Fed, Stock Oil , and Candy

It's so funny how the anticipation over the Fed decision is built up. I remember the days when I did not know and did not care. Truly, for the long term investor, these things do not matter. But to the extent that such decisions provide a leaf or two in the tea leaf reading on economic *stuff*, then those things are important, IMV.

I've included my e-trade account. It had climbed to as much at $22K. But, I had a speculative bet on YHOO (and October put), and that large red line RULWT was my put on RIMM. Though I've "covered" the loss by trading RIMM in my other account, it still represents a loss in this account. It was my "bet" on a market downturn.



I added a couple of positions. All speculative. MGPI makes wheat gluten and other food products. Their stock has been pummeled. But I noticed that it was finding some footing. I'm also believe that they may see increased business from the Chinese wheat-gluten fall out as they are active in this area and saw immediate increases.



I also bought some WCG--Wellchoice. Yes, it could go lower, but this is speculative. This stock is a terrific example as to why having all of your eggs in one basket or failing to take profits into huge runups can be detrimental. The Hirsch brothers have a mantra at the end of all of their newsletters: Always sell half on a double. That's prudent advice, and that gives you house money. House money is always good!


My gold stocks are "house" money. I did trim EGO. I'm worried that the Turkish mine issue may not get resolved and the stock might move down. But I made a nice return for a short term holding. I did buy some KRY. VERY speculative. House money at this point so I'll let it ride.

The GDP strength last quarter surprised, particularly given some of the negative comments in earnings for quarters going forward.

With oil and now heating oil going up as high as it is, there are going to be many people who will be unable to heat their homes . I remember two or three years ago to fill a tank cost about $700 or so dollars. One of our staff members was undergoing chemo. She was a grandmother and supporting her daughter/grandchildren. She was missing 2 days a week--one for the treatment, which she had on Friday and Monday's because she needed to recover. She was strapped. I had a staff member find out where she got her heating oil. I called the company and had them fill it up. Anonymously. She was proud, and she would have been embarrassed. The point is that to fill up a tank costs a lot of money for people on fixed or reduced incomes.

Tuesday I asked my daughter to get some Halloween candy. She bought $17 worth of candy--two large bags from Sam's. Oh, it's the premo stuff--Reese's, Hershey bars, Almond Joy. We had 7 tricker treaters last night. I'm awash in candy. I had an Almond Joy with coffee this morning. Not good for the waistline but wonderful for the sweet tooth.