Thursday�s with Story: Taking a Breath-Minyanville

BUSINESS & MARKETS

LIFE & MONEY

VIDEO

COMMUNITY

SUBSCRIPTIONS & PRODUCTS

Thursday�s with Story: Taking a Breath

Todd Harrison Jul 24, 2008 9:50 am


		It's high time we remembered the important stuff.

“What a dramatic airport.”
-Dr. Richard H. Thorndyke, High Anxiety

2008 has been a nutty strut as the new world order redefines itself.

STOCKS
RELATED ARTICLES
ALSO BY...

SEARCH:

China's Telecom Overhaul
Spotlight Stocks: Amazon, Dow Chemical, Ford, Nokia
Can Lower Crude Spark Markets?
Tech Randoms: Sunpower, Evergreen Solar, Teradyne
Two Ways To Play: The Fed's Magical Mystery Rate Cut

The Other Side of the Dollar
Randoms: A Devil of a Level
The Mother of All Pennants
Monday Morning Quarterback: Printing Press vs. Credit Stress
Freaky Friday Potpourri: Why the Lower Dollar Isn�t an All-Clear

Regardless of the spirited sprint off last week’s lows—not to be confused with a bottom—nothing comes easy in this day and age.

There is no one reason for the disarray. It is, in many ways, a manifestation of the tension that’s been building under the seemingly calm financial surface for oh-so-long.

Indeed, as I offered at the end of 2006 as the markets pushed to all-time highs, my greatest concern was that nobody really felt like we were at all-time highs.

As the excesses unwind and the past catches up with us, social mood has taken a turn for the worse.

Last night, I had the distinct pleasure of dining with Pete Moses, the CEO of The Children’s Aid Society. We spoke about societal fabrics and the necessity of giving during a time when many people are struggling to take care of their own.

Stimulus packages and government policies are Band-Aids on a broken bone. Think about it for a moment—these are the same bureaucrats and politicians that sat idly by as the cumulative imbalances built.

Can we be certain that they’ve got our best interests in mind now?

Assuming they do, should we blindly bet they can suddenly find a cure for a disease that has now spread throughout the world?

We can certainly hope but just as hope isn’t a viable investment vehicle, it alone won’t set us on a course towards a positive solution.

As Gene Wilder said in Young Frankenstein, “Only love will save this monster.”

Indeed, if there was a singular theme to come out of my dinner with Pete, it’s that love—of ourselves, for our children and for each other—is the only savior for society.

I started The Ruby Peck Foundation for Children’s Education to honor my grandfather and affect positive change. We aligned with The Children’s Aid Society for last year’s Festivus and continue that alliance to this day.

Bad seasons define good fans.

Bad times define good friends.

Bad markets define good partners.

As I said to Pete as we finished our food, “We’ve got to go through it to get through it.”

Times are tough, Minyans, but every little bit helps.

We will get through it together.

Random thoughts:

A little levity goes a long way!
Market breadth remains constructive. Yesterday was the third day in a row that the bulls were positively posturing under the volatile surface.
I'm your Captain, I'm your Captain...
It's not so much the twice daily live Buzz TV segments that scare me—I'm actually sorta getting used to them—it's the fact I forget to turn off the camera in my office. I’m quite sure there’s a room full of FBN producers having a heckuva laugh as they watch my daily chainsaw juggling impersonation.
Societal acrimony? What societal acrimony?
Did I ever mention that I used to know a girl named Candice Mintz. We called her Candy. Seriously.
The WaMu (WM) action yesterday stood out through the lens of “reaction to news is more important than the news itself.” After a “close your eyes and throw a dart” rally, the market is started to again dissect the winners from the sinners.
As evidenced by the reaction to earnings by Qualcomm (QCOM), Baidu (BIDU) and Amazon (AMZN), that sword swings both ways. Remember, in a bear market--and particularly during counter-trend rallies in a bear market--nobody makes money. Not even the bears.
Five Tips for a Tough Tape (second video).
“Since July 10, oil has fallen $20 per barrel giving the impression that consumption will pick up. During the same period, long rates have risen 30 bips. In my view, that is much more damaging to the economy than the $20 discount in oil from those high levels.” Mr. Practical on yesterday’s Buzz.
I was chewing through some old vibes last night and came across the following classics that I thought newbie Minyans might enjoy.
- Chasing Liberty
- The Credit Card
- Anatomy of a Recession
- Five Alive, The Story of Minyanville (3-parter)
- Wall Street Confidential
- Moral Hazard: The Great Debate
- Fire on the Mountain
- Seems Like Old Times
- Wind Chimes
- Brokedown Palace
- The Money Tree
- Full Disclosure
- Full Circle

Have a great day Minyans and remember to breathe!

R.P.


Rate this article:			(0 Votes)

more BUSINESS & MARKETS articles »

Daily Article Index �

tags:

QUALCOMM

Comment (1)

See All Comments »

Michael Kernan

View Exchanges


07-24-2008, 9:38 pm
Certainly you will be linking back to this brilliant post several times in the future. A great read. The way you juggle chainsaws all day long and type up meaningful internet content that rings so true is starting to look like magic. If Read More


discuss this article and more on the mv exchange

No positions in stocks mentioned.

Get real-time options trading ideas from Steve Smith, veteran options trader and newsletter author, plus let him show you the way to cut risk and boost your returns through the strategic use of options. Click here for a free 14 day trial to OptionSmith by Steve Smith.

Todd Harrison is the founder and Chief Executive Officer of Minyanville. Prior to his current role, Mr. Harrison was President and head trader at a $400 million dollar New York-based hedge fund. Todd welcomes your comments and/or feedback at todd@minyanville.com.

The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.