Marathon runners speak of “hitting the wall” when they cannot go any
farther. That is the current situation for ethanol, because 14 billion
gallons is the 10% blending limit for the 140 billion gallons of motor
fuel used in the US.
Crude futures are higher Thursday, supported by a weaker dollar, oil
stock draws in the U.S. and continued chilly temperatures across the
northern hemisphere.
Crude futures rose for a fifth consecutive session Wednesday after U.S.
oil and fuel stockpiles fell to their lowest point since March.
Natural gas futures fell Wednesday on expectations of a withdrawal from
natural gas inventories similar to last year and traders closing out
positions ahead of the extended holiday weekend.
The U.S. average price for regular gasoline increased two cents to
$2.61 per gallon, $0.99 higher than the price a year ago. With the
exception of the Rocky Mountains, prices rose in all regions of the
country.
As you are overwhelmed with yearend bookwork, including balance sheets,
income statements, and crop budgets, many of those numbers you
calculate can be used for your Schedule F tax return that will be due
before you know it.
Crude futures were nearly unchanged Wednesday as traders weighed
expectations of declines in U.S. oil inventories against preliminary
data showing the opposite.
BIG PICTURE- “It’s a question of how do you achieve the deleveraging. Do you go through a long period of slow growth, high savings and many legal problems or do you accept higher inflation? It would ameliorate the debt bomb and help us work through the deleveraging process” Kenneth Rogoff, Professor of Economics at Harvard, Former Chief Economist at the International Monetary Fund.
BIG PICTURE- “It’s a question of how do you achieve the deleveraging. Do you go through a long period of slow growth, high savings and many legal problems or do you accept higher inflation? It would ameliorate the debt bomb and help us work through the deleveraging process” Kenneth Rogoff, Professor of Economics at Harvard, Former Chief Economist at the International Monetary Fund.
In its recent look back on the first ten years of the century, Time Magazine proclaimed the period to be “the decade from hell.” The editors made their case based on what they saw as the signature events of the last ten years, notably the ravages of terrorism, failed wars, and a global financial crisis. Taken together, these factors produced an era that Time is convinced will be remembered as one of the low points in our history.
Crude futures rose for a fourth straight session as frigid temperatures
across much of the U.S. are expected to raise demand for heating oil.
Natural gas futures moved lower as traders sold off contracts and
booked profits after the recent run up in gas prices and before the
expiration of January futures contract.
Crude futures rose Tuesday as the market awaited new data on U.S. oil
inventories while a crackdown on opposition in Iran raised questions
about the major oil producer’s stability.
“I think it’s all weather, frankly,” Kent Bayazitoglu, director of market analytics for Houston-based Gelber & Associates, said, noting the cold-weather forecasts were “bullish” for the market.
Retail gasoline and diesel prices up slightly; Spread narrows.
The National Corn Growers Association’s Research and Business
Development Action Team continually help increase demand and add value
to the U.S. corn crop through value added technology and business
development.
The National Corn Growers Association’s Research and Business
Development Action Team continually help increase demand and add value
to the U.S. corn crop through value added technology and business
development.
Crude futures edged higher Monday as strong U.S. retail sales boosted the economic outlook of the few traders in the market.
WASHINGTON –Two groups representing ethanol producers asked a federal court on Thursday to strike down a California rule that calls for a reduction in the carbon content of fuels sold in that state, saying the measure violates the Constitution and jeopardizes the nationwide market for ethanol.
Crude futures ended above $75 a barrel Wednesday on new evidence that U.S. oil and fuel inventories are shrinking faster than expected.
Following the second consecutive week of reduced prices, the U.S. average retail price for regular gasoline totaled $2.59 per gallon as of December 21, 2009, one cent lower than last week but 94 cents above a year ago. All regional prices decreased except for the Midwest where prices advanced almost a cent to $2.52 per gallon.
I like Fauquier Banshares (FBSS) below $15, it only has an ADV of 1000 shares so be careful bidding. Lloyds Banking Group plc (LYG) at $7.25 is a good buy. My target for both is $25-$28 range.
September 17, 2009Personally I thought the idea of people paying to use coin counting machines was insane. But I was wrong. They put those Coinstar (CSTR) machines in and the people came. There were lines at the supermarket to use it. I couldn’t believe it. But that was then. The “change” must have run out. I haven’t seen one of those machines used in some time. Coinstar does have other machines and an investment in Red Box, but the easy money days of counting change appear to be over.
Costco (COST) saw decreased sales this quarter and missed their numbers, but the real reason I may downgrade — they are starting a trial at two NYC area stores to accept food stamps. Costco, because it charges a membership fee, is like an oasis in the urban jungle. If they start accepting food stamps, it will make it no different than any other large city retailer, think Target or K-Mart.
Mr. Gioia points to the Costco on Vernon Boulevard in Long Island City, Queens, in his district. First opened in 1996, the store is within walking distance for nearly 30,000 residents of three public housing projects: the Queensbridge, Ravenswood and Astoria Homes. “Why Doesn’t Costco Accept Food Stamps?”New York Times, November 11, 2008.
How could anyone not want to shop with them? One of Costco’s reason for never applying to sell food stamps is the $50 yearly fee. Considering the government uses debit cards for the food stamp program so that recipients aren’t shamed, they will probably cover the cost of the membership.
May 28, 2009With the advent of commodity based ETFs and their growth in popularity, gold now has the opportunity to be treated in the same manner as a tech stock.
Investment in gold is nearing 50% of all gold consumption, and one third of that is ETFs. The price of gold has been kind to ETFs. And ETFs have been kind to the price of gold. Investors invest in ETFs as the price of gold climbs. With gold showing recent weakness, I believe that we will begin to see investors “profit take” thus forcing ETFs to divest ….. divest …. liquidate ….. cash markets will have to absorb this inventory.
The skew on the puts currently reflects anticipation of increasing implied volatility. If the spot price continues breaking through levels of support look for an increase in implied volatility in gold ETF put options across all months.
March 4, 2009Just buy it. UBSI @ $15.32
CEO said forget the TARP funds.
CEO is a West Virginian who just bought more stock than he makes in a year.
Long 9 Sep Corn @ 377¼
vs.
Short 4 Sep Beans @ 860¾
Long 5 MS @ $20.00
Short 1 GS @ $80.00
Taken off now results in a net of $23.25 in the cash register. Cha-ching.
Price Target: $220
Position closed March 5, 2009: $220.00
January 7, 2009It’s always time to buy something, but what (is it time to buy now)?
Here’s what I like:
Genuine Parts Company (GPC) $37.35 – - 39¢ quarterly dividend
Equitable Resources Inc. (EQT) $32.20 – - 22¢ quarterly dividend
Olin Corp. (OLN) $16.95 – - 20¢ quarterly dividend
And here’s one I love:
BP Plc. (BP) $45.25 – - 84¢ quarterly dividend (this is almost a 7.5% dividend folks)
All have healthy dividends, strong stable balance sheets, and room for growth.
December 30, 2008Morgan Stanley: $16.00
Goldman Sachs: $73.00
The spread we bought for a credit of $3.25 is now at $7.00
November 10, 2008Long 5 shares of Morgan Stanley(MS) @ $26.25
vs.
Short 1 share of Goldman Sachs(GS) @ $134.50
Net cost: – $3.25
Can’t sell stock? Buy a deep put or sell a deep call for the GS leg.
Coca-Cola (KO) – Sell ($53.39)
Chesapeke Energy (CHK) – Buy ($38.57)
Alliance Resource Partners (ARLP) – Buy ($33.57)
Joy Global (JOYG) – Buy ($51.55)
Goldman Sachs (GS) – Sell ($108.00)
Morgan Stanley (MS) – Buy ($22.55)
Fifth Third (FITB) – Buy ($15.96)
I have my own research methods. Don’t ask.
September 19, 2008