The Shape of Economic Recovery

Some interesting research from Morgan Stanley, care of Barry Ritholz:

As much as I (and many others) have been touting the need for a pullback, this picture provides some evidence to the contrary (at least in the near-term).

How to play the coming pullback and subsequent range-bound trading? Look to income-producing investments. In this field, I like BIP, VNO, STHBX, and CHL, among others (I may have positions in any/all of the aforementioned securities).

Citigroup's $100,000,000 Trader...

http://dealbook.blogs.nytimes.com/2009/07/29/phibro-silent-as-white-house-slams-reported-pay-plan/

This is kind of scary...

http://www.bloomberg.com/apps/news?pid=20601110&sid=ac9y1xr7yNhQ



I hope housing doesn't get this bad...

For Those of You Who Want To Start A Hedge Fund (Part II)...

Read the following article about a 23-year-old kid who started a long-short fund a decent amount of time ago... and has made a good amount of money. There may be hope for some of us...

http://iimagazine.com/Alpha/Articles/2236376/features/Merritt-Graves-Undergrad-Hedge-Fund-Prodigy.html

Budget Deficit Passes $1 Trillion

With a growing deficit and rising unemployment, there seems to be no light at the end of the tunnel, yet, for this recession.

Budget Deficit Passes $1 Trillion

Now I can't Buy a G8...

This article discusses some of the details of the new General Motors, which finished restructuring in an astounding 39 days. US Taxpayers now own over 60% of the streamlined entity. The new company has rid itself of a substantial amount of debt and unfavorable labor contracts, potentially allowing itself to regain its position as the premier automaker in the US.

Emerging Markets

For those considering taking a position in Emerging markets, this article discusses how the global recession continues to affect capital flows and may delay the growth of these economies. The World Bank estimates that the developing world will only grow by 1.2% in the coming year.

For Those Of You Who Want To Start A Hedge Fund...

The following article gives an interesting view of how at least one hedge fund is catering to what may be a more informed and less passive hedge fund investor:

http://dealbook.blogs.nytimes.com/2009/06/26/starting-a-hedge-fund-in-a-shell-shocked-age/

The Answer to Our Economic Woes

US To Trade Gold Reserves For Cash Through Cash4Gold.com

In the word of DB, Presented Without Comment.

Who was Smuggling $134bn in US Bonds into Switzerland?