Direxion Introduces More Triple-Leveraged (3X) Index ETFs

DirexionShares has already expanded its nascent stable of 3X ETF stallions.  The initial crop of triple-levered trading vehicles tied to indices of financials, energy, and large and small cap stocks, have proven to be widely popular, as evidenced by daily trading volumes in the millions.  For junkies who need a fix that plain old 200% leverage just can't cure, the doctor now has a larger cabinet of 300% smack.  Traders can now get 3X returns bull or bear in technology (TYH, TYP), emerging markets (EDC, EDZ), and developed markets (DZK, DPK).  We have seen the future of leveraged ETFs, and it was foreshadowed by the Mach3 razor.

One thing to keep in mind with these ETFs is that they only ATTEMPT to replicate 300% of the move of the underlying index, and through complicated means.  The higher the leverage goal, the more the tracking error gets magnified. 

ETF vs. ETN: Choosing the Right Leveraged Play on Gold and Oil

There was an excellent article by Ron DeLegge of ETFguide.com a few weeks ago about the pros and cons of ETFs vs. ETNs.  The comparison is topical because if you want to make a leveraged play on gold or crude oil, you now have a choice between Powershares ETNs and ProShares ETFs.  Until a few weeks ago, the ETNs were the only way to go.  For most, ETFs are the better option because they don't have the credit default risks of ETNs.  Manic traders might prefer the increased liquidity and comparable tax advantage (for now) of ETNs. Some of the new ETFs still have very low trading volumes.  

The new commodity ETFs linked in the sidebar are the 2X UltraLONG UCO (oil), UGL (gold), and AGQ (silver), and the 2X UltraSHORT SCO (oil), GLL (gold), and ZSL (silver).  Keep liquidity in mind.  

-----------------------------------------------------------------------------------------------

ETNs or ETFs?

Up until the ProShares launch, exchange-traded notes (ETNs) were the only way to obtain leveraged and short exposure to commodities. (Of course, without shorting or leveraging them yourself via a futures brokerage account.) The 19 commodities-focused PowerShares/Deutsche Bank ETNs were really the only game in town, but not anymore.

Instead of using the PowerShares DB Crude Oil Double Long ETN (DXO), now investors can use the ProShares Ultra DJ-AIG Crude Oil (UCO). Both investment products have the same investment strategy of trying to double the daily upside performance of crude's move by 200%. However, UCO does not carry any credit default risk like DXO.

The annual fees on the PowerShares/Deutsche Bank ETNs are a lower 0.75% versus the 0.95% for the ProShares leveraged/short commodity ETFs, but don't overlook the other important details.                             

For an additional 0.20% in annual costs, the ProShares ETFs do not carry any issuer credit risk. The fall of Lehman Brothers and the subsequent collapse of the company's three ETN products was a nasty real-life lesson about the danger of credit default risk. Clearly, all of the other benefits of ETNs like their lack of tracking error and their favorable tax treatment (which is being reviewed by the IRS and could end at any moment) are completely undermined by ETN credit risk. What good are all of these benefits, with the chronic threat of corporate failure? For that reason, we have consistently warned our readers about the danger of ETNs.

The Obscure Product Structures behind Commodity ETFs

Most commodities focused ETFs follow a grantor trust or partnership product structure and are not registered under the Investment Company Act of 1940 like most equity and bond funds. Instead, many are registered under the Securities Act of 1933.

One such example is the SPDR Gold Trust (GLD). With almost $20 billion in assets, GLD is the most popular single commodity ETF. GLD follows a grantor trust product structure and its share price is hinged to one-tenth the ounce price of gold bullion. Also, GLD does not use gold commodity futures, but holds physical gold bars in a secured vault.

Since many commodities ETFs don't own the physical commodities, but instead futures or options on them, their tax treatment is quite different compared to a stock or bond ETF. Gains and losses in commodity ETFs that use futures contracts are taxed as 60% long-term and 40% short-term. This creates a blended tax rate ceiling of 23% for investors in the highest tax bracket.

As we've mentioned before, the ideal place for commodity ETFs is inside a tax sheltered account like an IRA, ROTH IRA, or 401(k) plan. Simply put, they aren't very tax efficient held elsewhere.

Merry Christmas!

Ruble Getting Whacked on Dollar Bounce, Crude Weakness

The inexorable decline in oil prices continues to pressure Russia's foreign currency reserves in defense of the ruble.  Check the chart in the "Russia Watch" sidebar -->

Nymex 3-2-1 Crack Spreads Widen

Crude oil has fallen much more than RBOB gasoline and heating oil this week. Refiners had a decent day yesterday as VLO announced further production cuts.  Little guys like WNR, TSO, HOC, and ALJ will benefit, not only from less distillates being cracked, but also from the lower borrowing costs associated with cheaper crude, which was killing them on the rise up over $100, despite gasoline reaching record levels.

Obama to Nominate Schapiro for SEC Head; Cox to Be Flayed

FINRA chief Mary Schapiro will get the nod from President-elect Obama for Chairwoman of the SEC.  Outgoing Chairman Christopher Cox was already getting chafed for changing the uptick rule, being soft on naked shorting, and basically lubricating the bear market, but the recent Madoff scandal highlights just how limp the regulatory sinews have become.

30-Year Fixed Mortgage Rate Falls to 5.76%

30-year fixed mortgage rate (left) vs. 3-month T-bill (right) over 4 years.

Source: Bankrate.com

Turkeys Away: WKRP Classic

Case-Shiller U.S. Home Price Indices

The chart above depicts the annual returns of the U.S. National, the 10-City Composite and the 20-City

Composite Home Price Indices. The decline in the S&P/Case-Shiller U.S. National Home Price Index –

which covers all nine U.S. census divisions – remained in double digits, posting a record 16.6% decline

in the third quarter of 2008 versus the third quarter of 2007. This has increased from the annual declines

of 15.1% and 14.0%, reported for the 2nd and 1st quarters of the year, respectively. The 10-City and 20-

City Composites continue to set new records, with annual declines of 18.6% and 17.4%, respectively.

“The turmoil in the financial markets is placing further downward pressure on a housing market already

weakened by its own fundamentals.” says David M. Blitzer, Chairman of the Index Committee at 

Standard & Poor’s. “All three aggregate indices and 13 of the 20 metro areas are reporting new recordrates

of decline. Looking at the returns of the U.S. National Index, prices are back to where they were in early 2004. 

As of September 2008, the 10-City Composite is down 23.4% from its peak, the 20-City Composite is down 

21.8% and the National Composite is down 21.0%.”

Phoenix was the weakest market, reporting an annual decline of 31.9%, followed by Las Vegas, down

31.3%, and San Francisco at -29.5%. Miami, Los Angeles, and San Diego did not fair much better with

annual declines of 28.4%, 27.6% and 26.3%, respectively.

Dallas and Charlotte faired the best in September in terms of relative year-over-year returns. While also

in negative territory, their declines remained in single digits of -2.7% and -3.5%, respectively. However,

both are at rates of decline lower than those reported in August’s numbers. In addition, Charlotte also

reported its largest monthly decline on record, down 1.3%. Monthly returns were negative across the

board. Cleveland was the one market that showed any improvement in its year-over-year returns

reporting -6.4% compared to the -6.6% reported for August.

The table below summarizes the results for September 2008.

 

The S&P/Case-Shiller Home Price Indices are published on the last Tuesday of each month at 9:00 am

ET. They are constructed to accurately track the price path of typical single-family homes located in each

metropolitan area provided. Each index combines matched price pairs for thousands of individual houses

from the available universe of arms-length sales data. The S&P/Case-Shiller National U.S. Home Price

Index tracks the value of single-family housing within the United States. The index is a composite of

single-family home price indices for the nine U.S. Census divisions and is calculated quarterly. The

S&P/Case-Shiller Composite of 10 Home Price Index is a value-weighted average of the 10 original

metro area indices. The S&P/Case-Shiller Composite of 20 Home Price Index is a value-weighted

average of the 20 metro area indices. The indices have a base value of 100 in January 2000; thus, 

forexample, a current index value of 150 translates to a 50% appreciation rate since January 2000 for a

typical home located within the subject market.

Source: S&P and Fiserv

Automakers Rev Up PR Campaign for Bailout

The Big 3 made their case for a federal bridge loan to the Senate yesterday, and hope to get a warmer reception from the House today.  In an effort to boost their chance of success, a full-court press is underway in the court of public opinion.

Onion: Should the Government Stop Dumping Money into a Giant Hole?

Spoof News: Harvard Will Shut Business School Doors

By JOHN LEVERETT 

Published: July 4th, 2009

Harvard University Business School will be closing its doors following an unprecedented drop-off in applications this fall. The school will be renamed the Harvard University School of Integrity, and students will receive Masters in Integrity and Compassion, or M.I.C.s.

“We believe that the recent increase in visibility of progressive movements and ideals, coupled with the demotion of free-market capitalism as a viable belief system, has led students away from training in accumulation for its own sake and into fields where they can advance peace and justice,” said Harvard spokesperson Susan Morrison.

It became apparent in early 2009 that enrollment in fields like marketing, advertising, corporate communications, and management dropped 44 percent, while enrollments in fields like social work, journalism, and community organizing were up 53 percent in the same period.
“We’re not sure if it’s an anomaly or an indicator of a long term trend, but there’s definitely a change,” said Morrison.

Morrison said the new Integrity School is contacting campuses around the world to encourage graduating seniors to apply. “We see as our job to help students tap into their desire for integrity and compassion, rather than their greed. That’s what they need, and that’s what our society needs.”

Source: Fake NY Times

Keeping an Eye on the Russian Economy

The RTS index of Russian stocks is down 22% in two days as oil in free fall pressures the rouble and strains the government's foreign currency reserves.  The situation is eerily reminiscent of 1998 when falling oil prices contributed to a financial meltdown and the re-valuation of the rouble.  The Russian people only recently began to trust banks again, thanks to oil-driven boom times and the adoption of consumer credit.  Another collapse on the scale of 1998 could have devastating repercussions to the teen-aged Russian experiment in capitalism.

Oil:

5-Year Rouble/Dollar:

U.S. Unemployment Rate Since 1998

I can't explain my renewed interest in Excel, it's like I'm back in college, just roll with it.

Natural Gas Weekly Storage 5-Year Chart

At 3,405 Bcf on Oct. 31, stocks were 130 Bcf below 2007 levels, and 78 Bcf above the 5-year avg. of 3,327 Bcf.  

How about another request for more 2X levered ETFs?

Nat gas would be hugely popular.

UNG 1-year chart:

China gets fiscal: $586 billion stimulus

Concerned that economic growth could slow to a rate below 9% (the horror), China's plan dwarfs the initial $168 billion U.S. stimulus package of tax rebates.
The FXI was up 12.8% on Friday, which is set up to mimic just a direct 1:1 relationship with the FTSE/Xinhua China 25 Index. The FXP, the double inverse of the FXI, was down 25.6% (spot on management). One would expect the FXI to gap higher on Monday. Too bad there's not a 2X long China ETF, or emerging markets. You could short the FXP or EEV.  UYM, 2X basic materials, could work.  But opening gaps often fade throughout the trading day.

Visualize economic cyclicality

A chart on Brian Shannon's excellent Alphatrends blog of technical analysis ("Successful Speculation Begins With Objective Observation") struck me as familiar this afternoon.
The S&P 500 during the last two bear markets looks like the Fed Funds rate.

You can easily imagine how unprecedented and ongoing efforts to pump liquidity into the system could already be setting the stage for the next leg up (or "bubble").

Futures falter on Asian weakness

U.S. index futures are again flirting with limit down moves early this morning as overseas markets are reeling.  The Hang Seng lost over 12%, and the Nikkei marked its lowest close in 26 years.  The Japanese yen has surged 10% against the dollar in just a week, rising to a nearly 13-year high of 92 yen to the dollar, rendering the exporting nation's products more expensive.  The yen's strength has been even more dramatic against the euro.  On October 14, a euro would buy 139 yen.  Two weeks later the same euro will get you 115 yen.  The dollar continues to strengthen against the euro, now trading at $1.24 each.

Yen Index.

Nikkei.

Correlation Tool: new link

Great tool for finding analogs and opposites, just enter symbol.

Wordle

Solar tax credits jeopardized by financial crisis, end of congressional session

While both houses of Congress agree that tax credits for renewable energy industries should be extended, the Senate and House versions of the tax bill differ in how to pay for the plan.  Unless the impasse can be breached this week, the measure is likely to wilt on the vine.  Congress is already busy working overtime on relieving the financial system.   Without tax subsidies, solar energy can't compete on price against traditional sources.

"The AP report notes that lawmakers on both sides of the Capitol 'stressed that the tax relief bill would create tens of thousands of jobs and contribute to the nation's energy independence. House Democrats 'insisted that more of the package, totaling $138 billion in House bills, be paid for so as not to increase the deficit. Senate Republicans, averse to new taxes, said any changes in the Senate-passed tax bill would kill the entire package.'"

"'It would take us in exactly the wrong direction as a country, especially with respect to climate change,' said Peter Darbee, chief executive officer of Pacific Gas and Electric Co. The utility has signed contracts with several developers of major solar power plants and has repeatedly warned that some of the projects will fall through without the tax credits. The company is counting on those projects to meet a looming state deadline to increase its use of renewable power."

Selected solar stocks since Tuesday's  U.S. Senate vote approving the extension of solar tax credits for another eight years. 

3 month T Bill 5-day chart

Dow posts third largest point gain in history

Greatest DJIA Daily Point Gains
of All-Time
Rank	Date	Close	Net Chg	% Chg
1	3/16/00	10,630.60	+499.19	+4.93
2	7/24/02	8,191.29	+488.95	+6.35
3	9/30/08	10,850.66	+485.21	+4.68
4	7/29/02	8,711.88	+447.49	+5.41
5	3/18/08	12,392.66	+420.41	+3.51
6	3/11/08	12,156.81	+416.66	+3.55
7	9/18/08	11,019.69	+410.03	+3.86
8	4/5/01	9,918.05	+402.63	+4.23
9	4/18/01	10,615.83	+399.10	+3.91
10	4/1/08	12,654.36	+391.47	+3.19
11	9/8/98	8,020.78	+380.53	+4.98
12	10/15/02	8,255.68	+378.28	+4.80
13	9/19/08	11,388.44	+368.75	+3.35
14	9/24/01	8,603.86	+368.05	+4.47
15	10/1/02	7,938.79	+346.86	+4.57
16	5/16/01	11,215.92	+342.95	+3.15
17	12/5/00	10,898.72	+338.62	+3.21
18	10/28/97	7,498.32	+337.17	+4.71
19	9/18/07	13,739.39	+335.97	+2.51
20	8/5/08	11,615.77	+331.62	+2.94
21	11/28/07	13,289.45	+331.01	+2.55
22	10/15/98	8,299.36	+330.58	+4.15
23	7/5/02	9,379.50	+324.53	+3.58

Biggest one-day Dow point drop in history

Greatest DJIA Daily Point Losses
of All-Time
Rank	Date	Close	Net Chg	% Chg
1	9/29/08	10,365.45	-777.68	-6.98
2	9/17/01	8,920.70	–684.81	–7.13
3	4/14/00	10,305.78	–617.77	–5.66
4	10/27/97	7,161.14	–554.26	–7.18
5	8/31/98	7,539.06	–512.62	–6.37
6	10/19/87	1,738.74	–508.00	–22.61
7	9/15/08	10,917.51	-504.48	-4.42
8	9/17/08	10,609.66	-449.36	-4.06
9	3/12/01	10,208.25	–436.37	–4.10
10	2/27/07	12,216.24	–416.02	–3.29
11	6/6/08	12,209.81	–394.64	–3.13
12	7/19/02	8,019.26	–390.23	–4.64
13	8/9/07	13,270.68	–387.18	–2.83
14	9/20/01	8,376.21	–382.92	–4.37
15	10/12/00	10,034.58	–379.21	–3.64
16	3/7/00	9,796.04	–374.47	–3.68
17	9/22/08	11,015.69	-372.75	-3.27
18	2/5/08	12,265.13	–370.03	–2.93
19	10/19/07	13,522.02	–366.94	–2.64
20	11/1/07	13,567.87	–362.14	–2.60
21	11/7/07	13,300.02	–360.92	–2.64
22	1/4/00	10,997.94	–359.57	–3.17
23	6/26/08	11,453.42	–358.41	–3.03
24	8/27/98	8,165.99	–357.36	–4.19

Traders eye the VIX

Traders hoping for a bounce in the markets are looking for solace in the VIX volatility index. The so-called "fear index" closed over 36 today, its highest level since 2002. Prior spikes above 30 this year have indicated short-term bottoms. 

Charts of the VIX were the most requested among all issues on stockcharts.com Wednesday evening.

Earnings This Week

Monday

ELON pm analysts (-15) cents EPS on $33.2 mil MET, guides above consensus
EXM pm analysts $1.79 EPS on $61.8 mil BEAT by 14 cents
LFT pm analysts 9 cents EPS on $12.6 mil BEAT by 3 cents
PWRD pm analysts 35 cents EPS on $39.4 mil BEAT by 3 cents

CNTF ah analysts 8 cents on $48.7 mil
DRYS ah analysts $4.05 on $218.6 mil
GRRF ah analysts (-25) cents EPS on $8.4 mil
LORL ah priced below NTA no estimates
NCTY ah analysts 32 cents EPS on $58.1 mil

Tuesday

CSUN pm analysts (-5) cents EPS on $73.3 mil
MBT pm analysts $1.63 on 2.34 bil
MF pm analysts (-20) cents on $1.41 bil
UNFI pm analysts 29 cents on $879.2 mil

HPQ ah analysts 85 cents on $28.1 bil
VRTU ah analysts 19 cents on $45 mil

Wednesday

BJ pm analysts 28 cents on $2.27 bil
SOLF pm analysts $1.12 on $961.8 mil

CHINA ah analysts (-1) cent EPS on $97.7 mil
CTRN ah analysts 34 cents on $120.9 mil
HOTT ah analysts (-4) cents on $159.3 mil priced at NTA
NTES ah analysts 31 cents on $82.3 mil
QXM ah no analysts

Thursday

BCSI pm analysts 40 cents on $89.5 mil
FRO pm analysts $2.35 on $392.5 mil
GSOL pm analysts 11 cents on $39.9 mil
OPXT pm analysts 6 cents on $68.8 mil
STP pm analysts 27 cents on $376.1 mil

HRAY ah analysts (-3) cents on $14 mil

The Week Ahead: Earnings of Note

Monday

Premarket
ANSW Internet search portal,
AEY Cable equipment distributor,
CCGY.ob Chinese chemicals/biodiesel,
CHME.ob Chinese pharmaceuticals,
HOC Oil refiner, reports 17 cents vs. 15 cents consensus on $1.48 billion vs. $1.35 billion estimates
HWCC Specialty wire distributor,
IPSU Sugar processor coming off fatal refinery explosion,
JASO Chinese solar, reports 14 cents vs. 10 cents consensus on $160 million vs. $146.6 mil estimates, reiterates revenue guidance above estimates
MBI Frail bond insurer,
MED Weight loss centers, reports 10 cents vs. 11 cents consensus on $25.2 million vs. $22.05 mil estimates, guides 2008 net income above consensus
PETS Online pet meds,
VSR Multi-function contractor

After Hours
BWTR
CBAK
DXPE
FLR
LDK
MDR pre-warned
PAL
WNR
XFML

Tuesday

Premarket
CSIQ
CFSG
GIGM
GLUU
GU
HOKU
KEM
NTWK
PTG
TGIC
TRT ?
XNN

After Hours
AMAT
GIGA
ICOP
ENPT ?

Wednesday

DE premarket
DSX premarket
ELOS premarket
FRE premarket
HAUP ? premarket

ENTN after hours
ETEL after hours
SINA after hours
STV after hours
TSTC after hours

Thursday

ACAT premarket
KRSL ? premarket
YGE premarket

BSIC.ob ? intraday

GA after hours
HPQ after hours
IPII after hours
KONG after hours
NINE ? after hours
SYNX ? after hours

Weekly EIA data

Actual:
Oil +3.8 million barrels
Gasoline -1.5 million barrels
Capacity utilization: 85.4%

Expected:
Oil +500k barrels
Gasoline -800k barrels
Capacity utilization: 85.9%

The Week Ahead: Selected Earnings Reports

Monday
BEAV premarket
HUM premarket
SOHU premarket
TGE premarket
FLS after hours
MTW after hours
TITN after hours
UCTT after hours
V after hours

Tuesday

BNI premarket
BYD premarket
GLW premarketMA premarket
MAG premarket
UA premarket
VLO premarket
ALGN after hours
BWLD after hours
KTCC after hours

Wednesday

CMI premarket
FSLR premarket
GRMN premarket
NOV premarket
AMKR after hours
DVR after hours
OII after hours
TRN after hours
Thursday

ATRO premarket
PDE premarket
PMTI premarket
PTEN premarket
RAIL premarket
BOOM after hours
CHK after hours
MNST after hours
WLT after hours

Friday

AGU premarket
ICE premarket

Cartoon Theme O' the Week: Food Prices

POT crushes Q1 estimates, significantly raises 2008 guidance

The company earned $1.74 per share versus consensus of $1.52.
Earnings guidance for full-year 2008 was steeply hiked up from $6.25-$7.25 per share to $9.50-$10.50 per share. Analysts currently expect $8.62 for 2008.
For the second quarter POT expects to earn $2.20-$2.50 versus $2.27 consensus.
"Another record quarter for our company reflects the ongoing growth in global demand for food and the fertilizers that are essential to maximizing crop production," said PotashCorp President and Chief Executive Officer Bill Doyle. "This is especially true of potash, where we have unmatched assets that continue to elevate our performance. In this environment, we are demonstrating the increasing value of our company - as an essential part of the solution to concerns about the world's food supply."

"The global need to increase food production is real and immediate, and it will be a part of our world for the foreseeable future," said Doyle. "It took nearly a decade to empty the global grain cupboard and we can't refill it overnight. The good news is that the world is more than capable of producing enough food, but improved farming and fertilization practices will be required. With our unique ability to incrementally raise our potash production to meet world demand over the next several years, we look forward to helping farmers increase food production as we deliver continued growth for our shareholders."

IPI pulled back yesterday following its stellar debut on Tuesday. It could be off to the races again today on both the strength of POT's earnings and the saturating media coverage of the global food crunch.

Despite recent data, gasoline stocks still 7% above last year's level

Refiners have operated at highly reduced run rates the past month to try to work off supply overhang ahead of the summer driving season.

With the NYMEX 3-2-1 crack spread still struggling to hold the lower teens, industry-wide attempts to boost margins could be a case of too little too late.

Oil stocks are still below levels of a year ago. And momentum in crude futures is so overwhelming that any data point, negative or positive, within the petroleum complex can and does get spun into a bullish scenario.

So oil continues higher and refining margins stay compressed. Even though gasoline at the pump is crossing $4/gallon in some areas of the country, refiners' share of the pie is only one-third of last year's take.

Weekly EIA data: Bigger build in crude, bigger draw in gasoline

Actual:
Oil +2.4 million barrels
Gasoline -3.2 million barrels
Capacity utilization: 85.6%

Expected:
Oil +1.1 million barrels
Gasoline -2.1 million barrels
Capacity utilization: 82.1%

Large-cap Chinese energy companies worth a look

With shares of American energy companies like APA(nat gas), ACI(coal), and XOM(oil) hitting new 52-week highs on an almost daily basis, it's worth looking abroad for underperformers in the sector
Chinese firms PTR and SNP have come well down off their highs in conjunction with the Shanghai Composite, which at 3147 is roughly 50% off of its October highs over 6000. But they're starting to define a bottom ahead of the major index.

Shanghai made a bit of a stand last night to close in positive territory after dipping below the 3000 mark intraday(night).


SNP sports a P/E below 11, and @ $100/share is 45% below its 52-week high over $178.


The chart for PTR looks the same, as shares have retreated 48% since October.
PTR is now trading at a P/E under 12.


Much has been made about P/E ratios on the exchange, but when China's GDP growth rate is factored into calculations, the Shanghai Composite is valued equitably relative to the exchanges of other countries. This chart is from November.

Intrepid Potash (IPI) begins trading today

The highly anticipated IPO priced 30 million shares yesterday @ $32, above expectations of $29. The company is the American analog to Potash (POT), the Canadian fertilizer company that never pulls back. With a $66 billion market cap, POT is now second only to RIMM ($71 billion) in size among Canadian stocks.

This IPO has all the feel of the Visa (V) IPO last month, which is up 25% since its debut. Just as Mastercard (MA) dominated the market for demand in credit card transaction firms, shares of POT and Mosaic (MOS) have benefited from a dearth of publicly traded fertilizer companies. And IPI is the purest play of the three on potash. Wannabe investors on the sidelines who have been shaking their heads every time POT hits a new high have their chance to get in on the ground floor of a similar company.

POT’s awe-inspiring chart. The recent hyperbolic move equals a gain of 45% since March 20.



An increase in supply in fertilizer issues doesn't necessarily have to decrease demand for existing stocks. MA has continued to climb higher since V started trading.



Odds are that IPI will open much higher than $32. It might be tough to stomach "paying up" for it @ $45, but how many people passed at paying $100 for POT six months ago?

Weekly EIA data: Unexpected drawdown in oil, bigger draw in gasoline

Actual:
Oil -2.3 million barrels
Gasoline -5.5 million barrels
Capacity utilization: 81.4%

Expected:
Oil +1.7 million barrels
Gasoline -1.7 million barrels
Capacity utilization: 83.7%

Build your vocabulary and feed the hungry

International riots over soaring food costs spurred President Bush to authorize $200 million in emergency aid today.  World Bank President Robert Zoellick says rice prices have risen globally by about 75% in just the past two months, "with more likely to come."  

So what's a well-nourished, cubicled American to do?

An ingenious website let's you feel like you're doing something while it helps you build your vocabulary.  For every word you get right, 20 grains of rice are donated through the UN World Food Program to end world hunger.  See if you can beat level 46!