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To be clear, I’m spending <5% (but actually) of my time on the Twitter acquisition. It ain’t rocket science!

Yesterday was Giga Texas, today is Starbase. Tesla is on my mind 24/7.

So may seem like below, but not true.” - Elon
 
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$TSLA +2.4% to $726 pre-mkt. Equities rallied (SPX +1.1% NDX +1.5%) after Chinese banks lowered the 5yr loan rate by a record amount to boost demand. 10yrTY 2.87% +3.3bp.
 
US outpaces China in latest period of growth.

China cuts rates in order to save face.

Shutdown results were less than desired.

Let’s see if China continues with the zero Covid policies.
 
Looking like the Friday Bear Trap is being set. Markets are up, worldwide, US Futures are up, gold and oil are slightly down. tons of cash sitting on the side line being eaten up by inflation. Lot's of propaganda saying the bottom has been formed and now is the time to jump in and snap up those great deals.
Beware.

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Just bought more Tesla. Trading at Street's bearish FW2023 PE of 41x or 32x of mine (EPS of $20)
 
Fed says recession not likely this year.
 
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Fed says recession not likely this year.
You remember when we were kid's we played a game called "Simon Says"... ? That kid game must have been banned. Remember how you could trip up the other kids to say the phrase without first saying "Simon Says"..... Deva Vu
Simon says "Sit Down", Simon says "Shut Up", Simon says "Hold On".....
The Government is now Simon.
 
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aka the market is not intelligently selling off, rather, it is indiscriminately selling off everything in aggregate opening many opportunities for discerning investors.
I agree to the psychology....
That is what keeps people going into the casino's... There is always a dinging bell and flashing lights of a winner. Still lots of foreign money in this market. I often wonder what their "tolerance for risk is".
 
aka the market is not intelligently selling off, rather, it is indiscriminately selling off everything in aggregate opening many opportunities for discerning investors.

Maybe



DJIA is down 8 weeks straight.....thats NEVER happened in last 90 years.....hmmm....what was 90 years ago?

Prices of pretty much everything wrt markets are inflated and have been inflated for years

I'm sure there are opportunities out there but lets not pretend that the risk isnt wicked high.....this ride has just begun and its no where near the bottom....certainly not with the current crop of central economic planners and incompetents wildly pulling at the levers of government
 
Does anyone believe that Apple was worth five times as much as a company in 2021 at $2.9T in market cap compared to $600B in 2016.

If anything, I think Apple was a more valuable company in 2016.

There is a correction coming. Personally, I think we have 1.5 to two more years of hanging on but with volatility until a crash.

It used to keep me up at night thinking it's going to be an end of the world type event. Now, I think of it more as an opportunity. There has been an absolutely massive amount of consolidation in my industry. Corporate whales are buying up the independents every where you turn. Not good for the consumer as we have seen with prices and lead times. I see a market correction as a course correction and opportunity for the independents to gain back lost ground.
You are identifying "cycles" and you are correct.
Look back to America when WW2 ended. The giant war machine factories were shuttered and thousands of servicemen were returning, without a job. A couple of buddies or a few family members would buy some of the surplus equipment and start making widgets. There was growing demand that big corporations ignored. Many of those small operations grew to quite large corporations.

Be patient, watch the "too big to fail" companies fall flat on their face. Pick up a few machines and make a good living with a few good employees or relatives. There will always be opportunities for those with a good work ethic.

 
Below is an excellent example of the Senior Traders (Specialist) leaving at 1:30 pm on Friday to beat the traffic out of the city for the weekend. This is the time a younger, less experienced person is on the trading desk. Look at what happened at 1:30 pm. The Junior Person on the trading desk could not maintain order like the Senior person. Basically, the traders still in the game on Friday afternoon put a move on the young guy's. This was discussed a few weeks ago when the topic of an office full of young people who never had to stove off a recession. Short covering on a Friday afternoon is always a learning experience.
JMHO

big.chart
 
Put simply a company with pricing power, low input costs & short term/flexible investments is better positioned to weather inflation than one without these characteristics. Having stable earnings and low debt help as well.
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Put simply a company with pricing power, low input costs & short term/flexible investments is better positioned to weather inflation than one without these characteristics. Having stable earnings and low debt help as well.View attachment 7874122
After some thought:

You have posted what Jerome Powell calls a "frame work". During good times, Powell designed a frame work to guide the FED Reserve in it's decisions. We watched earlier this year as Powell's frame work (transitory) failed the test. Why did it fail ? Because Jerome used historic information / numbers to design his frame work. What you posted is a frame work using historic situations / solutions / outcomes. As with Jerome's frame work, your frame work will not work in this recession. Why ? Because conditions are different on this recession.

I know you enjoy a challenge. Pick one, publically traded, company that fits your frame work and let me know what it is. I will pick one company that fits my frame work. On 1/1/2023 we will look at a chart that plots both companies for 1 year (2022). The outcome should be interesting. ;)

EDIT: Monday, May 23, 2022
I will go ahead and make my pick on this Monday morning. This will give you the advantage to study.... S3th
I am going to pick a company that cost me money 90% of the time when I was day trading. I would short it and inevitably it would not only over come the bad news... It would make money on that bad news. Long ago the company logo was "When other's were running away, we were running towards the problem"...
I will pick Halliburton (HAL).... Big, old, stubborn, connected to money and one of the companies that will pull us out of this recession. Oil patch Services.
hal_OFC_150sz.jpg
 
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So sad - I am from Savannah near Bryan county - that will destroy that area. Those jobs will not go to locals but attract from all over the US. More traffic, more crime, more congestion - "progress". Our state and local leaders give massive incentives to be "pro business" then local tax base will have to build new schools, new roads, new power grid, new water, new sewer, etc.
 
So sad - I am from Savannah near Bryan county - that will destroy that area. Those jobs will not go to locals but attract from all over the US. More traffic, more crime, more congestion - "progress". Our state and local leaders give massive incentives to be "pro business" then local tax base will have to build new schools, new roads, new power grid, new water, new sewer, etc.
Understood.... It is the doubled edged sword...... We built a Hyundai computer chip plant at Eugene, OR in 1997-98. Logging industry had crashed and people needed jobs.... The plant was shut down and trees are now growing up in the parking lots and out buildings. It is a place that the homeless occupy, illegally....

Some people call this progress... America has thousands of abandoned industrial sites. Why not reclaim them ? History is repeating. The tobacco farmers in Virginia (1700's ?) kept clearing land and moving West rather than take care of the land they had planted on.
 
Understood.... It is the doubled edged sword...... We built a Hyundai computer chip plant at Eugene, OR in 1997-98. Logging industry had crashed and people needed jobs.... The plant was shut down and trees are now growing up in the parking lots and out buildings. It is a place that the homeless occupy, illegally....

Some people call this progress... America has thousands of abandoned industrial sites. Why not reclaim them ? History is repeating. The tobacco farmers in Virginia (1700's ?) kept clearing land and moving West rather than take care of the land they had planted on.
Logging industry did not crash - the West Coast politicians killed the timber industry, pulp & paper mills, Saw mills, etc.
 
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On the topic of stocks, just saw this.

A nothing burger....... just another day in the market.
Jonathan Wallentine showing he is just one more spoiled brat. If the shoe would have been on the other foot, Jonathan Wallentine would be smirking all the way to the bank.

One more that will get slapped down in this recession.


LOL (Below)
 
I decided to sell Owlet, Li-Cycle, and Umicore for slight profits to free up cash. I plan to reenter Li-Cycle and Umicore so I'll watch them heavily.
 
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Decided to exit NTVA, BEAM, ADYEN, and OTLY for tax-loss benefits. Plan to reenter in ~30 days.

These sales are only in taxable accounts. Retirement remains unchanged. Added INTL, PLTR, NVTA, and TSLA in my HSA.
 
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Ahhh who can forget the spotted owl……….
One more government induced shut down of industry. US Forest Service is burning thousands of acres of prime timber.... Not a word about the owl's or other wild life.... Where did those tree huggers go ? They can't afford a wood framed house today ?
The downfall continues.
 
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Another one down 40% in 6 months... a forecast for the remainder of the year.
Autodesk, Inc. is an American multinational software corporation that makes software products and services for the architecture, engineering, construction, manufacturing, media, education, and entertainment industries.
 
Best make a batch of popcorn, going to be a good show.

Biden is determined to shut down the "oil industry"... Most of you have witnessed his many moves like shutting down pipe lines, cancelling drilling permits, draining the Strategic Oil Reserves and diesel reserves in New England as well as many restrictions on American refineries, transport trucker's, etc. Appearing he wants the American people to pay the highest prices on record for gasoline and diesel. He wants to break the back of the working families.
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On the flip side, American's are hard at work to drill, transport, refine and deliver gasoline and diesel. I was in the oil patch in the 70's and 80's. If you give those companies half a chance the price of fuel at the pumps will go down... The harder Americans in the oil patch work to produce, OPEC is going to do everything in their power to make it more difficult. I'm sure OPEC is kicking back 10% to the big guy to make the USA dependent on foreign oil...
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A bit of good news:
Oilfield services firm Baker Hughes said Friday its US rig count, which it has posted weekly since the 1940s, jumped by 14 rigs to 728. That’s 273 more rigs, or 60 percent, than the 455 reported last May. It’s also the highest level since March 2020.

Bigfatcock

 

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“Just 29% of US buyers plan to go electric with their next car.”

Aka not enough EV production to meet demand.
I did not see that in the article - I saw not enough demand to justify EV production. The US is not Europe, Japan, South Korea, etc. Just look at a map and do simple math and see that MANY US citizens will not be well served by EV - I have a hunting trip coming up in Wyoming, we will drive non-stop (multiple drivers) from Georgia to Wyoming - EVs are not doing that trip for a long time. If I lived in Europe or Japan then maybe it will work.
 
I did not see that in the article - I saw not enough demand to justify EV production. The US is not Europe, Japan, South Korea, etc. Just look at a map and do simple math and see that MANY US citizens will not be well served by EV - I have a hunting trip coming up in Wyoming, we will drive non-stop (multiple drivers) from Georgia to Wyoming - EVs are not doing that trip for a long time. If I lived in Europe or Japan then maybe it will work.
TIL everyone needs a vehicle to travel for a once-in-a-blue-moon hunting trip across 1,500 miles. Also, charging times are going to change significantly as technology advances. Also, I recommend flying :)
 
I did not see that in the article - I saw not enough demand to justify EV production. The US is not Europe, Japan, South Korea, etc. Just look at a map and do simple math and see that MANY US citizens will not be well served by EV - I have a hunting trip coming up in Wyoming, we will drive non-stop (multiple drivers) from Georgia to Wyoming - EVs are not doing that trip for a long time. If I lived in Europe or Japan then maybe it will work.

No, But if you live in a city or suburban or metropolitan type area, a decent range Plug in Hybrid (which the stupid green zealots seem to be hating on because it's not pure enough), would be perfect for that.
All your daily commutes and errands around town are done with Eletricity and then any long trips seamlessly use gasoline as needed.