Reminder: The Winter is Coming

Who benefits from a ‘non-global warming’ type of winter? Say for example it was actually cold this coming winter, with snow and all, what stocks stand to benefit?

The obvious is retail. From boots to heavy cable knit sweaters, people will flock to M, JCP, KSS, PLCE, TJX to buy shit from DECK, COLM and RL.

Also, let’s not forget what the cold does to automobiles. Maintenance is expensive. A cold winter benefits AZO, PBY, ORLY and AAP.

Energy is the obvious winner, from XOM to WNR. But there are some under the radar stocks who have benefitted from colder climes, such as MIND. But the obvious beneficiaries are companies that produce electricity and companies who deliver coal to said utilities. Companies like CLF, ACI, ANR, JRCC, WLT, OXF, CLD and BTU will win, alongside FE, CNP, ED, PPL and AEE. Ancillary winners of a coal rush will be JOY and CAT.

Natural gas plays include UPL, ECA and RRC.

NKE, CROX, UA and CF will no longer get to enjoy “extended seasonality” for their warmer weather products, as the winter winds shut them the fuck down. Homebuilders lose too, as people shut themselves in, frightened of the cold, shunning the specter of buying new homes.

Rails win, through the delivery of coal. Stocks like CSX, UNP, GBX, RAIL and NSC will–once again–enjoy doing business during the colder months of the year–providing citizens of America with the fuel needed to keep them alive. Providing they stay in business, OSG benefits too.

Lastly, we need to acknowledge the existence of snow in this country, traditionally in abundance from November through February. For snow, I offer you two plays: CMP to eliminate it and PII to ride on top of it at your favorite MTN resort.

Three items of business.

1. Sneak peek into Le Fly’s new house.

2. Check out this new/awesome energy drink

3. Aside from the obvious coal plays (BTU, JRCC, ACI, ANR, WLT, CNX, JOY), the following coal/coal related stocks are worth your perusal.
YZC, OXF, GBX, LLEN, RAIL, CLD, CSX.

And this research note from Sterne Agee.

There’s pressure to buy, pressure to chase performance. Less than 10% of hedge funds are beating the indexes. Believe you me, there will be a race to get into “cheap names”, especially those with big short positions, into the holiday season.

After all, if you’re not going to buy stocks going into Thanksgiving, in a year when the market is +15%, what the fuck are you in the market for?

We’re cutting off dicks for the remainder of the year, gentlemen. The guillotines are now stationed inside of the city square, chopping off anatomy at a furious rate. Sack up and get in, else find yourself on the receiving end of a “dick blade.”

The market is in the process of melting higher, artificially of course, thanks to a little permanent open market operations, otherwise known as POMO. That makes my life, as well as yours, simple.

Let’s place some cards on the table, shall we?

Italian 10 yr yields are now below 5% and Spain has been offered a lifeline from the Nazis. It’s safe to assume, nothing will blow up from now until the US elections. Therefore, it’s also same to assume we will enjoy a rather splendid “Turkey Gods” rally in November, in celebration of our new Commander in Chief– Mitt “lower your fucking cap gains taxes to zero” Romney.

My job is easy now because all I have to do is play short squeezes and try to avoid the murderholes, such as PPC, OSG etc.

At the present, my bias is to be long basic materials, specifically commodity related stocks. However, I’ve been known to delve into the degeneracy of any sector suitable for a man of my stature and concern.

The following stocks are on my short squeeze list, courtesy of The PPT.

ROSE
SD
WNR
MTL
BTU
CLF
KRO
BNNY
DECK
DMND
BZH
MTW
X
TXI
DKS
RGS
PSMT
OSTK
IPGP
CREE
DDD
PWER
VHC

This isn’t a permanent list, but more of a “flavour of the moment” sort of thing. The point here is simple: in a market that defies all reason, climbing upwards hardly without correction, the best stocks to own are those that are laden with large short positions. Not only do said stocks enjoy “natural buyers”, but also the fuckers who are forced to cover their legacy shorts, in an effort to prevent their bullshit brokerage accounts going to zero.

Keep in mind, short sellers are very intelligent and often have an inside track with regards to information that may send a stock lower. It’s important to avoid riding heavily shorted stocks through earnings reports, in favour of quiet periods, when nothing can be heard other than the anguish and pain exerted from the stupid faces of those betting against you.

I started a big position in DECK.

I sold out of ESRX, a top 3 position of mine.

I will be redeploying the monies shortly.

There is one constant in this market since 2009. Going on four years straight, we’ve been grinding higher, with only 2 real declines. If you are still waiting for a repeat of the 2008 crisis, you are not qualified to manage money for yourself or anyone else for that matter. It’s reckless to believe we’re heading down in any significant way, in the midst of a $600 billion+ injection of Federal Bucks into the market.

Housing starts broke out last month, eclipsing estimates by 15%– the highest levels since 2008 (872,000). Anecdotally, from my vantage point, real estate prices are on the rise in the tri-state area. When housing comes back with its full potential, unemployment statistics will shrink faster A-rod’s confidence in playoff baseball.

Romney mentioned coal about a dozen times last night. He’s a coal man, just like me. After booking a 30% gain in ANR for the second time in a month, I now prefer a larger company, with indirect exposure to coal: CLF. JOY looks good too.

We never really needed the economy to come back in order to have a bull market. We have Bernanke for that. But imagine if we had a real recovery, led by housing, coupled with Ben’s printing press?! WTF, say hello to Dow 20,000.

I don’t know how I continue to do it–but I do. Shorts got poleaxed today with goblin rakishness. Despite an early set-back in OSG, having sold my entire position between $4.8 to $5.01 for a 27% loss, I swung the boat around, transformed it into an airplane, then proceeded to bomb fuckers with 100% napalm.

Fire streamed out from my cannons with energetic barbarity, graffitiing the faces of the meek with grawlix, discarding them in the streets with the dirt and the raw feces.

I surged ahead by a recourd 4.2% today, cocaine laced with CLF, DDD, FFIV, TC, NAK, APKT etc.–offsetting Mr’s Fly’s penchant for profligacy.

In light of the CNBC coverage for the superannuated fucktard who is long only bank stocks, I’d like to maintain an air of formality here. As always, I will be providing a full break down of the days events inside of The PPT parlour. I’d also like you to know, as well as understand, that I am made from oak, possessor of time machina and space cannon (OSC)–demonstrator of “ox-like” strength in the market place.

To the bedevilment of my detractors, I close out the day just under my all-time highs.

Top picks: CLF, DDD

Asshat!

I realize that your network panders to self-aggrandizing CEO’s of banks, treating them like Caesars, groveling over the likes of Jamie Dimon, Pandit and anything Goldman Sachs. Coming from the industry of finance, I can tell you without equivocation, NO ONE GIVES A SHIT ABOUT THE C LEVEL JERK OFFS that you bow down to.

The resignation of Pandit should not stream across my teevee, reported by your stupid network ad nauseum, all-fucking-day-long.

You report on this resignation with such energy and passion as if it meant something. From Bartritomo to Cramer to that fucktard Pisani– all of you are guilty of wasting my fucking time. Shares of Citi are down 90% over the past 5 years. Pray tell me, WHY THE FUCK SHOULD I CARE ABOUT CITI?

I want you to tell me why 75% of your programming, on a day when the market is soaring by 125 points, is based around the fucking resignation of this guy!?

How about talking about the bullish trend in the rails or bankruptcy of AONE and how it might affect tonight’s debate? How about talking about the sudden and extreme decline in OSG or the break-outs in a number of tech stocks?

HOW ABOUT YOU TALK ABOUT COAL AND HOW IT IS A ROMNEY PLAY?

Are you even interested in educating or informing your fucking viewers, or slobbishly content with just pandering–sucking the dicks– of these fucking pig CEO’s who pay themselves with the blood of their shareholders?

SHAME ON YOUR HOUSE.

I almost feel bad about my exit point in OSG, having sold it when it was down 10-30 cents for the day. I am past that now and have my eyes set on another prize.

Gone are the lugubrious days of boat stocks and in with the era of coal. My largest positions are as follows: DDD, CLF and ESRX. For the day, I am up about 1.5%, with fresh allocations into APKT, FFIV and of course CLF.

My only downtrodden hooker stock is JIVE. The leash is getting exceedingly smaller with that one.

In the meantime, I get to enjoy the music of illegal mexicans, slapping each other in the faces with paint brushes, while listening to the mariachi. Mrs. Fly has been chatting with the cleaning lady for more than an hour and daily expenditures are still excess of $2,000.

On the bright side, stocks are in break-out mode and shorts are getting OSG’d in this bitch.

http://www.youtube.com/watch?v=2iEfIOnTZbM