Today I had one of those lovely days when you check your stocks and you see a large jump. My Mitcham Industries (MIND) was trading at $15.5 in AH. My basis was $11.16. My trailing stop loss kicked in and I sold it for an average of $13.78 or a 23% gain. Not bad for a holding of 60 days. The stock closed down $13.02. So it had a pretty wide swing today. The stock had run up before earnings, and the comps at first glance looked terrific. But peeking below the covers, there was a bit of a "whiff".
I'm initiating a position in Kookmin bank. I've owned KB in the past I've done well with it. My thesis is that as a leading Honk Kong bank, it will (1) be a hedge for USD and (2) allow participation in the strengthening Asian economy--too include China, as Hong Kong banks will be beneficiaries.
They were supposed to by Korean Exchange Bank which was bought by Lone Star Funds--all sorts of finger pointing is going on, but Korean officials are stating collusion etc. It will be interesting to see how this plays out as Koomin was to purchase KEB from Lone Star.
3 comments:
Can we comment again?
Why yes we can post again!
Kookmin issues bonds denominated in US Dollars. So to some extent your effort to isolate yourself from a weakening dollar is a quasi-margined bet one way.
Of course if you wanted to go the other way you could buy Washington Mutual bonds. They foolishly have entered the European covered bond market and essentially need to repay in Euros. I am sure it seemed like a good idea at the time.
Russell, you are just raining on my parade. Seriously, thanks for that comment.
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