York Fed to discuss regulation of world's largest market. Instead of financial reform measures, what is being created is simply a massive new power center headed by the CFTC from which those at the top will vainly attempt to manipulate market prices and entrench favored institutions within the new framework.