• Merrill Lynch (MER), which is standing out like Manute Bol at Verne Troyers' birthday party. We all know the "issues" surrounding the financials so keep very close tabs on the price action as their reporting dates approach.
  
  
• Caterpillar (CAT) and Deere (DE). While you can make the case that these names ran into Gustav, the fact that they can't sustain jig when the futes were up 20 handles speaks to underlying supply.
  
  
• Dell (DELL), Qualcomm (QCOM), EMC (EMC) and VMWare (VMW), which are worthy of a nose scrunch in an otherwise firm tech tape.

Underbellies Are Us! - 12:08 pm

No, I'm not referring to the obliteration of my diet at Prime 112 this past weekend -- a three-peat meal-fest that shattered any semblance of fitness I may have clung to -- I'm talking about peering around the corner at the next possible set-up.

As discussed in recent missives, I'm allowing for further strength into the election, quite possibly to S&P 1330-1350. However, given the more concerning comeuppance that could manifest in the credit markets--not to mention a VXO that is barely legal--I've started nibblin' ever-so-gently on some underneath put options.

Early options include American Express (AXP), Morgan Stanley (MS) and, as discussed this morning, Baidu (BIDU). I'm not married to anything (or anyone, for that matter) and I've defined my risk as a function of each particular technical context. Suffice to say that I respect this (and further) rally but I don't particularly trust it.

As always, I hope this finds you well.


Minyan Mailbag on the Important Stuff

Dear Todd:

May 25th, 2008 marked the ten year anniversary of the most challenging day of my life. I was in Nantucket for Memorial Day weekend with a few friends and Barbara. Barb and I were raised like siblings. In my heart she was my "sister." We had many family traditions, and as we got older, one of my favorite traditions was spending Memorial Day weekend together on Nantucket.

Barbara's Father, Gene, was a pilot and had offered to come and pick us up and fly us home. He flew a single engine Beechcraft A36 plane. The skies the morning of the 25th were overcast, and it had started to drizzle. But Gene had no concerns and my confidence in him and his abilities enabled me to feel comfortable enough to get on the plane. While over Rhode Island, the engine just stopped. If you have ever flown in a single engine aircraft, you know how loud it is in there. All of a sudden the noise turned silent; Gene immediately went to work trying to remedy the situation. Nothing worked. We were at six thousand feet and our glide ratio should have given us the right amount of distance to make it to the runway. Unfortunately that did not occur.

I am told we ended up nose diving into the ground, bouncing once and the left wing hit the only tree in the field causing the plane to explode. Gene and Barbara did not survive impact and the other passenger, Nick, and I were able to escape. We were taken to a local hospital in Middletown RI, stabilized and airlifted to UMASS memorial in Worcester MA, which was the closest hospital that could deal with my degree of injuries. I spent the next 40 days in ICU. Nick ended up with a broken arm and some second and third degree burns. I sustained third degree burns to 30% of my body and broke c6 and c7 in my spinal column. My loved ones were told I had a 50/50 shot at living and that if I were to survive I would never be the same.

It was a long road to recovery and one in which I learned many very valuable lessons. I am lucky enough now to realize all the things I have in life and appreciate "almost" everyday. (After all, I am human, and, according to my wife, I am not the most patient person in the world.) For the past several years I have raised money for UMASS hospital doing spin-a-thons. Since this marks a big anniversary, I decided to take it up a notch. I told my story to the Timex Corp. and they were kind enough to sponsor me for a position in the Ford Ironman World Championships in Kona, Hawaii on October 11th, 2008. This has been a goal of mine for many, many years. To swim 2.5 miles, bike 112 miles and run 26.2 miles. This event brings together 1,800 competitors, from 49 countries and 45 different states that have one common goal – to prove that the impossible is possible.

I have decided to change the direction of my fund raising effort this year. I wanted to shift the focus to Karen Casey, the mother of Barbara and the wife of Gene. After May 25th, 1998 she was left with no immediate family – she lost everyone. I am a firm believer that the most important things in life are one's health, family and friends. So I wanted to take this opportunity to dedicate all the money I raise and give it to a charity of Karen's choice. She wants us to support Kids in Crisis. Kids in Crisis is Connecticut's only free crisis counseling center and emergency shelter for babies, children and teens. Its mission is to protect children and teens from all kinds of family crisis – neglect, abuse, homelessness, economic struggles, mental health issues and more. Barbara used to work with Kids in Crisis and this organization helped Karen and my family after the tragic events of May 25, 1998. This agency played – and continues to play – an active role in the healing process of both our families.

I would greatly appreciate Minyan support as I prove the impossible possible when I travel 140.6 miles and fulfill one of my life goals.

Sincerely,
Minyan AC/Lord Morgan

Donations can be made through the Kids in Crisis web site www.kidsincrisis.org where you can see additional information about the organization. Donations can also be mailed to Kids in Crisis, One Salem Street, Cos Cob CT 06807. Please indicate AC Morgan Ironman Triathlon in the memo section of your check.

R.P.