Crunch time for portfolio managers. I read in Barron’s this weekend that the average US stock mutual fund manager is about 5% ahead of the S&P 500 this year, according to Lipper. OK, but it’s the below-average performing PM that really needs the juice right about now, with 10 weeks or so left to make…
Energy
Natural Gas: The Washington Generals of the Commodities Market
Yesterday the price of natural gas dipped under $3 per thousand cubic feet, the lowest level for the commodity in 7 years. With spot crude roughly 100% higher than it’s ’09 low and in an environment where virtually every agricultural, industrial and precious commodity is showing gains for the year, nat gas stands alone as a major…
Breakfast Links: Trump, Steinhardt & Sesame Street
Stuff I’m Reading this Morning… Paul Kedrosky found a good interview with trading legend Michael Steinhardt. (InfectiousGreed) Floyd Norris calls Trump‘s ability to raise more casino money the ultimate green shoot. (NYT) CTFC Chairman talks about limiting investment funds within energy markets. (DealBook) Another brilliant set of thoughts on the current market from David Merkel. …
What Has Been Working So Far in '09
My colleague JC just sent me the below graph, a helpful reminder of which sectors have been over- and under-performing so far this year… So far, the best groups since the start of the year have been techs, materials, consumer discretionaries, gold and energy… Even with the incredible run since the March lows, financials are…
The Ener1 Situation is Exactly Why We Suck
I haven’t made many recommendations for clients in alternative energy stocks because a lot of the names that look commercially viable just seem too far away from profitability or are subject to drastic margin erosion (solar stocks, anyone?). I guess I’d rather be late but at least be involved in something proven. I read about…
Pick Sectors, Not Stocks
These are the days when you either need to have a 20 year time frame or a 20 minute time frame, and either can be extremely profitable. In either case, owning the sector is going to give you all you need in terms of volatility, so leave the stock picking to the masochists.
