Stocks are behaving well today and trading higher as they should as wealth generating vehicles. We have seen more than a few short squeezes as the threat of a swoosh lower pared with the fiscal cliff uncertainty seems to have lulled bears into their favorite shorts.
I’ve spent most of the session getting Keith McCulloughed by my portfolio of 7 longs and 2 shorts. I found the circle jerking action quite amusing for a few hours until my $M short decided it wanted to claim my middle finger. Instead of attempting to punch the Macy-gator with my right hand, I simply aided the beast, and cut the finger loose. I retain my $SKS short as my cost basis is much more in line with risk. This could all change, but for now I’ll let my position simmer.
Beta neutrality aside and returning to the task of banking coin live for the good people of the internet, may I offer an interesting story to follow in 2013:
Central European Distribution Corp (CEDC) distributes alcohol in Poland and Russia and a few other forsaken lands in Eastern Europe. They also make vodka. They’re based in Jersey, where some of Amerka’s best criminals live. Their stock price has been obliterated over the last two mismanaged years.
Here’s where it gets interesting–Stereotypical (and awesome James Bond villain) Russian billionaire Roustam “Your board of directors will now all be Russian” Tariko has taken the reigns of the company. He owns Russian Standard, which both produces vodka and is a BANK. ONLY IN RUSSIA baby! If you think I’m overplaying the characteristics of this guy, check out his Q&A with the Financial Times.
I won’t sit here and tell you this stock is a sure win. For all I know, it could trade down to zero before I have time to unwrap my 2013 calendar. What I do know is where price is, back above its moving averages and in an easy-to-manage risk zone.
One of the bitterest disputes in the world is who makes the best vodka. Russia and Poland both know they’re the best. I can’t wait to see how this hostile dispute plays out. In respect to the vodka gods, your homework assignment is to master the eyeball Paul. Good luck.Comments »