October Stock Talk V

  Great news for you Jeff..nice...

 

Nice job Jeff...looks great to me.

Those 85s will be worth 15 for sure..the problem is the MMs will absorb much of the move since there was already 3 bucks of premium in them to begin with.

I have looked at it in the past few months (not sure what caused me to do so.) I would be interested in knowing what anyone thinks of it as well...and as far as speculations go,  is WWAT a real company or a money burner? Their Denver Airport deal seems pretty solid, but...

Jeff, for whatever it is worth, a buy signal for MR, with this synopsis:

Company Scores Very Good Fundamental Grades -
MarketGrader currently has a BUY rating on MINDRAY MEDICAL INTL -ADR (MR), based on a final overall grade of 70.8 scored by the company's fundamental analysis. MINDRAY MEDICAL INTL -ADR scores at the 95th percentile among all 5431 U.S. listed equities currently followed by MarketGrader. Our present rating dates to May 15, 2007, when it was upgraded from a SELL. Relative to the Health Care Equipment sub-industry, which is comprised of 149 companies, MINDRAY MEDICAL INTL -ADR's grade of 70.8 ranks second. The industry grade leader is KINETIC CONCEPTS INC (KCI) with an overall grade of 71.7. The stock, up 60.88% in the last six months, has outperformed both the Health Care Equipment group, up 6.11% and the S&P 500 Index, which has returned 2.19% in the same period.

  Yep it could get really ugly if they do not cut.They do not meet again until December. I suspect today is  utilized to drive the market down, and the message home to helicopter Ben and the boys.

  What remains odd to me is that people are still acting as if the housing market problem is resolved and the consequences neutralized.I think the only thing I would bet on at this point is a recession in 2008.

rate cut is 80% as per fed futures trading

was 100% a week or two ago...piece in the WSJ this morning suggesting otherwise: <--- link
--
The market is convinced the Federal Reserve will cut interest rates tomorrow, but for the Fed itself, it is a closer call.

The behavior of financial markets implies near certainty by investors of a quarter-point cut in the Fed's key short-term interest rate. But for policy makers, the decision is between the quarter-point reduction and no cut at all. A half-point cut is unlikely to get serious consideration from Fed officials, though some in the market expect it.

Both courses of action have risks. Perhaps the biggest is that the market's certainty that rates will be cut creates a burden on the Fed to deliver. Ordinarily, meeting market expectations isn't a goal in itself for the Fed.

But the current environment is more fragile than usual, and thus the consequences of disappointing the market are potentially more damaging. Against that, the Fed will have to weigh the risk that a cut will stoke inflationary psychology.

I wonder if anything will save a drop.

If the market is down today based on an 80% possibility of rates being cut, what scenario would make it go up today?

A little weakness in DRYS and FSLR today..first day in forever...  

back from a nightmare weekend of gambling,had to take off work yesterday to recover [both liver and wallet],and follow it up withdenver last nite ,fffiinnn bullshit,oh well,,,clearly  a rate cut is already priced into the market,i agree with koaj that the details the powers that be are contemplating have to do with if it is going to be no cvut or a.25 cut ,nothing higher,,,it really does nothing as far as helping the housing market,yeah it will knock a little off ur cc bills or equity line,but wall correct me if im wrong,interest rates for mortgages are tied to the ten year,no?

uh oh, double post,to the box i go to hang with helmut? please no 

Good question.

If you have followed the discussion over the years, you know I cut my broker teeth at Fido..it was my first job years ago.

The thing with FIDO is you are directing the plan and control the assets. With a broker they do it and get paid for doing so.

Fidelity doesnt really "manage it" rather they administer the plan right? Fido does have a group that actively manages accounts but that is a slim minority of their business...so they are the plan administrator right?

I also need to know, you are changing employers right? Is that why the change is happening?

If you were considering the broker "friend" I would think twice because friendships can turn to sh!t over lost money in the markets, but if you really thought this person would take care of your assets then have him/her provide you a plan of execution, meaning how they would invest the funds and what they would do, along with a schedule of compensation..how they get paid.

Most brokers are salesmen who are not skilled at portfolio management. I would want to see what he planned for the funds, and the comission schedule.

If it were me and you were leaving the company, unless they had funds which arent offered outside the company (I STILL have funds at Fido because of a fund which I cannot get outside the plan) then roll the funds to an IRA and leave them there in a brokerage acct..then you can buy stocks, invest in funds etc..

So let me know the answers and I can give more insight.

Boiler,

It depends..some are tied to the Libor, some to an index of prime, some seem to follow the 10 yr, some follow Fed Funds..

I lost on a tease myself last night...had Pack and over..terrible.  

I would STRONGLY suggest you not roll everything to your friend.

At max I would let him manage 100k..leave the rest in a FIDO IRA. Roll it over..

The reason I say roll over is in that administered plan, FIDO really doesnt do anything for you, they do the paperwork for the company that is why they get paid. If you roll into a regular FIDO account, in this case an IRA, you have all those choices and every other choice in the universe. So there is no need to limit yourself to 18 funds since with a traditional IRA at Fido, you can have those 18 and every other fund they have and access to all other funds by other firms.

I would limit the friend to 100k or even 75k, tell him (once you are convinced of what he offers) that other funds are out there but this will depend on performance..

That is my opinion..

One other thing..your friend doesnt get paid unless he either charges you a commission or puts you in loaded (fee based) mutual funds. Make sure ANY investment you are in is NOT "A" shares, those are loaded up front..and make sure any fund you are in there arent redemption period restrictions, meaning if you get in you cannot get out for a period of time without penalty.

For the most part you really dont need to be in mutual funds..you can find ETFs which are more liquid and more cost effective, but that wont make money for your broker.

I would tell the broker that you prefer ETF (exchange traded funds) or closed funds which trade like stocks versus loaded traditional mutual funds.

This might seem like a ton to think about, but consider, this is 100-400k of money..you need to know exactly what you want and how to proceed.  

Let me advise this..

Roll the 401k into a Rollover IRA BROKERAGE acct..versus a mutual fund only acct.

It doesnt obligate you to trade stocks, but gives you the choice if you want to at any time..plus with a brokerage acct you can get any fund you want or just a money market.

Having a brokerage acct doesnt change any investments, you can direct roll them over into the acct as you have them. Just rollover the investments as you have them, then change if you want.

The procedure is really easy...  

DRYS getting SMOKED..

First real heavy selling in a long time outside the market drops.

Down 11 bucks!