Contributing Editors' Blog Entries
AIMCo's $174 Million External Fees?
Submitted by Leo Kolivakis on 10/07/2009 - 22:02 Let me repeat what I stated last August. AIMCo is lucky to have Leo de Bever as their new CEO. The politicians in Alberta should give him a chance to prove himself. I am confident he will succeed in building a great team and add long-term value to the funds he's been entrusted to manage.
A Lesson in Gold Trading by Sideshow Bob
Submitted by EB on 10/07/2009 - 10:41 Sideshow Bob Veteran gold traders can attest that piling onto breakouts, especially in highly leveraged futures, can quickly become a losing proposition on a reversal. While yesterday’s surge in gold was confirmed with gold priced in other currencies, there is a slight seasonal negative at work here until the end of October. Traders should recall that the second week of October 2008 began a painful slide after a strong September...Is The Next Bubble Unavoidable?
Submitted by Leo Kolivakis on 10/06/2009 - 22:43 Forget fundamentals. Hedge fund flows, investment banking flows, sovereign wealth fund flows, pension flows, and retail speculation will drive equities and other risk assets much higher. How long can it last? Remember the famous quote from John Maynard Keynes: "The market can stay irrational longer than you can stay solvent."
Questions for Gary Gensler and Henry Hu
Submitted by George Washington on 10/06/2009 - 18:20 Dear Congressional Aides: Here are the questions which should be asked of Gary Gensler and Henry Hu in tomorrow's hearing before the House Committee on Financial Services
Gold move not confirmed by backwardation
Submitted by Project Mayhem on 10/06/2009 - 11:56 Backwardation The move in gold to new 18 month highs has not been confirmed by backwardation in the gold basis. Caution is warranted for leveraged traders.
In Defense of Capitalism: a True Love Story
Submitted by Vitaliy Katsenelson on 10/06/2009 - 11:55 In the 1980s, in Soviet Russia, a few times a year, my class walked to a movie theater, where we were shown a documentary. Attendance was mandatory. The documentaries were different but the themes were the same: to the accompaniment of patriotic music, we learned about the righteousness of socialism, the greatness of Mother Russia, and the intelligence and foresight of our great leaders.Waltzin' Matilda up the S&P Ladder
Submitted by EB on 10/06/2009 - 11:22 True to form for 2009, anyone trading with a close eye on the fundamentals is getting a major hurt put on, while buying any dip to minor support, such as the 50 day MA, remains as viable a strategy as the most sophisticated SPARC assembly language-optimized HFT algorithm. The order has come down from above, once again today (as it did yesterday), that sellers ain't welcome.Will a Basket of Currencies Replace the Dollar?
Submitted by George Washington on 10/06/2009 - 11:14 The short answer is... Yes, probably.Is the Dollar Heading Up Or Down?
Submitted by George Washington on 10/06/2009 - 00:45 The dollar will go way up the next time the stock market crashes or during the next leg of the financial crisis . . . but will tank long-term.Money Under the Mattress?
Submitted by Leo Kolivakis on 10/05/2009 - 21:52 Unlike those employees at Simmons who lost their jobs, private equity pension fund managers and the GPs they invest and co-invest with are sleeping easy, counting the millions they collect in bonuses and fees as they profit by loading up the debt of companies they acquire.
September - Another Stinker for SSTF
Submitted by Bruce Krasting on 10/05/2009 - 19:49 The SSTF shortfall for September came to $4.13 billion. A $10 billion swing from 2007. This is the third month in a row of this red ink.The day of reckoning is coming sooner than is forecast. Japan is in trouble over the same problem. We are following them down the same path.
Gold: Off The Launching Pad
Submitted by thetechnicaltake on 10/05/2009 - 18:10 What we do know is this: compressed prices can lead to explosive moves in either direction.The Largest U.S. Banks Have Repeatedly Gone Bankrupt Due to Wild Speculation, and the Fed Blessed the Speculation and then Helped Cover Up Their...
Submitted by George Washington on 10/05/2009 - 11:40 Fed Economist Says American Banks Went Bankrupt in 1982, The Fed Hid Their Insolvency, Supported Mexican Dictator, and Nursed Banks on "Fat Spread" . . .Good morning, worker drones: This Week In Mayhem
Submitted by Project Mayhem on 10/05/2009 - 08:01 Project Mayhem reviews the most important financial and geopolitical news of the past week and takes a look at the week ahead.