Friday, 17 June 2011

Will Greek crisis spread globally? [CNN: 6-17-2011]

All information on this website is for educational purposes only and is not intended to provide financial advise. Any statements about profits or income, expressed or implied, does not represent a guarantee. Your actual trading may result in losses as no trading system is guaranteed. You accept full responsibilities for your actions, trades, profit or loss, and agree to hold MinKL Invest harmless in any and all ways.

Greek Bailout: Financial Chicken? [NBC: 6-17-2011]

Euro slips, markets' eyes on Greece

Jun 17, 2011

June 17 - The euro slips as Asian markets remain unsure that Greece can dodge a default bullet. Toshi Maeda reports.

Are We Running Out of Silver? - Casey Research

http://www.caseyresearch.com/editorial.php?page=articles/are-we-running-out-silver&ppref=CRX409ED0611C
Are We Running Out of Silver?
Jeff Clark, Senior Precious Metals Analyst
June 16, 2011 6:05pm GMT

(Excerpt from the Casey Research 2011 Silver Investing Guide)

Silver has been on fire over the last three years — substantially outperforming its spotlight-grabbing cousin, gold.

Because we believe this bull run is far from over, we advise investors to always maintain exposure to the precious metals markets. Even if you haven’t yet participated in the run-up of both gold and silver, I’m glad you’re ready to take a look at the investment potential of silver.

The question every investor faces in a bull market is: Do I buy now, anticipating prices will continue higher — and chance getting clobbered if a correction arrives? Or do I wait for a pullback and possibly miss out on big gains? There’s risk either way.

Our goal in this report is to suggest various ways you can invest in silver, while underscoring the importance of patience and discipline. Investors must remain patient to avoid chasing silver, overpaying, and draining their cash. Instead, we recommend that you use temporary price declines to steadily accumulate the best silver stocks and your preferred form of bullion.

Looking back after this bull market has finally run its course, we think gold and silver will have amply rewarded those who bought smart, had meaningful exposure, and stayed the course.

http://www.caseyresearch.com/editorial.php?page=articles/are-we-running-out-silver&ppref=CRX409ED0611C

All information on this website is for educational purposes only and is not intended to provide financial advise. Any statements about profits or income, expressed or implied, does not represent a guarantee. Your actual trading may result in losses as no trading system is guaranteed. You accept full responsibilities for your actions, trades, profit or loss, and agree to hold MinKL Invest harmless in any and all ways.

BOB CHAPMAN - 16TH JUNE 2011 - 33 BANKS MAY BE WIPED OUT (1/4)

Jun 16, 2011

Listen to Drew Malone on the Marines Disquisition radio show interview Bob Chapman on the latest events in the economy and how to protect yourself from the coming slaughter as the economy collapses.

Prada Said to Raise HK$16.7 Billion in IPO

http://www.bloomberg.com/news/2011-06-16/prada-said-to-price-shares-at-hk39-50-in-h-k-.html

Prada Said to Raise HK$16.7 Billion in IPO

By Elisa Martinuzzi and Fox Hu - Jun 17, 2011 8:49 AM GMT+0800

Prada SpA raised HK$16.7 billion ($2.14 billion) in its initial public offering, following Samsonite International SA as the second foreign issuer in a week to scale back its Hong Kong fundraising plans.

The Milan-based luxury goods retailer priced 423.3 million shares at HK$39.50 each, below the middle of the marketed range, according to two people familiar with the matter. The sale values Prada at about 9 billion euro ($12.8 billion), or 23 times 2011 earnings, said one of the people, who asked not to be identified because the details aren’t public.

Prada had sought to sell the shares at HK$36.50 to HK$48, according to the IPO prospectus. The company yesterday narrowed the range to HK$39.50 to HK$42.25 after getting orders for just half of the stock offered to retail investors, two people with knowledge of the matter said.

http://www.bloomberg.com/news/2011-06-16/prada-said-to-price-shares-at-hk39-50-in-h-k-.html

All information on this website is for educational purposes only and is not intended to provide financial advise. Any statements about profits or income, expressed or implied, does not represent a guarantee. Your actual trading may result in losses as no trading system is guaranteed. You accept full responsibilities for your actions, trades, profit or loss, and agree to hold MinKL Invest harmless in any and all ways.

Wall St.'s take on Twitter

Jun 16, 2011

June 16 - Wall Street is treading carefully as it starts to embrace social media like Twitter. Bobbi Rebell reports.

Get out of the way of your own investing success - Investor Tips

INVESTOR CLINIC
Get out of the way of your own investing success
JOHN HEINZL | Columnist profile | E-mail
From Wednesday's Globe and Mail
Published Tuesday, May. 10, 2011 5:31PM EDT
Last updated Wednesday, May. 11, 2011 6:15AM EDT
http://www.theglobeandmail.com/globe-investor/investor-education/investor-clinic/get-out-of-the-way-of-your-own-investing-success/article2017272/

We’ll start today’s column with a quiz. What’s the biggest threat to your investment portfolio?

1) Rising interest rates

2) Inflation

3) Slowing global growth

4) You

For many investors, the answer is 4. Benjamin Graham, the legendary value investor, said it best: “The investor’s chief problem – and even his worst enemy – is likely to be himself.”

Investors sabotage themselves in countless ways. Today we’ll discuss some of the most common. How many of these self-defeating behaviours apply to you?

You buy high and sell low

Those returns advertised by mutual fund companies? Turns out most people don’t do nearly as well as the numbers suggest. Why? Because, being emotional creatures, they tend to buy at the top when everyone is feeling optimistic. Then they sell at the bottom when they can’t stand the pain of watching their investments fall another penny.

This is the opposite of what they should be doing, of course, and it wreaks havoc on their returns. For the 20 years ending Dec. 31., 2010, the S&P 500 gained 9.14 per cent annually, including reinvested dividends. Yet U.S. equity mutual fund investors averaged just 3.83 per cent over the same period, according to a recent report by Dalbar Inc.

Some of that difference is accounted for by fees, but a lot of it has to do with investor behaviour. On average, investors held their funds for just 3.27 years – hardly long enough to enjoy the fruits of a buy-and-hold strategy.

“Failure to retain investments for optimum periods is a major reason that investor returns fall short of the potential,” Dalbar, a Boston-based research firm, said in its 2011 Quantitative Analysis of Investor Behaviour.

You trade too much

If you trade frequently, you’ll pay more in commissions and taxes. You’ll also be more likely to fall victim to the “buy high, sell low” phenomenon.

In a study titled “Trading is Hazardous to Your Wealth,” University of California professors Brad Barber and Terrance Odean divided 66,465 U.S. households into five groups based on the level of monthly turnover in their stock portfolios from 1991 to 1996. The highest turnover group earned an average annual return that was 7.2 percentage points lower than the least active group. In a separate paper, the authors found that 80 per cent of day traders in Taiwan lost money over a typical six-month period.

The reason people trade excessively is that they overestimate their own abilities, which is not surprising given that discount broker ads portray trading as something even a baby can do. Men are especially prone to such overconfidence, the authors said.

“Both men and women are lousy traders; men merely trade more frequently,” they said.

You are too impatient

Time – not short-term trading skill – is the small investor’s best friend. Whether you invest in mutual funds, exchange-traded funds or individual stocks, the secret to building wealth is to let your portfolio grow – preferably including reinvestment of dividends – over many years.

Staying focused on the long term will help you resist common traps that afflict short-term-oriented investors, such as “story stocks,” initial public offerings and hot sectors that cool off as soon as you jump in. In many cases, doing nothing is the best strategy of all.

As Warren Buffett said: “Lethargy bordering on sloth remains the cornerstone of our investment style.”

You thrive on excitement

Investing is not supposed to be entertaining. Yet with the proliferation of cable business channels and Internet discussion boards, investors face a 24/7 flow of information, analysis and often-contradictory opinions. Absorbing all this information is a full-time hobby for some.

No wonder they feel the need to buy and sell constantly.

“When it comes to investing, we seem to be addicted to information. The whole investment industry is obsessed with learning more and more about less and less,” said James Montier, author of The Little Book of Behavioural Investing: How Not to Be Your Own Worst Enemy. “Rarely, if ever, do we stop to consider how much information we actually need to know in order to make a decision.”

Investors are better off tuning out the noise and focusing on a handful of attributes they consider crucial when choosing an investment. Mr. Montier, for example, looks at the balance sheet, the valuation and the company’s capital allocation record. Another investor might focus on growth of earnings and dividends.

The important thing is to have a focused strategy, instead of “trying to know absolutely everything about everything concerned with the investment.”

You let someone else do everything

I’ll be blunt: If you blindly trust someone else to manage your money, you are inviting that person to take advantage of you. It happens all the time. The best way to protect yourself is to learn as much as you can about investing. This is true whether you look after your own money or hire someone to do it for you.

There are many honest, hard-working advisers. There are also plenty of sharks who will eagerly exploit many of the self-defeating behaviours discussed above for their own gain. Recognizing these behaviours, and the damage they can inflict on your portfolio, is crucial to becoming a more successful investor.

MORE FROM OUR INVESTOR CLINIC SERIES
Why the age rule of thumb shouldn’t be carved in stone
Use price-to-earnings as a guide, not a rule
The hidden pitfalls of real return bonds
The business of bonds: How to buy and what’s safe
Want excitement? Try the casino, not your portfolio

http://www.theglobeandmail.com/globe-investor/investor-education/investor-clinic/get-out-of-the-way-of-your-own-investing-success/article2017272/

All information on this website is for educational purposes only and is not intended to provide financial advise. Any statements about profits or income, expressed or implied, does not represent a guarantee. Your actual trading may result in losses as no trading system is guaranteed. You accept full responsibilities for your actions, trades, profit or loss, and agree to hold MinKL Invest harmless in any and all ways.

Gold May Gain as Europe’s Debt Woes

http://www.bloomberg.com/news/2011-06-16/gold-may-gain-as-europe-s-debt-woes-spur-demand-survey-shows.html

Gold May Gain as Europe’s Debt Woes Spur Demand, Survey Shows

By Nicholas Larkin - Jun 17, 2011 7:01 AM GMT+0800

Gold may gain as concern about Europe’s debt crisis spurs demand for the metal as a protection of wealth, a survey found.

Fifteen of 23 traders, investors and analysts surveyed by Bloomberg, or 65 percent, said bullion will rise next week. Five predicted lower prices and three were neutral. Gold for August delivery was down 0.1 percent for this week at $1,527.30 an ounce by 11:34 a.m. yesterday on the Comex in New York. It reached a record $1,577.40 on May 2.

The cost of insuring against default on Greek, Irish and Portuguese government debt surged to records yesterday, CMA prices showed. German Chancellor Angela Merkel and French President Nicolas Sarkozy will meet today in Berlin, with pressure increasing for the leaders to reach an accord on a rescue package for Greece.

http://www.bloomberg.com/news/2011-06-16/gold-may-gain-as-europe-s-debt-woes-spur-demand-survey-shows.html

All information on this website is for educational purposes only and is not intended to provide financial advise. Any statements about profits or income, expressed or implied, does not represent a guarantee. Your actual trading may result in losses as no trading system is guaranteed. You accept full responsibilities for your actions, trades, profit or loss, and agree to hold MinKL Invest harmless in any and all ways.

Dollar Is Doomed to Drop - Yahoo Breakout

Dollar Is Doomed to Drop: UBS Technical Strategist

By Matt Nesto | Breakout – 13 hours ago

For the better part of a decade, the dollar index has been falling. Not all the time, but enough so that "weak dollar" has been a near constant theme in all sorts of different investment strategies. Strategies that come unglued when the currency component misbehaves, or rises.

While headlines lately are focusing on the decline in the markets, you can be sure that for every 100 point slide on the Dow Jones Industrial Average, legions of leveraged "dollar shorts" are sweating gallons with every blip of strength in the greenback.

So with the dollar index bouncing hard off its recent low and gaining nearly 3% in a week amidst growing concerns about the U.S. and global economy, it might be tempting to say our currency has finally taken a turn for the better.

But you'd be wrong according to UBS Chief Technical Strategist Peter Lee, who says,"The real call is, do you think it is a sustainable rally?" He says "we've got a lot of problems. We could get some short-term technical bounce, but we (the dollar) are going lower."

As he sees it, the dollar index will likely bounce back to the high 70's range where it will begin its next downturn into the low 70's. And as much as it doesn't deserve it, the Euro will be the main benefactor if and until something major changes. "Germany is carrying the euro zone...if they back off and focus internally, we have big problems," says Lee.

So again, if you are a commodity player, and you are getting whacked this week in your crude oil position, do you give up on that trade? Lee says emphatically, "No...bulls clearly have been winning for the last 7 to 8 years (in commodities). We respect the dominant trend. The prevailing trend is still up which suggests this is a consolidation phase." He adds that if you believe the dollar is headed lower, commodities will go up. But he also says, if you don't believe in the emerging markets growth story you should not be in commodities, concluding, "It's macro call. If you believe there is growth in emerging markets."

Lee's analysis of treasuries is also worth noting. Right now most observers agree that the rally in U.S. treasuries that began in 1982, is looking a little tired after 29 years. Where his work differs is that he thinks when rates do ultimately start to rise in a year or two, they won't "explode upwards." Rather, we will see a sideways trading range of 2.5% to 3.75% on the U.S. 10-year notes, which he says "keeps rates a little lower, a little longer, surprising almost everyone on the street."

And that, my friends, is where fortunes are made and lost; when you're on the right side of something that almost everyone else isn't.

Is Peter Lee right? Is the dollar doomed long term?

Let us know what you think below, send an email to Breakoutcrew@yahoo.com or follow me on Twitter @MattNesto

MinKL Invest

Pages

Friday, 17 June 2011

Will Greek crisis spread globally? [CNN: 6-17-2011]

Greek Bailout: Financial Chicken? [NBC: 6-17-2011]

Euro slips, markets' eyes on Greece

Are We Running Out of Silver? - Casey Research

BOB CHAPMAN - 16TH JUNE 2011 - 33 BANKS MAY BE WIPED OUT (1/4)

Prada Said to Raise HK$16.7 Billion in IPO

Prada Said to Raise HK$16.7 Billion in IPO

Wall St.'s take on Twitter

Get out of the way of your own investing success - Investor Tips

Gold May Gain as Europe’s Debt Woes

Gold May Gain as Europe’s Debt Woes Spur Demand, Survey Shows

Dollar Is Doomed to Drop - Yahoo Breakout

Dollar Is Doomed to Drop: UBS Technical Strategist

WORLD

Pages

Friday, 17 June 2011

Prada Said to Raise HK$16.7 Billion in IPO

Gold May Gain as Europe’s Debt Woes Spur Demand, Survey Shows

Dollar Is Doomed to Drop: UBS Technical Strategist

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