Submitted by MoneyMcbags on 10/11/2010 23:20 -0500
Housing InventoryHungaryJanet YellenKohnNewspaper
It was a quiet day on the Street as the bond markets and federal offices were closed to celebrate one of the greatest threesomes of all time, and no, Money McBags isn’t talking about the Three Stooges, the Dahm triplets or that scene in Meggann and Hanna love Manuel, he’s talking about the voyage of the Nina, Pinta*, and Santa Maria as today was Columbus day so hopefully you all coughed in to a blanket and handed it to your neighbor in order to celebrate.
As for the market, investors came down from their weekend long party celebrating the destruction of 95k jobs (minus another 11kish due to the birth/death model) which has made QE2 a near certainty as 93% of economists now surveyed believe Benny B will get his asset buying on at the beginning of November (of course 90%+ of economists didn’t see the global financial collapse coming but that is because they were all likely distracted by Art Laffer’s oddly dyed hair as the aged and lilliputian witch doctor, which is actually the formal term for economist, tries to blend in to normal society to keep his pot of gold safe). The market has had a stunning run considering not much is getting better (other than rush hour traffic, prices at WalMart, and Minka Kelly) so it will be interesting to see if buying the rumor will persist until the next Fed meeting in November when the “sell the news” algorithm kicks in for all of the HFT’s (and if you haven’t watched the 60 Minutes piece on HFTs from last night, it was decent enough in an informative way yet lacked the anger, insight, and Leslie Stahl nip slip that Money McBags would have liked to have seen).
In macro news, not much happened today other than Foreclosure-gate keeps ramping up as apparently mortgages had less documentation than Meg Whitman’s maid. With foreclosed upon houses driving homes sales as they are cheaper and usually contain less old lady smell than owner occupied houses, a slow down in processing foreclosures will severely impinge upon the government’s desire to move housing inventory. This is because sellers still refuse to come down in price as they try to avoid taking losses on their mortgages which are more underwater than Mary Jo Kopechne. It will be interesting to see how all of this plays out, though more interesting to see how this plays out.
The only other interesting piece of macro news was that Janet Yellen (who was speaking for her first time as the Federal Reserve’s vice chairperson after taking over for Donald Kohn thanks to her stunning victory in the swimsuit competition where she became the first vice chair candidate to rock a two piece since Frederick H. Schultz in 1979) said that the Fed’s accomodative policy of keeping rates low could lead to excessive risk taking as companies can easily lever up now that money is cheaper and easier to access than Paris Hilton’s vagina (though with a bit less cocaine on it, but just a bit less). So it will be up to the Fed to “take the punch bowl away” (her actual words) before the economy overflows it with turds.
Internationally, nothing really happened today other than a reservoir of toxic waste (also known as Bette Midler’s one woman show) burst in Hungary killing 8 people and spilling almost as much hazardous sludge as the recent Gulf oil spill thus making both the country’s financial system and now their topography, covered in shit. Otherwise it was pretty quiet as the currency wars continue on and European countries brace for future downgrades.
In the market, MSFT released their new phone so now they can lose to AAPL and GOOG in another vertical, the C bank analyst said he expects the sector to meet or beat guesses (and of course most bank stocks sold off on that ringing endorsement), and WYN shot up ~8% after they bet it all on red. Also, NYT jumped 9% because some analyst at UBS apparently piled on the BS by saying newspaper ad sales are increasing while apparently forgetting that the newspaper industry is within a decade of going the way of the dodo bird, the Edsel, and cost of living adjustments for social security checks. Finally, solar stocks were on fire thanks to revenue raises, ASTI getting full IEC certification meaning their panels can withstand prolonged exposure to the elements and thus can move in to the building market, and investors realizing solar companies main source of energy is entirely fucking free.
*Money McBags realizes that he linked to a woman with the last name Pinto and not Pinta, but the only person he could find with the name Pinta is a transexual porn star (true story) and as only a few of you likely work at the SEC, he decided not to link to that.
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on Tue, 10/12/2010 – 01:26
The link at the end of the article “work at the SEC” had a post as follows:
Q: Now I’m going to show you what has been marked as Exhibit G. This is a record from that same date, August 20th, which our records show that you made over 300 attempts to access a website called zerohedge.com . Do you have any recollection of attempting to access this site?
A: I do not have any specific recollection on this site. But, as I indicated, on this specific day, I would not be surprised if I clicked a website on of those day since I was wearing my tinfoil hat.
Are there ZH tinfoil hats we can buy?
Login or register to post comments by AUD
on Tue, 10/12/2010 – 05:25
You certainly know your porno McBags.
Login or register to post comments by Clark_Griswold …
on Tue, 10/12/2010 – 06:59
you are one sick twisted puppy!
Login or register to post comments by obamaphobe
on Tue, 10/12/2010 – 07:12
I guess I live in a cave as I didn’t know Minka Kelly. She does bear a stunning resemblance to Tory Black. Good stuff.
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