Archive - Mar 2011 - Blog entry

A secondary reason for Silver outperformance is its pricing: at $36 per ounce, buying Silver is much more affordable than Gold which costs $1,400 per ounce. Consequently, Silver is a kind of “poor man’s” inflation hedge and so is profiting from an influx of orders from those who are growing increasingly worried about inflation but cannot afford to buy an ounce of Gold.

"You can't help that. We're all mad here." Cheshire Cat

Retailers in the UK release the Motorola Xoom at competitive prices and Sam's Club announces pre-orders for the muscular Xoom at $60 BELOW the price of the iPad 2. Apple's flagship mobile product has not even been released yet and its being undercut by more technically more capable competitor, and there are dozens more competitors on tap. Margin compression is inevitable for ALL players involved as this becomes a pricing bloodbath to the benefit of tech consumer.

Was the financial crisis the result of targeted attacks by terrorists groups? Was it China? Jihadists? Or the Duchy7 of Grand Fenwick? A a John le Carre novel would make better reader.

The single most critical issue to note right now is the US Dollar’s collapse. The US Dollar has broken below its multi-year trendline in a BIG way. Any hope of a bull market run is pretty much over and we’re on our way to a MASSIVE currency devaluation.

As is customary in these times of uncertainty and economic turmoil, the quite timely intellectual giants at the ratings agencies pull up to a burned down house stating that they smell smell something asunder.
Alas, better late than never and yet the Greek government seeks to have even that very late Truth... "Adjusted"!

EURUSD continues its consistent medium term uptrend at the same time retail traders are consistently increasing their short position to 65.97%. The big news event of the day is CAD Building Permits 08:30 EST other than that Trichet speaks at 07:00 EST, most other events of the day are relatively minor in historical effect.

A recent debate between Rick Santelli of CNBC and James Bullard, the St. Louis Fed, inspired this analysis - Would the US economy be doing better without the QE2 initiative?

I wanted to give an overview of how the markets can look good but not actually BE good. It’s important to get the perspective of the WHOLE economy – not just the part that we swim around in.

I was stunned by several comments yesterday showing that many people still don't know the BASIC facts. Do you know the facts?

Some Sunday food for thought on state budgets, education and jobs...

What you Sheen is what you get...

Former hedge fund analyst Danielle Chiesi compared insider dealing to an orgasm. If that's true, then Wall Street must be experiencing one giant orgasm...

Badges? We don't need no stinkin' badges!

The market bounced around a bit on Friday before closing down (something about conflict in the Middle East, spiking commodity prices, and...