Bozo Hedge Funds

Jim Cramer on CNBC: 

This sell off has been manipulated by "Bozo Hedge Funds."

Its caused by Hedge fund redemptions.

Hedge funds are manipulating the markets down; Jim could "scare the S&P down 2%"

JJC:  Don’t be scared, start buying stocks right here. The hard landing scenario is a scare case by the Bears. Market is over reacting to the economic news, nback up the truck and start buying now.

He does admit the economy is slowing down, and he also likes Health Care (a classic defensive sector).

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  1. lurker commented on Dec 1

    Now I am afraid, very afraid. Cramer says back up the truck?!!!!!! Look out below!!!!!!

  2. jjr commented on Dec 1

    I haven’t laughed as hard, since I saw Borat. Anyone else detect a distinct note of fear in the air at CNBC central today?

    The Three Bears:
    the dollar

  3. MarkTX commented on Dec 1

    so cramer is starting to talk about his imaginary hedge fund friends
    “BUZZ and BATCH” like back in 2000 (The street.COM)

    amazing how things change and still stay the same…..

  4. bob commented on Dec 1

    What a nonsence!

    If we had a major hedge funds redemption happening then commodities would drop as well. And all kind of shakeups in futures, bonds and whatever else hedge funds are investing into.

    What we see is just a straightforward reaction to very simple and clear economic indicatiors.

    Is Jim Cramer a moron or he is under influence?

  5. Rusty commented on Dec 1

    Hedge funds could be dumping dollar denominated assets such as stocks, buying into foreign markets, and holding firm in metals and commodities. Makes sense given the performance of the dollar and all markets this week.

  6. wcw commented on Dec 1

    Even more reasonably, it could be a completely normal day in the equity markets. We had two different unexpectedly poor economic reports, and stocks went down less than 1%. Big freaking whoop. Equities do that all the time.

    The real action has been in the dollar. Currencies do not do that all the time, and the Euro, GBP (especially) and even Asian carry currencies have been going straight up. Even funding currencies like the Yen and CHF have been dragged up. That’s a bloodbath.

    If JJC wants to show us something, he’ll call the turn in the Euro/$. Implied vols there are cheap. If you call a reversal, you make easy money.

    Tough to spot those ahead of time.

  7. Bob A commented on Dec 1

    Pity the poor shmuck who listens to Cramer.

  8. Ryan commented on Dec 1

    Weird thing is that Cramer is one of the most brilliant hedge fund managers of all time. Eric Sprott, nicknamed “The Warren Buffett of Canada” is one of the best long/short hedge guys in the world and he has been bearish for months.

  9. bailey commented on Dec 1

    I hate to say it but he looks like he’s snapped, like he’s lost any sense of measured perspective. At one point he actually said he used to push the market around. My guess is he’s living the stress 20 hours a day, he’s been toddering on a very fine edge for longer than he can sustain it, that his personal life has gone into the toilet, & that he needs some professional help NOW! Instead, what he gets from cnbc is a highlight. This is obscene, it’s grotesque, the immolation of a shadow of a man for ratings.

  10. cleanupDSNY commented on Dec 1

    cramer should get a pulitzer for Buzz and Batch.

  11. Uncle Jack commented on Dec 1

    He’s screaming hedge fund manip on less than 1% selloff; wait ’til the real selling action begins. I think the bulls have forgotten what a genuine selloff looks like.

  12. dark1p commented on Dec 1

    Cramer was a brilliant hedge fund manager? He was lucky to be born at just the right time to have practically his entire career coincide with the biggest bull run in history. And according to his own book, he still had to kinda sorta manipulate stocks to get the results he had. Since the Nasdaq crash, he hasn’t been so great. Not bad, but not great. Hence, the derisive comments, to which I’d like to add:

    The Jiminy Cricket leprechaun says buy!! We’re all doomed!!!

  13. joe commented on Dec 1

    hedge fund redemptions if you have annual liqudity were generally Oct 31, not November 30, cause most have 60 day notice. The only way this has anything to do with HF redemptions is if you have monthly liquidity or quarterly liquidity with 30 day notice.

    Like many commenters said, we had two crappy econ reports in two days. The market should be down

  14. Bob A commented on Dec 1

    Cramer did this day after day for months as UNH went down earlier this year.

    No he is NOT on drugs. He’s SUPPOOOSED to be on drugs… and he’s not takin’ em.

  15. MarkTX commented on Dec 1

    if I remember correctly
    Buzz and Batch would call Cramer
    a “BALL HEADED BOZO” whenever they would give Cramer the low down on how the stock market
    really worked.

    At the time it was funny….
    Cramer has now turned into a caricature of himself

  16. Jim M commented on Dec 1

    Folks, anyone else out there who thinks this looks like 1987? Dollar weak, not much buying on the Friday, traders digest bad news over the weekend. I realize the margin stuff is different, but the unwinding of derivative contracts is a factor now.

  17. lurker commented on Dec 1

    don’t insult Bozo.
    He’s a bald headed booooyahhhhh!

  18. MarkM commented on Dec 1

    Rally ’em up! Whoo-Hoo! Gotta keep chasin’ those shorts!

  19. bodanker commented on Dec 1

    I’m turning off the italics…

    Nice little bounce off the session lows… too bad volume dried up as it happened. (chart)

  20. emd commented on Dec 1

    wtf happened in the final hour?

  21. bodanker commented on Dec 1

    Maybe a lot of people went home early?

  22. MarkTX commented on Dec 1

    wtf the end of the day?

    “anytime is a good time to run them up.”

    (Buzz and Batch circa 2000-2001)

  23. cleanupDSNY commented on Dec 1

    WOW what a comeback to almost unchanged! awesome. Maybe cramer is right after all…..hmmmmm

  24. Michael C. commented on Dec 1

    Look at that crack cocaine of a Tick chart today.

    Looks like JJCramers EKG during a regular trading day.

  25. MarkM commented on Dec 1

    But I LIKE the italics! Makes me feel special!

    That run-up was non-sensical. Anybody else feeling the urge to get way long this tape with this data? Thought so.

  26. S commented on Dec 1

    Cramer overdosed on chutzpah.

  27. bodanker commented on Dec 1

    Then you can have the italics in your posts, I’m not special enough to have them. :p

    I wonder what Monday will bring…

  28. Barry Ritholtz commented on Dec 1

    I put out a few shorts today — QQQQs, and the DJ Realty Index IYR

  29. glenn commented on Dec 1

    My most vivid memory of Jim Cramer…and it’s not anything he does on Mad Money. HE WAS BULLISH THROUGHOUT 2000, 2001 AND EARLY 2002. Just check out his archived commentary on The or RealMoney if you subscribe. I don’t need to go back to the archives. I took market notes starting in 2000 and all my entries over that period say, “JJC still bullish”. I lost a lot of $$ over that period…never again.

    btw, reading through the comments above, “dark1p” has PEGGED the basis for Cramer’s HF management success. Sure he’a a super smart guy….his knowledge of the markets certainly blows me away…but he was extremely lucky to be born when he was.

  30. msecc commented on Dec 1

    If this market turns bear for 3+ month, Barry will have a show by month 4 to replace Cramer…

  31. sam commented on Dec 1

    barry, did buy the QQQQ puts? what do think about QID (short that doesn’t expire?)

  32. whipsaw commented on Dec 1

    per BR:
    “I put out a few shorts today — QQQQs, and the DJ Realty Index IYR”

    Interesting Barry. May I ask why you did that? The Qs wound up closing more or less on their 20 day MA which is pretty much what I expected and IYR didn’t do much. I don’t see any technical signals that would have been triggered and it looks to me like you are fighting with some pretty strong trendlines, but maybe we look at some different things. I’ve got some January QQQQ calls that I expect will get shoved up during the Santa Rally and looked at IYR as a short a month ago, but concluded that it was nowhere near ready to roll over.

    fwiw, today I went on a minor buying spree during what proved to be a rather truncated pullback and picked up some VIG and PYH (new etf) as long term holds along with some XOP. Also bought some EWS yesterday partly to play off of the USD problems. Not pumping anything, just sharing my adventures as you did.

    There are lots and lots of reasons to have a bearish outlook, but even more to avoid fighting the charts I think.

  33. Andrew commented on Dec 1

    “Avoid fighting the charts”….. oh give me a break…..

    This market absolutely stinks…. volatility is still really low but the last two days it has been absurd. The greedy pigs can’t take profits even on bad news…. must be more of an excuse to take the market up.

    Bad news= buy buy buy.

    As for Cramer…. he keeps listing reasons for stocks to keep going up. There is a slowdown or recession coming and last time I checked that wasn’t a reason to run up the indices.

    Lastly, rumours are so out of control….the bulls don’t have any good news left so they make up rumours to move stocks…i.e. Home depot today.

  34. V L commented on Dec 1

    Cramer is a clown who pretends to be a stock market guru. His show is like a loud noise TV commercial where he sells stocks (that his “Charitable Fund” or Berkowitz Capital owns) to an audience of immature teenagers (most of them are playing with their student loans and lunch money).

    Cramer had to come up with a silly reason to convince his audience to continue buying his stocks; hence, this “Hedge fund redemptions” nonsense.

    He has never mentioned the real reasons:

    1. More inverted US yield curve
    2. Sinking USD
    3. The revision to last quarter GDP (Q3) was secondary to an increase of inventories of unsold goods
    4. Unemployment claims (and the trend) are sharply up
    5. The majority of retailers had disappointing sales; the largest US retailer Wal-Mart had the worst results in 10 years
    6. Consumer confidence is down despite lower gas prices
    7. Chicago manufacturing index is down
    8. Durable goods orders fell off a cliff
    9. Construction is down
    10. Trucking business is down
    11. Mortgage applications are falling sharply
    12. The number of folks with loan delinquencies is the highest since 1982
    13. New home sales are falling sharply
    14. ISM is the lowest since the last recession
    15. Anemic consumer spending
    16. Etc …..

  35. whipsaw commented on Dec 1

    per Andrew:
    ‘”Avoid fighting the charts”….. oh give me a break…..’

    hmmm, do you disagree with the basic idea that, regardless of what the ‘big picture’ may be or what *should* happen, the price action (as reflected in the charts) is what should govern the direction and timing of trades? It’s hard enough to win on the short side even when the stars are aligned and there is a flashing technical sign in front of you, but shorting against a pretty well defined rising trend is generally going to be a bad idea.

    I’ve done it with great success and with great loss before, but that’s no way to trade in my opinion. I’ve got some older March puts on financials and an armload of straddles (including some on WMT that I bought Wed that immediately went green as it dove yesterday), so it’s not like I am cheering the bulls on. I just don’t see the odds in shorting a generally rising tape regardless of macro/fundamentals.

    Once we see a significant technical breakdown like SPX going below 1360, then I’ll get interested in adding index short positions, but until then I am not going position my little self against Paulson, Bernanke and the financial media who provide the ambient upward market bias with their words even as common sense tells you that prices should be plunging. Been there, done that, bought the boots. Not going there again.

  36. Rich_Lather commented on Dec 1

    Are markets usually this confusing during a distribution phase?

  37. Gary commented on Dec 1

    You don’t get ratings on a stock market show by being negative on the market. Cramer may very well be bearish but he’s not going to say it on his show. I’m watching the COT report. The commercials have had a historic short position in the S&P futures now for 3 weeks. They are typically a little early but when the big boys start selling heavily sooner or later the market corrects. I like the Jan. 08 QQQQ puts. Gives the position plenty of time to work.

  38. wcw commented on Dec 1

    ws, while I can’t say I love the things you were buying, I did try to pick up some January SPX calls today. No fills — vols were pumped too high on the way down, and nobody hit my offers during the ramp up. ‘S okay — I have a couple positions (Yen/$ calls, CAQ) that have been loving the last couple weeks in the currency markets. Flat otherwise, which works in sideways markets.

    On putting out some index shorts on the Nas100, I can’t say it’s a terrible idea, but I have been focusing on selling out of some long semi trades (AMD out, UMC halved), staying short a few names (SNDK, INTC). In re the IYR short, I have been short ASN for a little while now against long NRI (P/L ~1%). I am grinning and bearing the homey runup, but refuse either to cover or to short more while it’s happening. If the data turn, I take my losses; with momentum like this I want better entries if it doesn’t.

    As for ratings, why even watch, unless you’re a JJC pump-and-dumper?

  39. Jim M commented on Dec 1

    Glenn’s got it right. I was an everyday reader of from 1997 to about 2001, and it was such a “trend-is-your-friend” phenomenon. Cramer ended up in early 01 basically endorsing momentum as the only reason to stay in. I even asked him about it in an email (I was in cash by then) and he admitted it: “there are a lot of people long and making money right now,” or something to the effect.
    He’s a promoter–of himself, of the market, of the good old USA (shorts are unpatriotic). Cable news and the Street love that. It all just feeds on itself–while the smart money sells out.

  40. ari5000 commented on Dec 1

    response: Are markets usually this confusing during a distribution phase?

    Market tops, in my experience, are always extreme volatile. Why shouldn’t they be? With high prices, bulls are convinced the ‘trend is their friends’. The trend IS your friend — until it isn’t. When you near the top, that last ‘buy the dip’ strategy is a real bitch.

    Shorts who are early keep getting their chains yanked, too. Volatility picks up at the tops because when people are CONVINCED the market is dead and then you’ve got Cramer… it’s a big catfight until one side wins.

    Keep watching the $VIX. I personally think we’ve got a few weeks to drag this out. Way too early to short QQQQS, I think — even though I think the QQQQs will not break 44.80 again. But anything can happen.

  41. whipsaw commented on Dec 2

    per ani5000:
    “Keep watching the $VIX. I personally think we’ve got a few weeks to drag this out. Way too early to short QQQQS, I think — even though I think the QQQQs will not break 44.80 again. But anything can happen.”

    You may be wasting your time watching vix- have a look at where Schaeffer opines:
    ‘The problem with using the VIX as a sentiment indicator is that it is first and foremost a measure of market volatility. And market volatility is low in large part because of the “steady as she goes” rally that we’ve been experiencing, which, perversely enough, registers as a “low volatility” input to the option pricing models, which then spit out low option premiums. In this manner, strong price action begets low volatility, which begets a low VIX, and those arguing that a low VIX is a sign of a market top are in effect making the less-than-compelling argument that a strong market is, in and of itself, a sign of a market top.’

    I have a lot of trouble arguing with that reasoning. But maybe you see it differently?

  42. whipsaw commented on Dec 2

    per wcw:
    “ws, while I can’t say I love the things you were buying,”

    well, you are not supposed to dream about them, they are just supposed to be there rain or shine:) So I look at that stuff as a base, along with bonds, that isn’t going to crap out completely no matter what and will probably do okay over the next ten years- fire and forget.

    My options trading account is another story entirely, swing for the fence. Risk profile there? I won my first wife shootin’ dice, then lost her in a p0ker game. [if you don’t recognize that lyric, then you have some damn hard school ahead of you]

  43. dgm1 commented on Dec 2

    Cramer. It seems most of his followers – college age and the other Cramerites or Cramericans or (maybe lemmings is a better term) out there that simply see him as the host of the TV show, Mad Money, and nothing less. They know very little of his shady past.

    His hedge fund had some success in the 90’s as it was a bull market period as one poster pointed out. He personally gives credit to his wife, Karen Backfisch, who worked as a trader for Michael Steinhardt Co. Cramer called her the “Trading Goddess”. He forced her to come to Manhattan each day to help run his fund cause he sucked at it. Think about that, having to call your wife to help do your job because you suck at it!

    Would he ever bring up the articles at the height of the bubble? Umm, well, not in this lifetime. As one poster said his picks in many bubble era articles (JDSU), etc, dropped well over 90% in many cases. He had no selling discipline at all, so buried anyone who followed. Funny thing is – he said they would come back. Most never did. Meanwhile he dutifully collected subscriber fees.

    Today he courts young, naive 20 somethings with his antics, basically just promoting his wares, lining his pockets. To the uninitiated, he looks the part, and tries to play it. Little do most know he graduated from Harvard with a journalism and later a law degree. What no MBA, finance degree? What does journalism have to do with trading?
    Everything you see! Cramer soon realized that he could write articles in the press and that would help out his own stock holdings. Clever idea! From Howard Kurtz’s, The Fortune Tellers:

    “In 1995, he was writing a financial advice column for Smart Money magazine. In one column, Cramer praised four small, rather obscure companies, and they took off like a rocket. Trading in one firm, UFP Technologies, went from 800 shares in the previous 4 days to 703K share in the following 5 days. And the stock price doubled from $2 to $4 a share. All told, 3 of the stocks, UFP, Rexon, and Canonie Environmental Services – surged by as much as 66 percent in a couple of weeks on the strength of Cramer’s upbeat words.”

    So there you have it. A star is born. He supplemented his journalism paycheck by not stock trading prowess, but by cheating. Later, he became well known with his website, got a few breaks and pushed himself onto Squawk box on CNBC.

    Why the push for TV? That should be obvious. He could pump his business, his IPO TSCM stock, his website, and yes stocks in his hedge fund. Possibly receive a little kickback from friends for pumping their stocks (or trashing them if they are short). He soon realized TV had a more immediate impact on stock prices than written articles, you see. The SEC investigated and unfortunately Cramer had a good lawyer or something and got away with one. Cramer was not allowed on the show for some time, as 90’s listeners can recall.

    So one whore approached another (GE / NBC). They took his bait and he got his own show. I wouldn’t have a big problem with him if he was actually doing people a service – obviously he is not. Even as a so called fundamental guy, he sucks. So today he touts one pick that did well this year, ATI. See, I’m a genius he says. Gee, fire a machine gun all day and your sure to hit something. Why would one ever listen to this scum who cheated his way to success?

    I do hope that if there is still cheating going on from his current show, (read: benefiting personally from his own stock touts) that he is caught this time and justice is served. Then GE will awaken to the fact that they made the same mistake again.

  44. sceptic commented on Dec 2

    Given the amount of bad news I think the market held up pretty well – perhaps too damned well. Hedge funds are most unlikely to have been sellers. Almost all equity l/s managers are fully wedded to the Goldilocks scenario and would probably be the last to sell. In fact, given the bad news I am surprised the market did not fall more over the week – but I guess we had month end window dressing and some new money coming into the market for dec 1. Lets see what next week brings us.

  45. MarkM commented on Dec 2

    Short squeeze in GM rocketed the Dow the last 30 minutes. GM moved a full 2%. Sounds like good, fundamental buying to me. The rest of the market went along for the ride IMHO.

  46. MarkM commented on Dec 2

    Sorry. Last *75* minutes I meant to write.

  47. Barry Ritholtz commented on Dec 2

    I didn’t use puts — just a “placeholder short” (QQQQ, IYR) while we run studies over the weekend to look for sector and individual name shorts.

    Why? In case Monday opens down ugly.

    Earlier this week, we did a (subscription) piece on the Transports as the 1st warning; Friday’s lower intraday low was the next warning.

    This week marks the 1st time we have been short the markets since much earlier this year — but a sI noted, its not a huge position.

  48. traderb commented on Dec 2

    if you think equity markets are high, you should take a close look at the credit markets. spreads at the lowest levels ever, all because of the credit derivatives market. structured products in that market take an unbelievable amount of risk out the market, and so keep spreads low and hence borrowing easy even for the weakest of companies.

    the size of these structures means there is always a need to take on far more risk than corporate bond issuance provides, so there is always a major short base in this market. the recent weak economic numbers and occasional shaky days in the stock market are having a negligible effect on credit spreads.

    financing will remain easy to get until the economy is weak enough that we get some unexpected corporate defaults which blow-up some of these structures, and so bring down demand for them. my opinion is that when this starts to happen, it could turn the credit market very quickly due to the size of this structured/derivative market.

    the bubble continues to grow…

  49. sceptic commented on Dec 2


    Agreed that the credit market is even more egregiously priced tahn equities. There is a certain amount fo self-reflexicity between the two – credit investors point to great “earnings” and equity guys say that as long as credit is freely available then all will be well. The problem with this is that if one of these two pillars was to crumble, there would be nothing left to propr either of them up.Credit markets are in my opinion held up to a large extent not by the lack of defaults but because reovery values are expected to be high – this leads to investor belief that over very short periods everything can be priced as AAA. well, one day we will find out how close the recovery values are to their expectations.

  50. zack commented on Dec 2

    In his defense…

    Last year at this time, he called ATI as the stock of the year for 2006. Dead right.

  51. V L commented on Dec 2


    Did you count how many stocks he called and was DEAD WRONG?

  52. V L commented on Dec 2

    P.S. Cramer looks and acts so much like Lenin – two masters of misleading and deceiving the public. One charlatan (Lenin) used to promise to uneducated folks that under his communism everything would be free, and another charlatan (Cramer) promises to his amateur investors that if they buy and hold his stocks they will be rich.

  53. my1 commented on Dec 2

    Out of all you guys, I think that ari5000 said it best.

    “With high prices, bulls are convinced the ‘trend is their friends’. The trend IS your friend — until it isn’t.”

    I see absolutely no point in speculating blind in this market. Grab a position, load up on dips (in your long term favor that is) and stock to it.

    Remember, “Markets can stay irrational…”

  54. Bob A commented on Dec 2

    Cramer’s record on stock picks is roughly 50/50. His ‘job’ is to generate commissions for brokers and sell subscriptions to TSCM. He makes millions at that. If you think his ‘job’ is to make money for viewers like you, you are hopelessly naive and sadly mistaken. If you think he makes anywhere near as much on his ‘charitable trust’ as he makes selling ads and subscriptions please think again.

  55. V L commented on Dec 2

    “I see absolutely no point in speculating blind in this market. Grab a position, load up on dips (in your long term favor that is) and stock to it.”

    Isn’t it what you are doing by loading up on dips? You are “speculating blind in this market” that the current aggressive denial of reality will continue, but one day you will catch the falling knife.

    Judging from this blog, it appears that the emotional impact of this phony Wall Street rally (driven by liquidity, squeezing shorts, and denial of reality) has transformed many bears into the reluctant bulls; thus magnifying the growing divergence between the stock market and the actual US economy.

    Although in the long run markets tend towards rational positions; nevertheless, “the market can stay irrational longer than you can stay solvent”.

    Nobody knows how much longer it can stay irrational. Nobody.

  56. angryinch commented on Dec 2

    There have been recession fears and warnings in each of the past three 4Qs: 2004, 2005 and 2006. We haven’t gotten the recession yet.

    However, I do remember Jiminy Krammer telling his flock back in Aug/Sep 2004 that a “recession is coming if it not already here.” He was telling folks to sell now before you have to later. At that time, I knew that recession fears were overblown if Jiminy Krammer was bearish.

    Last year, Krammer was more sanguine but still a bit cautious due to oil prices, etc.

    But this year, with recession MUCH more likely in 2007 than it was for 2005 or 2006, Krammer is throwing caution to the wind. He says there will be no recession. And even if we get a recessionette, he says, it doesn’t matter. Stocks will still keep rocketing.

    Unlike 2004 or 2005, now’s the time to be afraid, at least based on the Jiminy Krammer indicator. He specializes in getting the greatest number on the wrong side of the trade at absolutely the worst moment. And to top it off, his new book “Watch TV, Get Rich!” comes out on Monday.

    No doubt this book will be dubbed “Watch TV, Go Broke!” at some point in the coming year.

  57. Biels Chowsky commented on Dec 2

    Looking at BP’s “emperor has no clothes” meme, through Ferguson’s War of the World lens, let’s propose that America’s financial markets are a form of disease on society, with credit card usury as the old physic’s blood letting.

    Morphing Physician’s Desk Reference into the Wayback Machine, on a global basis, the Net hysteria of the late 1990’s was a media scarlet fever and a tetanus on truth, that led to an untimely disease and financial plague for tens of millions of Americans. Think of all the friends and neighbors you know who lost their entire life’s savings just five short years ago. Remember co-workers running in the halls, yelling, “I’m up 5% for the day!” They’re drowning in their own credit today.

    On an unit basis, look at the HAL “organism”. [Google: “cheney halliburton”]. Once a common and innocuous fermenting agent, HAL was a oil service bacterium which made America stronger through its beneficial use as a saprophytic agent, turning fossil ooze into go-juice. Like any fermenting agent, it’s size and strength varied, and was tied to, the volume and value of the product it produced.

    Then in 1995, under former SecDef nee CEO Dr. Cheney, HAL was mutated into an infectious virus, transforming into a hardy defense contractor variant known as HAL-KBR. Rapidly infecting the nerve centers of government, HAL-KBR became a full-blown debilitating disease by Y2K. Over the ensuing years of chronic wasting, HAL-KBR siphoned off hundreds of billions into private hands, and inflicted on US a necrotic Iraq-Syndrome that will cost well over a trillion.

    Our Physic in Chief pronounced, “stay the course.” Odd.

    Unlike the infamous ENE-KLL virus “Enron” population die-off in 2001, HAL-KBR was a silent killer. In the process, HAL-KBR grew over 300% in financial strength in only four years, a rate of infection unparalled anywhere, except on NASD. Then, as quickly as it exploded into devastating disease, and just a decade after it first mutated, HAL-KBR spun off its KBR genome, and reverted back to a seemingly innocuous oil service bacterium again.

    Our Assisting Physic is five hundred million richer for creating this contagion. Good on ya’, mate!

    So to return to BP’s “emperor’s clothes”, if we’re going to chart America’s vital signs, and measure how many quarts of M3 Ringer’s Lactate are being pumped into the banking system to keep US on our feet, then at some point a modern physician will take some fluid samples, do the lab workup and publicly identify these infectious diseases. Otherwise, we’re just throwing bones over the dying patient’s robes, here at BP, leaving US markets a Night of the Living Dead cerebral palsy on the rest of the world’s financial health.

    Then what to do? Intern, would you agree with injecting GS-HMP as a SecTreas agent? A bold choice, administering an extreme form of hedge fund disease as our cure, wouldn’t you say?

  58. Philippe RAFAT commented on Dec 3

    How to organise an aberational market (buble)
    1/It has to be socialy useful (lowering debts cost, expanding assets based incomes)
    2/It has to be economicaly viable (short term)
    3/It has to be politically acceptable
    4/It has to be graphicaly recognisable
    5/Natural markets long side buyers and holders have to be associated worldwilde.
    6/The financial press has to be “confortable” with the events.
    Canditates ??
    Real Estates 2000 2006
    Bond markets 2005
    stock markets 2006
    A zero sum game where sellers on fundamentals are wrong, long on graphic are rewarded.
    Oil price could have qualified on 4/5/6 but a slipage before 100USD/baril provoked the demise of speculative funds and they really did not qualify on 1/2/3.
    A morality do not trust fundamentals on short term if you cannot affort it on a longer term.Do not think! trust what you see
    A long term recognition of fundamentals in 2006 (real estate market,Nikkei, copper,)
    Canditates for recognition on fundamentals in 2007??
    I am …short of ideas??
    Candidates for a buble in 2007 ??
    Too soon for the real estate

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