Russia Bombing Georgian Oil Pipeline

It only represents 1% of the worlds daily supply of crude (1 million barrels per day).

On this news, oil should go down by at least $15 and the Dow should rise by 500—considering we are in a ‘Costanza Market.’

Technical analysis is equal to writing on walls with feces. And, it’s for lazy/ignorant people too.

UPDATE: Howard finally made it big. By far, this is his best video ever.

Look familiar?

“The July Bottom” 2000

July-October 2000

Okay, this time it will stick.

The March 22nd, 2001, bottom!

See, I told you. The March 22nd bottom is in!

April-June, 2001

Maybe not. Damn this sucks.

July-September, 2001

That’s it. God bless America. The September 21st bottom is in!

September-November, 2001

This is very non-complicated. We are in bull mode, baby.

Jan-March, 2002

You have to be kidding me, right? This market stinks!

March-April, 2002

Now that’s the bottom. Load the boat now!

May-July, 2002

BOOYAH, Cocaine Daddy.

July-August, 2002

That’s it. I quit. I can’t take this anymore.

September-October, 2002

Quit calling bottoms.

Fly

Oil is supposed to go down, following peak driving season—retards.

[youtube:http://www.youtube.com/watch?v=QKFGhsfVUZs 450 300]

I just got back from my meeting, and what do you know, most of my gains from yesterday have been sucked from my skull, into the pockets of upright walking pigs.

We’re talking man sized losses here. Nonetheless, it’s days like this that test ones resolve.

I’m terribly sorry, but this rally is “fargin” nonsense.

It’s all dollar/gold related. Short term aberrations, due to leverage and margin calls. The drop in crude prompted me to sell out all of my crude positions and my entire Agrium Inc. (USA) [[AGU]] too.

To put things into context:

[[SKF]] was up 10 yesterday, down 7 today.

[[FXP]] was up 8 yesterday, down 4.5 today.

TCF Financial Corporation [[TCB]] nailed me to a cross, while Vulcan Materials Company [[VMC]] was a no show.

In short, “The Fly” always wins, even when he appears to be going bankrupt.

I have many tricks up my neatly pressed sleeve and intend to use them, over the next few weeks, in order to regain my winning ways and stop being such a loser.

In closing, I’d like to take this opportunity, while “nice Fly” is here, to thank my staff of writers for doing such a great job, day in and day out. Although I rarely agree with anything that you say, I really do appreciate the effort.

NOTE: Into the close, I bought more FXP, SKF, SRS, while blowing out of crude and my stupid AGU endeavor.

I will be out all day in meetings. Hence, I handed the keys over to everyone else.

I just have a few quick thoughts:

Oil and natty are tanking, while one of the biggest producers in the world is at war (Russia)?

Are you kidding me?

I understand dollar strength, but not this much weakness in gold.

Fannie Mae [[FNM]] is in big trouble. How is that good for the banks?

And, finally, RUSSIA JUST ATTACKED GEORIGIA. HOW IS THAT GOOD FOR STOCKS?

Oh boy, back to my meetings.

UPDATE: Georgia, the country Russia just attacked, is practically a member of NATO. They were supposed to be included in 2009. Aren’t us soft westerners supposed to back allies? I’m just wondering.

Off of this dip in commodities, I like VeraSun Energy Corporation [[VSE]] , Aventine Renewable Energy Holdings, Inc. [[AVR]] and Clean Energy Fuels Corp. [[CLNE]] .

I will be cursing again, in no time.

Good night, good Sirs.

[youtube:http://www.youtube.com/watch?v=Rdw2yG1eq8Q 450 300]

Keep talking about crude oil coming down, see where it gets you.

There is no debating the dangerous position the Dow 30 is in right now. Over the next year, we can have 3 Dow components going belly up: American International Group, Inc. [[AIG]] , General Motors Corporation [[GM]] and Citigroup Inc. [[C]] .

Yeah, I said it: Citigroup.

I chuckle at the people on the tv who say things like “Citi isn’t going anywhere. They’ll be around.”

Says who?

Because it makes you feel better about your personal impotence?

Listen to me: “The Fly” had his best day of the year today, up more than 8%.

I am so leveraged and so one sided, it’s a bit scary. However, I have the utmost conviction in my actions, so much I took an oath to cease the foul language until the Dow hits 11,000—as you know.

Still, with all of the big gains today, nothing vexes me more than seeing strength in Vulcan Materials Company [[VMC]] . Typically, when a stock is strong into a bad tape, it is a sign of strength. However, in this case, I believe it is a case of sheer stupidity.

Nobody is going to buy them. They are saddled with Florida Rock and a load of debt. They are increasing prices, as volume declines. Can you believe that?

Essentially, their customers (homebuilders, contractors) are ordering less/going out of business, yet they have the gall to raise prices by 8%. Unreal.

Soon enough, they will destroy their customers to the point of no return. Like the health care industry, Vulcan is cannibalizing their client base, in order to keep the stock price high. This is mismanagement 101.

Frankly, and respectfully, they deserve to be punished for these actions, via a much lower share price.

Update: David Einhorn on a range of topics: