11/17 Daily Markets

Please add updates@feedmyinbox.com to your address book to make sure you receive these messages in the future. Daily Markets - Your Views Make News How To Benefit From Oil Market Muscle And Brazilian Strength Through One Company November 16, 2009 at 10:31 pm A GDP growth rate of 9% would be an impressive performance over the course of a year. But it’s nothing short of outstanding over just one quarter. Yet that’s the projected fourth quarter performance for Brazil - a country far removed from the United States both geographically and economically. Leading the charge is a surge in domestic consumption, as optimistic Brazilians (no doubt also buoyed by the decision to award Rio the 2016 Olympic Games) pump money into the economy. If … [visit site to read more] An Open Letter To Harry Reid On Controlling Health Care Costs November 16, 2009 at 10:01 pm Dear Senator, I know you’re in a tough spot. It would be bad enough if you only had to get Ben Nelson, Evan Bayh, Mary Landrieu, and Blanche Lincoln on board, but anyone who has to kiss Joe Lieberman’s derriere deserves a congressional medal of honor. But Harry, you really need to take on future health-care costs. The House bill fails to do this. The public option in the House bill is open only to people without employer-provided health insurance. That will be too small a number to … [visit site to read more] 2009 Best Small Companies Part 2 November 16, 2009 at 9:01 pm This is a continuation of the series of valuing each of the 200 Forbes Best Small Companies 2009 Forbes 200 Best Small Companies Part 1 In this list, I’ll list up the valuation results of companies 11-34 from the stock value spreadsheet. You can also calculate the stock value yourself with the free dcf spreadsheet as well as the free Benjamin Graham formula spreadsheet. Dolby (DLB) Dolby is the type of company you just cannot go wrong with whenever you buy the stock at … [visit site to read more] The Natural Gas ETF (UNG) Has Hurt The Wallets Of Many Investors November 16, 2009 at 8:20 pm “The United States Natural Gas ETF (UNG) may have resolved regulatory concerns, but the futures-based fund continues to come under pressure from an abundance of supply that is expected to suppress future prices. The current supply issues will keep gas prices depressed until 2015 despite a possibile economic recovery that could spur an increase in demand in the near future, according to a new report from the International Energy Agency’s World Energy Outlook. Representatives said the … [visit site to read more] Recession Is Fueling An Even Bigger Public Safety Problem November 16, 2009 at 8:01 pm In a press release issued last Thursday, organizations representing state chief executives and fiscal officials had nothing good to say about the outlook for municipal finances: “NGA, NASBO Say States Will Continue to Face Fiscal Difficulties in Coming Years” Preliminary Findings of Survey Show Fiscal Conditions Continue to Deteriorate In a preliminary review of the biannual report The Fiscal Survey of States, officials from the National Governors Association (NGA) and the National … [visit site to read more] Economists And Government Officials Work So Hard To Sell The Phrase 'Jobless Recovery', But Is That A Recovery? November 16, 2009 at 7:11 pm Cartoon by Steve Breen, The San Diego Union-Tribune Jobless recovery seems to be a phrase economists and analysts are using with increasing frequency. In my opinion, this usage is akin to a drug dealer or liar repeating his rationalizations to the point where he believes his own bulls%&t. Are we to believe this economic subterfuge? I believe the American public buys into this rationalization at our peril. Why? Let’s navigate along the most important leg of our economic … [visit site to read more] Stock Picks For Tuesday: Motorola And Sprint Nextel November 16, 2009 at 7:05 pm ( click to enlarge ) Motorola (MOT) is still in its sideways range and could make an upside move soon. Resistance stays at $9.20, which is the high of this range. Stop loss for long positions may be placed at $7.72. A close below this level would impart weakness in the stock. Keep a very close eye on MOT and be ready for the stock to make its move very soon. ( click to enlarge ) Sprint Nextel (S) looks like it wants to make a trend reversal as the stock closed up $.40 on … [visit site to read more] Trailing Stops Made Simple November 16, 2009 at 7:01 pm Everyone likes to talk about stock market winners. No one likes to talk about losers. Perhaps especially those of us who pick stocks for a living. But buy enough stocks and you’re bound to have some losers. And that’s okay. Intelligent investing is about managing risk, not running from it. Avoid volatility altogether with money markets and T-bills and you risk not meeting your investment goals. Turn a blind eye to volatility, on the other hand, and your portfolio will give you a kick in … [visit site to read more] Japan's GDP Accelerates, But Its Rapidly Growing Debt Raises Concerns November 16, 2009 at 7:01 pm Stimulus measures in Japan helped the world’s second-largest economy grow at its fastest pace in more than two years, but it’s unlikely policymakers will reduce spending despite the nation’s rapidly growing debt. Gross domestic product (GDP) in Japan grew at 4.8% annual rate in the third quarter, surpassing all the forecasts of 20 economists polled by Bloomberg News. That follows a revised gain of 2.7% in the three months ended June 30, according to Japan’s Cabinet Office. Japan’s … [visit site to read more] ETF Update: Rebound In China? November 16, 2009 at 6:01 pm President Obama’s China visit will be a news focus for the next few days.  Investors will follow developments closely for hints about trade, the dollar, implications for the U.S. economy, as well as several important challenges to international cooperation.  Because China is the biggest lender to the US, the relationship is changing. This occasion is also a good time to consider the prospects for direct Chinese investments.  We identify such opportunities through our sector rotation … [visit site to read more] Lunar Phases And The Stock Market November 16, 2009 at 5:22 pm Let me start out by admitting my reluctance in submitting what you’re about to read because those naysayers, those doubters, those who consider “technical analysis” to be almost on a par with tarot cards and astrology, they all will use this piece as further evidence or proof for their disparagement. They will use what follows to undermine whatever credibility and currency I may have gained through 400+ postings in this blog over the past 4 years. For the rest of you, however, those of … [visit site to read more] Video: 11/16 Crude Rallies To Begin Week November 16, 2009 at 5:22 pm Fropnt month crude prices rallied to start a new trading week as a weaker dollar and gain in equities kept investors flocking towards commodities. … [visit site to read more] Video: 11/16 NYSE Closing Bell Market Monitor: FCX, BHI, S November 16, 2009 at 5:22 pm The latest in news, commentary, and information on what’s moving the US equities markets. Watch this broadcast LIVE at 4:00 pm EST daily @ “http://www.nyx.com/marketmonitor” … [visit site to read more] Are Treasury Yields Headed Lower? November 16, 2009 at 5:01 pm I am beginning to see signs that there is a high likelihood of this occurring over the next couple of weeks. Figure 1 is a weekly chart of the Ultra Short Lehman 7-10 Year Treasury (PST); this is an ETF that corresponds to the inverse of the daily performance of the Barclays Capital 7-10 Year U.S. Treasury index. In other words, it moves in the direction of Treasury yields. With Friday’s close, PST is now trading below 3 pivot low points, and as I have shown in the Dollar Index (and … [visit site to read more] Surging Auto Purchases Drive US Retail Sales Higher November 16, 2009 at 4:53 pm U.S. retail sales rose unexpectedly in October as vehicle sales rebounded from a deep slump. However, non-auto sales rose less than forecast, suggesting consumers remain cautious as unemployment surges amid a “jobless recovery.” Sales at the nation’s retail outlets increased 1.4%, the Commerce Department said today (Monday), much better than the 0.9% increase projected by the median estimate of 66 economists in a Bloomberg News survey. But September sales were revised downwards to a … [visit site to read more] Mead Johnson And Bristol Myers Split Inspires Option Traders November 16, 2009 at 4:49 pm (MJN) - Mead Johnson Nutrition Co. - Over the weekend Bristol Myers Squibb decided to sell its remaining 83% stake in Mead Johnson, maker of baby formula, Enfamil. Mead Johnson shares declined by 2% to $44.35 and the additional uncertainty surrounding the issue caused options implied volatility to spike higher in early trading. On Friday the expected degree of movement on the stock stood at 36.5% before jumping today to 56.3% as investors wonder whether the company will be able to stand on … [visit site to read more] The Strongest BRIC Country November 16, 2009 at 4:01 pm I have a trick question for you, especially if you’re interested in emerging markets: Among the four BRIC countries - Brazil, Russia, India and China - which offers the best stock market performance for American investors? Be careful how you answer, because appearances can be deceiving, especially if you focus strictly on one year. Looking at year-to-date results, for example, it might seem that the answer is Russia. From the close of trading at the end of last year through … [visit site to read more] Video: 11/16 Japan's 3Q GDP Figures Strengthened November 16, 2009 at 3:55 pm Japan’s 3Q GDP figures were reported to have strengthened more-than-expected as both domestic & foreign demand continues to rise. … [visit site to read more] Middle East ETFs: The Next Big Growth Spot? November 16, 2009 at 3:01 pm Growth in the Middle East is not just limited to its oil industry. Countries in the region are branching out to many different areas of the global market and Middle East related exchange traded funds (ETFs) may soon mirror the economic expansion that comes with diversification. In Dubai, United Arab Emirates, fighter jets will be the focus at an upcoming airshow as Arab countries update their military might, reports Stefania Bianchi for The Wall Street Journal. According to consultancy … [visit site to read more] Bank Failures Rise To 123 As 3 More Banks Fail Over Weekend November 16, 2009 at 2:01 pm Regulators shut down 2 banks in Florida and 1 in California; U.S. bank failures reach 123 this year. U.S. regulators on Friday shuttered two more banks in Florida and one in California. Though there are some early signs of economic recovery, bank failures continue unabated. This takes the total number of bank failures to 123, compared to 25 in 2008 and 3 in 2007. The weak economy continues to weigh heavily on banks with a stream of loan defaults. As the industry has to tolerate bad … [visit site to read more] Transportation Stocks: Fundamental vs. Technical Analysis November 16, 2009 at 1:15 pm The mark of a good fundamental analyst is the ability to dig and look for data points that the rest of the market hasn’t really focused on. So it is with great interest that Jeff Matthews, who often has good fundamental insights, indicated that the economy may be improving or poised to improve because of extremely low inventory levels that he is seeing on a bottom-up basis. In addition, FedEx had reported improving volumes back in September, another sign of economic … [visit site to read more] Video: 11/16 Dollar Slides As Risk Appetite Grows November 16, 2009 at 1:11 pm The greenback continued to be pushed even further into the red as investors have favored higher-yielding currencies on improvements in Japanese GDP and rising commodity prices. … [visit site to read more] Video: 11/16 Market Movers: S, XJT, COH, JCP, GNK, EGLE, ESEA November 16, 2009 at 1:11 pm The latest news and information on U.S. stocks that are moving the market. … [visit site to read more] The U.S. Trade Deficit Increases: Alternative Explanations November 16, 2009 at 12:45 pm The goods and services trade deficit widened in September, reversing recent improvements. It was good news that both imports and exports increased after a shrinkage of trade resulting from the global contraction. The deficit increased because imports increased more than exports. Exports or goods and services increased by $3.7 billion to $132.0 billion while imports increased by $9.3 billion to $168.4 billion. The deficit for September increased from $30.8 billion to $36.5 billion, an … [visit site to read more] Chinese Ambivalence To Yuan Realignment Weighs On US Dollar November 16, 2009 at 12:31 pm Commodity prices continue to accelerate to start the week after it appears that there was little hope that U.S. pressure on the Chinese authorities would allow for an appreciation of the Chinese yuan. The weekend APEC summit in Asia saw international leaders meet, with President Obama then flying off to Beijing, where limp expectations for a move from the Chinese were likely to be dashed. The picture of Chinese officials appearing to bow to international pressure is unlikely to sit well … [visit site to read more] AUD/USD Reaches New 15-Month High November 16, 2009 at 12:28 pm AUD/USD - Price action to start the week on AUD/USD, a daily chart of which is shown, has just tentatively broke through to establish a new 15-month high for the pair, but only by a handful of pips thus far. This currency pair continues to operate within the context of a long-term uptrend extending from March. If the current bullishness continues and closes significantly above the resistance imposed by the last 15-month high (around 0.9370) established just last week, an uptrend continuation … [visit site to read more] Lowe's Earnings Tumble November 16, 2009 at 12:24 pm Amidst a bleak economic outlook, Lowe’s Companies Inc. (LOW) recently reported its third quarter results. Quarterly earnings of 24 cents a share fell 27.3% from 33 cents posted in the prior-year quarter due to sluggish consumer demand for big renovations. However, the earnings remained in line with the Zacks Consensus Estimate. The world’s second largest home improvement retailer said that it expected fourth-quarter earnings in the range of 9 cents to 13 cents a share. For the fiscal … [visit site to read more] GBP/USD Moves Toward Target Resistance As Gold And Commodites Lead To US Dollar Selling November 16, 2009 at 12:20 pm The GBPUSD used the 100 and 200 bar MA on the 5 minute chart as a springboard to the upside.  The price is approaching the target upside level of 1.6795 (see prior post) .  This is the high from last Wednesday. There is also a high from November 10th at the 1.6787 level. The dollar continues to be pressured by higher oil, higher gold and higher commodities and higher stocks.  This dynamic  - due to the dynamic that gold and commodities are becoming the investement instruments … [visit site to read more] China Says "No" To Currency Flexibility November 16, 2009 at 12:16 pm The President was in China this past weekend, trying his best to get the Chinese to agree to a greater flexibility for the renminbi (CNY)… Well… There were a few stories this past weekend that hinted about the Chinese agreeing to do so… But I prefer to go with this story that appeared on Reuters last night… “The Chinese government has sought to distance itself from speculation surrounding a central bank statement earlier this week that was interpreted as a shift in currency policy … [visit site to read more] Stock Markets Make More 2009 Highs November 16, 2009 at 12:12 pm The S&P 500 re-visited last week’s high and sent it flying. So where’s the next stopping point? Ouch! I’m getting sore from constantly kicking myself. Last week’s look at the S&P (US Stockmarkets Push Higher) found it breaking above the 21-day moving average and testing a good support and resistance line at 1080. I pointed out, once again, the familiar pattern of stockmarkets crossing their 21-day MAV and hitting their upper Bollinger bands. At the time this was 1110 on the … [visit site to read more] More Soggy Economic Data But Stocks Don't Care And Surge Upwards November 16, 2009 at 12:08 pm Having briefly scanned the dataflow Friday before checking out the price action, your writer had thought he may be confronted with somewhat softer markets. Wrong. Rather, a combination of slightly weaker than expected GDP growth in Europe and a wider trade deficit and decline in consumer confidence in the US seems to have been trumped by a decent earnings report from Walt Disney (DIS) and upped Christmas guidance from JC Penney. Indeed, in the US consumer cyclicals led the way with a … [visit site to read more] Amazon.com Inc. Has Been A Boon To Investors, But Now It's Time To Take Profits November 16, 2009 at 11:52 am We have been front-running many very positive catalysts since I first recommended buying Amazon.com Inc. (AMZN) on Feb. 5. First, that put us ahead of the bull-market rebound in U.S. stocks that started in early March. My recommendation also predated the launch of Kindle 2, as well as stimulus measures deployed by the United States and China in April. Just as predicted, the U.S. economic recovery has gathered momentum and Amazon has benefited greatly by offering a compelling value … [visit site to read more] Video: 11/16 Lowe's Constructs 3Q Profit Loss November 16, 2009 at 11:23 am Home-improvement retailer Lowe’s (LOW) announced Monday that it posted a 3Q profit loss as the economic downturn continues to effect large purchases. … [visit site to read more] Can Oil Bears Take The Lead? November 16, 2009 at 11:16 am Fundamentals Crude Oil futures are higher this morning, reversing some of last week’s sharp declines. Japan’s economy grew at an annual pace of 4.8%, exceeding even the most optimistic of expectations. The US Dollar is also continuing its slide this morning, giving Oil bulls a bit of good news to latch on to. The upbeat news from Japan indicates that the economic recovery is stretching the entire globe. Yet, despite this good news, traders have to question how much of this recovery has … [visit site to read more] Video: 11/16 Green Start To The Week In Asia November 16, 2009 at 11:11 am The major Asian/Pacific markets were on the upside this session to kick off a new trading week on a positive note. … [visit site to read more] Australian Dollar: Caution November 16, 2009 at 11:10 am Update on supports and resistances. … [visit site to read more] Canadian Dollar: Caution November 16, 2009 at 11:10 am Update on supports and resistances. … [visit site to read more] Is Toll Brother's Turnaround A Sign Of Recovery - Or Looming Disaster? November 16, 2009 at 11:07 am Justice and I have written at great length here in Taipan Daily as to various disparities that are cropping up in the U.S. There is, of course, the fashion in which small-cap stocks have been gapping down and away from large-cap blue chip stocks, as skittish investors seek stolidity over growth - a sure sign, Justice notes, of exhaustion on the part of the bulls. I don’t know how much longer investors will find respite in blue chips, mind you, because these stocks share a growing … [visit site to read more] MGM Studio Up For Sale November 16, 2009 at 10:55 am Metro-Goldwyn-Mayer Inc. (MGM), a privately-held media company, is exploring strategic options, including a potential sale of the company, to repay its huge debt as its home video market has gone adrift. The company owns the world’s largest library of contemporary films of approximately 4,000 titles and over 10,400 episodes of television programming, including movies like James Bond, Pink Panther and Rocky. Its film library has received 205 Academy Awards, one of the largest award … [visit site to read more] Stocks To Watch Monday November 16, 2009 at 10:50 am Speculative stocks CBAK - RSI indicator began showing signs of reversal AOB - Stochastic indicator began showing signs of reversal CRA - Ready for a big move. Keep an eye for a possible breakout over $6.45 ENER - Multiple bottoms. Stochastic indicator began showing signs of reversal CRIS - Rumors still persisting in the market. Chart looks Bullish in all time frames. Major resistance $2.21. C - Hedge Fund Paulson Bought 300 Million Citi Shares During 3Q RMBS - Rumors and more … [visit site to read more] Stock Market Briefs: Citigroup Plans Sale Of More Japanese Assets, General Motors To Begin Repaying Treasury, Mitsubishi To Launch Secondary Offering November 16, 2009 at 10:45 am Boeing’s (BA) new head of its commercial aircraft division, Jim Albaugh, said the long-awaited Dreamliner test will happen by yearend Citigroup (C) plans to sell Bellsystem 24, a Japanese telemarketing company, to Bain Capital for $1 billion, bringing to $10.8 billion the dollar amount Citi has raised from sales of Japanese assets Hedge fund Paulson & Co. reported in a September 30 filing Citigroup (C) holdings of 300 million shares, valued at $1.45 billion Cisco … [visit site to read more] Video: 11/16 NYSE Opening Bell Market Monitor: GM, LOW, CSCO November 16, 2009 at 10:43 am The latest in news, commentary, and information on what’s moving the US equities markets. … [visit site to read more] USD/JPY Lower Today After Better GDP Overnight November 16, 2009 at 10:40 am The Japan GDP came out better overnight and has helped the Japanese Yen (lower USDJPY).  The price is below the 100 and 200 bar MA which are at the 89.51/53 level respectively.  Watch these level today.  As long as the price can remain below these levels, the bias is down for the pair with target at 89.28 and 89.17 (lows from November 11th and November 2nd respectively). The low for the year has come in at 88.00.  This would be another key downside target as long as the bias … [visit site to read more] Hewlett Packard - 3Com Deal Highlights Urgency For Growth In Competitive Tech Sector November 16, 2009 at 10:31 am Hewlett-Packard Co.’s (HPQ) pending buyout of 3Com Corp. (COMS) highlights an accelerating race in the tech sector to grow businesses in an industry where development from within simply is not enough. H-P will pay $2.7 billion in cash for 3Com, which is second to Cisco Systems Inc. (CSCO) in business networking. Cisco and H-P have steadily been encroaching on each other’s businesses: Earlier this year, Cisco started making servers while H-P last year began to renew investment in … [visit site to read more] Swiss Franc: The Downside Prevails November 16, 2009 at 10:10 am Update on supports and resistances. … [visit site to read more] Japanese Yen: Under Pressure November 16, 2009 at 10:10 am Update on supports and resistances. … [visit site to read more] British Pound: The Downside Prevails November 16, 2009 at 10:10 am Update on supports and resistances. … [visit site to read more] Euro: Under Pressure November 16, 2009 at 10:10 am Update on supports and resistances. … [visit site to read more] Chart Of The Week: Four Key Sectors Struggle November 16, 2009 at 10:01 am While I still have at least one and a half feet placed firmly in the bull camp, I am increasingly concerned with a number of signs from some key technical indicators. Near the top of my list of concerns is market breadth, as measured by the McClellan Summation Index and other similar market breadth indicators. The bottom line is that if the indices continue to advance on the strength of a narrow base of rising stocks while the majority of issues move sideways or decline, then the rally … [visit site to read more] Gold Trends, Oil And The US Dollar November 16, 2009 at 9:15 am In this world we are faced with an ever changing landscape. Nowhere is it truer as soon as you learn the game, the rules are changed. For instance, we are told that gold is signaling an inflationary future coming for the USA, yet its long term interest rates are below the 4% level and short term rates are basically zero. How can this be? Who would lend money to a nation whose currency depreciates and pays almost no return on its debt? Nations who depend on consumption from the USA have … [visit site to read more]   This email was sent to gatdemit001@gmail.com.  Create Your Account Don't want to receive this feed any longer? Unsubscribe here.