Why do you think Jesus washed Judas' feet?
He was trying to heel his sole.
Saturday 28 February 2009
Friday 27 February 2009
Can I open my eyes, yet?
I've been keeping my eye on solar energy stocks, lately, particularly First Solar (FSLR) and Suntech (STP). I've been on the sidelines since September waiting for signs that the worst is over (I'm not sure we've reached that point, yet), before I make a play.
Suntech was my leading candidate to get my money, but then I read a few articles that were very pro-First Solar in this space, citing Obama's stance on "buy American" (Suntech is Chinese) as well as other reasons. I have long held the belief that a monkey can do as well or better than most equities analysts and this is yet another sliver of evidence.
In the last month and a half or so, First Solar has plunged from about $160 down to just above $100. Mind you, Suntech hasn't fared much better. But my point is that this is not the kind of market to be investing large amounts of cash in any stock.
Since the market started nosediving last September, countless "savvy" analysts have been shouting from the rooftops that this is an opportunity to buy stocks really cheap, and while that may be true, it's only true if you have a long horizon on your investment. Most people don't want to wait that long. I think it wiser in circumstances like this to put your money in a safe vehicle like a money market fund where you'll make a little profit and it's 100% safe. Then, when the broader market has stirrings that it is ready to embark on a sustained rally, gradually make incremental moves into equities.
How many people have been burned twice or more since September due to false starts in the markets? Meltdowns like this do not correct themselves in a month or two. Millions of people foolishly sunk the rest of their hard-earned cash the moment the market had a 2 or 3% pop only to watch it sink another 5% in the days that followed. And this has been repeated several times.
I hate to say it, and I've been saying this for several years, long before it became "fashionable", that we were headed for another depression almost as bad as the Great one. I imagine it will take years to come out of it. It doesn't mean that the news will all be gloomy. But we need to manage our expectations.
I'm not convinced that we have hit bottom, yet. We may have seen the worst of the layoff announcements--maybe. But we certainly have not yet seen the effect of those layoffs, meaning the reduced spending of those unfortunate workers and the effect that will have on bottom lines to businesses going forward. Not to mention the reluctance of the lucky ones to spend for fear they are next for the chopping block. Tread carefully, my friends. And always, always be sceptical.
Suntech was my leading candidate to get my money, but then I read a few articles that were very pro-First Solar in this space, citing Obama's stance on "buy American" (Suntech is Chinese) as well as other reasons. I have long held the belief that a monkey can do as well or better than most equities analysts and this is yet another sliver of evidence.
In the last month and a half or so, First Solar has plunged from about $160 down to just above $100. Mind you, Suntech hasn't fared much better. But my point is that this is not the kind of market to be investing large amounts of cash in any stock.
Since the market started nosediving last September, countless "savvy" analysts have been shouting from the rooftops that this is an opportunity to buy stocks really cheap, and while that may be true, it's only true if you have a long horizon on your investment. Most people don't want to wait that long. I think it wiser in circumstances like this to put your money in a safe vehicle like a money market fund where you'll make a little profit and it's 100% safe. Then, when the broader market has stirrings that it is ready to embark on a sustained rally, gradually make incremental moves into equities.
How many people have been burned twice or more since September due to false starts in the markets? Meltdowns like this do not correct themselves in a month or two. Millions of people foolishly sunk the rest of their hard-earned cash the moment the market had a 2 or 3% pop only to watch it sink another 5% in the days that followed. And this has been repeated several times.
I hate to say it, and I've been saying this for several years, long before it became "fashionable", that we were headed for another depression almost as bad as the Great one. I imagine it will take years to come out of it. It doesn't mean that the news will all be gloomy. But we need to manage our expectations.
I'm not convinced that we have hit bottom, yet. We may have seen the worst of the layoff announcements--maybe. But we certainly have not yet seen the effect of those layoffs, meaning the reduced spending of those unfortunate workers and the effect that will have on bottom lines to businesses going forward. Not to mention the reluctance of the lucky ones to spend for fear they are next for the chopping block. Tread carefully, my friends. And always, always be sceptical.
Thursday 26 February 2009
Wednesday 25 February 2009
For a change of pace
An uplifting story.
A high school student whose mom passed away on the day her son was to play in a basketball game, surprised everyone including his coach by showing up at the game in progress after watching his mom lose her five year battle with cervical cancer.
The coach left the boy's name off the roster but when the boy joined the game, the referees awarded the opposing team two free throws on a technical foul because of it. After a seven minute debate between the opposing coach and game officials, the tech stood.
By now, word of the mother's death had spread throughout the gymnasium. The coach whispered to the player about to take the free throws and the boy threw the ball a few feet, purposely missing the basket. He repeated the action a second time. The crowd rose to its feet and applauded.
The team who blew the free throws went on to lose the game, the shooter saying of his misses "It was the right thing to do." However, both teams were winners that night.
A high school student whose mom passed away on the day her son was to play in a basketball game, surprised everyone including his coach by showing up at the game in progress after watching his mom lose her five year battle with cervical cancer.
The coach left the boy's name off the roster but when the boy joined the game, the referees awarded the opposing team two free throws on a technical foul because of it. After a seven minute debate between the opposing coach and game officials, the tech stood.
By now, word of the mother's death had spread throughout the gymnasium. The coach whispered to the player about to take the free throws and the boy threw the ball a few feet, purposely missing the basket. He repeated the action a second time. The crowd rose to its feet and applauded.
The team who blew the free throws went on to lose the game, the shooter saying of his misses "It was the right thing to do." However, both teams were winners that night.
Tuesday 24 February 2009
Ripped from the headlines
Bob Barker, well-known and popular ex-game show host is angry with Edmonton, Alberta, Canada for keeping Lucy the elephant in an inappropriate environment. He claims that she is sick and should be transferred to an elephant sanctuary in California citing the harsh, cold winters in Edmonton as one of the reasons the pachyderm is not doing well. but city fathers and zoo officials say that Lucy is healthy except for a tooth problem and insist that an extended trip may kill the elephant.
After being pressured by Zoocheck Canada, a Toronto-based animal rights group, the Edmonton zoo released the following photo which it says demonstrates that Lucy is well cared for and is provided the same highly effective protection from the cold that most Canadians use:
The story.
After being pressured by Zoocheck Canada, a Toronto-based animal rights group, the Edmonton zoo released the following photo which it says demonstrates that Lucy is well cared for and is provided the same highly effective protection from the cold that most Canadians use:
The story.
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