Well ( ) which was supposedly 'well capitalized' seems to have found 3 billion in necessary funding in the 12th hour. Funny how a well capitalized outfit needs that type of infusion to stay afloat. Ah yes, I forgot not a solvency issue just some liquidity hiccups. Nice to know the $2 plus billion CIT received in Federal bailout money last year is secure. Nothing to worry about according to King Henry Paulson, the taxpayer is protected !

Some of you may or may not have heard the story making the rounds last week, and mentioned by Dennis Gartman in his daily letter, that the Comex was allowing for the delivery of ETF shares in the place of actual physical gold bullion against a futures positions. This, dear readers is smoke, and where there is smoke there is fire. I suggest you keep close eye on this situation as I will be. Of course the Comex is well capitalized, right? Of course they are.

People tend to forget that gold is a commodity but it is money. When tust is lost, when people start welshing on their end of a financial alchemy deal.... and can't deliver the agreed upon item whether it be gold, oil, a car, etc.....well I will let you fill in the blanks.


Earnings or lack thereof. What does one say when a company can report numbers that would make the hair on your neck stand up, and not in a good way. Eaton,  ( ), saw its earnings drop 92% with an accompanying 32% fall in revenue yet the stock gapped up and was off to the races because it beat the lowered expectations (remember the SNL dating skit). This is what we are supposed to stand up and cheer about? Sorry if I care not to get out of my seat.

Massage the numbers down so that a toddler could get over them. Yes, dear readers less bad is good. That is, until it isn't anymore. I have hilighted Eaton but the list goes on and on Haliburton, Johnson Controls ( ) etc.


I don't know if any of you are familiar with the story of baseball player turned financial guru Lenny Dykstra.