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Who managed to buy j's at the bid today? I'm curious.
Why wouldn't you just convert to the capital trusts or at least split the difference? I'd stick with the P's but I'm guessing you want to trade. However if the J's run, I would think the P's will as well.
The only downside I can see is if you can't buy enough J's at the price you want to switch out. Only a problem if you're a big player.
Swampdonkey - CALI is one to consider also. Thanks for posting that article.
I like NEP. I own it. Just that it may have volatility based on the price of crude mistakingly or not. CALI is auto sales and not discussed much on this board. Blue sky territory is not that far away.
CALI or other plays from this excerpt.
"For now, China’s increasing auto sales in 2010 will counteract the effects of economic recession. I expect crude oil prices to trade in a range between $70 and $100 a barrel in 2010."
NEP is my other thought but more linked to the price of oil. Cars on the other hand are mobility.
An alternative perspective.
Energy and Infrastructure 2010 Forecast: A Key Year Looms… Here Are the Firms That Can Profit
by David Fessler, Energy and Infrastructure Expert
Friday, December 18, 2009: Issue #1161
As the United States slowly digs itself out of the worst economic downturn since the Great Depression, big changes loom large on the horizon.
Earlier this week, my colleague Marc Lichtenfeld detailed the impact that a healthcare reform bill will have on the various industries and stocks within the healthcare and biotech sectors.
But there are big changes coming in the energy and infrastructure sectors, too. And with much of the infrastructure improvements energy-related, that means there will be plenty of lucrative areas to put your investment dollars to work in the coming months.
Here’s my energy and infrastructure forecast for 2010, along a few companies that stand to benefit…
Profit From Oil Now… While You Still Can
Transportation is one of the major factors that shape human experience.
Where we live… how and where we work… the design of our cities and towns… it’s all based on transportation.
And over the past 100 years, one critical commodity has underpinned transportation in the developed world: Oil. But it won’t for the next 100 years.
The United States and the rest of the world are waving a long, slow goodbye to oil. Why? Simple math:
•Developing nations are home to 82% of the world’s population.
•In the coming years, they’ll be responsible for 98% of its growth.
•They are all on the verge of mass-motorization.
And it’s this last point that is the most important. Oil won’t fuel all these new vehicles. It simply can’t. There just won’t be enough of it to go around. We’re already using up existing reservoirs faster than new ones are being found.
The sobering reality is this: If automobile sales growth in China continues at the present rate, by 2030, China alone could consume all the oil produced in the world today.
For now, China’s increasing auto sales in 2010 will counteract the effects of economic recession. I expect crude oil prices to trade in a range between $70 and $100 a barrel in 2010.
Of course, all bets are off if a geopolitical event threatens any of the major supply sources. If that happens, oil company shares around the world will likely soar.
For now, though, behemoth oil firms like Chevron Corporation (NYSE: CVX), Royal Dutch Shell (NYSE: RDS.A) and others are sitting pretty in the crude oil catbird seat for the foreseeable future.
So what’s in store for oil’s partner-in-crime… natural gas?
Natural Gas: Four Investments to Benefit From This Cheap, “Cap and Trade Proof” Commodity
If ever there was a case when supply and demand dictates a market, you’ve got it with natural gas.
One look at the price performance of the commodity over the past year or so shows it continually languishing close to its lows. That’s because at the moment, the United States is blessed with numerous huge deposits of underground oil and gas shale, which is holding the price down.
Not only that, over the past year, the Potential Gas Committee upped its U.S. reserve estimates to over 2,000 trillion cubic feet. That more than 100 years worth of supplies at 2030 usage rates.
So how did the United States find itself sitting atop the second-largest natural gas supply in the world in a very short time?
Simply put, the introduction of horizontal drilling technology and hydraulic “fracking” has turned the situation into a whole new ballgame. And with continued improvements in fracturing technology, supplies will likely be revised upwards even more.
From an environmental perspective, there’s a lot to like about natural gas, since it emits about half the greenhouse gases compared to coal. That has led John Kilduff, an analyst at MF Global Energy, to call it the ideal “cap and trade proof” fuel.
Right now, natural gas supplies are plentiful and pipeline storage is nearly full. However, the price should rise this winter (it’s already up 10-20% off its summer lows), as cold weather hits the United States.
•If you want a quick, easy, cost-effective way to play an upswing in price, consider shares of ProShares Ultra Oil and Gas ETF (NYSE: DIG). The fund targets returns that are double the daily performance of the Dow Jones U.S. Oil and Gas Index.
•Or if you want more direct, pure natural gas plays while the price remains low, consider companies like Devon Energy Corporation (NYSE: DVN) and Chesapeake Energy (NYSE: CHK).
In addition, another idea that has gained significant attention over the past year is one where natural gas is used as a transition fuel between oil and renewables.
That argument was just validated with Exxon Mobil’s (NYSE: XOM) purchase of XTO Energy, Inc. (NYSE: XTO) for $41 billion, giving Exxon a serious foothold in the natural gas business.
Speaking of renewable and alternative energy…
A Cleaner, “Plugged-In” Auto World
Any time crude oil prices rise sharply, green energy hits the headlines. But the area is gaining popularity with consumers, businesses and utilities anyway, as the world searches for smarter, cleaner alternatives to traditional fossil fuels.
Uncle Sam is greasing the skids too, pumping in billions of dollars for incentives and research into solar, wind and geothermal power, plus smart electrical grid upgrades and grid storage projects.
In addition, nearly all the car manufacturers have announced plug-in electric vehicles (PHEVs) and a few towns and cities are starting to install the electrical infrastructure necessary to support recharging stations.
And lithium ion battery companies are popping up to provide the “fuel” for the Tesla Roadster, the Nissan Leaf and the Chevy Volt, among others.
And although meaningful volumes of electric cars won’t hit dealer showrooms until 2012 at the earliest, this nascent industry is off to a good start.
Three More Alternatives Industries… And Three More Stocks to Play
~ Solar: This is one sector that should continue to see consolidation in 2010. With an excess of silicon wafer capacity and new low-cost thin-film designs just now coming into production, expect the transition from silicon-based panels to thin film to continue in 2010.
And despite the negative press, one of the ultimate winners in this space will be First Solar (Nasdaq: FSLR).
~ Wind: Wind installations will continue during 2010, but well off the record pace of 2008. Nearly 300,000 megawatts of wind farms are waiting for grid enhancements and upgrades. Vestas (Nasdaq: VWDRY) is the world’s largest wind turbine manufacturer, with over 39,000 turbines installed around the world.
~ Geothermal: This is an area with plenty of potential, particularly in the western United States. When it comes to profitable, large-scale geothermal and recovered power producers, Ormat Technologies (NYSE: ORA) is pretty much the “Lone Ranger,” but many smaller operations will likely fire up geothermal plants in 2010.
Infrastructure: The Nuts and Bolts of Nation-Building
This brings us to our last sector – and perhaps the one with the most potential over the coming months: Infrastructure.
Energy and infrastructure are inseparable. Much of the energy we use powers America’s infrastructure. But infrastructure gives it right back to the energy sector to run oil and gas pipelines, water lines, sewer lines, ports, the power grid, roads, railroads, airports… the list goes on.
The thing is, though, much of America’s infrastructure is in dire need of replacement, repair, or expansion. And infrastructure projects are often monumental undertakings. Bridges… roads… tunnels… mines… all require huge amounts of manpower, money and monster machinery. In fact, back in January 2009, the American Society of Civil Engineers estimated it would take as much as $2.2 trillion from all levels of government to whip our infrastructure into good shape.
In addition, much of the developing world is just starting to put a reliable infrastructure in place for the first time, spending hundreds of billions in the process.
In 2010, U.S. stimulus spending on infrastructure will reach its highest level, with over $20 billion earmarked for various infrastructure projects around the country.
There are three big firms that all stand to benefit as stimulus dollars lead to a pickup in infrastructure spending:
•Manitowoc Company, Inc. (NYSE: MTW)
•Harsco Corporation (NYSE: HSC)
•Jacobs Engineering Group, Inc. (NYSE: JEC)
It’s going to be a big year for the energy and infrastructure sectors and rest assured, I’ll be reporting on all the latest, most profitable developments as 2010 progresses, showing you how to profit from these critical areas.
Good investing,
David Fessler
http://www.investmentu.com/IUEL/2009/December/energy-and-infrastructure-forecast.html
JerseyHawg - Have you looked at it today? Now that's volatility.
Looking at the tape, almost every trade has gone through at the bid or below again today. It will change, but it hasn't yet. I don't understand who would be selling shares here though.
Nice to see the excitement on the board. I'd rather see rising numbers in my account though. Bid is still at .0801 as far as I can see.
Latest press out - 2 hrs ago - about the recent trustee settlement of PIM assets for Lehman customers.
Statement of the Office of the Trustee of Lehman Brothers Inc. (LBI) Settlement to Finalize Private
James W. Giddens, the Trustee for the Liquidation of Lehman Brothers Inc. (LBI), the broker-dealer of Lehman Brothers, is pleased to note the U.S. Bankruptcy Court's approval of a settlement agreement with Barclays to finalize the transfer of Private Investment Management (PIM) assets to former LBI customers.
This milestone brings to a successful conclusion the Account Transfer phase of the Securities Investor Protection Act (SIPA) liquidation of LBI. Since the demise of Lehman in September 2008, the Trustee has overseen the successful transfer of 110,000 accounts containing more than $92 billion in customer assets to Barclays, Neuberger Berman, and other SIPC member broker dealers. Overall the Trustee is administering more than $110 billion in the liquidation of LBI, the largest broker-dealer ever to fail. The Trustee's transfers of accounts allowed customers to continue trading within days of LBI's filing, maintaining liquidity and investor confidence through a tumultuous time in the nation's markets.
The PIM conversion of accounts -- effected in accordance with court orders, provisions of the SIPA statute, and regulatory intent -- was the only remaining aspect of the Account Transfers not yet fully complete. The Securities Investor Protection Corp. (SIPC), the U.S. Securities and Exchange Commission (SEC) and the Federal Reserve Bank of New York all supported the Trustee's motion and the Account Transfer process, and with today's ruling their and the Trustee's goal of customer protection has in fact been achieved.
The Trustee is acting pursuant to his principal duty to return property to public customers while at the same time maximizing the estate for all creditors. This settlement does not affect the Trustee's separate, pending claims against Barclays in the Rule 60(b) motion and adversary proceedings, requesting the Court rule that billions of dollars of disputed assets that Barclays is claiming remain the property of the LBI estate. The transfer of these assets would create an unfair windfall for Barclays at the expense of public customers.
The Trustee continues to work through an enormous workload to resolve claims not covered by the Account Transfers in a fair, transparent and orderly process. The Trustee has determined more than 85% of asserted public customer claims filed by the June 1, 2009 deadline, and has made substantial progress in reconciling large, omnibus claims asserted by LBHI, LBIE and others.
Media Contact: Kent Jarrell 202-230-1833
http://pr-usa.net/index.php?option=com_content&task=view&id=302462&Itemid=29
In the larger scheme of things, it seems like another loose end being tied, so possibly not particularly significant. Though it's interesting the type of press Lehman gets these days. Makes me go hmmm.
Yes I think that's a positive and shows things are still moving along. The article is confusing though.
Does anyone really understand this paragraph?
"The objections to the transfer stemmed from concerns the trustee was transferring some $300 million to $400 million of securities it had used cash to purchase, because the original securities had gone missing or needed to be replaced. Some customers argued that would disadvantage them if there is a shortfall and not all customers can have their claims satisfied."
Were some Lehman customers possibly short some stocks they couldn't find borrow for?
Barclay's is getting the funds though correct?
We have some news afterhours.
http://finance.yahoo.com/news/Judge-says-Lehman-trustee-can-rb-2277127349.html?x=0&.v=2
Judge says Lehman trustee can transfer assets
On 4:13 pm EST, Thursday December 10, 2009
Buzz up! 0 Print.Companies:BarclaysLehman Brothers Holdings Inc.
By Emily Chasan
NEW YORK (Reuters) - The trustee in charge of liquidating Lehman Brothers Holdings Inc's (Other OTC:LEHMQ.PK - News) brokerage business won court approval on Thursday to transfer about $1.6 billion to $1.7 billion of customer property to new accounts at Barclays Plc (LSE:BARC.L - News).
Judge James Peck, approved the bulk transfer at a court hearing, despite objections from some Lehman customers who said the transfer would hurt them if there is a shortfall later and all customer property cannot be recovered.
Barclays will receive about $100 million in the transfer as it had made certain advances or borrowed certain securities to fill holes for customers ahead of the transfer, lawyers said at the hearing.
The trustee, appointed by the Securities Investor Protection Corp (SIPC) has been overseeing the transfers of some $92.5 billion of customer property since Lehman filed for bankruptcy protection on September 15, 2008, in the largest bankruptcy filing in history.
The objections to the transfer stemmed from concerns the trustee was transferring some $300 million to $400 million of securities it had used cash to purchase, because the original securities had gone missing or needed to be replaced. Some customers argued that would disadvantage them if there is a shortfall and not all customers can have their claims satisfied.
The property is mostly being transferred directly into customer accounts, a lawyer for the trustee said.
Judge Peck said he was approving the request because the Lehman customers would "benefit" from the transfer and refused to allow objecting customers an option to claw back assets, saying such a plan would open Barclays to too much litigation risk.
The bankruptcy case is In re: Lehman Brothers Holdings Inc, U.S. Bankruptcy Court, Southern District of New York, No. 08-13555.
It's raining at the moment on our perfect storm.
This is how I understand it as well. I agree with you the tone of the letter, while positive for the trusts, is bearish for the preferreds and commons. And it's much less bullish for the trusts than many posters here.
Thanks Phirefli. Hopefully the sellers are just a few traders tired of waiting for the A/L news.
Brikk Coach anyone? Is this similar to the previous trading ahead of runs. It feels like there are some skittish sellers in the J's. Ask is now .095 and most of the trades are at bid with volume picking up.
Is this ship sinking?.
Nice to see some green!
I've accumulated all I want at this point. I've been adding more of the cap trusts the past few weeks, though I have painted the tape end of day to add a few more J's in recent weeks fwiw.
Not one of you highrollers were willing to slap the ask on the J's at .096 at the eod? Not much of a confidence booster.
Quiet board today. Is everyone holding their breath?
Shares on sale at .125. Who's buying big today? Looks like we still have a seller happy to get .105.
I bought some yesterday at .35. Anyone else stepping up to the ask today?
I keep asking myself why it's still at .10 and trading at parity with the commons. So it would seem everybody isn't buying this stock yet, certainly not the "everybody" that's important enough to move it up.
Who's still willing to sell this at .11? Still scratching my head and waiting for the fat lady to sing.
CSP - You just made me lol with that quote. Thanks!
"As for attending conferences, I think I'd rather see LTUS attend the PharmChina conference than a Rodman and Renshaw conference...."
Too many stocks for me to check them all out though I love this board. Many good posters and great discussion. I have made some money on a few quick trades and recently added NEP to my IRA in the $4's.
Congrats to all winners today.
So let's review your math. What's the significance of the P's trading in their range today?
Today actually and other times before. Your thoughts on ORS vs ZOOM?
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=43838736
Surprised no one noticed ORS 10-Q is out. I know it's been mentioned here. Revenues and earnings are down though it still seems undervalued here. Thoughts? Is ZOOM eating it's lunch?
http://biz.yahoo.com/e/091123/ors10-q.html
Good. Then I'll be here though I'm not convinced you have those deep pockets. Are you just another speculator getting impatient?
I'm not justifying anything. Just asking questions. And your math at this point isn't convincing me.
Sorry I didn't understand that post. Maybe Coach Brikk $Brich$ Hammer or Rhino can chime in here somewhere.
The Pq's don't drive the valuation of Lehman shares. On any given day, various cap trusts or preferreds will trade higher. The bonds are green but not that bullish yet. Just trying to temper your pump of $10-20 while the was close at .10.
Could it happen - maybe possibly. When - who knows? Do investors want it to be true. Of course.
I agree about NITE and the manipulation. I've been a recipient. However there was MOMO to the tune of 10M shares traded in 3 days on the run to .40. 5M would probably get us back there but the buying pressure isn't happening until more data suggests the bond holders will be happy campers imo.
OK just a bit confused at the $10 call. My understanding is that the bonds need to be much higher for this to be a slam dunk for the preferreds. The J's closed at .10 again today. $10 seems pumpish to me at this point.
And 20M in uranium assets isn't a dealmaker when we're talking about billions to make bondholders whole. I'm optimistic, and cautious. I don't think anything is simple regarding the Lehman reorganization.
Could you explain your math to me?
tia
I think it's relevant since I've had few problems with fills at ask. I'm not bearish, I just want to see support and prefer not to fund those that have huge positions in any scalping of the spread.
Ultimately anyone that wants shares will pay what they are willing to pay regardless.
jmo
It's getting tighter.
I think it's relevant since I've had few problems with fills at ask. I'm not bearish, I just want to see support and prefer not to fund those that have huge positions in any scalping of the spread.
jmo
Yes I agree completely. I never thought bid upticks were a bearish sign. = )