Even as markets wobble on the basis of global macro uncertainty, we do not have 2009 redux. During that tumultuous period, nearly all asset classes, save US Treasurys, lost ground regardless of fundamentals. Now, however, many stocks are moving due to their specific situations, regardless of the broader market moves. Personally, I favor this environment [...]
No surprise, our watchlist has ballooned to over 60 names due to the market turbulence in recent weeks. As more stocks fall into attractive pricing ranges, some possible quality names begin to visit our screens once more. As for the market itself, I studiously avoid trying to predict the market’s direction. I found a heavy [...]
Barely half over, May has already been the most active month for us in quite some time. The increased volatility has restored some premium back into options, used to good advantage by writing calls against our gold positions. Also, headline risk has presented us with some opportunities. Many European stocks have plunged along with the [...]
Last week’s action reinforces my analogy of the financial markets being more akin to car-driving than roller-coasters. Most people drive recklessly far more often than they should but get away with it most of the time. With the market, an unrelenting stream of up days fostered an illusion of stability. It becomes clearer that these [...]
That’s what this Bloomberg article suggests: Weak Dollar Illusory as Correlated Trade Shows Gains It is always beneficial to confront our own beliefs and analyses. For those of us fearing for the long-term future of the US economy, this article puts a different light on the widely disseminated fact that the dollar has lost most [...]
The first big deal in the energy E&P space was announced yesterday as Exxon Mobil struck an agreement to buy XTO Energy. While I do not have a vested interest in either party, this deal has some implications for the energy markets and our largest position, Chesapeake Energy (CHK). Exxon’s move into the US natural [...]
