Tuesday, January 18, 2011

Needing a want

In this world there are needs and wants. The needs come long before the wants.


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Wednesday, January 12, 2011

Commodity Stocks Going Higher

Softs, Coal, Oil -- they're all going up. Time to load the truck up.

Bought Petrobras (PBR) @ $37.39 (NS)
Bought Mosaic (MOS) @ $73.50 (NS)
Bought MolyCorp (MCP) @ $55 (NS)

Right now I'm holding tight on Gold. Waiting for the follow through before buying more.

Monday, January 10, 2011

The great off balance sheet SIV: The Fed

Today the Fed announced that is rebating the Treasury approximately $78B it made from interest on the investments it owns on behalf of the "American People".

FY2010 interest payments by the treasury were $410B. That means the Fed not only has the largest custodial holdings of treasuries in the world (~$1T) thereby providing much needed demand in the treasury market, it also materially reduces the interest payments of the United States government by the tune of 19%.

As the Fed continues to expand its balance sheet, expect interest rebates to soar above $100B per annum and likely reduce interest payments the Treasury has to make by over 25%.

Tuesday, December 28, 2010

In and Out

Sold Transocean (RIG) @ $70 for a 6.5% gain. Will rebuy in the low $60s.
Sold Freeport McMoran (FCX) @ $118 for a 14.5% gain. Will rebuy in the low $100s.
Sold Lazard (LAZ) @ $39 for an 18% gain. Will rebuy around $35.

Tuesday, December 7, 2010

Yamama outside day

Sold 1000 yamama gold (auy) @ $12.95 for a 21% gain. Have 1000 left.


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Saturday, December 4, 2010

Gold breakout

The Head & Shoulders formation I mentioned earlier has been invalidated, with Gold closing at $1414, a new weekly closing high and "closing in" on its intraday all-time high of $1428.

Gold also made a new all-time high in euros at 1051 Euro, signaling a clear breakout above 1000 euros.

It would appear as though Gold is set to make a run at $1500 this year. I hope you all have miner exposure!

Some new positions in the past week

Bought:
Freeport McMoran (FCX) @ $103 (S @ 98.7)
Emerging Markets ETF (EEM) @ $46.81 (S @ $42)
Junior Gold Miners ETF (GDXJ) @ 41 (NS)

Sold:
300 Ultrashort S&P 500 (SDS) @ $26 for a 1% loss, will sell the rest at a more substantial loss ($25 stop -- 300 shares left).