No wonder everyone want to be banker ?!!

7/30/09

From Bloomberg today:

Citigroup Inc. and Merrill Lynch & Co., recipients of taxpayer bailout funds under the Troubled Asset Relief Program, paid out a combined $9 billion in bonuses last year after suffering total losses of $54 billion, according to a report by New York Attorney General Andrew Cuomo.

In the report on “bank bonus culture” published today, the state analyzed 2008 bonuses at nine banks that received TARP financing from the U.S. government. New York-based Citigroup and Merrill, since taken over by Bank of America Corp., received TARP funding totaling $55 billion, Cuomo said in his report.

“When the banks did well, their employees were paid well. When the banks did poorly, their employees were paid well,” Cuomo’s office said in the 22-page report. “When the banks did very poorly, they were bailed out by taxpayers and their employees were still paid well. Bonuses and overall compensation did not vary significantly as profits diminished.”

The report also said that Goldman Sachs Group Inc., Morgan Stanley and JPMorgan Chase & Co. paid out a total of $18 billion in bonuses in 2008 while having received a combined total of $45 billion in taxpayer dollars through TARP. Together, the three firms earned only $9.6 billion last year, Cuomo said.

My comments:Who want to be millionaire? Go work in big banks. Oh, I have question about how come some banks they did not even have profit, and they are still getting more money out for bonus??? Are they getting our money to pay those folks bonus??

Insiders are selling like crazy !!!

7/30/09

Despite more and more people calling this is brand new bulls market and economy is running V-shape turn around. Let's read the following:

""Executives in charge of the largest US companies sent a signal of their concerns by selling far more shares than they bought this month, according to data based on Securities and Exchange Commission filings.

Share sales by so-called company insiders are outstripping purchases so far this month by more than 22 times. TrimTabs, the investment research company, said insiders of S&P 500 listed companies have unloaded $2.6bn in shares in June, compared with $120m in purchases.

“The smartest players in the US stock market – the top insiders who run public companies – are not betting their own money on an economic recovery,” said Charles Biderman, chief executive of TrimTabs.""

My comments: Here you go!! Actually, more insiders are selling into this giant rebound rally and the ratio is even higher than the highs of last bulls market 2007. So, what do you think?! Do those insiders are indeed in deep trouble and in hurry to get cash??! Majority of them are rich people and they make million dollars every year. If people believe this is historical low level to buy stocks, why are they keep selling?! Do you get it make sense at all?? It is very simple that even most of them do not believe their stocks value will go up in next few years and so are their business, also no recovery for us economy as well. Right?! Technically, stock markets are running like super bulls, and fundamentally, it is like running our next year GDP will post 4% or above. However, many economists are now predicting our recovery is very very slow and close to 1% GDP growth at most. Hmmm...well...here you go those damn economists. Make your own thoughts. I do not believe we will see any recovery at all. Good luck!!

Ooops, what was ben bernanke thinking back then???

7/28/09

http://www.youtube.com/watch?v=HQ79Pt2GNJo

Copy that link and see!! Ben was so damn wrong!!! and now he said...

http://www.marketwatch.com/story/bernanke-explains-crisis-to-average-americans-2009-07-26?siteid=rss&rss=1

Why he still be first chair person to control our nation economy??!! Damn it!! However, majority of economists are also missed judge this mess. Well, what can we say??!

Still consolidate with bullish bias !!!

7/28/09

Market is still running very bullish!! With huge government bonds sale week, market is still able to keep its bullishness. It is very amazing!!

Record Treasury Yeild !!!

7/27/09

Let's look at why people over the world keep buying US Government Bonds!!! Or kinda bail us out of this big mess!!

Bloomberg is reporting Real Yields Highest Since 1994 Aid Record Debt Sales.

The highest inflation-adjusted yields in 15 years are helping provide the Treasury with record demand at auctions as the U.S. prepares to sell $115 billion of notes this week.

Treasuries are the cheapest relative to inflation since 1994 after consumer prices fell 1.4 percent in June from a year earlier. The real yield, or the difference between rates on government securities and inflation, for 10-year notes was 5.10 percent today, compared with an average of 2.74 percent over the past 20 years.

The gap helps explain why investors are buying bonds after losing 4.8 percent this year, the steepest decline on record, according to Merrill Lynch & Co. indexes that date back to 1978.

My comment: Wow!! 5.10% for 10 year government bonds. What a very damn attractive interest rate. I would love to park my saving in that, wouldn't anyone??! Are US is going to issue more damn bonds with higher interest rate on the road??! I bet they have no choice. I expect to see more government bonds with much much higher interest rate months later. We will see!!

Gann Analysis Long Term Predict !!

7/27/09

I expect market will test the primary down trend line, same as 1:2 Gann's time line. The time would be approximate first quarter of 2010. This is my studies by using Gann's theory and E-wave. Believe it or not, it is up to you. I here to declare it probably will happen and market will make new lows. Yes, I still believe we will see DOW 4,000-4,500 next year !!!

Real Estate Quote of the Day and more !!!

7/27/09

Please check my other blog link:cigstockchart.blogspot.com for technical market analysis.
Folks, check this out, despite we have better New Home Sales number today,...

"National New Home Sales, on a monthly basis, don’t even add up to half of the total foreclosure activity in California alone in a single month.”

Now, is that called "Green Shoot"??! You can choose to believe it or not!