California Munis Go Whoa!

Inside of The PPT, I do crazy things. I build indexes and watch them closely, not so much different than an old man fireside with his kids. I built a 4g/smartphone index way before any of you asshats knew what 4g was, including Cramer. Well, one of my favorite index’s is The Risk Appetite Index, which consists of a variety of closed end muni, corporate and sovereign bond funds. Essentially, it should give users a heads up to shady shit, not so much different than the CDS market, only less sophisticated. You get what you pay for.

Here is a look at the RAI, during the “Flash Crash” period to date.

Now, let’s zoom into the recent activity.

(3 month)

(1 Month)

Why the sell off?

Answer: Since QE2 was announced, bonds have been getting hammered, sending yields ripping. This is of course the opposite of what the Fed is trying to accomplish. Remember, HIGHER YIELDS IS THE DEATH KNELL FOR AMERICA. TLT is now sitting with a 96 handle, after hitting $108, not too long ago. Over the past few days, as represented by PCK, California munis have been getting shredded. As a point in fact, munis across the board have been getting hammered, but none as bad as the Cali variety. As you should understand, sharp downside reversals do not bode well for sentiment and could lead to a panic, if not properly managed. Having said that, CSCO reported bad earnings today, blaming “developed governments and states” for the shortfall. Basically, European austerity is kicking in and our states are fucking broke.

However, things are peachy elsewhere. CSCO is flaunting flamboyantly gay growth in all BRIC nations. As you can see by tonight’s Asian session, they couldn’t care less about our “issues.” I look forward to banking more egregious coin tomorrow, as the pigs in Cali die a painful death. They are all a bunch of lazy, drug addled, spoiled leaches anyhow.

PCK (PIMCO California Bond Fund)

UPDATE: Details regarding the coming 12631 launch.

Thanks to HEAT, FTK, CAAS, GMXR, SCOK and late comer CGA, I made up all of yesterday’s losses, AND MORE.

Into the bell, I sold half of my HEAT position, since it was up 16% and was a bit too large, considering recent lotto earnings disasters. Nonetheless, I still own a considerable amount.

The market melted up again, as predicted. Get on the wagon, else get left behind sucking on dirt or dicks, whatever is your preference.

For the fun of it, I added to BORN too, based upon a random dart throw in my garbage basket filled with ticker symbols. One day I will demonstrate this investment method, on video, for all the world to behold.

Ciao (the most annoying form of goodbye)

I bought CGA around $9.30.

UPDATE: I bought CRK too.

UPDATE: I added to BORN

Disclaimer: As you were.

I didn’t get it for about a month and change. Now some of you fuckers still don’t get it, refusing to acknowledge the magic being done in front of your faces. Bernanke may very well be Jesus reincarnate (blasphemy is not a sin on iBC).

Following an early morning drubbing, which brought out all of the “zerohedgers” out from their respective burlap’d pile of shit, the market is climbing. CRE, banks, tech, oil and motherfucking retail are leading the way. How about that? BJ is lifting on private equity rumors and I am now up 4% on my FTK position. It’s the will of the Turkey Gods, assholes. You are forgetting the answers. You can’t short stocks going into the most gluttonous time of the year for America. We love us some turkey with some mashed potatoes, stuffing and gravy. It is not logical to make bearish bets, before such a feast. If you attempt to do so, the Turkey Gods will claw your eyes out, then kick you into oncoming traffic.

Having said that, my positions are mixed, up 0.5% today, led by FTK. The company is scheduled to report earnings after the bell.

Right here, right now, I still like beaten down commodity plays, like GMXR, CGA and CRK. If you are a PPT sub, I am using this screen to find said names. Notice what they all have in common?

Be careful with these hot money plays, for they are getting bombed into the stone age on earnings. Yesterday, one of my holdings, CAAS, reported solid earnings, yet slipped a buck fifty, nonetheless. Let’s not even mention BORN. That fuck dives 10% if someone at the company sneezes sideways.

Even still, today should be a solid day, after a good jobs report. Plus anyway, the Fed is actively manipulating the markets, in an evil underhanded way in order to blow up our Asian counterparts. There is something very fucked up taking place between China and the US. Last night, China scrambled to raise reserve requirements for their banks by 50bps. Everyone openly acknowledges the fact that US clambux are flooding Asian markets to the point where dangerous bubbles are being formed. If you think about it, what better way to fuck your enemy than to create a monstrous bubble in their bullshit country that will one day blow up and cause armed revolt? Rofl.

China might have us by the short hairs via treasuries; but we have them by the fucking head with all of our clambux over there.

It should make for an interesting decade.

Be careful with these hot money plays, for they are getting bombed into the stone age on earnings. Yesterday, one of my holdings, CAAS, reported solid earnings, yet slipped a buck fifty, nonetheless.