But this melt-up will make believers out of everyone! Because we still need four 4s!!
But where did common sense go? The CEO was talking to Maria Bartiroma today, after the close, and after they report earnings. Did anyone really think he would provide something negative?
But no-one follows common sense. They just follow Goldman. Goldman said that maybe AA had run too much, and therefore it was vulnerable to a sell-off. (See Goldman research below page 12) So the Goldman research front runners sold this name going into earnings. And what happened with earnings? They beat numbers with "cost cuts." So what then, is going to happen when they get some expansion of margins when demand picks up? So maybe Wall Street may finally find something in this name. Which will be fine with me. After all, I touted this number at 5, along with six other names that tripled on March 9, at the exact low of the market. Because Wall Street says, nobody can call a bottom! Whatever!
But let me get back to my point. Did anyone see the action in GOOG today. Up 18.80 to 518? I suppose you will think that was because Eric Schmidtt said that he anticipate a recovery. Where was Wall Street when this name was under 400? I was advertising this number, but then, the HFT traders were still playing with it. But what really goosed the stock was that Goldman goosed it in their morning research. They said that the calls were a play, as those companies that report early normally beat numbers. (See Goldman research below page 11). And if Eric said things are looking up, it means that they know the quarter is already in the bag!
Now speaking of metals, did anyone see that Barclays thought that gold could go to $1500? Why wouldn't it? It will stop at $1300 first though. Gold should go higher, even though every Central Banker in the world has been trying to suppress it. Why wouldn't they? Gold is money, and bankers deal in electronic money created out of thin air. So maybe these bankers need the markets higher, so people get used to trading paper again. And they will. Let the melt up start! But don't let the masses panic.
But the Government is already. Did anyone see Turbo Timmy say that "Americans should save more?" Did anyone believe that? The only thing that those burned by the market want to invest in, is gold and silver. And what did our Government do? They said they have no more gold and silver rounds! They ran out again. Nothing like posturing to keep the masses from investing in silver and gold! Here is that press release:
United States Mint to Offer 2009 American Buffalo Proof Gold and American Eagle Platinum Proof Coins
Agency also announces products not offered in 2009
WASHINGTON - The United States Mint announced today that it will offer for sale 2009 one-ounce American Buffalo Proof Gold Coins and one-ounce American Eagle Platinum Proof Coins. The release dates for these products are tentatively October 29 and December 3, 2009, respectively. In addition, the agency will release the one-ounce 2009 American Buffalo Gold Bullion Coin on October 15 and the fractional 2009 American Eagle Gold Bullion Coins-in the one-half ounce, one-quarter ounce, and one-tenth ounce weights-on December 3.
The United States Mint will not offer the following products in 2009: the one-ounce American Eagle Silver Proof Coin; the one-ounce American Eagle Silver Uncirculated Coin; the American Eagle Gold Proof Coins (all weights, as well as the four-coin set); the one-ounce American Eagle Gold Uncirculated Coin; the United States Mint Annual Uncirculated Dollar Coin SetTM, which also includes a one-ounce American Eagle Silver Uncirculated Coin; and the American Eagle Platinum Bullion Coins (all weights).
(Isn't that special? Nothing like burying the news that they are out of gold and silver. "Products not offered" Hah!! Let the meltup begin!)
Here's also a little history of how the mint runs into "shortages" on gold and silver rounds; and coincidentally, it's when prices are rising. Oh oh. We can't let the bullion banks short silver and gold get in trouble! Well trouble is starting. Let the meltup begin!
Who is going to dump gold? The IMF? They just sold 403 metric tons (read the comments), or 12.6 million ounces. 20% of their gold holdings. Go ahead and sell some more! Put it in dollars, and get .25% on your money. Heck put it in bonds, and pay Bill Gross a fee. After all, he says stocks will only go up 5% a year. Last I looked, stocks have averaged about 7% a month since March. Anyone wonder when Bill will change his tune? Let the meltup begin!!
How about China. Remember how they are advertising gold and silver to their populace? Do you think they are going to walk away from their bid? Let the meltup begin!
I've noticed that some of the very learned professionals, (after doing the hardest thinking of their professional life) have now decided to get back into equities after proclaiming the top was in. You want to know when the top is in? When Wall Street becomes a circus. And so far, the show hasn't even started. They've just announced it on a brochure mounted on a telephone pole.
They haven't even sold a ticket!
Because it will be a long time before the fat lady sings!
Because that song has even been written either!
Let the meltup begin!
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