Apple announces new stuff today, including the new iPhone 5 and cheap pricing on the old iPhone 4. The biggest plus (at lesat for me) that the new iPhone 5 will be able to use the 4G/LTE networks of the carriers, especially Verizon, who has the best 4G and fastest network. This morning Apple told me it will post a webcast of the vent on Apple.com shortly after the event finishes — “early afternoon where you are.”
The German Constitutional Court (their equivalent of our Supreme Court) did not block Germany’s bailout of the Euro Zone. The bailout is positive short-term for the stockmarket, but sucks for the world economy. What the world wants is economic growth, not more debt. That was the problem last time.
A reader in Europe emailed me this morning:
I don’t know if George (Soros) has a European position and that is why he is making all the noise (about Germany going into recession).
But, there is some data available … take a look at the Baltic Dry index … it is back to the 2008 lows. This index of international shipping costs peaked at over 11,000 in June 2008 and collapsed in Dec 2008 at about 680. It closed yesterday at 664. This is telling us that international shipping is very depressed. One of the large factors in this index is the trade between Europe and Asia.
This data seems to support those who point out that the austerity in Europe as having a dramatic impact on world growth and GDP.
Yuch. Long-term, this is not good for stocks, nor listed securities, except for those who well when times are yuchy: McDonalds, cosmetic companies, etc.
Gold is moving up. I have some. I have a little Apple also.
AGNC maintained its $1.25 a share quarterly dividend. Despite its rise …
It’s still yielding 14.86%. AGNC is my biggest position. The sucky economy does not warrant a rise in interest rates. (If anything it needs a little boost, also called a stimulus). AGNC and the other mortgage REITs will live for another day.
Annoying grammar mistakes. Texting and email are for speed. I’ll give you that. But please don’t litter your messages and emails with egregious grammar — like mixing up:
+ Their and there
+ It’s and its
+ You’re and your
+ Making this plural by inserting a an apostrophe — e.g. market’s
Get it wrong. You make a horrible impression.
Get it right. You live another day.
Oh yes, short sentences work better than long ones.
Obama’s First-Term Report Card. From Nicholas Kristoff of the New York Times:
+ Economy B
+ Education A
+ Other domestic issues B+
+ Foreign policy B+
+ Communication (Making the case for his policies) F
For Kristoff’s piece, Click here.
Caring for laptop batteries. I bought a laptop battery from Lenovo. They wrote me:
Lenovo batteries are shipped partially charged to maximize shelf life. To maximize the longevity of your battery, you should fully charge it after receiving it. Batteries should also be recharged at least twice a year. If the battery is stored with a low charge for extended periods of time, the battery may become unusable.
A Fix for Tennis Elbow by Tara Parker-Pope of the New York Times:
Tennis at the U.S. Open is over, but for many recreational tennis players and other athletes, the pain of “tennis elbow” lingers.
In the latest installment of the Phys Ed video series, Gretchen Reynolds tackles the science of tennis elbow and new research that offers a way to relieve the pain.
Sadly, rest doesn’t fix most sports injuries. You need exercise, strengthening and patience.
For the video, click here.
Going overseas: We’re going to Spain for 12 days. Be back on September 25. Boring things to plan (and for your European trip
+ ATM machines. Some bank cards charge 3%. Some don’t. To use your card you need a four digit pin. It takes a week to send you a pin number for a card you probably already have. Trust me. I went through this yesterday. I like American Express Platinum. They link your card to your bank. Take some money out of an ATM, it comes out of your bank. I believe the service is free. They gave me a pin over the phone for a one-time use. Which is more than any other bank or brokerage firm would do yesterday.
+ You need a phone. I have an AT&T GSM iPhone. It will work in Europe. To receive a call costs me 99 cents a minute. To make one around Europe costs 99 cents a minute. But calling back to the states is free (part of my monthly plan), allegedly.
+ The best deal is to install Skype on your cellphone and make your phone calls when you’re on WiFi. It’s free if you call another Skype. You can even do video. If you call a landline, it costs a few pennies a minute. Open Skype and put $10 in. It will last you forever. They charge almost nothing per call. Skype is the BIG success story of the phone business. On any day nearly 50 million people are speaking on Skype.
+ I have an unlocked GSM phone I bought eons ago on eBay. I’m taking it. I’ll buy a prepaid card for $25 or so and use it for calling around Madrid and other exotic places we’re visiting.
+ Europe has WiFi in hotels and Internet cafes. But it’s often slow and unreliable, even at ritzy hotels. Better take an international MiFi device from Verizon (see right hand column). Or rent one from XCOM Global. I’m renting one for $209 for two weeks from them. I should get it today. I’m gong to test it against a Verizon one. I’ll let you know.
Tasteless ethnic jokes – 1
An orthodox Jew walks into a Manhattan bar with a duck on his shoulder.
“Wow,” exclaims the barkeeper. “Where’d you get that?”
“Brooklyn,” says the duck. “They’re everywhere!”
Tasteless ethnic jokes – 2
The Thames river police stop two Pakistani gentlemen in a row boat, rowing towards central London.
The captain gets on the loudhailer and shouts “Ahoy, small craft, where are you heading?”
A Pakistani gentlemen stands up and shouts, “We are invading the United Kingdom!”
The crew of the Police launch all start laughing and when the captain finally stops laughing, he gets back on the loudhailer and says “Just the two of you then?”
The Pakistani gentleman stands up again and shouts, “No, we’re just the last two. The rest are already here!”
Harry Newton who will write tomorrow’s column on a plane tonight from Kennedy to Madrid. If Delta makes it and my Wi-Fi devices work, you should be able to read my brilliances (or, at least attempts) tomorrow morning.
My latest mantra: Anything that pays a decent dividend is better than a slap in the belly with a cold fish (wise, old Australian saying). I like MITT and NLY also.
Europe is GSM. Verizon is CDMA. I see there are some Mi-Fi that are dual mode and accepts a GSM SIM card, but most sold in the U.S. are not this. Here's one that is:
– Novatel MiFi 2372
Goose,
You are of course assuming that no one can think for themself. Harry throws some ideas out and I either like them or I don't. In my lifetime, I have found that no one has a corner on the secret sauce.
The ridiculously over inflated grades for Obama were much funnier than your jokes. Who the hell still reads the NY Times?
Harry…be mindful of the modern day Highwaymen in Spain…remember, we were robbed on the A-2 while trying to bypass Barcelona…at about 130kph we heard a bang at the back of our car…then 3 very well dressed Romanians in a new Audi (they could afford it or stole it) began waving their arms and shouting us to pull over…while 2 of them occupied my time looking under the car the 3rd one reached in and stole my wife's bag…few hundred dollars, jewelry and our passports. They did not bother me (I had about 2000 euros in my front pants pocket). The police said we were lucky not to have been shot. Passports were easily replaced in Madrid. Carry photo copies of everything in a separate location. Credit cards easily cancelled online.
I'd like to congratulate almost all of Newton's regular readers and most other individual investors for missing the historic rally since 2009 – 120% and counting. Not to mention the 15% rally this year. You missed out, doomers, while I've grown wealthy.
Do you think anyone but you cares? When, not if, SHTF, your wealth will mean nothing. Im guessing youre a Democrat with faith in your Messiah. Good luck you will need it.
Don't need luck, I have brains and common sense. Like Buffett says, that's all it takes. And a willingness to read a company report. I'm not a Dem or Republican, don't get caught up in politics, it's for losers like Laughnow who appears to have missed the rally.
To Harry's question: IN spring of 2009 I bought a lot of GOOG when it was trading in the low to mid 300s. It's now around 700. I also poured money into Fidelity Growth mutual fund in March 2009 when it was trading at 41. It's now selling at $98 per share. I didn't do as well on the S&P 500, buying that around 77; it's now 133. I also purchased Bank of America when it was much, much lower than today and nobody wanted it and it has grown exponentially, etc., etc. As Buffett says: “Be greedy when others are fearful.” I dont believe in shorting, puts or options, only buying good strong firms and funds when – and only when – they're on sale. Right now unloved European sticks look awfully tempting.
Who missed the rally? Got any numbers to show how you've grown wealthy? Maybe we could all learn something?
It says
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but there are none
GOING OVERSEAS…most “BANK” ATMs in Western Europe do not charge an additional fee even at their sidewalk ATMs (just make sure it has a Bank name on the ATM)
If you use your own bank's VISA/Debit card the funds come directly out of your bank account and you can check-out the daily VISA exchange rate at http://usa.visa.com/personal/u…
The rate stays in effect for the entire 24 hour day so if the rate fluctuates during the day the rate will still be the same. Works the same for purchases.
Harry,
If the Fed tomorrow hints at no QE3, then Gold should drop and visa-versa. I'm trying to figure out the best way to play gold here. Mining stocks with their higher production costs may not provide the leverage that GLD does. Comments?
Under grammar mistakes.
You wrote: “Oh yes, hort sentences work better than long ones.”
I'm still trying to figure out what a “hort sentence” is. :-). Hort, Hort, Hort.
And then there's this: ” Harry Newton who will write tomorrow’s column on a plane tonight from Kennedy to Madrid.” Question. Do I have to go to Madrid to read the column, and if so, will you provide the tail number of the plane and which part of the plane you wrote the column on?
Thanks for cheering up my morning Harry !