ajhough

15 Notes on the Current Market Stress

One now sees the need for oversight of capitalism, for capitalism sake. Free markets don't mean markets without rules for the road. Why not have an "uptick" rule for short sellers? All it means is that shorters can't just drive markets into the ground. Why not have reasonable margins for short sellers? Afterall, they are using my stock to short my positions.

Hyperinflation, Here We Come

Inflation is HERE! The cost of living of most items we use is flying out of control. Profits for companies will continue to disappear and stocks will drop to "fair value."

Don’t Buy What Wall Street Is Selling

I keep looking at these markets and can only wonder. I can't imagine what the earnings will be next year and buying on trailing earnings is nothing but guess work. Even the oil stocks are going down since investors can not figure what the price of oil will be next year. I am looking at AIG and would add to my portfolio if I could understand what the markets will look like next year. The banks are going down hard since they had no idea what is
risk management. The options markets are being run in London and the FTC has no idea about what is going on. Next year must be an improvement.

This Week's Financial Winners (BlackRock, Aflac) and Losers (Wachovia, AIG)

I have owned AFLAC for many years. It has been a very interesting and profitable asset to have in my portfolio. Ten years ago I had a broker recommend that I sell off about half of my position; I just held on and watched it compound.