Dr. Doom Turns Bullish on U.S. Stocks
Whoa, the financial end must be nigh: Marc “Dr. Doom” Faber has turned bullish on U.S. stocks.
“If the price of oil and other commodities declines for a while, it leads to something like a tax cut for the consumer,” Faber said, speaking at a recent Hong Kong conference.
“Whereas I am very negative in the long run, and I believe that the U.S. economic imbalances are not sustainable, for the next few months the investment community is too negative on the U.S. economy which is more likely to surprise to the upside than the downside.”
Waitaminute. For the next few months? Okay, that doesn’t really qualify as bullish. Let’s call it more like temporarily non-bearish.
Doctor Doom [Paul Kedrosky]
Hedgies Getting Horsey
Interest in the sport of polo is on the rise in England. Since 2000, the number of clubs devoted to the stuffy past-time has jumped from less than 40 to more than 60, with five or so claiming to have at least 100 members. Where’s all the interest coming from? Most of them work for the likes of UBS, JP Morgan or Citigroup,” according to one club owner. “They’re traders or they work for hedge funds.”
Making a Mint Out of Polo Ponies [BBC]
Goldman: To Russia With Traders
A year after helping to structure a $13 billion syndicated loan to finance Gazprom’s takeover of Sibneft, Goldman Sachs has been given the go-ahead to set up trading operations by the Russian Federal Financial Markets Service. Goldman, which is also advising the country’s second-largest bank on an upcoming $2 billion offering, has allegedly already been head-hunting local traders.
Goldman Gets Russia Dealer Permit [Reuters]
Hedge Funder Antes Up in Vegas
David Einhorn, a 37-year-old hedge fund manager from New York, had a big day at the World Series of Poker, moving into third place with a chip count of 6.9 million, still a long way back from from the frontrunner, a former Hollywood agent with 13 million in chips. Earlier in the day, 45 players had begun a nine-day competition in pursuit of the grand prize of $12 million. Einhorn personal account won’t be affected either way: He’s playing for charity. Every dollar he wins will go to the Michael J. Fox Foundation for Parkinson’s disease.
Agent Keeps Poker Lead [KFMB.com]
Hedge Funds Good For Metro North Business
While hedge fund returns may have suffered as the number and size of funds has proliferated, one group’s top line has continued to thrive from the boom: Metro North Railroad. As the balance of power in the hedge fund industry has shifted from New York City out to the Connecticut suburbs, the number of young traders doing the reverse commute has ballooned. Over the last decade, the number of commuters from Manhattan to Greenwich has increased 150 percent and 170 percent from Manhattan to Stamford. While the middle-age shlubs who live in the burbs enjoy the short commute to the office, the younger set can’t stomach the idea: “Greenwich is quiet, peaceful and clean,” according to one reverse commuter. “But I am 24 and single — I couldn’t imagine living in Greenwich.”
A Trader’s Train to Wall Street [NY Times]
