The action in the financials is very alarming.
Aside from [[CFC]], [[WM]], [[PMI]], [[ABK]], [[MBI]], [[SCA]], [[RDN]], [[MTG]], [[ETFC]], [[ACF]] and [[SOV]] all look like they’re heading to zero.
Is it possible?
Yes.
Apparently, the prospect of rising unemployment, coupled with the credit crunch, has investors running from anything related to financials.
Today, I covered some of my [[LEH]] short, but regret it already. Also, I sold my final 2,000 shares of [[SKF]], for a monster gain.
With the proceeds, I will, stubbornly, bet against [[CHL]], [[LFC]], [[PTR]], amongst other China names, via [[FXP]].
And, I have a very rich cash position. Hopefully, we can get a sustainable bounce, so that I may use it to sell short LEH higher.
God willing, of course.
NOTE: It looks like the news of [[DD]] going after [[MON]] got out.
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