Strategies for today’s strange market:
+ Catch falling knives. Buy stocks that have fallen, like Apple and IBM.
+ Sell the Euro short. That’s been the hottest forex (foreign exchange) trade in recent days.
+ Buy solid U.S. stocks — especially those with little European exposure. Maybe AT&T and Verizon, which just jacked up my monthly FiOS bill. Yuch.
+ Buy gold. It’s low, and apparently bouncing back. Or at least it did on Friday.
+ Buy MLPs — a Value Line idea. But they’re even lukewarm on that idea.
+ Sell short. Check out my list from Friday.
Much of our fate lies with the mess in Europe. Maybe they’ll make some constructive steps. Maybe they won’t. I’m surprised there haven’t been more street protests. There are many unemployed kids (and adults). Enforced austerity cuts badly against the sense of entitlement which many Europeans have.
I’m mulling and reading.
Weekend reading.
+ Euro Zone is lurching to a crossroad. Click here.
+ After Facebook, more fear of stock market. Click here.
+ Spain has avoided facing up to its banking problems. Now it has no choice. Click here.
+ The bear market may be beginning. Click here.
+ Yields are ultra-low. Here’s today’s Fixed Income Trading Daily Rate Sheet from Deutsche Bank. Click here.
+ Salt isn’t bad for you. Click here.
+ Annual physicals are a waste of time. Click here.
+ The New York Times criticizes its own overly optimistic Facebook coverage. Click here. (Fortunately I was very clear about NOT buying Facebook as an investment after the IPO.
+ 32 innovations that will change your tomorrow. My favorite: permanent sunblock. Also favorites: Better air in planes. and thermoplastic bicycles. Click here.
+ The 20 most miserable countries in the world. Zimbabwe is number one. Click here.
+ Sidecar.me lets you make iPhone phone calls through your local WiFi. Could be useful if your cell service is spotty, but yo have good landline broadband Internet service.. Click here.
Other news of half note:
+ My old commodities fund is down 7.55% YTD, a function of oil and gold in the gurgler recently.
Techie note: How to connect to a network printer:
+ Get the printer to print out its IP address. Usual way is to stand at the printer and get it to print out its Configuration Menu.
+ Then connect to your computer. Add a printer. Add a local (not network), standard Ethernet address — i.e. the one you got from the print out.
+ Istall the printer’s drivers, which, most likely, are already on your computer.
The key in all this is to know your printer’s IP address. Hint, it looks like this: 192.168.0.12. Without it, you’re up a creek without a paddle.
Harry Newton whose shoulder rotator cuff tendonitis is showing glimmers of improvement. A great physical therapist has been poking life into taught tendons. Whoopee.
Harry
I don't understand your Sidecar recommendation: If you have an iPhone and have wifi access, you can just use FaceTime to do the same thing (?).
I forgot about that. thanks for reminding.
Enforced austerity cuts badly against the sense of entitlement which many Europeans have.
Great quote. It is called growing up. We need a little of it on this side of the pond as well. Entitlement is not a right, it should be earned. Enabling an culture of earning is what governments should do, it would significantly dampen volatility. Unfortunately, you don't get votes that way…
Brian,
Well said and 100% true. Government encouraged entitlements remove personal consequences (or perhaps more accurately as we see in Europe today, delay the consequences). It's called “enabling” in other addictive venues. Once hooked, it's hard to break the habit (or even brake the habit). And like alcohol and drugs, it feels so good, particularly if someone else is paying for it. And I deserve it because____________ (fill in your self serving logic).
because…….I am European which means that not only me but my ancestors represent the back-bone of civilization. We Europeans have been and remain the source of all logic, intellect and compassion from which the rest of the world draws upon. Without continued European influence mankind would simply drift back towards The Dark Ages. And please don't forget what would all of you American so called industrialists do without your Mercedes, BMW's, brie cheese and olive oil.
Harry, what is your view on buying FAZ. My brother purchased some on Thursday and it's gone up but is that a dangerous play because of the volatility?