Cramer´s Bull Case For Banks..... I Can Smell A Top... ;-)

Oh boy..... After the ( even by his standarts.... ) famous "Housing & Bank Stock Shortage" call from January 2008 ( NO KIDDING > see "Ten Trillion $ Worth Of Good Calls" ) was a little bit "premature" he is predicting a bank stock shortage version 2.0.... Would at least be honest if he mentioned the "ultimate moral hazard trade" & the "Enron-esque characteristics" when it comes to accounting as the two main reasons behind the motives to own banks.. ;-)

Die Euphorie ist zurück........ Nachdem derselbe Typ Januar 2008 leicht "verfrüht" bereits einmal eine "Housing & Bank Stock Shortage" ( siehe "Ten Trillion $ Worth Of Good Calls") proklamiert hat ist es höchtse Zeit für eine Version 2.0.....Wäre zumindest ehrlich gewesen wenn er in seinen 10 Gründen die unbedingt dafür sprechen sofort massiv Bankaktien zu kaufen den "ultimativen Moral Hazard Trade" sowie die kreative Bilanzierung die stark "Enron-esque characteristics" aufweist als die Topgründe aufführen würde.... ;-)



Just for the record here are the two main ETF´s tracking the financial sector.....

Nur um die Daten festzuhalten nachfolgend die beiden relevanten Bank/Finanz EFT´s....

Financial Select Sector ETF) $ 15,47 & KBW Regional Banking (ETF) $ 25,47

Needless to say that both ( along with almost every asset class worldwide ) are trading at 52 week highs & had the longest winning streaks since 1995.....Especially Citigroup seems to be a "real bargain"... ;-)

Überflüssig zu erwähnen das die EFT´s ( wie fast alle anderen Anlageklassen weltweit ) auf Jahreshochs stehen & gerade die längste Gewinnserie seit 1995 hinter sich haben....Besonders Citigroup scheint ein "echtes Schnäppchen" zu sein... ;-)

John Hussman Rips Apart CNBC ZH

In reflecting on why the past 15 years have been so riddled by irresponsible speculation, it is impossible to ignore the rise over that same period of widely-viewed financial programming that is equally riddled with cartoonish content that encourages short-term thinking and speculation (buy-buy-buy! sell-sell-sell! boo-yah!)

"Anti Spin" from Chris Whalen via NC ( MUST READ!!!!)

In fact, the banking system is continuing to sink under bad loans and even worse securities losses. Telling the public that the banks are “fixed” is irresponsible. Unfortunately this false perception is widespread, including among major media such as CNBC and also with a number of my clients in the hedge fund world.

But at least Bubblevision is a very good tool to spot sentiment......

Immerhin muß man Bubblevision lassen das es kaum ein besseres Barometer gibt wenn es darum geht die Stimmungen "einzufangen".....

UPDATE: Unrelated....... Ohne Bezug.... ;-)

Citi: Bove Raises to “Buy”; Citicorp Is New Model for U.S. Banks

He figures Citi is worth about $8.50 in that outlook.

"Wall Street Finest & Lehman June 2008 ZH

Hoenig Says Big Banks Must Either Add $210 Billion In New Capital Or Reduce Total Assets By $3 Trillion; Bank Capital Raises Imminent ZH

Speaking Of A Money Illusion........

As assumed last Friday the Dow finally hit 10 K. After looking at the chart you probably know why i prefer gold....... I think a few years from now this ratio will be even more favourable.....Wouldn´t surprise me if we see similar ratios like in 1980 . The same is true when you price the S&P 500 in Gold .....

Wie bereits letzten Freitag hat der Dow die 10 K geknackt. Habe das mal zum Anlaß genommen das Dow/Gold upzudaten. Unschwer zu erkennen warum ich seit langer Zeit Gold bevorzuge.... Meiner Meinung nach wird sich dieses Verhältnis zukünftig noch weiter zugunsten von Gold beschleunigen.... Ich würde selbst ein Verhältnis ähnlich dem Jahr 1980 für nicht "unwahrscheinlich" halten. Ähnlich verhält es sich wenn man den S&P 500 in Gold kalkuliert .....



WSJ

And you thought you had broken even. If investors had bought gold when the Dow first closed above 10000 in March 1999, they'd be up almost 280%.

Put another way, Dow 10000 a decade ago "cost" 36 ounces of gold, treating each Dow point as $1.

When the Dow revisited that level Wednesday, it was worth only 9.276 ounces of gold.

In oil terms, the Dow has gone from 609 barrels to 133.

Chart via Zero Hedge

bigger / größer

Dow 10,000: A Celebration Jesse

Team coverage today on Bloomberg by the Money Honeys as the Dow Jones Industrial Average crossed 10,000 intra-day, led by J.P. Morgan, in a move that surely epitomizes the illusions of wealth granted by modern accounting practices.

Can you believe the NYSE had the nerve to prepare new Dow 10,000 hats and distribute them for today? The first time the Dow Industrials crossed 10,000 was in 1999. The last time it closed over 10,000 was in October of 2008, just
before the most recent plunge of the collapsing credit bubble.

That does not speak well of equities for the "buy and hold" crowd, which has surely had a wild ride if they have indeed managed to hold on for the last ten years, and ex-dividends and fees and commissions and inflation and a plunging US dollar and soaring commodities are... even.

AMEN :-)

UPDATE:

The following videos are too good to be buried in the comment section..... Judging from this interview Bloomberg has morphed into another version of CNBC.......

Denke die folgenden Clips sind zu gut um in den Kommentaren versteckt zu werden..... Muß gestehen das ich nach dem folgenden Interview den Eindruck habe das sich Blommberg und CNBC nicht mehr wesentlich voneinander unterscheiden......

The Colbert Report	Mon - Thurs 11:30pm / 10:30c
The Money Shot
http://www.colbertnation.com/
Colbert Report Full Episodes Political Humor Michael Moore

The Daily Show With Jon Stewart	Mon - Thurs 11p / 10c
Dow Jones Rebounds to 1999
http://www.thedailyshow.com/
Daily Show Full Episodes Political Humor Ron Paul Interview

"The Emporer Has No Clothes, But Who Dares To Say It"

Jesse´s Cafe Americain is once more spot on... Thanks :-)

Jesse´s Cafe Americain trifft mal wieder den Nagel auf den Kopf.... Besten Dank :-)

larger/größer

CNBC Gives Financial Advice / Must See Daily Show Clip!

Still suffering a flu but this one has to be spread around.... Not always fair and balanced but CNBC deserves every second..... This is especially true when you watch some "Cramer Classics".... :-)

Die Grippe macht mir momentan noch zu schaffen aber der nachfolgende Clip mußte einfach gebloggt werden..... Ist zwar nicht immer ganz objektiv aber ganz besonders CNBC hat sich jede Sekunde mehr als verdient.... Gilt besonders nachdem man sich einige der älteren "Cramer Classics" angetan hat..... :-)

The Daily Show With Jon StewartM - Th 11p / 10c

CNBC Gives Financial Advice

Daily Show Full Episodes
Important Things With Demetri Martin

Political Humor
Joke of the Day

And this one is also worth watching......

Dieser Clip ist mindestens genauso sehenswert......

The Daily Show With Jon StewartM - Th 11p / 10c

The Dow Knows All

Daily Show Full Episodes
Important Things With Demetri Martin

Political Humor
Joke of the Day

Spread the clips around.........