sr1977

sr1977
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  • The latest cyber-attack on Iran's nuclear program has apparently taken a musical-turn, with a computer worm not only shutting down the "automation network" at the Natanz and Fordo facilities, but also prompting some of the computers to play the AC/DC song "Thunderstruck" at full volume in the middle of the night.   [View news story]
    Thanks, you just made coffee come out of my nose. Funniest thing I've read in a while...
    Jul 26, 2012. 06:22 AM | 3 Likes Like |Link to Comment
  • The Bernanke Cargo Cult: Bankrupt Policy For A Bankrupt Generation  [View article]
    A really well-written and interesting article.

    I was kind of thinking of the south sea islanders as the "market" trying to lure QE3 in with a fake runway, I guess the analogy could work either way given the players involved. Your analogy is better though.

    I can't say I agree or disagree with all the topics covered in the article, but I can certainly say with enthusiasm that I enjoyed reading it from a literary standpoint. I suspect this article might have been close to being one of SA's "editors picks".

    If you still have the copyright to this article I would recommend submitting it to the editors of some national magazines. In a lot of ways I think it's that good.
    Jul 26, 2012. 06:18 AM | Likes Like |Link to Comment
  • June New Home Sales: 350K vs. 370K expected, 382K (revised) prior.   [View news story]
    They have all been hyping the rise in the selling prices of both new and used without bothering to mention the drop-off in the supply of foreclosed and distressed properties...I guess withholding part or all of the truth still makes them liars doesn't it?
    Jul 25, 2012. 10:23 AM | 1 Like Like |Link to Comment
  • June New Home Sales: 350K vs. 370K expected, 382K (revised) prior.   [View news story]
    This is 8.4 percent below the revised May rate of 382,000, but is 15.1 percent above the June 2011 estimate of 304,000.

    It is still approx. 40% less than the number of new houses sold in 1963.
    Jul 25, 2012. 10:08 AM | 3 Likes Like |Link to Comment
  • More on the late-day Fed leak: Officials have become impatient with sluggish growth and high unemployment, reports Jon Hilsenrath. MBS purchases, a pledge to keep rates low for longer, or even a move to push down nearly microscopic short rates even lower are among the choices available to the FOMC. Action could come at the July 31 meeting.   [View news story]
    That must be the Fed's & Hilsenrath's "dual mandate" - manipulate the markets & insider trading/giving a heads up to their banking/congress buddies.
    Jul 24, 2012. 06:13 PM | 5 Likes Like |Link to Comment
  • The Federal Housing Finance Agency hired PWC in May to formulate contingency plans for putting Fannie Mae and Freddie Mac into receivership, which would involve liquidating the companies. The FHFA says the plan "is routine and does not indicate any condition of the current status of the regulated entities."
      [View news story]
    Yes about 3 billion in profits between the two of them. But against the backdrop of having Trillions in "assets" and having received 190 biollion in aid it seems almost inconsequential.
    Jul 24, 2012. 01:27 PM | 1 Like Like |Link to Comment
  • Goodyear (GT -1.2%) pushes the tire envelope with plans to use soybean oil rather than petroleum in the production of its tires. GT says soybean oil can increase the tread life of a tire by 10% while reducing the tire maker’s use of petroleum-based oil by 7M gallons/year. If all goes well, the soybean tires could be sprouting up in tire showrooms by 2015. (also)   [View news story]
    ahaha...Funny editor.

    Green shoots?
    Jul 24, 2012. 01:12 PM | 1 Like Like |Link to Comment
  • July Richmond Fed Mfg. Survey: -17, vs. -1 expected, -3 previous.   [View news story]
    Apple better not miss by much tonight or we are going to either see the mother of all portfolio rebalancings or the market turn into a turtle and crawl into a blast-proof bunker.

    I don't expect apple to miss (and if it should, not by much).

    But Sheesh! Minus 17? Really?!
    Jul 24, 2012. 10:44 AM | Likes Like |Link to Comment
  • Why The Market Just Won't Fall  [View article]
    Not withstanding the authors well thought out (albeit traditional) view and appraisal of current market conditions, we are clearly in an environment where blue chip, dividend paying equities are the only game left. Valuations, quarterly reports and economic indicators, no matter if good or bad, are almost a moot point in regards to that asset class. There is simply no other place left to grow money with any semblance of safety.
    Jul 24, 2012. 10:31 AM | 3 Likes Like |Link to Comment
  • The Federal Housing Finance Agency hired PWC in May to formulate contingency plans for putting Fannie Mae and Freddie Mac into receivership, which would involve liquidating the companies. The FHFA says the plan "is routine and does not indicate any condition of the current status of the regulated entities."
      [View news story]
    When we get a real congress...don't hold your breath.
    Jul 24, 2012. 08:36 AM | Likes Like |Link to Comment
  • The Federal Housing Finance Agency hired PWC in May to formulate contingency plans for putting Fannie Mae and Freddie Mac into receivership, which would involve liquidating the companies. The FHFA says the plan "is routine and does not indicate any condition of the current status of the regulated entities."
      [View news story]
    The FHFA says the plan "is routine and does not indicate any condition of the current status of the regulated entities."

    Truer words were never spoken: After having sucked $190 billion in aid from the U.S. Treasury, the current condition of these two regulated entities in the underwater limbo of conservatorship is "comatose with outlook negative".
    Jul 24, 2012. 08:25 AM | Likes Like |Link to Comment
  • Eurozone Update: It's Not As Bad As Many Think  [View article]
    Your article was correct yesterday, but today is a different matter:

    Market Currents 7/23/12

    It's not just Spanish 10-year bond yields that are soaring (+23 bps to 7.49%), the 2-year yield is +77.5 bps to 6.53%. WSB commenter Old Trader notes Spain had been selling 2 yr. debt to skirt the "punishing 10 yr. rates." MarketBeat writes that the flattening yield curve suggests "investors are increasing their bets that some kind of default could occur or the economic outlook looks like it could worsen."

    But who knows, maybe by tomorrow you will be right again.
    Jul 23, 2012. 11:24 AM | Likes Like |Link to Comment
  • U.S. and European authorities are near to arresting traders and charging them with collaborating in the manipulation of the Libor rate, Reuters reports, with prosecutors in Washington notifying some of the suspects' lawyers that criminal charges could be imminent. The arrests could come in the next few weeks.   [View news story]
    White collar crime prosecution is so civilized. The first warnings that there was trouble brewing for these criminals was 4 years ago, giving any of them ample time to distance themselves from the matter. Next warning was a month or so ago and now the authorities are pre-announcing their intent to start making arrests weeks in advance of the actual arrests?! This must be wonderful for all those involved as they have now had ample time to secure lawyers, formulate a defense strategy and to most likely pre-arrange who were "the bad guys" and who were not.
    Jul 23, 2012. 06:40 AM | Likes Like |Link to Comment
  • The eurozone's government debt to GDP ratio stood at 88.2% at the end of Q1, up from 87.3% at the end of Q4. For Spain, the ratio was 72.1% vs. 68.5% previous, which looks pretty healthy compared to Greece's 132.4%, Italy's 123.3%, Portugal's 111.7% and Ireland's 108.5%. At the other end of the spectrum were Estonia (6.6%), Bulgaria (16.7%) and Luxembourg (20.9%). (eurostat report .pdf)   [View news story]
    Yes, Spain would look bad, as even though debt to GDP is ok, the interest rate they pay to service the debt is high. USA & Japan have horrible debt to GDP, but interest rates are currently low so debt service to GDP looks OK.

    Notice that Italy has both high debt to GDP and probably high debt service to GDP also. Not surprisingly, 5 new Italian Reigons are expected to request financial aid this week, possibly as soon as today.
    Jul 23, 2012. 05:53 AM | Likes Like |Link to Comment
  • Trouble With Spanish Bailout Destabilizes Europe  [View article]
    Those slow-poke technocrats in europe think that the world revolves around them. I wish it did, but it does not and they had better get thier ducks in a row soon or market forces are going to "fix" Spain and Italy for them.
    Jul 22, 2012. 10:27 AM | 3 Likes Like |Link to Comment
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