Well, we know where some of that increased sponge capacity (should be ready to run at full capacity now) will be going… Carpenter Technology.
“TIMET will supply Carpenter with titanium and scrap melting services.”
I do not count today’s drop as meaningful, despite its breaking the orderly negative trend. Today it was downgraded by Buckingham Research - ? -.
The downgrade did annoy me however. I do not know why it was downgraded, but anyone listening to the consumer sentiment can figure out why. What annoyed me the most about it was that JCG was downgraded while in a negative trend, which exaggerates any anticipated downward move from a downgrade. (In other words, I find it shadey.)
1. Took on the MA trade mentioned a few posts below.
2. Took on NYX protection here. (Very small position.) Will close it out if I notice NYX closing above 89 on Friday.
Bank of America downgraded Wachovia due to credit deterioration.
Am I the only one that finds this to be extremely IRONIC, and wondering why BofA (who in-it-of-themselves have piss poor credit quality) has any right to talk about ANY bank and the credit situation in general, when they could not see what the hell was going on and did not hedge properly?
Oh the world we live in… there is comedy all around us. 
1. NDAQ reported solid numbers. The rate of market share gain from NYX from a year ago seemed to slow. Also, the quarter does not incorporate the current pricing that NYX initiated on 10/01/07. Curious to see how this pricing affected market share, I suspect it benefited NYX.
2. ATI had Titanium growth of 18% compared to last year. The highest of their metals. Also, LIFO inventory valuation reserve benefit of $61.2 million, due primarily to lower nickel and nickel-bearing scrap, and titanium scrap prices. (So the inventory issues they complained about does not include titanium, that is if I am understanding this correctly.)
-strong demand for titanium products.
On the heals of the AmEx report, MA looks interesting here. MA looks even more appealing when the chart is observed.
MA is oversold, and sitting on support. They report on wed 10/31, and based on AXP, the report should be interesting. Unless the fact that the cards issued via HSBC and BofA hurt MA’s quarter, but the overseas performance, as well as the exchange rate, should give MA a strong Q.
To play the potential pop, look to the 150 Nov Calls. (I am not calling to play MA for the potential earnings pop, but just a pop in general. If MA does not pop prior to earnings, their report may give it the pop.)
Coach’s warnings today has specialty (relatively) highend retail feeling it. Their warning has set their stock back about 10%, and is mostlikely affecting JCG today. A few weeks ago I posted JCG is at an inflection point, well the macroconditions are currently the catalyst to take it down. (Because of this short-term fear, I sold the puts rather than buy the stock. I still own the puts and will go long the shares when the time comes.)
JCG is in a orderly negative trend, despite its support at 42.
Right now JCG is held hostage to the negative macro conditions for retail, and comments made by other retailers that can be considered in JCG’s target market. As to how JCG is actually being affected by all the negativity remains to be seen. I wish I could take the analyst upgrade the other day as a serious look into JCG’s ability to do well in this environment, but the chart is singing a different tune. (Although I am curious to see how their Madewell brand is doing in this environment.)
JCG already lowered expectations, and I do trust this managment, so if they have to lower again, I do not think it comes from their inability to forecast. I believe JCG is at a point to which even if current guidence is maintained, it will pop.
The weekly negative trend maybe tested soon. This could act as a psychological barrier toward, and a pull back maybe seen there.
The Nov 85 or 90 Puts are a good idea when nyx approaches high 87 to 88.
1. NYX has actually gained market share in something :)… attracting IPOs. (article, pg 2)
2. DNDN completed the Phase 3 IMPACT study… finally.
3. BNI had a solid quarterly report… really nice. They echoed continued weakness in consumer and industrial goods.
Didn’t Apple get the memo about the credit crunch?
As a matter of fact, didn’t GOOG, INTC, RIMM and other naz tech stocks get the memo? Or is IBM the only tech stock that got the memo?
Yeah… the assessment is now much clearer… buy the Qs.
