MonkeyBusinessBlog

Chelsea Clinton Is Getting Married!

Get out your black tie and your best dress, there's gonna be a big ol wedding next summer! Former President William "Billy C" Clinton and Mrs. Secretary of State Hillary Clinton have announced the engagement of their daughter Chelsea to investment banker Marc Mezvinsky. But chances are you are NOT invited. Unless of course you've been a big donor to the Clintons. Not even so much the Democratic Party. The Clintons.

 

The groom to be is the son of longtime friends of the Clinton's, former Pennsylvania Rep. Marjorie Margolies-Mezvinsky and convicted felon, former Iowa Rep. Ed Mezvinsky. "Big Ed" just got out of the hoosegow (technical term) last year after pleading guilty to bank and wire fraud back in 2002. The groom is employed by Goldman Sachs. The bridegroom is attending graduate school at Columbia University's School of Public Health.  

 

Now reread the previous paragraph and say the words, "you can't make this stuff up. you can't make this stuff up." Have a nice day.

Red Friday is More Like It

Well the results are in and they aren't so good. It looks like people spent even less this year during the Thanksgiving weekend than last year's dismal numbers. Bummer. You know they call it Black Friday because most companies used to run losses all year long and then finally on Thanksgiving weekend they would get such a boost in sales that they would turn a profit. Or be "in the black". Nowadays things are different. They look to still be "in the red".

 

So, hopefully the administration in Washington is looking at this long and hard. My guess is many aren't however. They are focused on the big healthcare battle. I hope someone in the Capitol makes a few comments on what happens if the stated unemployment rate of 10+% jumps to 15% or worse, as it pertains to healthcare costs. Cause that's where we are headed if things aren't done to make small, medium, and big companies want to hire people. People are spending less cause they are worried about their employment situation and you cant blame them. A 50% discount on a flat screen TV clearly ain't enough to make them put down the plastic. Keep in mind too that the banks have cut back people's credit card limits, so even if they wanted to spend, they can't. I think prices go lower in the coming weeks. And the week after Christmas and in January? As they like to say in "Brook-ahhh-lean"............fuuhgeddaboutit..

Here's Dubai Right in Your Eye

Been following this Dubai story? I have. With kind of a ho-hum attitude. Oh not that its not a big deal. An $80bn default is a big deal even in times where there are much bigger ones. It's just that I sit here and say, "You know what? The assclowns who gave them this money deserve everything they get." And I kind of shrug my shoulders like whatever.

If you haven't been following it, stock markets have been roiled (as in down) the last few days, and probably more to come next week. The worry is that the "pro-Western" (yeah right!) place called Dubai ( part of the UAE) has said they might go bust. So I guess its not so cool anymore to go to a place that made a bunch of man-made islands that when you look at them from a satellite shot, it looks like a map of the world (I couldn't even begin to make that up). Forget about the fact that despite them having all the swankiest retailers, hotels, and restaurants, what was the possible upside in tourism/business when a pretty big economy is at war with the people who share lets say "similar values" with the residents of Dubai? And think long and hard about that sentence before you go and hit me over the head with your comments.

Seriously, who visits there? 20 somethings who might get a thrill that they could get their heads chopped off or kidnapped? And when they don't, they brag to people back home how cool it is? Our British friends seem to be game, as their bankers at RBS have shown us. You see, RBS is on the hook to Dubai for multiple billions in loans. But come on! What was the Dubai gang's business model to get people to lend them $80bn? We wont bomb you? We have great beaches and products that are worth getting killed for while you vacation here?

When they opened this "Dubai-Land", I had NO interest in going. And I'm certainly not going to get a 2nd passport for it. Oh yeah you might not have heard, there is a war going on. Well a few years back I went to Israel (I would go again, too. I dont think words describe the nightlife there. Seriously.). Well if I go to an Arab country now chances are they wont let me in because I have an Israel stamp in my passport. As Michael Corleone said to his wife in the beginning of Godfather I, "that's a true story Kay."

So to all you assclowns who gave these "Dubai-Land" people money, good luck. Actually, no, bad luck. You're probably the type that wouldve helped the Japanese build bullet trains in say 1942. Or given the Germans a couple of deutschmarks to get some new planes and tanks in 1943.

The Dubai people also own 50% of the City Center monstrosity that opens up in Las Vegas this week. To this, I say good luck to the contractors and various people that are owed money by the sheiks of Dubai just for doing their jobs. It doesn't look good that you'll see a dime from them but you can hope. Cause thats the other thing everyone needs to be reminded of, these guys in Dubai who run the place have real money troubles. Who are they going to "make right"? Themselves and their "similar feeling friends" or Western capitalists? Yep. Right in your mush.  

Big D is No Turkey

Editors Note--The turkey is tasty as are all of the fixings. Many folks wager on the Thanksgiving games "just because". Big D doesn't. He only plays when he perceives the value. Coming off a bitter 1-2 week, the big fella has redoubled his efforts and gives us some Sunday plays. Go get 'em Dick.--R.B.

 

To each and everyone from all of us here at Big Dick's Picks, a very happy and healthy Thanksgiving holiday. Now enough of the small talk. Lets get to the winners.

 

Philly is rolling. Kind of. WASHINGTON doesn't have a good record but they aren't bad against the spread. They also have a nice defense. 9 points is a lot in this NFC East old time battle. Take the points with the 'SKINS.

 

The Jets are 1-6 their last 7 games. The QB is throwing the ball everywhere. The coach is crying. Literally. And guess what? They are favored this week. Against the PANTHERS. Now CAROLINA had their issues earlier in the season but have started to turn the ship. Covered the spread as an underdog last 3 times. Still in the playoff hunt. The 3 points they get are a gift. Take them.

 

Finally, who is the hottest pointspread team in the league? Yep the KANSAS CITY CHIEFS! You dont believe it look it up. Sure the Chargers are playing well but 13.5 is too many points when the CHIEFS aren't beating themselves. Take the generous points.

 

So: WAS+9 @ phi, CAR+3 @ nyj, KC+13.5 @ sd. When you are eating turkey leftovers on Sunday, why not sprinkle in a little lobster and champagne, the preferred eat and drink of Big Dick? Good luck and god bless!

We Are on An UN-emotional Rescue

 

The charts allow us to take emotion out of the process in investing. You cannot underestimate what kind of valuable advantage that is. You dont pull your hair out, bang your head against the wall, or feel nervous about carrying sharp objects. Usually. So yes we've been standing here like Linus from Charlie Brown, talking about the Great Pumpkin that never comes. Of course, our Great Pumpkin is the stock market dropping. So far.

 

In any event, we played the ticker SKF a couple of weeks ago. SKF is a stock that does well when the banking sector goes booty up (technical term). Its 2x the negative of the Dow Jones U.S. Financial Index. Unfortunately, buying this stock requires a quick hitting move and is not for the faint of heart. Well its moved alright in these 2 weeks......but against us. Now the "tea leaves" (technical term for our charts), have also moved against us. That means SELL.

 

So SELL SKF at a loss. But keep the short of Goldman Sachs (ticker: GS) on, as we have had a nice drop prior to today, the last few days. Got it? Good. We of course will be back with more updates as we see them unfold

Big Dick Sees Money in Gold!!

Editors Note--Despite the Buffalo Bills imploding in the 4th quarter and subsequently firing their coach, Big Dick still sported a fine 2-1 NFL week. We look forward to an UNDEFEATED week Big D! No pressure of course. Take it away big man.--R.B.

 

Richie, pressure is my middle name!! We will waste no time today. Who is the best team in the NFL against the spread the last 1.5 years? The SAN FRANCISCO 49ers! Yep 12-4-1 against the spread last 17. And 5-1-1 their last 7 on the road. And 5-2 UNDER those last 7 on the road. What I really enjoy is that their fortunes began to turn around when Coach Mike Singletary dropped his pants last year during a halftime speech to get a point across. Point taken. I guess. Lets go with the 49ers AND the UNDER in Green Bay on Sunday.

 

The SEAHAGS of SEATTLE generally leave their defense home when they go on the road. 5 out of 6 road games have gone OVER when the SEAHAGS are involved. Brett Favre and Adrian Peterson can score right? OVER 46!

 

So we feel an undefeated weekend with the team named after the Gold Rush of 1849. Go for the gold. SF+6.5 @ gb, UNDER 42.5 SF/GB, OVER 46 MIN/SEA. Gooooooooo. Good luck and god bless.

Next Stop? No Groping!

As many of you know, I am a big fan of the NYC Subway system. Big fan.

Fastest place to get where you want to go in NYC. Keeps this town humming economy-wise because its so efficient. Most people would never get to work if it wasn't for the good ol' subway. That includes buses, or riding your bike (thats nice for the movies or a TV spot or Al Gore), or hang gliding. I love the "gentry class" that looks down on the subway as if peasants ride it. A lot of those people have drivers or take a taxi even though it takes them longer to find a cab then it does to get to their destination via the subway. (Mind you, in New York, a lot of those gas guzzling people are BIG supporters of Al Gore). I even got my 6 year old hooked on the train. My wife? Not so much. But you can't convince everyone of the right path.

So anyhow, someone sent me a NY Times article today (you don't think I read that drivel do you?) entitled "City Room: Sexual Harrassment Is

No.1 Quality of Life Offense on Subways, Police Say". Apparently during rush hour, particularly on the 4,5,6 lines between Grand Central and 14th Street, there have been quite a few complaints by women who have been "ogled, groped, flashed, harassed, and even attacked." The article goes on to say that the typical person who is arrested for these offenses is a male 39 years old and those who have been harassed are women over 17. Males 17-25 who get pinched on the subway aren't usually busted for these offenses.

So it sounds to me like the Mayor has to get hot on this issue. The NYPD ran a sting the other day using undercover cops and busted 5 guys.

Nice work. You don't want women or anyone else not taking the subway because they are afraid. The economy is in enough trouble without people bangin in sick because some filthy animal is on the train. I will keep my eyes peeled for infractions and of course take cellphone pictures of these cretins. You should too. But I really like the idea that Councilman Peter Vallone, a Queens Democrat has. He said there should be a "wall of shame" with photos at subway stations of those convicted of sex offenses on the subway.

Thats a nice start but I'd also make them wear blinders like the horses wear so they can only look straight ahead and make them where a dunce camp that says "I am an assclown and I like to _________ (whatever they get convicted of) women." Think that would clean this mess right up. So those who ride the subway, "if you see something, knee the guy in the ballbag and then, say something." I might've made that middle part up.

Good luck out there.

I Want 3/4 of the Money for that Audit!

So it seems like there's a lot of stuff in the papers about this independent audit that has occured. The one about the AIG bailout. The report seems to dispute Goldman Sachs' interpretation of how they wouldve fared had the government not bailed out AIG. As in, the audit seems to allude, they would've been dead. Hmmmm. I wonder where I heard that before.

Oh! I know where! On these (*&%)$)#$ pages! I dont know what we taxpayers paid for this audit but I want 3/4 of the money sent to me and Eric. I would bet a lot of money too that the auditors read this website a bit over and over. For those of you who are new to the site, take a look at the archives on the right, oh I dont know, maybe 1 day after the bailout and see what we wrote. Something about CDOs and credit default swaps that Goldman did with AIG and if AIG didnt pay Goldman when these positions were toast (technical term), Goldman wouldve gone byebye. Go ahead. Have a look. Like September 2008 or so.

I love that this is news over a year later. As if we were some crackpots or something. Now that the "official" audit is done what happens now? Maybe ask the President or Warren Buffett. They probably know. Oh I do too. NOTHING is going to happen. NADA. Enjoy.

Still A Glut and You Can't Say, "So What?!"

Back from the "Magic Rodent's" House in Orlando. Weather was a little chilly during the week which may have explained the limited attendance.

(Its nice being able to go on "Its a Small World" 2 or 3 times in a row, right? I think?) That sparse attendance all came to a quick end on Saturday when it was 80+ degrees and sunny. I think a bunch of locals showed up which might not help the airline and hotel industry but it certainly helped ticker DIS, which I see is trading today at a 52 week high. Not a coincidence, I am sure.

As far as the housing market down there, it's still "for sale". Meaning there are PLENTY of deals to be had. Due to the overbuilding that occured over the last few years. Which of course is a familiar story.

Now with Disney being the major driver of employment in the central Florida area, and a stoclk trading up nicely, maybe, just maybe, we can see a little improvement.

I personally like the brand new single family 3 bedroom/2 bath, 1800-2200 square foot places that are bountiful in Orange County, Florida. Those can be had anywhere from the low to mid 100s to the low 200s and could be a nice investment property to rent out. As we've stated before we are looking for the wonderful opportunity to get a "Monkey Business McMansion" and wouldn't it be fun to purchase something in one of the markets that has fallen the most in the last 3 years? Now who is interested? Let us know.

What I Would Tell Premier Hu If I Were President

The Scene: Beijing China.  President Salzman and Premire Hu Jintao retire in private to have a frank discussion.

Hu: "Mr. President....

Me: "Please, call me Eric."

Hu: "Ok, Eric.  Quite frankly, my colleagues and I have been waiting for at least two decades to lecture YOU as opposed to you lecturing US. {Premire Hu proceeds to lecture President Salzman for a half hour about fiscal discipline, frugality, responsibility, etc, etc..)

Me: "Thank you Mr. Premire for that most enlightening lecture.  I want to tell you a funny story about something that happened to me just a couple of days before I embarked to China.  I wanted a new laptop computer, so I went online to a good old American company, Dell Computers, and ordered a new laptop.  The laptop showed up and guess what happened?  I turned the damn thing on and it just flat out didn't work."

Hu: "I hate when that happens."

Me: "Anyway, I look on the box and sure enough it says 'Made in China'.  So I call this American company that makes its product in China and guess what?  I end up talking to a support person......in INDIA!  WTF right?  I have an American company that manufactures its stuff in China and sends it service support jobs to India.  So I called in my senior economic advisors and said, 'Gentlemen, this is complete bull-sh*t.'  So we thought about it and....well, let me bring somebody in here.  Michael, get your ass in here!"

{Michael Dell comes in the room}

Me: "Now Michael, I have a hard enough time accepting what a pile of crap your company has become.  I think I've spent about 3 years too many buying your garbage before I finally realized that you suck.  Anyway, my main beef is, if Michael is going to make crap products he should at least be making them in the USA and bringing back manufacturing jobs."

Premire Hu: {Spitting out water} "What..you can't do that.  It would not be in the spirit of free trade!"

Me: "Yeah, well the way we see it in the USA is the last thirty years has just been a huge mistake.  We convinced ourselves, including yours truly, that we could let all our manufacturing jobs go because we were replacing them with 'Service' jobs.  Besides emptying bedpans and working at McDonalds the service economy was in large part a huge mirage. Most of the stuff we were 'servicng' was a bunch of bull-sh*t financial products that built an entire industry around themselves.  That's gone now and we need our manufacturing base back.  Therefore, I am going to give Michael here, along with our other companies that actually make tangible things, huge tax breaks to move a good amount of their production back to the USA."

Dell:  "But Mr. President, you would have to give us a tax REBATE to equalize the cost of producing our products in America as opposed to China!"

Premire Hu: "And if you moved millions of manufacturing jobs out of China you would cost us millions of jobs!"

Me: "Well gentlemen, the way I see it is, Dell, maybe it will cost you, with the tax break, 30% more to produce your computers that don't turn on when you buy them.  But sh*t Mike, if we don't produce real jobs in the USA who the hell is going to buy your products?  You may have to raise prices some and eat into your profit margins, but in the long run it beats the alternative.

Dell: "But Mr President.."

Me: "Thanks for dropping by Michael, you can leave now.  Now, Mr. Premire, you want us to pay back this tremendous debt that we owe you and you want us to be fiscally responsible.  The only real way to do that long term is to produce good paying jobs in America.  Maybe we don't have to move assembly jobs out of China."

Premire Hu: "Keep going, I'm listening."

Me: "Hu, you guys have almost absolutely no health care industry outside of your big cities.  I know we have our health care issues in the USA but it's not due to a lack of doctors and equipment.  You see the types of medical equipment we make in America and you see the amazing types of treatments we come up with.  How about you send a delegation over with a few billion dollars and give us some orders for all our fancy medical equipment.

Premire: "This is true, but we just don't have enough trained professionals to populate the countryside and use the equipment and cutting edge procedures."

Me: "That's ok Hu.  You like our universities?  Best in the world right?  How about you build 10 medical schools right along side our best schools in the USA?  We'll populate the schools with top professors and your people can go through the same process our best doctors go through.  We can do the same damn thing for engineering.  You like MIT, Cal Poly? Build more right next to the existing ones!  We will train your people up.  In the mean time, you like the idea of wind turbines to produce energy?  You like other types of energy producing methods?  Send that delegation over here with more of that surplus money you are holding and give these twenty companies orders for whatever the hell you know they can build, that you can't at the moment.  We can go on and on.  Do you know we are using lasers to cut metal now??  I didn't till I saw it on the damn History Channel!  I bet you can use a few of those too right?

Premire Hu: "So what you're saying is if we invest a couple hundred billion in the USA to produce the cutting edge things that you are so good at producing, we will create millions of new jobs in the USA, save our jobs here, and get you to be able to pay us back without inflating your way out?"

Me: "You're a damn smart cookie Hu.  Now lets eat!"

Big Dick is A Man of Few Words (Today)

Editor's Note--Big D is still scratching his head about last weeks horse racing and NFL results but  he is still resolute  in his findings for this week. Lets head right to the action.--RB

That's right Richie. Not much to say. Lets just get back on the horse. With a quick fire of 3 choices in the NFL. Controversial of course. BUFFALO has been written off. Good we'll take them with the points. The 47.5 total points in the Arizona/Seattle game looks high right? Great lets take the OVER! Finally, who in their right mind would bet KANSAS CITY? Big D, that's who, when they play the Raiders!! Or should I say......the raaaaaaaaaayyyyyyyyyyyyy-duuuuuuuuuuuuuuuhs.

So short and sweet: BUF+6.5 @ tenn, OVER 47.5 AZ/Sea, KC+2 @ oak. Good luck and god bless.

If the Juror Wants to Invest in "It", You Must Acquit

Greetings from sunny but chilly central Florida. Before I go on Dumbo for the 9th time, just wanted to remind you what we told you from the very beginning about this Bear Stearns trial with Ralph Cioffi and Matt Tannin. We told you these guys weren't the reason the whole world blew up. We told you that we even told representatives at the US District Attorney's office that this case would be tough to win since we knew these guys and what they were about and they weren't about the "typical" Wall Street behavior. More like "Mr. Rogers" than "Mr. Madoff".

Well what seemed in like 20 minutes the jury found them innocent on all counts. We smiled. But really what made us smile the most was that one of the jurors came out a few days after the case was finished and said she would actually INVEST with these guys they were so innocent! Gotta love trials like that. That's called a blowout for the defense. Maybe we can get an interview with Ralph or Matt soon on these very pages. I think we'll get a few comments on the title of this post too. No Al Cowlings and a White Bronco needed in this situation. Case Closed!!

Let us Give Thanks

Well I'm off again to do another economy check. Heading down to Walt Disney World in Orlando with the family to eat some of those turkey legs they have in the Flintstones cartoons. I'm also going to be checking the real estate market to look for some bargains. I'll be there until Sunday so you might not hear from me much until then. Ok, you can stop your cheering. We'll get a few things posted. There might even be a radio call in by me on Sirius/XM on Thursday afternoon. So stay tuned for details.

 

As far as the markets go, I've got my wagers on and I'm sticking with them. Short: GE, GS. Long: SKF (which is really a double short!!) Its gonna come my way soon. Please be patient.   

 

Finally, tomorrow is Veteran's Day and from all of us here at monkeybusinessblog.com we give our heartfelt thanks to the men and women who protect our freedom in the armed forces. From the Revolutionary War to the present day, you'd be hard pressed to find a better country in the history of the world than this one. They are a large part of the reasons why. Please also keep in mind that there are not just the "old-timers" that are veterans either. Some very young people who have fought in current conflicts are also veterans now. They deserve the same respect. So if you see a veteran, buy he or she a drink, pat 'em on the back, or do whatever you want to express your thanks. They've all done a lot for you and me. God bless them and everyone who protects the United States of America.  

 

Now I'm off to the "land of the magical rat".

Eich Bin Ein Berliner

Congratulations Germany--and really all of us--on the 20th anniversary of the fall of the Berlin Wall. Saw a lot of German faces with smiles on today and a lot with tears of joy including the leader Ms. Merkel. Our President? I guess he was too busy to go. Working on a healthcare bill I gather that is still about 6 months away. Oh does anyone want to take the under on that number? I'll be glad to wager with you. Oh and we can even do another bet that the Germans are a little confused why Hilary Clinton is celebrating their 20th anniversary of freedom and not our President. The bet would be something like: "the next time President Obama of the United States comes to speak in Germany the crowd is less than 200,000 like the last time." What do you think his idol JFK would've done today?

 

Well MAYBE the President is working hard on talking with the CIA guys, who apparently knew about this terrorist months ago, that killed and maimed scores of people at Fort Hood,. And thats what that filthy animal is, a terrorist. We aren't going to rush to judgement though as the President says. Until we get all the facts. Well my guess is the President's advisors are telling him NOT to say stuff like he did to the NY Times on March 16, 2007. The Honorable Senator from Illinois said to Times reporter, Nicholos Kristof, "One of the prettiest sounds on earth at sunset is the Muslim call to prayer." Now seriously, who says this kind of stuff? Muslims probably do. But it got better when Kristof reported, "then Obama recited in a first class Arabic accent the opening lines of the Muslim call to prayer." Now some of you may be angry when I bring these facts up, but I'll make another bet: the Times ain't reprinting that article anytime soon. Maybe the NY Post will or Fox News but not the Times. I'm thinking the Commander in Chief might want to listen to the guys in the field if they say there are more Muslim terrorists in our Armed Forces and, if so, its time for some good old fashion racial profiling. Its getting a little late in the game. Do I have to tell you what happens to the economy if another "US soldier" blows himself up on a bus in Times Square, NYC right before Thanksgiving? Let me get off the soapbox though and state some more facts from our German friends.

 

Kevin Hassett, from bloomberg.com, has written "U.S. Should Try Germany's Unemployment Medicine". Now remember we reported on these pages that the GERMANS, not the US, came up with the "Cash for Clunkers" program earlier in the year. But they bagged it (technical term) when they realized there was all kinds of fraud associated with it and it COST them money. But did we listen and learn? No. We listened to the beginning part and, well, you see what has happened. However, there's a new program that makes so much sense that I'm SURE we won't  try this. Mr Hassett reports that its called, "Kurzarbeit" (was that a sneeze?).

 

Mr. Hassett goes on to say it kind of translates into "short work" and firms that are in trouble in Germany, and might have to cut employees, just cuts back hours for the workers rather than have mass layoffs. If the hours and wages are reduced by 10 percent or more, the government pays the workers 60% of their lost salary. As I contimued to read, I was kicking myself for not coming up with this idea myself. Everybody keeps working but just less until things get better. They are also given a little somethin somethin (technical term) for their time off the job. Then I thought, how about our economists working for the administration? Why didn't THEY come up with this?

 

See the basis is, if a firm fires people it costs them dough, it costs the government dough, and the social ills are huge. Not to mention when the economy eventually comes back, the firm has to rehire workers, probably train them, and most likely miss out on a lot of profits. This way seems to prevent that issue. But in this country, no company thinks of that because there's no incentive to do it.

 

Hassett says it would probably cost the country $10.6bn to implement it and compared to $787bn its gotta be worth a try right? He says its not too late but we are running out of time. Kind of like my example above with the filthy animal that we are paying for to live with doctors watching him around the clock for murdering Americans because they were......Americans. I think we give this Kurzarbeit "short work" a try. Oh the unemployment rate in Germany? Dropping. The U.S.? Not so much. We gotta wake up.  

Stocks are Up, So Let's Recommend One!

Well the market is roaring again. The Dow is up a fat 150 today. Thats another 1.5% for you scoring at home. 16% on the year. The S+P 500 is even better. Up 20% year to date! So I have to recommend a stock to buy, dont I? I mean I shorted Goldman Sachs and General Electric the other day. I must have something I like right? Or am I just some foolish delusional assclown selling stocks in a beautiful economy?

 

I actually do have a stock I like finally today. I've been waiting to buy this one since I sold it in July at 38.5. Now the stock has good potential for growth and Eric pointed out to me that it has provided real solid returns in the past. Of course, my charts have also given the "Buy" signal. So lets do this thing. Oh the stock? Well its an Exchange Traded Fund (ETF) that represents 2x the opposite of the Dow Jones U.S, Financials Index. The ticker is SKF!

 

Come on. You didnt think I was really buying a stock in this fake rally did you? Hell no. This SKF is a double down bet that the banks are going into the crapper......again!! I invite all the naysayers and the disbelievers to comment. I also am aware that the SKF isn't necessarily the best vehicle to do this if you have a long term view but I don't care. I think this is a good product for a nice short term trade and I'm playing. The banks haven't begun to take their licks in their Commercial Mortgage Backed Portfolios and there is some OBSCENE amount of loans that are going to need to be refinanced in 2010-2012. Guess what? They aint gettin refinanced. Nobody but the governments have any money to put to use. And that money is borrowed money. No likey. Buy SKF and watch it go up, up, up as many banks go, as Mike Tyson once said, "into Bolivia."

I See Others are Coming to My "Buffett" Party

A little tired this morning. Played "entertainment guy" for about 20 kids at my kid's 6th birthday party. The "egg relay race", "Freeze dancing", "Pin the tail on the donkey", "simon sez", all came out of the woodwork. Now this wasn't a scheduled task for yours truly, the hired help got sick due to illness. Canceled about 1 hour before the party. Fortunately, there was no initial deposit required for said help. Otherwise, I'd probably be in small claims court in the not too distant future. In any event, a good time was had by all and all of the parents seemed to think I had a big future in being a camp counselor. So I got that goin for me. One of the parents made a better point, "Richie maybe you should OWN a camp." Good idea. I will look into it. Seriously.

 

But I was happy to see that are pal, Terry Keenan, from Fox News and the NY Post, is paying attention. In her nice, concise article in the NY Post Business Section Sunday, "What is Behind Buffett's Burlington Buy?" She points out that maybe the "Oracle" ain't so pro-America like his nifty little comments came out in the media. Maybe he is saying, "um there is going to be RAMPANT inflation, and the dollar is in the terlet, and I want to own HARD assets like a railroad that will benefit if goods bought by foreigners (where their currencies are nice and strong and thus U.S. stuff is cheap) need to be shipped via my new railroad."

 

Now before you get all indignant on me, think about it. That CAN'T be going through the "Oracle's" mind? No possible way, because he LOVES America? Ok. Sure.

 

Oh and I am aware the market's are waaaay up again today. Be patient. Anybody want some cold pizza and ice cream cake? I have some left over. Otherwise I'm going to eat it as I watch the stock ticker.

Big Dick Part of the BREED that Succeeds

Editor's Note--Well Big D, CLASSY JET didn't win last Friday but she did finish a nice 2nd. Watch out next time. And due to some funny business in the 2nd half of the Jets/Miami game, you had a losing weekend. Lets see you break out and of course give us a few BREEDERS CUP winners!--R.B.

 

Well Richie we thought we had a lot of things pegged last weekend, but alas it didnt come true. That's ok we're ready for this wonderful sports weekend. For those who may know me for quite some time, you will know that 6 years back when the BREEDERS CUP was held at Santa Anita, I nearly busted an OTB parlor with winners all by myself. No kidding. We look for the same success today and tomorrow. First let's do the NFL, then backtrack to the horse racing.

 

The ARIZONA CARDINALS are a feisty road underdog. They get 3 points from da Bearssss. Chicago a little shaky on defense. CARDS are a nice choice. The NY Giants and the San Diego Chargers clearly have weaker defenses than they have in years past. Particularly the Giants. Well the 47.5 total looks high but it doesn't scare us. OVER in the Meadowlands. Finally, on Monday Night, the wrong team is favored. Yes DENVER came back to earth last week but Pittsburgh hasn't been exactly bowling them over on the road this year. DENVER fans will be rabid. 3 points is a lot. Take the points and the BRONCOS.

 

In the BREEDERS CUP, we will give you horses we LOVE to win. No gimmickery or other messing around. So here it goes:

Today 4:40 pm eastern Santa Anita Race 5: #11 ALWAYS A PRINCESS

Race 6: #4 MAGICAL FANTASY

Race 7: #9 VENTURA

 

Sunday Santa Anita Race 5: #13 LUCKIN FOR LUCKY

Race 9: #6 RICHARD's KID (the upset special of the day!)

 

To recap: Friday and Saturday's horse selections above and in the NFL: ARIZONA+3 @ Chicago, OVER 47.5 NY Giants/San Diego, and DENVER+3 vs Pittsburgh. Good luck and god bless to all!

Stocks, Bonds, Commodities, Flu Shots?

The Today Show is reporting that places like Goldman Sachs (there's that name again!) and Citigroup are getting more H1N1 (swine flu) shots for their employees than some hospitals in NYC! You can't even begin to make this stuff up. The Today Show gets like a bunch of housewives all over the country watching right? Christ, you don't want them pissed off at you. The media really doesn't like these banks does it? I dont either. For perhaps different reasons.

 

Speaking of Goldman, I shorted their shares at $171.50. Its higher than that now. Which, if you are counting at home, is not a good thing. But as they used to say in the streets, "Ask me DO I care?!?!" I do not. I have made my bed. I now will sleep in it. I actually am kinda glad since my whole "shorting program" isn't done yet and I will have a chance perhaps tomorrow to short some others at higher levels. I say perhaps because there's a "little" number tomorrow at 8:30 a.m. eastern time called "the unemployment report". It has a tendency to make all kinds of markets a bit volatile. I love volatility. Or as some of my gold buying Indian friends say, "wolatility". Enjoy.

Stocks, Bonds, Commodities, Flu Shots?

The Today Show is reporting that places like Goldman Sachs (there's that name again!) and Citigroup are getting more H1N1 (swine flu) shots for their employees than some hospitals in NYC! You can't even begin to make this stuff up. The Today Show gets like a bunch of housewives all over the country watching right? Christ, you don't want them pissed off at you. The media really doesn't like these banks does it? I don't either. For perhaps different reasons.

 

Speaking of Goldman, I shorted their shares at $171.50. It's higher than that now. Which, if you are counting at home, is not a good thing. But as they used to say in the streets, "Ask me DO I care?!?!" I do not. I have made my bed. I now will sleep in it. I actually am kinda glad since my whole "shorting program" isn't done yet and I will have a chance perhaps tomorrow to short some others at higher levels. I say perhaps because there's a "little" number tomorrow at 8:30 a.m. eastern time called "the unemployment report". It has a tendency to make all kinds of markets a bit volatile. I love volatility. Or as some of my gold buying Indian friends say, "wolatility". Enjoy.   

R Dizzle Says Peace Out Aiiiiiiiiight?!?

I'm walking up 5th Avenue in NYC last evening smoking a cigar, as I have been known to do. People are out but I don't notice many carrying shopping bags. I do notice some foreign voices which is a good sign. I'm hoping that the weak U.S. dollar is going to be good for something. I know the rest of the world has its issues but there have to be some bargains the foreign tourists can spend their hard earned dough on right here in the good ol' US of A.

 

So, in any event, I see 4 fellows hawking CDs. But not a table of CDs, just a few CDs in their hands. I realize they are also GIVING them away and just asking for "donations". I think to myself man the recording industry must be pretty banged up. And here is the conversation that ensued:

 

Rap Star: Yo! Yo! Sir! Dont be afraid to talk to the black man!

Richie B (smiling): What are you sellin?

RS: Nah man I want you to HAVE this CD. I'm a rapstar AND a comedian.

RB: Hmmm. Timboking presents Artillery. Portraits and Masterpieces. Is this like a greatest hits CD?

RS: Yeah man. Where you from?

RB: New York City.

RS: Can you spare a donation brothah? (Smiling as Richie slips him a 5 spot) Yo, my man be careful at the strip clubs tonight. Wear 2 condoms, not just one. You dont want to get the NEW YORK MONSTAH! (pointing to his crotch).

RB: You ARE a comedian. Now when you become big and famous will you forget me?

RS: Whats yaw name?

RB: Richie

RS: (as he autographs the CD). Yaw rap name is "R Dizzle". "To R Dizzle. Work it Mother%(*%^&*(&#&."

 

So I got that goin for me. Didn't listen to the CD yet but I might tonight. I see the stock market is up nicely as it looks like the Fed will not be changing their stance on keeping rates low for now. Which is nice. That makes me so happy you can SELL 2 stocks today. The General Electric Company (ticker: GE) and The Goldman Sachs Group, Inc. (ticker: GS). Yep. I said it. I meant it. I even represent it. (Must be the rap juices flowing). So go ahead take the plunge and short GE, who has too many toxic assets and no one has been able to tell me what their finance company is and GS, who is still printing money but has more than doubled this year. We smell it coming back to earth.

 

And that's just the beginning of the sales. Tomorrow we might have even more. Listen to your boy R Dizzle. Sell GE and GS.  

I'm Going In to Take a Nap, Soon

Bears hibernate right? I'm getting to be like a big bear. As in bear market. We've been telling you about all the foolish things this administration has been doing to "fix" things with this crisis. And much like in little league these days where "nobody loses and everyone gets a trophy", the gang in D.C. has decided to act that way towards the economy. Unless of course, you are rich. But what they don't figure out is that small business owners, the "rich" guys, don't hire people when they are taxed to death. And they move to Florida or Arizona and throw their hands up and say "ah I've had enough". So lets go get the rich man some more. and see what happens with unemployment. At the end of the day, the rich man ain't so bad but you would never hear the current administration say that, unless of course they were talking about "communists" like Soros or someone from Hollywood.

 

Well guess what? The central bank of India just made the biggest purchase of gold for them in over 30 years. 200 metric tons. Now if you went to the regular assclowns in D.C. with that info they'd probably look at you with that arrogant look and say, "so what?" And that's my point. So what? I'll tell you what. I'm happy. Cause I'm going to make (another) killing on this stock market going down. And I'm gonna laugh while everybody complains on these talk shows about what should be done. You wanna know what should be done? Cut taxes. Not raise them. CUT spending. Not raise it. But I'm at the point where I know that aint gonna happen anytime soon. And you can now expect other central banks to sell their dollar assets and buy gold and other commodities too. And I will be on their side of that trade.

 

It looks like tomorrow our magical charts will give the sell signal on some real nifty stocks. You'll be the first to know. Then I will take my nap. And probably not come out until winter is over. I'm done with the debates on how to fix things. But I will sell things (like stocks) and smile when I make a fortune. No more time for talking. Only time for action and there is no better way then to vote (oh, happy election day!) with your wallet. Now who's comin with me?