Stories of interest.

  1. From Forbes, here, comes this story of how the $1.4 billion budget of the Securities and Exchange Commission compares with what some of the big banks spend: a) Goldman spent $2.3 billion in salaries and compensation in the 3 months of 2010; b) Bank of America’s marketing budget for 2010 is $2 billion and; c) JP Morgan reserves $4 billion a year to fight lawsuits (this is nearly 3 times larger than the entire SEC budget. And the repubs want to slash it?
  2. From Bloomberg, here comes this story of how PIMCO holds no treasury bonds in its Total Return Fund. This is easily the world’s largest bond fund. Their relentless selling pressure probably explains the steep downtrend that you can see in the TLT. With that being over and equity markets being in a bit of a slump, perhaps a TLT trade makes sense.
  3. And from Minyanville, here are many reasons to now be bearish. Some like the behavior of the ags and the SOX are recent and things we flagged. Others like Europe are old stories that were ignored by the bull.
  4. And from a gold-bug I like, here, is the following quote: “The world’s gold and silver reserves are held almost entirely by the US, Germany, France and Italy. How else are they going to resolve their sovereign debt crisis in the next five years but to revalue their gold assets?”  Gold goes to many thousands per ounce, there is no fever like gold fever etc. etc.