S

I just bought Sprint at $10.81. They have been beaten up lately. However, they recently announced they are likely to work with ClearWire to launch Sprint's 4G network using WiMAX.

The previous Sprint CEO could not make the deal happen, so they walked away from ClearWire in 2007. I am speculating that the new leadership will work better with ClearWire, because Sprint cannot roll out 4G by themselves. They are now reportedly are mulling the formation of a joint venture that would build the WiMAX network, which would receive outside funding from investors such as Intel, Google and Best Buy.

As a second, more extreme speculation, I am speculating that Google may buyout Sprint as Google's assertive step into wireless. That will surely drive S price higher, at which point I may sell.

I know I missed 5 days of opportunity (was $8.35 on Jan 23), but this is a long term investment for me. I do not have a complete exit strategy, so maybe you guys have ideas on how I can quantify when to sell. What do you think?

UDN

I just bought UDN at $27.86 (U.S. Dollar Down ETF).

Silver Linings: Recessions Can Spell Opportunity

Thursday January 17, 11:30 pm ET By Jonathan Bernstein, ETFzone Contributing Editor

Credit is contracting, broad market ETFs are selling, and the markets are signaling recession. While long-term investors may want to position for a recession, for traders the recent sell-off represents a short-term buying opportunity.

The recent sell-off is poorly understood. First, the U.S. is not yet in a recession, defined as two consecutive quarters of negative GDP growth (GDP grew in all four quarters of 2007). Second, it is not unusual that the markets are already falling on recession fears. The S&P tends to fall 3-6 months ahead of a recession and to bottom out about 3 months prior to recovery. And third, the recessionary trade: short equity ETF positions and long bond ETF positions, long volatility, long defensive sectors such as healthcare and consumer staples is in fact unusually advanced for this early in the cycle.

Read more...

Recent Trades

I sold 10% of my mutual funds on Friday, Jan 25. They were a mix of U.S. growth, value and tech funds.

Today I bought IAU at $89.77 (Gold ETF).

U.S. stock futures point to major decline on re-open

By Steve Goldstein, MarketWatch

Last update: 8:29 a.m. EST Jan. 21, 2008

Print E-mail RSS Disable Live Quotes

LONDON (MarketWatch) -- If futures contracts traded on a day when U.S. stocks weren't even due to open are anything near accurate, then markets will be in for a major decline on Tuesday, with concerns about bond insurers and the health of financial institutions dragging markets lower.

March contracts on the Dow Jones Industrial Average traded 353 points lower to 11,753.

The S&P 500 futures fell 55 points to 1,270.10 and the Nasdaq 100 futures lost 72.25 points to 1,777.25.

U.S. markets were closed Monday for the Martin Luther King holiday. Trading won't resume until Tuesday.

Full Article

Agriculture ETF Soars While Stocks Tumble

Friday January 18, 6:25 pm ET
Joanne Von Alroth The market slide has many investors raising cash and hiding out until it stop s.

But some have found another option: commodities. When stocks and bonds fall, commodities often rise. As inflation rises, so do commodities.

Full Article

Home Construction Drops 25 Percent

Thursday January 17, 9:20 am ET
By Martin Crutsinger, AP Economics Writer Construction of New Homes Falls 24.8 Percent in 2007, the Largest Amount in 27 Years WASHINGTON (AP) -- The prolonged slump in housing pushed construction of new homes in 2007 down by the largest amount in 27 years with the expectation that the downturn has further to go.

Full Article

If there is a time to buy a new house or a newer large house, that time is coming soon, however good luck selling your house!

Apple says has sold 4 million iPhones

1:28 p.m. 01/15/2008 Provided by

SAN FRANCISCO (Reuters) - Apple Inc's (AAPL) chief Steve Jobs said on Tuesday the company had sold 4 million iPhones and he announced updated services for the device.

Apple shares were down about 5 percent to $169.89 after Jobs started speaking at the highly anticipated annual Macworld convention in San Francisco.

Full Story

Odds Are Growing for Economic Recession

Sunday January 13, 11:19 am ET
By Jeannine Aversa, AP Economics Writer Can Weakening Economy Survive Current Strains or Collapse Into a Recession WASHINGTON (AP) -- The unemployment rate leaps to a two-year high, record numbers of people are forced from their homes and Wall Street nose-dives again. Such is the fallout from a housing meltdown that threatens to slingshot the country into a recession.

Full Story

ETF Guide

Here is a good list of ETFs that would be good to help develop a portfolio, most of the information was taken from "Sectors and Styles: A New Approach to Outperforming the Market" by Vincent Catalano.

But as a I stated in an earlier post these ETFs give you an opportunity to play positions you feel strongly about without having to invest in the individual companies.

Economic Sectors and Industries
Consumer Discretionary - XLY
Consumer Staples - XLP
Energy - XLE
Financials - XLF
Health Care - XLV
Biotech - IBB
Industrials - XLI
Basic Materials - XLB
Technology - XLK
Semiconductors - IGW
Software - IGV
Networking - IGN
Telecommunications - IYZ
Utilities - XLU

Size and Styles
Mid-Cap - MDY
Mid-Cap Value - VOE
Mid-Cap Growth - VOT
Large-Cap - SPY
Large-Cap Dow Jones - DIA
Small-Cap - IJR
Small-Cap Value - VBR
Small-Cap Growth - VBK

Global
EAFE(Foreign Index) - EFA
Europe 350 - IEV
Asia Pacific ex Japan - EWJ
Emerging Markets - EEM
Brazil - EWZ
Brazil/Russia/China/India - EEB
China - GXC

Commodities
Gold - GLD
Silver - SLV
Oil - OIL
Water - CGW

Tata Unveils World's Cheapest Car

Thursday January 10, 8:16 am ET
By Gavin Rabinowitz, Associated Press Writer India's Tata Motors Unveils $2,500 Car, Bringing Car Ownership Into the Reach of Millions NEW DELHI (AP) -- India's Tata Motors on Thursday unveiled the world's cheapest car, bringing new mobility within the reach of tens of millions of people and nightmares to environmentalists, traffic engineers and safety advocates.

Is this for real? It will be more expensive a year to drive this than to buy it!

Full Story

Forget Oil $100! What about Gold $1000?

I think the big commodity forgotten in the run up of Oil hype seems to be the precious metals. The Gold ETF (GLD) is up over 40% since January 2007, and the Silver ETF (SLV) has posted a 42% return since October. Here is a good article on Gold and gold stocks from seekingalpha.

http://seekingalpha.com/article/59345-six-top-gold-picks

How to Become a Do-It-Yourself Investor

It's not as hard as it seems.

By Marta Norton | 01-08-08 | 06:00 AM | E-mail Article | Print Article | Permissions/Reprints | Marta's Monthly Newsletter

At a party a few weeks ago, a friend turned to me and said, "I'd love to invest on my own, but I don't even know how to begin." You can't really blame her: She faces myriad investing choices, layers of fees, and the possibility of losing her shirt when things go wrong. That's why so many investors flock to financial advisors, attracted to the peace of mind that their guidance can offer. To be sure, many advisors offer valuable services, but others are less helpful. In fact, many academic studies have shown that investors working with advisors have fared worse than those who go it alone. . . .
Full article on Morningstar

Oil Prices Extend Decline on Worries About US Economy

VIENNA, Austria (AP) -- Oil prices fell Monday as a report of growing unemployment in the United States raised concerns of an economic downturn that could curb oil demand.

The U.S. Labor Department said the unemployment rate jumped to 5 percent in December -- its highest level in more than two years -- from 4.7 percent in November. Analysts had expected December unemployment at 4.8 percent.

"Many economists in the U.S. have talked about the potential of the U.S. getting into a recession," said Victor Shum, an energy analyst with Purvin & Gertz in Singapore. "This latest government report ... has added to the concerns about the economy."

Sounds like all hype to me, your thoughts?

Full article