The markets held up pretty well, again looking amazing in the face of tremendous adversity. If all these world tensions go away and interest rates stop going up and oil goes under $60 we could get a really big rally going.
It’s all up to AMD tonight to set momentum for tomorrow. I’m concerned that, like DNA, they can’t say anything that will make people happy enough to continue buying the stock at double last year’s level. But earnings are a beat on in-line revenues so we can watch them to guage the mood of the market tomorrow.
Oil ended up coming down a bit while gold held $600 but again, this is a sign that the rest of the world is not as freaked out about Iran as we are. Another 4M barrels of oil couldn’t find a home this week and were added to an inventory that is about 15% higher than this time last year when oil dropped from $58 to $48 in the month of April.
The worst thing that happened today is that foreign interest in our note sale was very light and the ten year ran up to 4.98%. 5% will have the same kind of impact on the market that $70 oil does and we may hit both on the same day next week!
So I’m still advocating cash…
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After rocketing up $2 at the open, DNA finished flat for the day which was very disappointing but expected.
TIVO had a nice strong finish and ended up 8%.
HDI went down 6% on meeting estimates!
YHOO may have stopped its slide, this was one of the things pulling Google down but GOOG had a very uneventful day, whittling down April option values. In the spread play, the May $330 puts got filled at $2 but not the $490 calls. Now I need to make sure I’m covered on the upside so I will bracket up to the May $500s for less than $2 if I have to tomorrow and I will now attempt to buy another unit of May $340 puts for $2. If I fill that I will certainly take a second unit of $500s for the going rate as it will average out with my initial purchase.
XOM worked it’s way into a sweet spot for a spread with the $62.50s for .35 and the $60 puts at .20. The stock is at $61.50 and a $1 move in either direction over the next 3 sessions should make a nice return.
RIMM lost another point today!
SLB lost another 1.5% – remind me next time someone is splitting!
Some GM exec said “I don’t think there’s going to be a strike” and the stock shot up 4.2%! Will people never learn?
LVS ran up into the 5% rule today, finishing at $62.76. Whatever the opposite of a falling knife is (rocket up the ass?) this is sure it for people trying to short it!
Speaking of falling knives, UNH pulled a huge reverse today, gaining 4%.
NEM gained 3% today after pulling it’s usual mid-day sell-off for no reason. People are saying gold $800 so it’s either a top of time to BUY BUY BUY!
ABX May $30s are just .85 (only up a nickle).
GG $30s are still .60 but cutting it close to the bone now. I still prefer the June $32.50s, also up a nickle at $1.60.
