If you haven’t been keeping up with the healthcare debate, I understand. However, very recently something interesting happened. The Obama Administration, under the command of Kathleen Sebelius, jettisoned a component of their own healthcare law, as they realized it was unworkable.

The CLASS act of the bill was an important component, as it is what helped to make the bill deficit neutral after the first ten years. Without out it, the healthcare plan is very much a burden to the U.S. deficit, and it’s unlikely the people who passed the bill would have done so without this aspect.

This entire package is coming apart at the seams.

Before the open, crude oil was absolutely, resolutely crushed. Please remember where we are, in the grand scheme of things. Sure, maybe the economy is not about to fall off a cliff. However, to say that justifies a move back to DOW 13,000 with crude oil back above $100 /bbl?

Come now, that’s pure naiveté; look at the number of strikes hitting Europe, then tell me the economy is not weaker than it was this time last year. Look at China further manipulating their yen (yes currency traders, China is still not letting it get stronger, what a shock), then tell me the dollar should be this weak.

I am retaining all of my hedges, despite how painful it is to watch the unrealized losses stacking up, because you are all too jovial about things. This rally has been impressive.

But this too shall come to pass.

If I didn’t know any better, I’d venture a guess that you little bullish ass wipes were trying to inculcate some sort of lesson to me. Day in and day out, you push the market higher to spite me, no doubt of it.

Well the jokes on you. I’m not covering my hedges. I’ve got the necessary longs to wait this out (as unpleasant as that has been; oil is going apeshit). I can out last you kids and your stock buying fetish.

Earnings season is a long, winding road to hell; as you try to take the path in one sprint, I will wait patiently for you to fall over the edge and down the steep face of the rock.

If that means suffering some losses between then and now, I can.

I’m so busy right now, I barely have the time to sip my afternoon tea (lemon) in between keystrokes. Sorry, but that’s the way things are for the moment.

This late day run is massive, but I don’t think the market has the energy needed to take the indexes green. It is time for a failed breakout, and I want the bears to throw the bulls over a balcony into a lit pit of petroleum.

The run in MGM has been amusing, in the way only losing lots of money can be. There’s no good news coming out of that company, yet they are getting pumped hard by certain nameless individuals.

Table gaming revenue plummeted on the strip, and while I accept that MGM’s recovery has largely been driven by conferences, it’s also true that the company has zero leeway for less revenue.

The tiniest faltering of income puts the company in end-game territory.

Now ladies and gentlemen, good audience of my stage:

I’m really, really busy, so piss off and get the hell out of my office.

I took today off to escort Mrs. Thaler to an appointment. We got back a short while ago and I just finished making some lunch.

Looking at the market then, my mood is sour. This run up is mostly unwarranted. Do you have any idea how much energy it will take to nationalize the entire European banking system?

I am mostly tired of every jack off pricing the rest of the world ahead of America on every issue. “Well, China is superior because they’re communist and won’t let their economy fail.”. “It is my opinion that the more Socialist countries of Europe can support their banking system far better than us here.” “The emerging markets are far better situated to weather this storm.”

You people have no national pride. You surrender your country to foreign nationals, declaring their superiority at the drop of a hat, and without any evidence at all.

Why would China be free to face a housing collapse without injury, when we could not? You would put your faith in a nation of bureaucrats with no respect for it’s citizens rights over our own home?

This is appalling to me.

Well watch yourselves carefully fools. Faith placed in such a way is faith misplaced. At the first sign of trouble, what do you think the “infallible” Chinese will do to an outsider?

Your investment will be the first loss. The Chinese nation’s ignorant and minority groups will be the second. The People’s Republic of China goes third.

I’ve been absolutely swamped all morning, and have only had the last fifteen minutes or so to catch up.

Here’s a jumbled list of thoughts I’ve had:

(1) Why is this market higher?
(2) LOL MGM is up 3.5% right now because they’ve announced they’re expanding in Macau. Meanwhile gambling revenue is stagnating in Vegas (a.k.a. 80% of their operations). Where the fuck do they think they’re going to get the money to build new hotels? Come to think of it, where are they going to get the money to pay off their bondholders?
(3) Brazilian sugar production is fucking soaring. BG is so undervalued right now, it’s disgusting.
(4) REIT investors are functionally illiterate.
(5) If Slovakia of all places crushes the Greek bailout, I may just piss myself laughing.
(6) Earnings season is going to be absolutely crazy. I may cover UCO for a loss in a hurry, if things turn up unexpectedly. But for now, I’m just not thinking it’s going to be a great outcome.
(7) Betting against the dollar here, while Europe crumbles and fiscal policy is deadlocked in the U.S., is probably not a healthy strategy.

Alright, back to work for me.

I’m packing up the desk of the 9th floor and putting the finishing touches on a few last documents laying in front of me. In a few minutes, I will get up with brass key in hand and lock the door. I will take the winding steps down and out of my building. And I will be off.

I’m going to play a round of golf; the fall has been excellent so far, extra warm and rather dry. I’d like to catch the last few good days before I’m totally isolated indoors.

My last ounce of attention directed to the market, I’m betting this run higher is about done. My line in the sand is drawn, but unfortunately it’s a ways off behind me. I need some retracement to get my hedges feeling more “comfortable.”

Look out for pit falls while I’m away.