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Wall Street Breakfast: Must-Know Newsby SA Editor Rachael Granby- Bank trio becomes duo. Wells Fargo (WFC) will become the largest U.S. bank by branches with its bid for Wachovia (WB), after Citigroup (C) withdrew from compromise negotiations late yesterday on concerns about the quality of some of Wachovia's assets. Wells Fargo, with a bid valued at $11.4B, expects the purchase to be completed by the end of the year, and denies it will have to absorb assets shakier than originally thought.
- Government considers next steps. As the financial crisis continues to worsen, the U.S. government is considering two dramatic steps to turn around, or at least slow, the damage: guaranteeing billions of dollars in bank debt and temporarily insuring all U.S. bank deposits. The moves, which would mark the government's most extensive intervention to date, are in discussion stages only.
- Credit stays frozen. As frozen credit markets refuse to thaw, the cost of default protection on corporate bonds reaches new global records amid investor concerns the credit crisis will trigger corporate failures as companies struggle to finance their businesses. Interbank lending remains limited, and borrowing from the Fed's expanded discount window continued its trend of setting new highs every week, as the total daily average rose to $420.2B vs. $367.8B last week.
- Oil demand withers. The International Energy Agency warned Friday worldwide oil demand...
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Wednesday, October 15.Bullish Calls:Continental Resources (CLR) -- "This is a remarkable decline. All of the high quality ones are down so much, I can't go against it. This is where you pull the trigger.
3M (MMM) -- The moment this stock starts yielding 5%, I'm a buyer. Until then, keep your powder dry.Bearish Calls:Computer Sciences (CSC) -- This is a company that was going to be bought, but they passed up the chance. Now I don't want to buy it."Email continues...
Annaly Mortgage (NLY) -- I think this is a business model that needs to borrow money. Definitively do not buy."
Northrop Grumman (NOC) -- You can't own the defense stocks right now. If I had to own one, I'd look at Lockheed Martin (LMT) with its good dividend. - Stocks & Sectors -SampleSeeking Alpha - Stocks & SectorsInternet
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Gap Inc.: How Canada, U.K., Japan and Russia Fare
Solar Breaks Oil Price Dependence
To change people's habits subsidies are sometimes needed otherwise no-one would ever want to implement technology that is just too much of a change for individuals to carry out alone. Some criticise these subsidies but they don't remember any of the other areas where they exist also, agriculture, aero, defense, automotive and dozens of others or criticise companies offering "subsidies" or even free stuff to attract a large enough client base to become profitable, Not enough is being done to affect energy consumption, there are hundreds of ways to fairly and progressively get people to stop overconsuming resources but. We can allow time for education or await disasters but usually a good idea is to start rewarding those who start of their own initiative then introduce measures inciting people to reduce consumption and later tax the hard-core who refuse to follow on the right path for future generations. Die hard oil freaks just don't get it but big oil does, they've long decided to discretely invest in and research solar and other tech., just in case, they just don't want you and me to switch trains too fast.
Solar Grade: A Silicon Revolution
A Look at Four Polysilicon-Based PV Manufacturers' Funding
You would do well to explain to all the motive behind GE's purchase of a 35% stake at the price they paid. Sorry to say it but I'd rather trust a 5b$ investor's research and opinion who puts money where his mouth is than some unaccountable blogger who cannot publish unbiased analysis. The word analysis should be removed from your text as it is only opinion/desire you are stating and nothing more, company 20-F's are more objective than your texts by the nature of all the inherent warnings, they permanently remind us they may not have access to financing or be able to complete plans. As Jack mentioned and you didn't, look at estimated revenues knowing that it is based on PURCHASE OBLIGATIONS. Knowing that most of the distribution sequence from raw materials to wholesalers functions on this basis and that there is a waiting list for orders for most products, the only thing that need worry anyone is if end-users suddenly lose interest in solar and that doesn't look to be anywhere near (on most of the planet anyway). You may want to watch There Will Be Blood for a reminder how oil prospecting and financing worked some 100+ years ago and see what it led to.
The 'Problem' With Solar Companies is Not Really a Problem
www.mffais.com/solf.ht...
Which Solar Stocks Will Continue To Shine?
Agree on SOLF. They are executing in an orderly and predictable manner. They also have a huge advantage by being 1/3 owned by G.E. (not GE) and having two of their directors on the board since a while (their CFO since 2 years I believe). That will surely provide many future possibilities. Finance has been playing around with this one a little but once they lose interest, SOLF will be more appreciated. Margins will not drop short term as the average Euro level for this quarter has remained higher than last quarter. This may turn against SOLF in future as sales are very dependant on Europe although it seems they have started to address the US market now. The drop FSLR will experience when their advantage turns against them will probably cause their shareholders to spread that excess market cap to others in the sector.
Solarfun Earnings Could be the Perfect Trigger for a Short Squeeze
Solarfun Earnings Could be the Perfect Trigger for a Short Squeeze