((RAIN)) Rainmakers-Island

[snowcloud]

I've been waiting for the other shoe to drop (Commercial Real Estate) for over a year and now (or very soon) very well might be the time. I'm not prone to conspiracy theories but I gotta say that it seemed like a whole lot of propping up was being done in the CRE sector over the past year. Things like Simon Properties (SPG) announcing a dilutive offering and the pps going up the same day after Goldman Sachs upgraded it! Weird stuff. I also believe that GS and others were doing a whole lot of EOD tape painting last year. Maybe that's coming to an end.

If what you say is true (and I think there's a very good chance that it is) the SRS I still hold from somewhat higher and FAZ from much too much higher might come back just like many of the Pinky stuckholders I had come back in 2009. Ain't no better feeling than a stuckholder coming back into profit! Well, maybe there a few other feelings that are better, but the healed stuckholder feeling's a good one nonetheless. ;)

My warning still holds, though, about 2x and especially 3x ETFs - they are meant for daytrading and swing wildly throughout the day when they're on the move. The Biggies are using them as daily hedges and their algo and hi-freq traders can produce a heck of a rollercoaster ride. A dose of dramamine before entering a leveraged ETF might be in order.