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  • The Tesla Gigathreat [View article]
    <<Elon isn't afraid to use his own money>>

    He seems to be going to the public and increasing the company debt at regular intervals. That has been written about in the media.

    <<Elon... still has a huge amount of passion and does what he does for the challenge of doing it.>>

    Enthusiasm is no substitute for a feasible strategy. Plenty of soldiers in WW1 had a great deal of enthusiasm at the start of the war, and they were slaughtered. Their leaders were aimless.
    Dec 22, 2014. 07:06 AM | 1 Like Like |Link to Comment
  • Student Debt Poised To Crimp U.S. Economy [View article]
    >> I see what you did there.
    Dec 21, 2014. 08:37 AM | Likes Like |Link to Comment
  • The Most Dangerous Market Since 2008 [View article]
    <<American now produces more oil than any other country.... That results in more demand for dollars. But you knew that already ...>>

    What I also know already is that several countries have been attacking the petrodollar recycling arrangement created by Henry Kissinger. Iran, for example, has been demanding that Japan pay for oil exports in yen, not USD, since 2007. And in future, we will see further arrangements made that will threaten the hegemony of the USD.

    See what you think of this article (it's a long one) --
    Oct 23, 2014. 01:51 PM | Likes Like |Link to Comment
  • The Most Dangerous Market Since 2008 [View article]
    << The Euro, Yen, and please do not say China. There is not viable alternative.>>

    Russia's and China's currencies are backed by gold, as they are acquiring a lot of it. America's money is not even backed by oil anymore, as countries around the world are de-dollarizing.
    Oct 20, 2014. 03:48 AM | Likes Like |Link to Comment
  • The Most Dangerous Market Since 2008 [View article]
    I don't think it's quite that simple.

    I hope we're all taking this into consideration --

    "the companies of the S&P500 itself... cumulatively repurchased a whopping $160 billion of their own stock in the first quarter [of 2014]!"

    That's correct. Even if the POMOs of free money are called to a halt, banks are still taking advantage of ZIRP to get deep into debt, buy bank tons of stock (causing occasional short squeezes, which further thrust share value upwards) and use that increase in equity to absorb other firms.

    This is madness. Eventually people will conclude that the dollar is worthless and readjust their holdings of international reserves, and then the currency markets will give the dollar a shock.
    Oct 19, 2014. 11:41 AM | Likes Like |Link to Comment
  • 4 Reasons The Jobs Report Stinks [View article]
    1) a job is a job - it doesn't matter if the person is 34 or 54. Just like a dollar is a dollar.

    You cannot be serious.

    David Stockman just wrote a column about the appalling shortage of "breadwinner" jobs here on SA --

    An excerpt --

    "...Over the course of 170 “jobs Fridays” since mid-2000, the latter have apparently never noticed the single most stunning fact embedded in the monthly BLS report. Namely, that outside of health and education there has not been one net new job created in the American economy since July 2000! Yes, not a single new job—as in none, nein, nichts, nada, zip!..."

    You'd do us all a favor by going back to "MST3K".
    Oct 5, 2014. 12:01 PM | 1 Like Like |Link to Comment
  • 4 Reasons The Jobs Report Stinks [View article]
    Your trolling is beyond subpar.

    From the article --
    "...In September, 25-to-54 year olds saw a decline of 10,000 jobs on a seasonally-adjusted basis. Within what age group were the gains concentrated? Interestingly enough, the 55-and-over demographic saw an impressive 230,000 net gain in jobs. Overall, the decline in the 25-to-54 year old category makes the headline number much less impressive...."

    Seniors are clinging to the workforce and re-entering because they cannot afford to retire. If you look around you, you'll see this is true and has been for years.
    Oct 5, 2014. 11:49 AM | 2 Likes Like |Link to Comment
  • Tesla: Is Short Interest The Best Contrarian Indicator Of All Time? [View article]
    As long as QE is a factor, and the fundamentals don't seem to matter, then this extremely dubious company, and many other bubble stocks like it, are going to rise on the strength of stock buybacks and short squeezes resulting from stock buybacks.

    Zero Hedge has touched on this a few times:

    "Most Shorted" Stocks Out-Perform "The Market" Five-Fold Today

    Presenting The Best Trading Strategy Over The Past Year: Why Buying The Most Hated Names Continues To Generate "Alpha"

    The Squeeze Continues... "Most Shorted" Stocks Are Screaming Higher

    I could go on, but to assume that TSLA is rising solely because Iron Man fans think Elon is cool is to ignore some "new fundamentals" in the Bernanke-Yellen helicopter drop.
    Sep 11, 2014. 09:59 AM | Likes Like |Link to Comment
  • It's Nightmarish Contemplating A 9/11 Anniversary With ISIS [View article]
    Is anyone expecting some sort of attack, a la Benghazi, by terrorists to remind us of 9/11 all over again?
    Sep 11, 2014. 09:22 AM | Likes Like |Link to Comment
  • Workday - The Absolute Definition Of A Bubble [View article]
    Here's another reason why the share prices of these bubbles might continue going up -- Charles Hugh-Smith asks whether CEOs are borrowing money (ZIRP financing, remember) to facilitate share buybacks --
    Where is the data proving Corporate America isn't borrowing billions of dollars and using the nearly-free money to buy back shares? Buying back shares reduces the float (stocks available for purchase by the public), reducing supply and creating demand which pushes prices higher....

    When executives and others at the top of the corporate pyramid have such an enormous incentive (stock options worth tens of millions of dollars) if they can push the stock price higher with buy-backs paid with borrowed money and accounting gimmicks that inflate headline earnings, then why wouldn't they do precisely that?...

    As for dodgy accounting: when the dodgy accounting has been institutionalized, it's no longer viewed as dodgy. Which brings us to the money shot of the comment: “Executive compensation based on stock performance” is killing corporate America....

    SOURCE --
    "Of Two Minds" 01 September 2014
    Sep 3, 2014. 10:10 AM | Likes Like |Link to Comment
  • Tesla: Is Short Interest The Best Contrarian Indicator Of All Time? [View article]
    Before we become convinced that the POTUS will let Tesla sink on his watch like a giant EV Titanic, consider this:

    ...[Drexel Burnham Lambert bond trader Michael] Milken often spoke to students at business schools. On these occasions he liked, for dramatic effect, to demonstrate how hard it actually is to put a large company into bankruptcy. The forces interested in keeping a large company afloat, he argued, are far greater than those that wish to see it perish. He'd present the students with the following hypothetical situation. First, he'd say, let's locate our major factory in an earthquake zone. Then let's infuriate our unions by paying the executives large sums of money while cutting wages. Third, let's select a company on the the brink of bankruptcy to supply us with an essential irreplaceable component in our production line. And fourth, just in case our government is tempted to bail us out when we get into trouble, let's bribe a few indiscreet foreign officials. That, Milken would conclude, is precisely what Lockheed had done in the late 1970s. Milken had purchased Lockheed bonds when the company looked to be heading for liquidation and had made a small fortune when it was saved in spite of itself, just as [one of Lewis' co-workers] had bought Farm Credit bonds when all seemed lost but wasn't....

    -- Michael Lewis, "Liar's Poker," Chapter 10.

    Tesla is in the same position that Lockheed was. If the Dems let Tesla just fail, it will look as if their flagship company has no mojo. I think even Republicans will be loathe to pull the plug on it, even though it had a Free Cash Flow of -$177MM in the last quarter.

    So it may be until after 2016, and a new administration, that Tesla will fulfill my (clearly) prejudiced fantasies of becoming a Big Short.

    ALSO... Charles Hugh Smith wrote about the facade that even established companies are putting up to convince the world of their profitability:
    Sep 3, 2014. 09:51 AM | Likes Like |Link to Comment
  • Update: Tesla Deliveries Guidance Implications [View article]
    <<So long as TslaM spends $0 on mass advertising...>>

    Tesla gets more free air time on Bloomberg TV than any other company save for Apple or Facebook. They have lots of "green friends" in the media who feel the need to get behind it and give it lots of coverage. Thus, Tesla may actually spend $0 on advertising, and STILL have no demand.
    Aug 3, 2014. 08:53 AM | 2 Likes Like |Link to Comment
  • Update: Tesla Deliveries Guidance Implications [View article]
    23 likes = 23 soon-to-be-unemployed TESLA geniuses...
    Aug 3, 2014. 08:07 AM | Likes Like |Link to Comment
  • Tesla Update: Gigafactory Being Built, Profits Being Minted [View article]
    It's too bad there's no non-GAAP chart for Free Cash Flow, otherwise, Elon Musk and his gang of believers would've printed it.


    Full article (ZH):

    Is there a stealth bailout going on behind the scenes here? After all, we know the extent to which the US Gov't kept Lockheed afloat in the late 1970s... Maybe Obama just doesn't want (NASDAQ:TSLA) to sink until after he's left office....
    Aug 3, 2014. 07:12 AM | Likes Like |Link to Comment
  • Tesla's Crushing Battery Supply Constraints [View article]
    Those of you who like to trash Mr. Petersen's comments ought to go through his articles and read exactly *why* he believes that particular stock is worth putting his money into -- which he did. (His disclaimer says so.)

    And those of us who read Zero Hedge know that during the Tesla short squeeze, institutional investors (not unlike Morgan Stanley) gleefully unloaded their shares onto retail investors, and are no doubt "predicting"/declaring a $312 future share price because they failed to unload all their Tesla shares last spring. (Why people aren't suspicious of Morgan Stanley's "expertise," or their motives, I have no idea.)

    /Axion Power is currently at $0.20, but has the support of major car manufacturers like BMW. The cars/trucks/city buses that will benefit from micro-hybrid technology are already on the road. Have we all forgotten the "buy low, sell high" part of buying stock?
    Mar 10, 2014. 01:28 AM | 2 Likes Like |Link to Comment