initial reaction on earnings release, down -25.
PCLN guides below street: $7.20-$7.30; Est. $7.43
Update: Now trading positive, shorts can’t catch a break in this name.
Comments »initial reaction on earnings release, down -25.
PCLN guides below street: $7.20-$7.30; Est. $7.43
Update: Now trading positive, shorts can’t catch a break in this name.
Comments »We woke up to another day of European shit breakfast. Spanish yields blew out over night and the Greeks replay the tragedy of not being able to form a government.
While the bulls prevented another major nose dive they seem to be getting weaker. Normally, a bailout such as we had in Greece today, would be enough to make the markets rally out of a murder hole. But the markets recognize Greece as a trigger and the really worries rest on the plains of Spain.
Then of course everyone is expecting the clam to act shortly.
The S&P closes below 1360; a key level for some traders. For me the crucial close is 1345-1354… This would be a clear low below the 50 day.
The VIX seems to confirm that while there is risk off there is no real panic yet.
DOW down 96
NASDAQ down 11
Gold down $13.4 @ $1591
Oil down $0.47 @ $96.54
[youtube://http://www.youtube.com/watch?v=SINl5JY7LhI 450 300] Comments »ATHENS, Greece (AP) — Greek socialist leader Evangelos Venizelos said Wednesday there has been no success so far in negotiations to form a coalition government after weekend elections resulted in a deadlock.
Venizelos, a former finance minister whose PASOK party came in third with 13.18 percent, is next in line to take over the mandate of trying to cobble together a coalition and said he would continue the efforts when he is handed the task on Thursday.
Alexis Tsipras, head of the Radical Left Coalition, or Syriza, was leading the talks on Wednesday, and met with Venizelos as well as the heads of other parties on the right and left of the political spectrum. Tsipras has been seeking support for a left-wing government that will reject the terms of Greece’s international bailout — which critics say will lead the country out of the euro.
Sunday’s election result was a severe blow to PASOK, which has dominated Greek politics along with the rival conservatives New Democracy for four decades and stormed to victory with a landslide in the previous elections in 2009.
Its popularity suffered from the harsh austerity measures it imposed in return for two multibillion euro international bailouts. The measures, which included salary and pension cuts and repeated tax hikes, have left Greece in a fifth year of recession.
Venizelos insisted it was imperative for Greece to remain within Europe’s joint currency.
“Mr. Tsipras asked me if we would address the possibility of supporting a unity government that would freeze the process (of austerity) … I answered that the country has no time to waste and we cannot examine any option that would prolong the recession,” Venizelos said.
“The vast majority of the country wishes to remain in the euro,” he added. “And exit from the euro would result in mass poverty, a loss of value of property, income and prospects. Greece would lose many decades.”
Tsipras met later with conservative New Democracy head Antonis Samaras, who came first in Sunday’s polls with 18.85 percent of the vote and 108 seats in the 300-member parliament.
Given that the Communist Party refuses to join any government and no parties are talking to the extreme right Golden Dawn, which won 21 seats, no coalition can be formed without Samaras.
But the views between him and the radical left remain as wide apart as ever.
Read full story here:
Comments »They decided to withold a billion tomorrow, as the dick measuring contest continues.
Outraged German cabinet members are also demanding that they withdraw all aid to Greece.
Hooray.
Comments »“Egypt’s largest daily newspaper, Ahram, is reporting that an administrative court has halted Egypt’s presidential elections.
The elections, the first since the fall of former leader Mubarak, were due to be held on the 23 and 24 of this month, but had been marred by political infighting and street violence.
The ruling appears to concern the constitutionality of the election.”
Comments »via Forbes.com
This month, a huge batch of 20-somethings will be loosed upon the country with shiny new degrees in hand. We’ve crowd-sourced advice for the graduates of 2012 from our host of writers based on their areas of expertise. Here are 25 pearls of wisdom from Forbes. Spend them wisely.
Comments »The average tuition for grades K-12 is $22k a year. Costs have risen 4% yoy causing families in the income range of $150-$300k to apply for help.
Comments »Deutsche Telekom is considering a stock-swap transaction that would give the German company control over the combined entity, which would be publicly listed, said two of the people, who declined to be identified because the talks are private. Other options include an initial public offering or an outright sale of T-Mobile USA, the people said, adding that Deutsche Telekom is also in talks with other companies. MetroPCS shares jumped as much as 29 percent in New York.
Comments »
Protesters have gathered outside the BoA headquarters to show their anger with the bank during its annual shareholders meeting.
Comments »A cool technology for those who would like to continue living in a desert. Otherwise perhaps the preppers might be interested.
Comments »As recently as last month, ever higher crude oil prices and $5 a gallon gas were still regarded as inevitable. Naturally, much of the blame was placed at the foot of speculators, or “gamblers,” propping up the prices for their greedy and otherwise nefarious purposes.
Since then gas prices have dropped to levels much lower than they were a year ago and WTI has fallen off a cliff, falling over 10% in May alone. How could the speculators have allowed for such drop? Breakout asked Fox Business News contributor Phil Flynn, also a senior energy analyst at PFG Best.
“I’m shocked!” shouts Flynn from the floor of the CME. According to Flynn, most of the commodity funds (read: speculators) were caught heavily long in oil when the market turned, causing them massive losses. “I’ll tell you why: it’s because they never controlled the price in the first place!”
Flynn takes the gamblers’ reversal of fortune as “more proof that whenever somebody blames the speculators for the prices [of energy], they really don’t know what they’re talking about.”
Assuming the speculators aren’t about to get credit for any decline in crude prices, Flynn says the fundamentals are to blame for the recent sharp decline.
Newly Socialist France and the lunacy in Greece are creating uncertainty that weakens demand. In combination with the glut of oil, stockpiled when a military stand-off with Iran seemed inevitable, the price of crude and other forms of energy are dropping due to the laws of economics.
Unless Europe is “solved,” which is unlikely if not impossible, or a hot war breaks out in the Middle East, Flynn says “sell the rallies” is the dominant strategy. To him the only real question is whether or not a trader should go so far as to short crude or natural gas.
With the fast drop below $100 a barrel in WTI crude, Flynn says its new price range is likely to be somewhere between $90 and $95 a barrel, causing him to “be a little careful” going short.
Read the rest here:
Comments »Well, should you?
Comments »CLEVELAND, May 8, 2012 /PRNewswire/ — Associated Estates Realty Corporation (NYSE, NASDAQ: AEC) today announced that it will expand to Southern California by building apartments on Wilshire Boulevard in the highly desirable Miracle Mile submarket of Los Angeles.
Associated Estates purchased the historic Desmond’s Tower at 5500 Wilshire Blvd. and the adjacent parking lot. The acquired property comprises 2.21 acres with the parking lot area being entitled for apartments. Associated Estates plans to build up to 175 apartments and structured parking. Desmond’s Tower is a 78,800 square foot office and retail building that has several tenants, including the internationally acclaimed Ace Gallery.
The apartments will be known as The Desmond on Wilshire and construction is expected to begin spring of 2013. Merit Enterprises, Inc. (“Merit”), a wholly owned subsidiary of Associated Estates, will act as construction manager.
“The Desmond is an exceptional opportunity and a terrific way to develop our first Southern California apartment property in a highly sought after location on Wilshire Blvd.,” said Jason Friedman, Vice President of Construction and Development. “We are excited about expanding into this market,” Friedman added.
Read more here:
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