My apologies for the thin posting of late as I was out of town this past holiday weekend visiting Las Vegas with some friends and returned late last night.
While in Sin City I had numerous comments with cabby's, whom I believe are excellent sources of economic news and I pepper them with numerous questions. The responses I got were quite interesting. So from the cabby front in Las Vegas....
Consensus was that tips are down, way down. Seems the people are there but they are not spending. When the subject of Kerkorian and City Center was broached the responses varied. Some believed Kirkorian is made of Teflon and will make it, others more cynical that he will not. Not sure if many of you are aware but one of the forefront buildings of the new City Center project is said to be condemned with faulty rebar and that the approx. 25 story tower will be glassed in. Nice. Interesting note on Steve Wynn. When he opened his new hotels Wynn and Encore he invited all the cabby's and drivers for a free compted night stay. Sounds like someone who knows what he doing.
Lots of news and goings on while I was away so I won't rehash what many already know but a couple of items deserve a note.
I read about this tainted drywall from China issue. You're kidding me on this one right. Toxic pet food, then lead paint in toys now this. Cannot make this up.
Mike Morgan and Goldman Sachs. I notice Goldman has taken issue with Mike Morgan and his new web site www.goldmansachs666.com which has some very unflattering things to say about Goldman. I like Mike Morgan. He is a critical thinker with the onions to call a spade a spade no matter who it applies to. He answers only to himself unlike the Dick Boves' of the world and their corporate choke chains.
Why is the best of breed, master of the universe, central banker breeding ground so up in arms of what little of' Mike Morgan has to say? Just something to think about. As a childhood friend of mines father (who was very blunt)used to say... "why worry when someone calls you a bastard if you're not a bastard."
As I have said before if some young independent minded, aggressive journalist, yes I realize finding one would be as likely as finding a unicorn, did some investigative digging, I believe the foundation of a bestselling book lay in wait. The congress and the senate, the SEC have no interest in disturbing the Goldman Sachs hive as it can be dangerous to your career path trajectory.
By the way, can someone tell me what happened to the month of December in Goldman's numbers ? Yet with that backdrop they are doing a secondary into this murky announcement to raise $5billion and further dilute equity holders. I have some theories on this subject but will keep them to myself as I don't want to field any lawyers letters this week !
By the way, see the retail numbers today. Yup, things are getting much better. Keep listening to the Larry Kudlowites !
On Thursday last week I was stopped out of my SRS position at $36.50 for a loss of just over $2 1/2 pts on 1 unit.
I was also stopped out of my DRI position at $37.52 for a loss of about $2 1/4 pts on 1 unit.
Yesterday while travelling I was stopped out of my SDS position at $66.74 for a loss of just over $2 pts on 1 unit
Good speculating to you all and never forget that "an investor is a speculator who made a mistake and will not admit it".
Short 1 unit Autozone ticker AZO @ $158.80 stop @ $163.06