Martin Marietta Materials, Inc. [[MLM]] just cut their 2009 forecast by a whopping 2 dollars, from $7 to $5. Again, seeing Vulcan Materials Company [[VMC]] up at $68 is like seeing a horror film on the Disney channel: it just doesn’t belong there. From Texas Industries, Inc. [[TXI]] to Eagle Materials, Inc. [[EXP]] to Vulcan Materials Company [[VMC]] to Martin Marietta Materials, Inc. [[MLM]] , they all have significant downside left, as their business models rely on the prospects of Congress passing an ‘infrastructure bailout’ bill.
This is ridiculous.
I mean, they’re still banking coin, yet they are going to get bailed out too? That makes no sense to me.
Back in the 1930’s, during the Great Depression, they did the same thing. It did not work. The economy is being mismanaged now, as it was back then.
It appears American International Group, Inc. [[AIG]] is having a bit of trouble this morning, knifing lower by more than 15%. There is nothing positive to say about them, other than it is dragging China Life Insurance Company Ltd. (ADR) [[LFC]] lower, causing [[FXP]] to spike (my largest position).
However, regional banks are strong, yet again. I could run a list, but who cares?
Just know, the bull is still very much alive and has no intentions of leaving the party, until forcefully escorted out.
I know some of you love the health care stocks, like Humana Inc. [[HUM]] , WellPoint, Inc. [[WLP]] and UnitedHealth Group Inc. [[UNH]] . However, keep in mind, the reason why those stocks have been hammered is due to health care inflation and their inability to raise prices. Also, as unemployment creeps higher, they lose more customers. Finally, all of them need to increase prices by 10%, over the next 6 months, in order to hold margins.
I would not be a buyer of managed health care. Look for their customer base to dwindle, as prices go up.
Lastly, go get a nice list of oil stocks to buy. Don’t buy them yet. But, have it ready, in the event crude spikes again. It’s almost comical to hear people say “oil is in a bear market.” Right, tell that to me while I’m filling up my tank and I’ll punch your jaw loose for you.
Seriously, what if oil heads back to its former highs? Is that really impossible?
I don’t think so.
Have that list ready and prepare to buy it, much to the oil graveyard dancers chagrin.
Top pick: short VMC
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Remember when no one wanted Canadian coins?
Who’s everyone?
Are you high?
Oil will trade down to $100. Scrap the list for now.
Don’t forget chips today. Everyone in the group has pretty much been green since 9:45. They are either going off a cliff like lemmings or act like a group of perigon falcons soaring together. It’s day by day.
MLM will be okay if the Defense Department has to build more pershing and or cruise missiles (which could be soon).
Mr. Ripley:
People who believe in big round numbers are, clinically, mentally ill.
Believe it or not.
what ETF shorting basic materials is recommended. Im looking for one now.
thanks
I’ll take all the coins I can put my hot little hands on. Canadian, Romanian, wooden fuckin nickels, whatever.
Caddy:
I disagree.
Off to the gym.
This gay selloff is only a precursor for a more manly version next week after some more weekend GPPT tricks try to get things going for Monday.
Chuck:
That would be SMN, crafted by the devil himself.
Health care is troublesome. My company had United Health as a provider up until 2 years ago. They were great ’til they raised their rates- damn those margins. We switched to Anthem, had one affordable year, and the rate jumped a whopping 49% for our renewal quote.
Long oil is always a smart bet. Always.
JakeGint, fib SPY from yesterdays close to today’s bottom, odd no? 😛
couple of things ive noticed. Seems DUG is front running the price of WTI. The airlines seem to lag WTI which is normal.
But DUG front running is interesting. will look at DIG.
Bill Seidman just said ‘egregious’ on CNBC. He’s obviously a reader of IBC.
Bush…….United States and China are embarking on “a new strategic economic dialogue,” saying the two countries will “discuss ways to ensure long-term growth and widely shared prosperity in both our economies, as well as issues like currency exchange rates.”
In other words, “please don’t destroy the USD……please”
Ever notice that when the SEC does something worth announcing, they parade the entire SEC organization out on the stage and take an hour thanking each other and slapping each other on the back?
My question about that is simply … who the PHUCK is paying the bill for all these jerkoffs to stand around doing nothing? How about sending a single person out there to announce the happy ending, and let everyone else continue to do the people’s work?
Maybe then they’d have the time and manpower to catch the Fly doing his insider trading shit.
I had one foot out the door, then I read “PharmF*****’s post.
Good Sir:
I do not practice in the arts of insider trading. Instead, I opt for outsider trading, as evidenced in my underwater TCB short.
Pharm,
The more any of our goberment Ahats circle jerk the better off we all are because they are doing the best they can for us, Nothing.
VMC ripping on bad tape and mlm news.
Costanza?
Finally, all of them need to increase prices by 10%, over the next 6 months, in order to hold margins.
Did you get your firm’s “proposed increase” yet this year?
I just got mine.
40%.
Re: VMC
Never buy a stock that has any allusions to Mr. Spock. It may seem logical, but it is actually illogical.
NLY breaking down here, finally.
Guess those GSE’s aren’t spun gold, after all.
Who knew?
__
I told you we were at bottom – look how well the mkts are holding in today… C can easily handle another 20B problem
Watch out for the validity of any real estate data … some of the data collections have +/- 20 percent accuracies … making them useless for month to month .. although they probably can id trends after a quarter or two (lol)
Cubs, yes, the fibs work in all kinds of timeframes, but I find the two year chart to be the most useful.
__
FLY
Do you plan on selling off some FXP today? If not what is your catalyst?
Also does it make sense that SMN should rip higher if your theory on global growth is correct?
T-REXX will soon rule the earth again.
Come on BAC, I know you want to dive.
I just don’t understand The Fly. Get ready to buy the oils? Yeah, Bam-Bam is leading in the polls and wants to bitch slap all the oils with a windfall profits tax – yet we’re supposed to “get ready” to buy the oils? What the phuck is the fly smoking?
Oil up. Stocks down. Fuck algorithmic trading bots.
Off to eat a bunch of baked beans.
Pharm,
Recent upswing could, in part, be due to The Messiah’s drop in the polls after his World Citizen Tour.
Word is he’s now planning to have a fund-raiser with a bunch of ecologically sensitive Hollywood stars (George Clooney heading it up, of course).
In Switzerland.
(Do you think they’ll be flying commercial?)’
Sometimes I really do believe Karl Rove runs the Democratic Party, but maybe to swallow all that stupid shit they spout, you really have to be that farkin’ dumb?
_________
fly, i am curious….
what is considered “off limits”?
carlins 7 words, or a wider interpretation, i.e. stuff you wouldnt say around your kids.
how about “homo-hammer”?
what about “gay” (in a derogatory context)?
The best possible trade you chart losers can do is to sell the Euro against the US dollar, the British pound against the US dollar, increase position as they fall, use your stupid etf’s if you dont have acces to SBFX. Buy Sirius at the most stupid undervalued price I have ever seen of 1.40. And last but not least, Sell the 2 year bond as the yield is about to raise, and hold this position for one year. Use leverage.
See you goat fuckers
Right now the market is like Fud-Puk. Just go to Stock Chart Ticker Cloud and see what the herd is trading. Pick a lucky lotto stock and day trade. Pick 5 or 6. You know diversify like a PRO. In a bear market it sometimes pays to not trade. Off to play golf!!!