Europe: Banking on US Dollar Depreciation

Europe needs to have the spotlight taken off of it, claims Philip Manduca. we couldn’t agree more here. Frankly we believe that help is on the way, in the form of a U.S. dollar devaluation. we don’t know when, but are 99.9% sure it has to happen. Philip Manduca, Head of Investment of the ECU Group, discusses Greece and the very severe implications of what the final... 

Gold Investment Rationale

Investment Summary: We think that regardless of the situation in the future, gold is a better investment vehicle than most other assets. As an inflationary hedge, it will increase in value as a proxy for the US Dollar. In a deflationary environment, gold may not appreciate, but it will outperform relative to financial investment vehicles and most other currencies. “The... 

The Hybrid Dark Pools Puzzle

[Reprinted with permission from Markets Media Online.] The Over-the-Counter Markets must evolve into a hybridized exchange model to satisfy the regulatory and business issues they are currently facing. They must provide regulators a window into their business and a way to gauge risks on both counterparty and settlement basis. Successfully done, this will not only satisfy regulators... 

US Natural Gas Fund (ETF) Stops Issuing New Shares

The US Natural Gas ETF called UNG announced it was suspending the issuance of new shares. As of July 7, 2009, UNG issued all of the remaining outstanding units to its Authorized Purchasers. As a result of these issuances, UNG will temporarily suspend the issuance of additional Creation Baskets until the SEC declares effective the registration statement on Form S-3 (333-159772)... 

OTC Brokers and Electronic Communication Networks

The Electronic Energy Broker Model There are three essential elements of any business transaction: Content, Clients, and Connectivity. This model is even more relevant to the Exchange industry and its offspring, the Broking industry. Content – people need what the Exchange has to sell, namely hedging and speculative tools. Clients – captive clients are even better,... 

The Case for a Natural Gas Rally

Bearish Market So far this year, natural gas has experienced none of the strength that Crude has. This can be attributed to several things. Not the least of which is a lack of speculative activity from the financials. Indeed, the global deleveraging has caused trading firms to pull in the reins on all but the most liquid assets traded. We discussed this with some industry... 

Hope and Denial

It won’t be over until the government writes down the debt. Anything short of that is Denial, which is the evil twin of Hope. Moving it around, putting it in a Bad Bank, financing it, subsidizing it won’t matter. It still exists. And every day the debt is not written down creates an opportunity cost for the economy to recover. This is trading 101. Cut your losses or miss... 

Look Out Below?

As I look at the screen today and see that we are nearing the lows made in November, I remember what a great technical analyst said to me. “Double bottoms are confirmations of significant support. But triple bottoms are meant to be broken.” How to trade that piece of wisdom? Here is what we are doing in our P.A.s. Get Long -As we approach those previous bottoms we are... 

OTC Energy Brokerage: What’s Next

Economic, regulatory, and technological trends are driving the OTC onto electronic regulated trading platforms. What we are concerned with here is how this affects OTC Energy Brokers. Both independent brokers and bigger firms will be affected the same way. Here’s what will happen: Horizontal consolidation- independent brokers in the fragmented OTC industry will not be able... 

Protected: Systematizing Dynamic Pricing For Internet Commerce

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