Reality Bites: Economy Begins To Shrink As Fed Goes Broke [View article]
Hail the gangnam style SPQR. That's Dennis Miller speak for the type of slick government that stays popular by sponsoring games in the coliseum for the masses.
Chesapeake Energy Corporation Announces CEO Succession Plan [View article]
Up over 10% after hours! Think of the money he made on his options by retiring. I'd like to see the complete list of incentives that made this happen, and whatever it is it's worth it.
How Did Chesapeake Sell $12 Billion Of Assets And Actually Increase Its Debt? [View article]
Even so, the shift to more profitable and thus more liquid assets puts them in significantly better shape. Still a risk-seeking management personality.
Chevron (CVX) says a former Ecuadorian judge revealed he and a colleague let plaintiffs lawyers ghostwrite their own $18.2B judgment against it in exchange for a promise of $500K. The bribery charge is new, and the ghostwriting charge is more sweeping and better substantiated than before. But CVX isn't totally off the hook, as the judge says CVX paid him for physical evidence he turned over. [View news story]
There is no party in this episode of Dallas with clean hands or credibility. Bet on the winner being the one with the most funds to bestow and take some comfort in the fact that nothing ever changes.
The Market's History Of Seasonality Continues [View article]
Seasonal Affective Disorder, depression in the winter and anxiety in the summer? Or does faith in seasonality create self-fulfilling behavior?
I'm more interested in how long the benefits to corporations from the government's stimulation of aggregate demand through the multiplier effect will buoy up prices. As long as federal borrowing costs are low the benefits in tax revenues may offset enough of the compounding borrowing costs to prolong this rally. At some time the bill will come due and as that perceived due date approaches the more anxious among us will start for the exits. Considering the steepness of bear markets one better be very prepared to act. I think that time may be at least two years off but any number of catalysts could change that.
Four members of BP's staff apparently died in last week's terrorist attack on the In Amenas gas plant in Algeria, and Statoil (STO) confirms three deaths. BP says it will apply lessons learned to prevent future tragedies; some ought to involve security, as just 32 militants overran 100 guards to capture the plant. Otherwise, the oil majors are hardly shaken by the events in North Africa. [View news story]
They get better initial terms and then get the terms unilaterally changed on them after they are more financially committed. They wouldn't be dealing with a government that is remotely ethical. Think Mafia.
Previous Corporate Hoarding Of Cash May Soon Become A Big Positive! [View article]
It's difficult because the world is non-linear.
1. Cut war spending and miscreants blow up our shit and our global businesses contract. So reduce the $5 trillion savings by a big X.
2. Tax cuts improved the cost benefit balance of a lot of business plans and set enterprise in motion. Results are jobs and taxes and less entitlement payouts offsetting the $5 trillion.
3. Probably a lot of waste there but some small X was returned through the multiplier effect and the taxes on the recipients.
The Shale Gas Boom Brings Hope For Nucor [View article]
I didn't see where they could buy the NG at cost, at best that assertion is a sleight of hand that ignores opportunity cost considerations.
Consider the lobbying efforts to restrict the growth in LNG export infrastructure in order to benefit big US users. Also consider the benefits to this administration of keeping the misery index lower that is afforded by incredibly low gas prices. Look for a political wild card in this game. Who has the most power, who derives the most benefit?
10 Questions (And Answers) For 2013 [View article]
Right questions, a different kind of balance sheet item is weakening. Under intangibles, we are weakening in certain ethics that are corrosive to the whole "building" like the author used in the metaphor. This cultural trend is likely to continue since it is loosely administered by a government that has found it conducive to re-election.
The House will reconvene on Sunday in an attempt to strike a last-minute fiscal cliff deal, Congressmen have been told. Equities are bouncing on the news. S&P -0.8%. Dow -0.5%. NASDAQ -0.6%. Pres. Obama may have a new proposal for Republicans to weigh. [View news story]
Micro, they owned both houses of congress for two years and couldn't pass a budget. Could you keep your rabid politics off this site please.
Dow Chemical (DOW) applies for a federal permit to build its biggest ethylene plant, as cheap natural gas gives manufacturers a cost advantage. The $1.7B Texas plant would have capacity to make 1.5M tons of ethylene a year, the same as Texas plants proposed by Chevron Phillips (CVX, PSX) and Exxon (XOM); construction would begin in Jan. 2014. [View news story]
Big bet that NG stays cheap, maybe they should buy some of CHK's assets while they are at it.
Sell Into The Christmas Rally And Sell On The Fiscal Cliff Deal News [View article]
Higher tax rates may tend to reduce economic activity but government spending will probably stay high enough to offset the effect. Corporations have plenty of cash and credit is cheap. Smaller businesses will likely experience the brunt of what you predict.
Reality Bites: Economy Begins To Shrink As Fed Goes Broke [View article]
SPQR = the senate and people of Rome.
Chesapeake Energy Corporation Announces CEO Succession Plan [View article]
How Did Chesapeake Sell $12 Billion Of Assets And Actually Increase Its Debt? [View article]
Chevron (CVX) says a former Ecuadorian judge revealed he and a colleague let plaintiffs lawyers ghostwrite their own $18.2B judgment against it in exchange for a promise of $500K. The bribery charge is new, and the ghostwriting charge is more sweeping and better substantiated than before. But CVX isn't totally off the hook, as the judge says CVX paid him for physical evidence he turned over. [View news story]
The Market's History Of Seasonality Continues [View article]
I'm more interested in how long the benefits to corporations from the government's stimulation of aggregate demand through the multiplier effect will buoy up prices. As long as federal borrowing costs are low the benefits in tax revenues may offset enough of the compounding borrowing costs to prolong this rally. At some time the bill will come due and as that perceived due date approaches the more anxious among us will start for the exits. Considering the steepness of bear markets one better be very prepared to act. I think that time may be at least two years off but any number of catalysts could change that.
Four members of BP's staff apparently died in last week's terrorist attack on the In Amenas gas plant in Algeria, and Statoil (STO) confirms three deaths. BP says it will apply lessons learned to prevent future tragedies; some ought to involve security, as just 32 militants overran 100 guards to capture the plant. Otherwise, the oil majors are hardly shaken by the events in North Africa. [View news story]
Exxon And The KRG Need A Pipeline [View article]
Previous Corporate Hoarding Of Cash May Soon Become A Big Positive! [View article]
1. Cut war spending and miscreants blow up our shit and our global businesses contract. So reduce the $5 trillion savings by a big X.
2. Tax cuts improved the cost benefit balance of a lot of business plans and set enterprise in motion. Results are jobs and taxes and less entitlement payouts offsetting the $5 trillion.
3. Probably a lot of waste there but some small X was returned through the multiplier effect and the taxes on the recipients.
Seems difficult to me.
The Shale Gas Boom Brings Hope For Nucor [View article]
Consider the lobbying efforts to restrict the growth in LNG export infrastructure in order to benefit big US users. Also consider the benefits to this administration of keeping the misery index lower that is afforded by incredibly low gas prices. Look for a political wild card in this game. Who has the most power, who derives the most benefit?
Chesapeake Continues To Correct Its Ways [View article]
10 Questions (And Answers) For 2013 [View article]
The House will reconvene on Sunday in an attempt to strike a last-minute fiscal cliff deal, Congressmen have been told. Equities are bouncing on the news. S&P -0.8%. Dow -0.5%. NASDAQ -0.6%. Pres. Obama may have a new proposal for Republicans to weigh. [View news story]
Exelon Cannot Afford Its Current Dividend [View article]
Dow Chemical (DOW) applies for a federal permit to build its biggest ethylene plant, as cheap natural gas gives manufacturers a cost advantage. The $1.7B Texas plant would have capacity to make 1.5M tons of ethylene a year, the same as Texas plants proposed by Chevron Phillips (CVX, PSX) and Exxon (XOM); construction would begin in Jan. 2014. [View news story]
Sell Into The Christmas Rally And Sell On The Fiscal Cliff Deal News [View article]