Michael Delaney

5 Anomalies in the Current U.S. Markets

DI,

I agree that a disproportionate amount of the daily volume is in junk like AIG, Citi, Fannie, Freddie, etc. But this volume is not being generated by corporate officers "dumping and running". It is being generated by gunslingers and hedge funds who find opportunity in high volatility areas to make money both long and short (sometimes in the same day!). I sincerely hope that a very insignifificant portion of the volume is an average citizen investor who says to himself "AIG sure is cheap. I think I'll buy some for my 401(k) and hold it for a few years".

There are dozens of reasons why corporate officers would want to sell. Maybe they had stock options about to expire and needed to exercise them. Maybe they found that great house on the beach in Costa Rica and need a few million in cash. Maybe they just need to diversify. But there is only one reason why corporate officers will buy more of their stock on the open market. And they should know their company's future prospects better than anyone else. When you find a company like that, it's a gift.

Cramer's Lightning Round - Royal Dutch Shell: Trim the Fat (8/20/09)

"But how long can this rally last without a pullback?" This is pretty much the same question I heard last year when a lot of people were asking "But how long can the market keep going down?". The answer to both questions is "Probably longer than you think".

At this point in time, there are a lot of investors (with a small impact to the market), and a lot of mutual funds (with a much larger impact on the market), and a lot of hedge funds (with a huge impact on the market) who were all afraid or too cautious to participate in this summer's rally. And people are asking why they missed the opportunity. Everytime we get a 3% pullback, the cash on the sidelines pours in. Eventually, we will exhaust this supply of cash and we will get a 5% to 10% pullback before the value guys start jumping in. That is why I still want high dividend stocks which will weather the storm a little better. Because I am not a trader and I am not going to try to guess when to get out and when to get back in the market.

In my opinion. But I could be wrong. I have zigged when I should have zagged several times in the past two years.

It's a Dow Theory Buy Signal: Time to Sell?

Paranoia strikes deep.
Into your heart it will creep ..........

How to Invest in Ocean Wave and Hyrdopower Sustainable Energy

Won't the tidal turbines kill baby dolphins? I am sure that there are some vocal minorities out there who are very passionate about baby dolphins. (or seals. or manatees. or whales.)

The Oil Business Could Be Worse (But Not Much)

With Q1-09 profits down 65% from Q1-08 profits, does this mean CVX is only 1/3 the company it was last year? No. It also does not mean that CVX will be twice the company next year, when Q1-10 profits are up 100% over Q1-09 profits. It's an illogical market and a chance to make money whenever the market is over-pessimistic or over-exuberant. IMHO, there is still plenty of room to make money in CVX if you get in on any pullback and you get a nice dividend while you wait a year or two.

Cramer's Lightning Round-Youth Apparel Stock Are Worn Out (5/5/09)

ifuwish2,

Unless they go bankrupt. They can go into Chapter 11, come out the other side with a new symbol (CITI?). The banks will still be there and will be open for business, but your shares of C will still be worth zero. Ask former holders of UAL. United Airlines is still flying and making money but shares of UAL are worth nothing. It is unfair to call people who think Citigroup may declare bankruptcy stupid and small brained. It's a reasonable possibility.

OPEC Pledge: Another Production Cut

David,

"I am curious where you came up with the statement that RIG is especially susceptible to the declining price of crude."

"RIG may be somewhat susceptible to the declining price of crude when it is negotiating new contracts."

RIG dropped from $163 per share to $44 per share in seven months. It is more than somewhat susceptible to the declining price of crude oil. I understand your points about RIG's potential. That's why I own it also. But all Ockham is saying is that the stock has dropped $4 per week for 30 weeks. That is the definition of a stock susceptible to declining oil prices.