Category «Finance»

From Buy China to China Buys…




If you read the business section of any major US newspaper today, the headline is definitely Geely is buying Volvo for $1.8 Billion. From Hummer to Volvo, and from iron ore mines in Australia to the oil sand business in Alberta, the Chinese are quietly putting their huge foreign reserves (almost $2 trillion) to what …






Bouncing balls…




I am not sure how many short-term traders were fooled by the market today, but I confess I am one of them, and paid a pretty hefty price for it. All was set to rise this morning, when the market initially opened. After all, we’ve had some pretty positive news from the Federal Reserve regarding …






Rebound was all we were hoping for




The market was a little hesitant towards going up this morning, and I was a little worried because the consumer confidence and home prices data did not look so good. Consumer confidence was the key for economic recovery, which has plunged to the lowest since 1967, when the index was first measured while home prices …






Interesting day on GM




Today was obviously an interesting day to see on GM and F and the not-listed Chrysler. The news started to unfold at 9am, when President Bush announced the bailout plan for the Big Three (Big Two rather, since Ford is not asking for money), and the market reacted extremely positive at pre-market, when share price …






Earnings and surprises…




For the past two days, we’ve witnessed one of what I would personally considered as the most hilarious jokes of the year unfolded on Wall Street. Quick quiz to those of you who are reading this: 1. If a company that has not lost a single cent ever since it went public in 1999, and …






Wachovia and Wells Fargo Merger – A short study on the market efficiency and no arbitrage theory




In front of me is a copy of the shareholder’s prospectus on the Wachovia and Wells Fargo merger. Put all the excitement aside (since this is the first time I am voting as a shareholder for a legal entity, although practically I do not hold any stock of Wachovia Corp as this point although I …






Bailout failed for automakers




Newsflash: The bailout has officially died in the senate as of 11:03pm, as it could not find sufficient number of votes from the Republicans to pass the legislation. Oil have down more than 2 dollars in the past hour and US Stock Futures have gone down for more than 3% tonight. There will be another …