Wednesday, December 19, 2012

Saxo Bank’s 10 Outrageous Predictions For 2013

from Zero Hedge

Exceprted from Saxo’s Steen Jakobsen’s 2013 Extreme Complacency,
Our biggest concern here on the cusp of 2013 is the current odd combination of extreme complacency about the risks presented by extend-and-pretend macro policy making and rapidly accelerating social tensions that could threaten political and eventually financial market stability.
Before everyone labels us ‘doomers’ and pessimists, let us point out that, economically, we already have wartime financial conditions: the debt burden and fiscal deficits of the western world are at levels not seen since the end of World War II. We may not be fighting in the trenches, but we may soon be fighting in the streets.
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HCA Holdings, Inc. (NYSE: HCA)

HCA Holdings, Inc. provides health care services in the United States. The company owns, manages, or operates hospitals, freestanding surgery centers, diagnostic and imaging centers, radiation and oncology therapy centers, rehabilitation and physical therapy centers, and various other facilities. Its general acute care hospitals provide medical and surgical services, including inpatient care, intensive care, cardiac care, diagnostic services, and emergency services, as well as outpatient services comprising outpatient surgery, laboratory, radiology, respiratory therapy, cardiology, and physical therapy; and psychiatric hospitals offer therapeutic programs, such as child, adolescent, and adult psychiatric care, as well as adult and adolescent alcohol and drug abuse treatment and counseling. The company’s general, acute care hospitals provide a range of services to accommodate such medical specialties as internal medicine, general surgery, cardiology, oncology, neurosurgery, orthopedics, and obstetrics.
To review HCA’s stock, please take a look at the 1-year chart of HCA (HCA Holdings, Inc.) below with my added notations:
1-year chart of DLB (Dolby Laboratories, Inc.)
HCA has created a two important price levels to watch. First, HCA has formed a clear resistance at $34 (navy), which would also be a 52-week high breakout if the stock could manage to break above it. In addition, the stock has commonly found support at $30. Eventually, HCA will have to either break the $30 support or the $34, 52-week high resistance.

The Cartel Getting Desperate In The Gold & Silver War

from KingWorldNews:

Today James Turk told King World News that the ‘cartel’ which has been manipulating the gold and silver markets is now entering a stage where the situation is becoming more desperate. This is yet another fascinating chapter in the gold and silver war. Here is what Turk had to say: “The last few days have given us a good example of how the gold cartel operates, Eric. It is a classic example of how the big players in the paper market can move the price of physical gold and silver.”
Turk continues @

2 Great Dividend Stocks For 2013

My favorite two income stocks for 2013 have yields above 20%. I do not believe 20% yields are sustainable for multiple years. However, I do know that the wind is at their backs. Both are refinery master limited partnerships ((MLP)), benefiting on the positive crack yield spreads. I already own Northern Tier Energy LP (NTI) and Alon USA Partners, LP (ALDW). I am am confident in these stocks and plan on buying more.

Northern Tier Energy LP Distributions

I discussed Northern Tier Energy on December 2nd. I am more confident in the business model now than I was on December 2nd. Northern Tier Energy crack yield spreads will provide an approximate 4th quarter distribution above $2.00 per unit.

The bottom line is the company obtains inexpensive crude. The crude is derived from Canadian fields and Bakken oil crude production. Northern Tier Energy can sell the refined products at Brent crude oil prices. (more)

Euro Yen Cross – Redux

by Dan Norcini
Trader Dan Norcini

It has been several years since I last posted a chart of the Euro-Yen currency cross. Quite frankly, there has been no reason to monitor it in my opinion, not with the ongoing crisis that had engulfed the Euro Zone through most of this now fading year. However, with the strong move lower in the Yen of late, I have been examining this cross once again to see if it can provide us with any signals of upcoming events.
You will note its collapse back in 2008 – this was the year in which the big Japanese Yen Carry Trade was unwound as nearly every hedge fund on the planet was taking part in tthat particular trade. When it was time to unwind it during the panic, there was literally no one on the other side of all those trades involving the Carry.  (more)

A Top AIG Exec Raps About Being Bailed Out

Today the US Treasury is expected to sell the last of its stock in the American International Group (AIG), marking the end of the $182 billion bailout that rescued the company. But the AIG brass did not always seem appreciative of the government assistance. Just look at Robert Gifford, president and CEO of AIG Global Real Estate, which oversees $8.4 billion of real estate in various countries. At a 2010 holiday party for AIG employees held at a restaurant in New York City, Gifford rapped, to the tune of Jay-Z's "Empire State of Mind," about working at AIG and having to deal with the government. Mother Jones obtained a copy of the video.  (more)

Chart of the Day - Pentair (PNR)

The "Chart of the Day" is Pentair (PNR), which showed up on Monday's Barchart "All-Time High" list. Pentair on Monday edged to a new all-time high of $49.00 and closed +2.13%. TrendSpotter has been long since Nov 2 at 45.75. In recent news on the stock, Bernstein on Nov 29 upgraded Pentair to Outperform from Market Perform with a price target of $58. RW Baird on Nov 20 upgraded Pentair to Outperform from Neutral and raised its target price to $60 from $52 based on valuation, cost synergies, stock buybacks, and attractive end markets. Pentair, with a market cap of $10 billion, comprises two core business groups: water technologies and enclosures.