Thursday, January 14, 2010

Say it Ain't So Wilbur


Longtime readers know I have lauded the business acumen of one Wilbur Ross. His low key, calm demeanor and apparent modesty was a welcome sight as compared to some of the more, lets call them flamboyant business leaders, we see over and over across the screen.

It is with great sadness I read of his comments this morning calling for a new Cash for Clunkers program. At first blush I wondered if it was a misprint, if there could be a 2nd, fascist Wilbur Ross imposter running amok. But alas my hopes were dashed. "There's positively no way Ross said that" I remarked to myself. Unfortunately I was wrong.

"Wilbur Ross Jr., said the U.S. government should introduce “tomorrow” another car-buying incentive program to stimulate the economy and create jobs. "

"A new “cash-for-clunkers” initiative must be simpler, larger and last longer than the $3 billion version run by the Transportation Department in July and August, said Ross, who formed International Automotive Components Group by buying distressed partsmakers."

“They should do it tomorrow morning,” Ross told reporters today after a speech at the Automotive News World Congress conference in Detroit. “I think a fair amount of the growth in the third quarter of last year was due to the cash-for-clunkers and the first-time home buyer subsidies.”


I am at a loss. I can only offer the following, "have you lost your mind Wilbur?"

Who the heck is advising you, because they need to be fired now. Whatever kool-aid you are drinking you need to cease and desist immediately as it is affecting your brain.

You might ask, have we all lost our collective marbles? Are we truly in the Twilight Zone or some parallel universe where up is down, down is up, cats sleep with dogs, etc.... pure anarchy? Sadly the answer may be yes.

Sadly and much more ominously I worry that something much larger is afoot. That this event merely reflects a socio-economic watershed event for what was once the free-est of free markets on the planet. There is a mood shift out there and we should take note.

Regarding the job issue Wilbur mentioned, maybe Wilbur could pick up the phone and call some of his CEO buddies who have moved the manufacturing jobs to Burma, Thailand and China and pressure them to bring some jobs back here instead of operating in the slave wage and condition confines of southeast Asia and other parts of the 3rd world.

I am heartbroken due to the fact that we have one of this great country's leading beacons of capitalism - a man who has amassed a fortune of over a billion dollars, a man who is the embodiment of the words 'free market capitalism' can utter the words he did today.

So just like the little boy who after hearing accusations of the White Sox throwing the World Series, said to Shoeless Joe Jackson as he saw him leaving the courthouse, I offer similar words of disbelief

....... "Say it ain't So Wilbur!"

Good speculating to you all and please remember to never forget that "an investor is a speculator who made a mistake and will not admit it".


Open Positions:
Long 1 unit Direxion Large Cap 3X Bear ticker BGZ @ $19.34
Long 2 units Direxion Small Cap 3X Bear ticker TZA @ $12.06
Long 1 unit Direxion Emerging Mkts 3X Bear ticker EDZ @ $6.05
Long 2 units Direxion Financial 3X Bear ticker FAZ @ $19.65
Long 2 units Ultrashort Xinhua China ticker FXP @ $8.49
Long 1 unit Ultrashort Real Estate ticker SRS @ $9.82
Long 1 unit Direxion Tech 3X Bear ticker TYP @ $10.68
Long 1 unit US Dollar Bull ticker UUP @ $22.52 stop @ $21.97
Short 1 unit Daimler ticker DAI @ $52.23 stop @ $54.81

2 comments:

Anonymous said...

From what I was reading, much like everyone else, Wilbur is talking his book. He owns a variety of car part suppliers. Maybe he feels if the government is going to throw money out the window he might as well have the biggest basket.

Harleydog said...

Anon,

Sure looks that way.

HD