I caught Sue Herrera's(who by the way is one of the few journalists on pom pom TV, along with Diana Olick) interview with the Senator from Connecticut Joe Lieberman regarding speculators in the commodity markets. I have a newsflash for the esteemed yet somewhat economically challenged Senator......
An investor is a speculator who made a mistake and will not admit it !
I do not care whether your time horizon is 5 minutes, 5 hours, 5 days, 5 years or 5 decades.
Investigate and castigate the speculators Senators. Don't bother with the financial entities and their Enronesque off balance sheet SIV's and the like. No go after some jr trader at a hedge fund in Connecticut. Don't bother with all the fraudulent real estate appraisals which were well know long ago. Don't bother with Angelo Mozilo of Countrywide, Alan Schwartz of Bear Stearns or John Thain or Merrill and their don't watch what I do but what I say, lies to the markets. Don't bother with Merrill Lynch underwriting paper of a mortgage originator after it had gone bankrupt because so many of its origination's had soured. OH no don't bother with any of that, just go after the guys and gals buying wheat and crude and corn. And do it under the banner of bipartisanship, and call CNBC so you can get some face time while you're at it.
Mike Shedlock had an interesting comment today in his post entitled 'Congress Whistled Offsides', in which one of his readers chastises congress for investigating professional sports wrongdoing while the economy and country fall apart. To which he had this comment:
"Some might think that legislators have better things to do than debate "Truck Nutz". Not me. I would like to see state and national legislators spend more time debating "Truck Nutz", flag burning, baseball steroids, the nation anthem, and motherhood and apple pie on the general principle the more time they spend debating frivolous topics of no economic importance, the less likelihood they will do real damage somewhere else."
After listening the logic of Messr. Dodd and Shelby this morning and then Lieberman this afternoon I am truly speechless. As my wife always says, water finds its own level. I have mentioned in this blog before that when you hear the word synergies for a business deal run don't walk away from the deal as this is code for we have no clue. I can now add the word bipartisan to any government legislation, when you hear it, I can guarantee you it is crap plain and simple. Water does find its own level.
For all you out there thinking that a government intervention via a bailout or some type of mortgage forgiveness program under the guise of keeping people in their homes. For as Dennis Gartman is fond of saying, Be careful what you wish for as you might just get it, good and hard ! Government meddling (via the Fed and Greenspan) in a polyannic attempt to stave off any type of recession, got us into this mess and it sure as heck won't get us out. It only delays and actually will worsen the day of reckoning when it comes.
Good speculating to you all !
Long 6 units Currencyshares Japanese Yen ticker FXY @ $88.55 stop at $91.40
Long 1 unit Allis-Chalmers ticker ALY @ $14.45 stop at $16.64
Long 3 units Ultrashort Dow ticker DXD @ $50.12 stop 2/1 at DIA $132.68/$130.26
Long 2 units Ultrashort Financials ticker SKF @ $103.90 stop at XLF $26.72
Long 1 unit Currencyshares Swiss Franc ticker FXF @ $96.25 stop at $93.82
Short 1 units Daimler AG ticker DAI @ $86.20 stop at $82.48
Short 1 unit Brinker Int'al ticker EAT @ $21.25 stop at $24.14
Short 3 units Retail Holders ticker RTH @ $96.72 stop at $98.56
Short 2 units Goldman Sachs ticker GS @ $191.53 stops at $197.68/$193.58
Short 2 units Darden ticker DRI @ $36.35 stop at $40.27/$38.34
Short 2 units Lehman ticker LEH @ $43.70 stop at $47.46
Short 1 unit Deutsche Bank ticker DB @ $117.80 stop at $120.18