from TF Metals Report:
This is brutal.
I feel as if I’m at a ballgame. Fireworks are planned to start as soon as the game ends and the kids won’t leave until they see them. We’ve been here so long that I don’t even care about the game anymore, I just want it to end. But the problem is, the game isn’t ending as quickly as I’d like. The home team took the lead in the eighth but now the visitors have tied it in the top of the ninth and as we head into extra innings, the kids are getting restless and the parents are getting bored and cranky. Beer sales ended an hour ago and no one is happy. When will it end? Hopefully, soon! But in a game with no time clock, it’s always hard to say with certainty. Sometime soon, though, the game will end and the home team will emerge victorious. Of this, I am certain. We simply need to retake the lead and bring in our closer.
For today, though, nothing has changed so here we sit, grinnin and groanin…
Just a couple of other things to start your week. First, read this article. It’s written by Henry Blodget who should be selling cars in Duluth after what he did and the bullshit “analysis” he wrote back in the late 1990s. Blodget was a top “internet analyst” back in the day and was all gung ho for stocks like Worldcom and eToys. Whatever. In America, you simply move on and hope people forget. See Bill Clinton or Al Dunlap. More recently, see Dick Fuld, John Thain, Jimmy Cayne or Jon Corzine. That said, in this article Blodget writes about the common underwriting practice of “greenshoe” whereby the IPO underwriter has the luxury of printing stock to either participate directly if a deal is “hot” or put on a risk-limited short if the deal sucks. As you know, Facebook sucked and the underwriters utilized their greenshoe to profit handsomely regardless.