Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: russwinter who wrote (28383)	3/11/2005 2:21:15 PM
From: patron_anejo_por_favor	Respond to of 110194

Not to mention KMRT/S ! What a load of rubbish that is, will make someone a fine short someday!<NG>

To: russwinter who wrote (28383)	3/21/2005 7:51:45 AM
From: croesus1111	Read Replies (2) \| Respond to of 110194

Russ, I've been thinking about your shorting homebuilders at the same time as you have positions in the beaten-down PM property plays. I'm thinking this is almost an interest rate straddle. If the long rates rise, you probably have limited downside on the gold stocks, and the homebuilders get creamed. It the interest rates don't rise, given the current account insanity, then PM stocks should rise, hopefully despite the anticipated Fed interference in that market. The only ways you (and I) can get hurt on this strategy (off the top of my head) is for the economy to muddle through, or for interest rates to stay flat or go down and the homebuilders take off again. What do you think of the possibility of the Fed indefinitely screwing the PM markets? Also, I have bought put options (Jan '07 leaps on HOV and RYL). I'm thinking of buying more. What's your take on direct shorting vs. put options here?