Summary:
My losing streak extended to three days as I dropped 1% today. My only green positions today were my short positions, ALSWF and NLY.
The general market was again sunk by housing woes, in particular a bad report from Lennar Corp (LEN). On top of yesterday’s announcement that new-homes sales fell to a seven-year low, today it was announced that home prices fell for the first time in 11 year. And finally, the FBI announced after hours that it is investigating Beazer Homes (BZH) for fraud. The stock is currently down 17% in after-hours trading.
I regret not being more aggressive with my PHM short a few weeks back and not extending it to other builders. Is there still room to short? Probably. I’ll be looking into this more over the next few days.
A note on LMGGF. Yesterday’s price movement was due to a takeover bid from Xstrata. The stock price has jumped above the bid price on speculation other bids will appear. Stay tuned.
Positions:
Long: JEQ JSC LMC AUY SLW NTO NXG HBMFF ALSWF JAGNF FFHL EGLE AOB XSI KF UAHC NTLRF TNH LMGGF NM NLY MDN.TO
Short: BKC
Options: AUY May 15 call
Cash: 11.9%
Trades: none
Read:
Stocks Researched:
Hours spent on market: 2.0
Positions most worried about:
Positions most sanguine about: Japan
Biggest market worries: downturn
Thinking about: ?
Outlook ( up-flat-down surety rating: 1-5 reasoning):
US: ??
Tech: ??
Japan: up, 1.0; strong GDP, but weak international markets
China: ??
Silver: ??
Gold: ??
Copper: ??
Zinc: ??
Real life: Recovering from sickness.
Previous night sleep and exercise: 0 hrs. Couldn’t sleep at all last night because of cough. Got some meds in the morning then dozed until 2PM.
Mood: Recovering from my cold. Generally calm, but market anxiety creeping along.
