One of my favorite auto blogs — The Truth About Cars (TTAC) — has been running a segment for years called GM Deathwatch. (I first mentioned them in 2004)
Check out their Bailout Watch:
http://www.thetruthaboutcars.com/category/news-blog/bailout-watch/
Consumer Credit outstanding fell $14.8b in Sept seasonally adjusted, almost $5b more than expected and marks the 11th month in the past 12 of declines. At $2.456T outstanding, it is 4.9% below the record high in July '08. After a flat reading in Aug, (didn't fall b/c of the CARS program), non revolving debt outstanding fell by $4.9B. Revolving (mostly credit cards) balances outstanding fell by $9.9B. To fully put into perspective today's data, look at the current level of consumer credit (doesn't include mortgages, the biggest chunk of consumer credit) relative to GDP. As of Q3, it totaled 17.2%...
read more »
November 21st, 2008 at 2:48 pm
off-topic — sorry
C is crashing, down 35% a couple minutes ago.
It’s been a while since we had a weekend surprise; could it be C this weekend?
Would that be good news or bad for Monday?
November 21st, 2008 at 3:15 pm
WOW! All hail Tim Geitner!
It’s the Geitner Rally!
November 21st, 2008 at 3:21 pm
GM: if you liked it at $10, you love it at 0.
November 21st, 2008 at 3:21 pm
I think the Geitner rally continues into next week.
(SPX 840 would be nice for the shorts, if it can get there).
November 21st, 2008 at 3:27 pm
Obama could induce a rally next week (if he wants to) by stating, together with Treasury designate Geithner, that he’s not going to raise cap gains taxes during the course of 2009. He’s got nothing to lose by stating this… he’s not going to collect any money anyway (from that tax) during the course of 2009. The purpose would be merely symbolic… but Wall Street would welcome it.
(However, I doubt he’ll do it any time soon).
November 21st, 2008 at 3:38 pm
Gotta love the TTAC article farther down. Apparently, F CEO Mulally drives a Lexus.
November 21st, 2008 at 3:51 pm
Today is options expiration. Tim Geithner gets nominated today. Coincidence?
Obama is quickly learning the game.
November 21st, 2008 at 3:59 pm
Bothe BAC and JPM are rallying, but C is not. Perhaps that foreshadows its demise this weekend?
November 21st, 2008 at 4:29 pm
@DL said: SPX 840 would be nice for the shorts, if it can get there).
Amazing how quickly things change. This time a few days ago we were wondering if 840 would hold on the way down.
November 21st, 2008 at 7:18 pm
“The Truth About Cars”
It would be hard to imagine life without them. Giddie Up…
November 21st, 2008 at 7:31 pm
Jack Welch opposes bailing out the automakers, and wants them to go bankrupt:
http://www.cnbc.com/id/27840189
So according to Welch, it’s OK to throw endless amounts of money at the banks, but nothing for the autos.
November 21st, 2008 at 10:56 pm
I bought F. Least lame of the three horses, big short position, you know I love a squeeze.
November 22nd, 2008 at 8:58 am
lb,
if “Long” F, why not short Puts? the Mar09 3 Put looks like it was 2.23 bid
http://finance.yahoo.com/q/op?s=F&m=2009-03
you may want to 2x check, but that leaves .77 U$D as max risk, no?
long F @ 1.43 gives one a max risk of 1.43 U$D, yes?
that seems like a big difference..(O yeah, pls. include trans. fees/costs)
past that, BR, that site http://www.thetruthaboutcars.com/category/news-blog/bailout-watch/ , like yours, has long been a good one..