The Morning Morsel: Cash Is Cool….For Now & Happy 4TH

Outside the streets on fire in a real death waltz–Springsteen

I think it’s fair to say that the three day weekend can’t come fast enough for the bulls as they lay bullet ridden like Sonny Corleone at a toll booth. The “1350 by year end S&P crowd” made up by the likes of Abbey Joe Cohen (perpetual and serial failure) and Laszlo Byrini will need a helluva next six months to meet that lofty goal. But Doug Kass says there is a 50/50 chance that we saw a low for the year yesterday. (chuckle, belly laugh, is is guy kidding me?)

Gold was crushed yesterday and broke a stairway to heaven trend line and is now below the 50 day moving average. Word on the street is that risk managers at the big hedgies were selling the yellow metal to meet margin calls on stock. Also the “long gold” “short Euro” trade got a tad crowded and caught a bit of a mini unwind as the Euro has been catching a nice bounce. All

clowns in a phone booth.

Stuff looks cheap, but will get cheaper, I do expect a nosebleed rally with max G-force soon though.

We ended the month on the Premium Site in good shape and I will post numbers when they are ready. We ended the week with some nice shorts and have for the most part covered our short exposure for now, with the exception of a couple lingering names. Some nice winners from the short side this week alone were: RIG +2.50, SRS +1.70, AB+1.30, CF +3.00, BP +1.80, BHP +3.10

We’re pretty flat, but ready to go either way in a hurry.

Have a great three day weekend.