Six Flags

Janet Yellen Can't Pop The Biotech Bubble (But The SF Gate Can)

Biotech has a special place in the heart of the gambler investor. In the modern market where the average investor doesn't stand a chance, some of them indulge their hope and turn to lottery tickets. If only they can get the next Gilead or the next Amgen, they will become the next wildly successful "maverick" investor. More lottery tickets seem to be flying around than usual lately, floating alongside the recent biotech bubble. Some have doubted if this is a bubble. Maybe it's different this time. The SF Gate pondered this exact same question 15 years ago, and the market promptly replied.

Frontrunning: February 19

  • Greece requests euro zone loan extension, offers big concessions (Reuters)
  • Germany Rejects Loan Request Saying Greece Must Meet Conditions (BBG)
  • Did the Fed Just Enter the Currency Wars (BBG)
  • French consumer prices fall for first time since 2009 (Reuters)
  • Oil falls sharply after U.S. crude inventories rise (Reuters)
  • High-Speed Firm Virtu Revives IPO Plans (WSJ)
  • Fed Tiptoes Into Rate-Hike Debate (Hilsenrath)
  • Rajoy’s Nemesis Is Back: Anti-Graft Editor Targets Vote (BBG)

Frontrunning: September 9

  • Showtime for Apple: Big phones, smart watches and high expectations (Reuters)
  • Bank of England Gov. Mark Carney Signals Spring Rate Rise (WSJ)
  • Quebec Shows Scots Question Returns Even If Answer Is No (BBG)
  • Hush money with a 9 year vesting period: Ex-SAC Fund Manager Martoma Sentenced to Nine Years in Prison (BBG)
  • Dreams on hold, Brazil's 'new middle class' turns on Rousseff (Reuters)
  • Fed to Hit Biggest U.S. Banks With Tougher Capital Surcharge (WSJ)
  • Egypt court sentences Brotherhood leader, cleric to 20 years in jail (Reuters)

Frontrunning: June 23

  • The Man Who Broke the Middle East (Politico)
  • Kerry presses Maliki as Iraq loses control of Syrian, Jordanian borders (Reuters)
  • Hank Paulson takes on global warming next: The Coming Climate Crash - Lessons for Climate Change in the 2008 Recession (NYT)
  • In Yellen We Trust Is Bond Mantra as Inflation Threats Dismissed (BBG)
  • After port fraud, China's vast warehouse sector under scrutiny (Reuters)
  • Draghi Says Unlimited Cash Through 2016 Is Rate Signal (BBG)
  • Tapes Said to Reveal Polish Minister Disparaging U.S. Ties (NYT)
  • CDC reassigns director of lab behind anthrax blunder (Reuters)
  • BNP set to receive ban to transact in USD as part of $9 billion settlement (WSJ)
  • GE Clears Last French Hurdle to Clinch Alstom Deal (BBG)
  • Al Jazeera journalists jailed in Egypt, supporters stunned (Reuters)
  • ISDA Asked to Rule If Argentina Credit-Default Swaps Triggered (BBG)

Frontrunning: November 27

  • Winter storm lashes eastern U.S., threatens Thanksgiving travel (Reuters)
  • Fed Reveals New Concerns About Long-Term U.S. Slowdown (BBG)
  • Private equity keeps $789bn of powder dry (FT) - because they are "selling everything that is not nailed down"
  • Merkel and SPD clinch coalition deal two months after vote (Reuters)
  • Japan approves new state secrecy bill to combat leaks (BBC)
  • CLOs are the new black: Volatile Loan Securities Are Luring Fund Managers Again (WSJ)
  • Health website deadline nears (WSJ)
  • Norway Debates $800 Billion Wealth Fund’s Investment Options (BBG)
  • Set of global trade deals stalls (WSJ)
  • Berlusconi To Learn Fate In Senate  (Sky)
  • Silvio Berlusconi withdraws support from Italy’s government (FT)

Frontrunning: May 20

  • Obama's Counsel Was Told of IRS Audit Findings Weeks Ago (WSJ)
  • North Korea fires sixth missile in three days (Reuters)
  • Enron No Lesson to Traders as EU Probes Oil-Price Manipulation (BBG)
  • Don't cry for me, Eurozone: Thinking the Unthinkable - Quitting a Currency (WSJ)
  • H-1B Models Strut Into U.S. as Programmers Pray for Help (BBG)
  • Gold Bear Bets Reach Record as Soros Cuts Holdings (BBG)
  • Yahoo has agreed to pay $1.1 billion for Tumblr (WSJ)
  • JPMorgan Holders Led by Chairmen-CEOs to Vote on Dimon (BBG)
  • Apple faces grilling over US tax rate (FT)
  • Nissan to Sell First Joint Minicar to Expand in Japan Market (BBG)
  • Fierce battle for corporate loans sparks US bank risk concerns (FT)
  • Microsoft Updates Xbox as Apple to Facebook Gain in Games (BBG)

Frontrunning: May 9

  • Einhorn's advice to investors: don't take my advice (Reuters)
  • Next: floating dead vegetables: Chinese inflation rises on soaring vegetable prices (FT)
  • The scramble for the bottom dollar is on: McDonald's, Wendy's Battle for Value-Centric Customers (WSJ)
  • Cheaper iPhone coming after all: Apple supplier Pegatron boosts China workforce by 40 percent in second quarter (Reuters)
  • House set to pass tactical Republican debt bill (Reuters)
  • Underwriting bonanza: Goldman Said to Earn $500 Million Arranging Malaysia Bond (BBG)
  • G7 finance chiefs to discuss bank reform push (Reuters)
  • Big Banks Push Back Against Tighter Rules (WSJ)
  • University endowments trim holdings in US Treasuries (FT)
  • Ex-Pakistan PM's son abducted as Taliban threaten poll (Reuters)
  • China Dowry Filled With Gold Signals Gains for Jewelers (BBG)
  • As discussed here over a year ago: China inflation data shows central bank policy dilemma (Reuters)

Frontrunning: April 19

  • Police Searching for 19-Year-Old Boston Bombing Suspect (BBG)
  • Mayhem Erupts in Boston After MIT Campus Officer Slain (BBG)
  • Elvis Impersonator Accused of Ricin Letters Sowing Fear (BBG)
  • Blackstone Pulls Out of Dell Bid on Rapidly Falling PC Sales (BBG)
  • Before Texas plant exploded: What did regulators know? (Reuters)
  • Aso Says Japan Policy Unopposed at G-20 Meeting as Yen Falls (BBG)
  • Bipartisan pair target $2.5tn US savings (FT)
  • Plan for new Cyprus vote casts uncertainty on bailout (Cyprus Mail)
  • Ireland picks through debtors’ lifestyles (FT)

Frontrunning: April 3

  • Cyprus leader invites family firm probe (FT)
  • How the Fed fueled an explosion in subprime auto loans (Reuters)
  • Wal-Mart Customers Complain Bare Shelves Are Widespread (BBG)
  • JC Penney CEO gets no bonus, stock award after dismal year (Reuters)
  • New Bird Flu Virus Kills 2 in China, Sparking WHO Probe (BBG)
  • Algorithms Play Matchmaker to Fight 7.7% U.S. Unemployment (BBG)
  • Fed hawk Lacker and dove Evans face off over inflation (Reuters)
  • Infamous silver market "cornerer" WH Hunt Becomes Billionaire on Bakken Oil After Bankruptcy (BBG)
  • Japan Auto Sales Fall on Subsidy End as Korea Extends Drop (BBG)
  • Black Hawks Near North Korea Show Risk in U.S. Command Shift (BBG)
  • SEC Embraces Social Media (WSJ)
  • Tesla Touts ‘True Out of Pocket’ Financing for Model S (BBG)
  • U.K. Banks Try to Dodge Bonus Caps by Defining Risk-Taker (BBG)

Frontrunning: December 14

  • Obama, Boehner hold "frank" meeting amid "fiscal cliff" frustration (Reuters)
  • Rice Ends Bid Amid Criticism (WSJ)
  • EU summit delays crucial decisions (FT)
  • EU moves to cap bank bonuses at 2 times annual salary (CBC)
  • Europe Wins a Battle, but Not Yet the War (WSJ)
  • Banks Spurn Europe Bond Rush Amid Central Bank Loan Largesse (BBG)
  • German-French Sparring Over Euro Caps 2012 Crisis Fight (BBG)
  • Fed begins stress tests on bank liquidity (FT)
  • Draghi’s rallying cry for new EU powers (FT)
  • EU Seeks Plan to Handle Failing Banks Amid Cost Concerns (BBG)
  • Berlusconi says Monti has strong EU backing (FT)
  • Abe Set for Japan Victory Faces 7-Month Window to Keep Hold (BBG)
  • Japan's Abe would try to keep China ties calm-lawmakers (Reuters)

Alfred Little Strikes At Latest "Brazen Fraud" - Harbin Electric (NASDAQ:HRBN)

Harbin Electric is no stranger to controversy, and its stockholders over the past two years can be forgiven if they believe that jumping on a Six Flags rollercoaster may have been a little more fun, and potentially far more profitable. Well, to keep it interesting, here comes famed Chinese fraudcap hunter Alfred Little with its latest piece, this time alleging that not only long-time target DEER, but also HRBN, "committed multi-million dollar land fraud." Specifically, "In the case of HRBN, management claims they paid $23 million cash as of June 30th, 2011 as a deposit on $38 million of land use rights priced at 500,000 RMB per Mu, double the government’s offering price." Little continues: "Our report today provides concrete evidence consisting of multiple recorded phone calls, on site visits and emails with government officials proving beyond any doubt that HRBN and DEER are both guilty of conducting very similar fraudulent land use rights purchase schemes to steal money from their shareholders. HRBN’s auditor, Frazer Frost, failed to respond to our attempt to share our findings last week." And now is the time for the porn addicts to finally stand up and do something proactive instead of letting to blogosphere do their work for them: "This morning we handed over all our evidence to officials at NASDAQ and the SEC prior to publishing this report. We are hopeful regulators will halt HRBN and DEER until their financials are restated to reflect reality, in the same manner as PUDA and CTE were immediately halted after we published our findings (here) and (here)." The final nail: "In this report we prove that HRBN and DEER’s land frauds are just as brazen as the fraud conducted by PUDA and CTE and thus deserve the same fate." Longs have been warned.

David Rosenberg Looks At The Sugar High Light... And Picks The Dark

Whereas Alphaville presents several statutory observations by David Rosenberg as to a variety of reasons over which one "could" be bullishly inclined based on a goal seeked read of the data (if one so chose), his daily letter is once again capped with yet another bearish summation: the bad news more than drowns out all the positivity, even if that means that another double dip is practically priced in.

Daily Highlights: 5.4.09

  • Consumer spending in the U.S. rose in March by the most in five months.
  • Most banks in the U.S. didn’t tighten lending standards during the first quarter - FED
  • The Senate may take its first votes on amendments to the financial-overhaul bill.
  • Apple sold 1 million of its new iPad tablet computers.
  • BP Plc is trying to install a new valve to staunch one of three leaks in an undersea well.
  • British Land and Blackstone Group plan to redevelop part of Broadgate.
  • China Petrochemical resumed operations at a crude oil pipeline in Shandong province after shutting it because of a leakage on May 2.
  • Citigroup proprietary trader Jay Glasser quit to join Nomura.