Contributing Editors' Blog Entries

madhedgefundtrader's picture

Lumber is On Fire

Guess what the top performing asset of 2010 has been? Decades of production downsizing, huge Chinese buying, and waning competition from Canada because of a strong loonie, conspire to take lumber up a blistering 39.9% YTD. (WY), (LPX), (CUT).

Leo Kolivakis's picture

The General Accounting Standards Board, or GASB, is likely to move toward changes that would increase the pension liability that local governments display on balance sheets by tens of billions of dollars. If the modifications are approved, many already cash-strapped states and municipalities would likely have to increase the amount they are supposed to pay annually to their pension funds to help cover the shortfall. As if that isn't bad enough, federal criminal investigators are looking into possible wrongdoing involving investment transactions of public pension funds including Calpers, the nation's biggest public pension fund. How many more pension bombs are set to explode?

Fibozachi's picture

One of our daily scans returned an oddball pattern at the end of last week that is extremely rare and extremely interesting from a technical perspective; 4 consecutive "filled white" candles. The culprit: none other than Boeing, the big BA, who just yesterday completed an "ultimate-load wing up-bending test on the 787 Dreamliner" with "positive initial results." Though analysis of the data for the long-delayed Dreamliner will take several weeks to sift through, we took a few snapshots and present a technical profile for the big BA and Continental Airlines (CAL), which stood out as another utterly fugly issue ripe for reversal.

madhedgefundtrader's picture

The “tough guy” approach to Iran. Taking on the “America Bashers”. The spectacular growth of China and India is largely the result of open American trade policies. The biggest threats to American dominance are runaway borrowing and entitlements. “Even our power has its limits.” An exclusive interview with former Secretary of State and Secretary of the Treasury, James Baker III.

Leo Kolivakis's picture

Former Bank of Canada Governor David Dodge is adding his voice to the debate over pension reform, calling for a voluntary component to the Canada Pension Plan. “Let’s not kid ourselves, middle and upper middle Canadians now in their prime earning years are going to have to save more and expect to retire later in life than they hoped to do,” said Mr. Dodge.

Chopshop's picture

Before delving into an ECB speech chock full of insight, a deflationist rant 'Through the Looking-Glass' of social mood as per:

[1] the management of inflation expectations;

[2] the implications within central bank (CB) exit strategery; and

[3] 'what Alice is likely to find' in Mr. Market's immediate future. If you think Bernanke an idiot and see hyperinflation-a-coming, you probably don't wanna read this.

Leo Kolivakis's picture

The Ontario Teachers' Pension Plan's £389 million deal for Britain's lottery company is a sign that private equity firms should watch out, The Wall Street Journal says. Noting that Teachers won out in a race against Europe's CVC Capital Partners, the newspaper's Heard on the Street column says it could be the beginning of a broader trend. I have my doubts...