Ok, I have a balancing act going now — short REITs, banks, oil, long GE, gold, bonds, tech. It’s working, for now. I took my GE position to a 10% weighting based on the assumption that markets are rallying and people will continue to worry about GE into asset sales. It’s wholly possible that GE bends and breaks, shatters my dreams of climbing hard and arduous walls. But it’s also possible that I can get a god damned trade out of it first, and then parlay into comfort amidst cigar fumes and whiskey.
I don’t think markets can rally with WTI getting poleaxed like this. Even still, we might get a bifurcated market, with pockets of strength. For now, I’m betting on GE being one of those zones of zen.If you enjoy the content at iBankCoin, please follow us on Twitter