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Wall Street Breakfast: Must-Know Newsby SA Editor Rachael Granby- Bank trio becomes duo. Wells Fargo (WFC) will become the largest U.S. bank by branches with its bid for Wachovia (WB), after Citigroup (C) withdrew from compromise negotiations late yesterday on concerns about the quality of some of Wachovia's assets. Wells Fargo, with a bid valued at $11.4B, expects the purchase to be completed by the end of the year, and denies it will have to absorb assets shakier than originally thought.
- Government considers next steps. As the financial crisis continues to worsen, the U.S. government is considering two dramatic steps to turn around, or at least slow, the damage: guaranteeing billions of dollars in bank debt and temporarily insuring all U.S. bank deposits. The moves, which would mark the government's most extensive intervention to date, are in discussion stages only.
- Credit stays frozen. As frozen credit markets refuse to thaw, the cost of default protection on corporate bonds reaches new global records amid investor concerns the credit crisis will trigger corporate failures as companies struggle to finance their businesses. Interbank lending remains limited, and borrowing from the Fed's expanded discount window continued its trend of setting new highs every week, as the total daily average rose to $420.2B vs. $367.8B last week.
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Oil Price- Oil Below $75: Increased Chance of OPEC Production Cuts by Money Morning
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Wednesday, October 15.Bullish Calls:Continental Resources (CLR) -- "This is a remarkable decline. All of the high quality ones are down so much, I can't go against it. This is where you pull the trigger.
3M (MMM) -- The moment this stock starts yielding 5%, I'm a buyer. Until then, keep your powder dry.Bearish Calls:Computer Sciences (CSC) -- This is a company that was going to be bought, but they passed up the chance. Now I don't want to buy it."Email continues...
Annaly Mortgage (NLY) -- I think this is a business model that needs to borrow money. Definitively do not buy."
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- Too Early To Buy Homebuilders ETF by Larry MacDonald
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Housing & Real Estate- Too Early To Buy Homebuilders ETF by Larry MacDonald
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Latest Comments99 Comments
An In-Depth Look at Solar Stocks
No more for me, thanks. Goodbye, SeekingAlpha.
Expecting Strong Earnings Upside from First Solar and Solarfun Power
This is half true. Obama strongly supports alternatives to fossil fuels. However, McCain has never stated specific support for either solar or wind. Since he would like to retain his long-standing massive backing from Big Oil, he is unlikely to.
SCE Contracts Push First Solar Ahead
Assuming SCE has sufficient space for either one, the solar efficiency is immaterial to their decision; what matters is dollars per watt.
Lithium-Ion Batteries and Centerfolds
In the sentence above you betrayed yourself as either ignorant or a liar. No need to care which; I stopped reading your drivel right there.
American Superconductor: An Ultimate Winner in Wind Power
Solar Shorts Keep On Rising Even As Oil Surprises
Thanks!
Canadian Solar: The Next Solar Takeover Target?
Absolutely false in the case of McCain. Do your homework, check his voting record when it mattered (close votes). He's in the pocket of Big Oil, just as Bush was.
If you invest in alternative energy, this is your biggest risk factor. Research deeply. Consider who will be put in cabinet positions, heads of agencies etc.
IEA's Oil Market Outlook: Off the Mark
As would many others. Two problems:
1) The CFTC is corrupt, starting at the head placed there by Bush the Oil Pusher.
2) The CFTC is disabled, due to the Enron Loophole and other problems introduced by corrupted legislators like Phil Gramm in 2000-2001 and being actively preserved today - and prevented from being exposed via debate by Republican filibusters.
On Oil and Its Manipulation
GREAT job with this article! Please stay on this topic and keep digging and keep posting. Make sure you see all the Senate Commerce Committee hearings from June; the video is at the cspan web site.
Some things you can dig into:
- Intentional conflation by Big Oil sycophants of the terms "speculation"... and "manipulation&quo... to mislead listeners about what's being stated and discussed by experts
- Republican use of filibusters to prevent debate (on CFTC-related legislation) which would clarify the manipulation issue and expose the current crop of Phil Gramm wannabes
- Conflation of sweet crude (for which demand is outstripping supply) with sour crude (of which supply is abundant) by Saudi Arabians and Libyans, to hide their inability to increase supply of sweet crude
- Ignorant conflation of sweet vs. sour crude by mainstream media (including online sources like MarketWatch), exacerbating misunderstandings of Saudi and Libyan statements
- Israeli cabinet members helping Goldman-Sachs and Morgan Stanley further drive up WTI oil futures by hyping mideast tensions, thereby manipulating more retail investors and fund managers into buying more USO, XLE, etc.
Adjusted for Income & Fuel Efficiency Increases, Gas Today is Almost 50% Below Record High
1) Why does the "Average MPG" chart cut off at 2005? Hint: SUV sales peaked in 2006.
2) Why consider improvements in Average MPG, unless you also consider increases in average miles driven per year?
Promising Solar Power Technologies
Did you even read the article, much less follow any of the links? Evidently not. Ausra's technology is good - but it has room for further improvement. This can lower the cost of Ausra's technology.
TTM Speculative Activity Actually Decreased on the NYMEX
You're exactly right.
Be aware that speculation on NYMEX has moved to the unregulated "London" ICE (actually run by a USA company and using terminals here in the USA) and greatly expanded. Those who put out "speculation is down" stories are at best being misled.
Kling's Oil Speculation Question
This conflation of the two kinds of crude is being purposely planted by various players - the same ones who are hiding their manipulation behind the word "speculation"... This is the latest favorite style of lying: use an ambiguous word. Various media that should know better are happily playing along to attract eyeballs.
How Big a Contribution Comes from Oil Speculation?
That trading moved from the NYMEX to the ICE to dodge regulation. Bush's head of the CFTC is in on this con, which was originally set up as Enron's loophole by Phil Gramm (McCain's chief economic advisor) and his wife. I believe Senate Commerce Committee testimony before I believe anything on SeekingAlpha (although Mr. Hamilton seems to have an excellent understanding in my humble opinion).
The Oil Speculator Myth
I'm afraid you don't have a lot of room for criticizing others' spelling or proofreading, I count 2 grammatical/structural errors and two spelling errors in your tiny post.
The fact is, the term "speculation"... is being (intentionally, I suspect) conflated with "manipulation&quo... The latter is going on at two levels:
- direct, via dominance of trading on ICE by several i-banks and their proxies
- indirect, by creating and pumping ETFs tied to the long side of commodities futures
Thanks for the great link, ManGolfer.