Wednesday, 29 April 2009

Closed out

Well the market reacted to something,but I don't think it was the 'flu- a drop was in order as the oil companies disappoint, but still no clues as to where we are headed. Anyway closed out those calls for 29 thus making 13 per lot. Could have got a better price,and even looked at a combo- sell puts to buy calls which was not a bad trade as the Dow scooted up after opening down about 70- the F rallied by 50 or so-but of course the market is looking 6 months ahead and is in no way influenced by whatever the Americans are doing- which in turn is governed by the amount of TARP.
According to Nassim Taleb the banks have lost $4trillion and change which is more money than they have ever made- this was hotly disputed by a fellow poster on Motley Fool,who seems to work for a bank, but is a very smart guy. I guess he is duty bound to talk up the banks- Taleb says let 'em rot, we don't need them anyway, which is my stance. Mutuals and credit unions seem to work fine for retail banking, and who knows what banks do with their obscene profits anyway? Barclays used to be the big Satan, but I don't think any of them occupy the moral high ground-especially the one that started the toxic asset scam-and they know who they are,and remain untouched by the whole thing. Some might call this a Zionist plot.

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