A waiting game today as the Dow fell 64 points on light volume.  The advance/declines were negative.  The economic data was a little better than expected but it doesn't matter in this environment.  It's all about the Fed.  I doubt that they will announce any changes tomorrow but I could be wrong.  It's possible that we get no new news from the Fed and the ECB.  The stock indices probably won't like that but who knows?  There's always Fridays employment report to move things.  So we'll see.  GE was flat on the day and the volume was light.  Gold dropped almost $10 on the futures and the US dollar was a bit lower as well.  The XAU fell almost 3 points.  ABX, GG and NEM all had fractional losses today on light volume.  My ABX October calls remain mired in the red.  No news from the Fed and the ECB won't be bullish for gold.  The technicals for the gold shares here are mid-range.  A case could be made for either direction.  Mentally I'm feeling a bit tired, did not sleep well.  We ended the month on a down note for the stock indices.  I still think that we are digesting the gains from late last week.  Not completely short term overbought on the stock indexes just yet.  The gold shares look like they could be rolling over here once again.  Tomorrows action will tell the story there.  I still plan on holding the ABX calls for a while though.  Beginning of August tomorrow and we'll see if we get some of the usual positive money flows.  We'll keep an eye on things overnight and take it from there.

Today we returned to the summer Monday role in the marketplace as the Dow fell 2 points on light volume.  The advance/declines were slightly negative.  Simply digesting the recent gains today in my opinion.  It's a waiting game now on the Fed and the ECB.  Wednesday and Thursday should provide some news or lack thereof to move the stock indices.  End of the month tomorrow.  Plus the employment report on Friday.  Plenty of reasons to spike volatility this week.  My guess is that when it is all said and done, we'll be higher than when the week started.  GE was off 1/8 on average volume.  I might still try the August calls here but not completely sold on that idea.  Gold was up a couple bucks on the futures in lackluster trading.  The US dollar was a bit higher today.  The XAU rose 2 points.  ABX, GG and NEM were all up fractionally on light volume.  One day doesn't make a trend but the gold shares finally outpaced the price of gold for a change.  My October ABX calls are still in the red.  I'll be hanging on to them for a while.  Mentally I'm feeling OK.  Plenty of economic data in the days to come along with lots of news from the worlds Central Banks.  Boring it won't be.  I'd be a buyer of weakness for the stock indexes but my ideas haven't been panning out lately.  I think we'll be on hold until the Wednesday Fed announcement.  We'll see if anything comes out of Europe tonight as the headline risk is still upon us.

Stocks Going Ex Dividend the Second Week of August

  Here is our latest update on the stock trading technique called 'Buying Dividends'. This is the process of buying stocks before the ex dividend date and selling the stock shortly after the ex date at about the same price, yet still being entitled to the dividend. This technique generally works only in bull markets. In flat or choppy markets, you have to be extremely careful, and may need to avoid the technique during those times.

In order to be entitled to the dividend, you have to buy the stock before the ex-dividend date, and you can't sell the stock until after the ex date. The actual dividend may not be paid for another few weeks. WallStreetNewsNetwork.com has compiled a downloadable and sortable list of the stocks going ex dividend during the next week or two. The list contains many dividend paying companies, all with market caps over $500 million, and yields over 2%. Here are a few examples showing the stock symbol, the market capitalization, the ex-dividend date and the yield.

Olin Corporation	OLN	8/8/2012	3.7%	$1.7B
Pitney Bowes Inc.	PBI	8/8/2012	11.1%	$2.7B
R.R. Donnelley & Sons	RRD	8/8/2012	8.3%	$2.3B
Spectra Energy Corp.	SE	8/8/2012	3.7%	$19.8B

The additional ex-dividend stocks can be found at wsnn.com. (If you have been to the website before, and the latest link doesn't show up, you may have to empty your cache.) If you like dividend stocks, you should check out the high yield utility stocks and the Monthly Dividend Stocks at WallStreetNewsNetwork.com or WSNN.com.

Dividend definitions:

Declaration date: the day that the company declares that there is going to be an upcoming dividend.

Ex-dividend date: the day on which if you buy the stock, you would not be entitled to that particular dividend; or the first day on which a shareholder can sell the shares and still be entitled to the dividend.

Monthly Dividend Stock List
Record date: the day when you must be on the company's books as a shareholder to receive the dividend. The ex-dividend date is normally set for stocks two business days before the record date.

Payment date: the day on which the dividend payment is actually made, which can be as long at two months after the ex date.

Don't forget to reconfirm the ex-dividend date with the company before implementing this technique.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

Top High Yield Low Price No Debt Below Book Stocks

It is one thing to find a high yield low price stock, but there are more characteristics that you have to look at. Does the stock only pay a dividend once a year or quarterly? Is it selling way above book value or below book? Does the company have a ton of debt?

To make it easy for investors do do their research, WallStreetNewsNetwork.com has just updated its High Yield Stocks Below $10 per Share list, It has been narrowed down to only show the stocks with yields greater than 4%, selling below book value, and with little or no debt. In addition, all the stocks pay quarterly.

An example is Lawson Products Inc. (LAWS), a Chicago, Illinois based company which distributes maintenance and repair related products and services. The customers include numerous industries, such as automotive repair, commercial vehicle maintenance, government, manufacturing, food processing, distribution, construction, oil and gas, and mining. The stock trades at 6.7 times forward earnings and pays a very generous yield of 5.1%. The company has a small amount of debt relative to its capital and sells at 62% of book value.

Friedman Industries (FRD) is involved in steel processing, pipe manufacturing and processing, and steel and pipe distribution. The stock pay a dividend rate of 5.6% and sports a forward price to earnings ratio of 5.3. This debt free company sells right at book value.

The Dallas, Texas based A. H. Belo Corporation (AHC) is a newspaper publishing company, which owns and operates four metropolitan daily newspapers: The Dallas Morning News, The Providence Journal, The Press-Enterprise, and The Denton Record-Chronicle. The company last reported negative earnings but pays a 5.8% yield. The company is debt free and trades at 77% of book value.

The see the entire list of 30 high yield low priced stocks that have low or no debt and trade at less than book value, go to WallStreetNewsNetwork.com.

Disclosure: Author didn't own any of the above at the time the article was written.

By Stockerblog.com

I Just Bought a 13% Guaranteed $5000 bond that Pays $120 per month Tax Free

Can you believe that I just bought a 13% guaranteed $5000 bond that pays $120 per month tax free for 5 years? And it's guaranteed by a major US bank.

Here is what it is. About a year ago, I got a 'special deal' on a credit card, interest free for one year on purchases and balance transfers. I took advantage of it.

The year is up, and now a 13% interest rate kicks in. So by paying off the credit card, I am saving about $120 a month for approximately five years, in essence generating a 13% return (as the alternative is not paying it off and paying the high interest). And of course, there is no taxation on the $120 per month savings. Such a deal.

This is obviously a very simple 'investment' or money management technique. Just wanted to reinforce the benefits of credit card payoffs, especially to those who are getting credit cards for the first time.

US Olympic Swim Team Having Fun

Call Me Maybe - 2012 USA Olympic Swimming Team

The (Honest) Truth About Dishonesty

Everyone lies, no matter who they are. Even you. Yes, you. Fans of Dan Ariely will love his latest book, The Honest Truth About Dishonesty: How We Lie to Everyone---Especially Ourselves. The book provides fascinating accounts of the various experiments which prove over and over again that people are willing to lie and cheat, and the factors that affect the lying and cheating.

Ariely talks about how the chances of getting caught can affect cheating, and how companies can allow and even encourage cheating by its employees. Did you know that if you wear a knockoff, such as a fake Gucci handbag, you are more likely to cheat? There is a whole chapter dedicated to golf. Chapters 7 and 8 are probably the most important, as they cover how we cheat and lie to ourselves.

An interesting concept that he writes about in detail is about how cheating is contagious and how collaboration can cause an increased amount of cheating. Fortunately, Ariely has come up with various ways to help reduce cheating in various settings.

If you liked Predictably Irrational (by the way, there is an updated and expanded edition of this book), you will like The Honest Truth About Dishonesty.

Man Renting Himself Out as Walking Advertisement to Pay for Trip to Olympics

A Hermosa Beach, California man has offered to rent himself out as a walking advertisement in order to pay for his trip to the Olympics in London.

A powerful follow through to yesterdays action as the Dow closed above 13000 for the first time in 3 months.  The Dow gained 187 points on good volume.  The advance/declines were 5 to 1 positive.  This should move the summation index back to the upside.  I was wrong once again thinking that the earlier this week break of the up trend line in the S&P 500 would lead to further weakness.  Of course I didn't know the European Central Bank would announce that it's ready to flood the markets with money but my idea was wrong anyway.  We've broken through the resistance for the S&P 500 on good volume and should move higher from here to attack the 1420 level.  We don't need to know why there is a rally, we just need to recognize that fact and try to profit from it.  GE was up 1/3 on heavy volume.  Breaking out to the upside here as well.  I'm considering the August 21 calls if they get cheaper.  I do not like to chase moves and the short term technicals are overbought now.  Gold gained a couple of bucks on the futures and a bit more in the aftermarket.  The US dollar was weaker yet again today.  I still don't think that gold has moved as much as it should with such extensive weakness in the US dollar this week.  The XAU was up around 1 3/4.  ABX fell 1/3, GG was up 1/8 and NEM dropped 1 1/2 on poor earnings.  Volume was heavy in ABX and NEM.  I sold my August ABX calls for almost a 100% loss.  Even with 3 weeks to go the calls were too far out of the money to ever show a profit.  It's better to put that trade behind me and move on.  I'll continue to hold the ABX October calls and they are in the red.  The major gold producers and the gold shares in general have not kept pace with the gains in the precious metal.  That usually isn't a bullish sign.  The October calls have about 3 months to go.  The weekly technicals for the gold shares are oversold but that doesn't mean that they can't remain there.  We'll see what happens.  Mentally I'm feeling OK.  The stock indices are in rally mode.  GDP came in as expected.  Weakness can be bought in my opinion.  The summer has been anything but quiet once again.  It's possible that the XAU and some of the gold shares are putting in a double bottom here on the weekly charts.  Time will tell on that.  I just booked another big losing trade and there is nothing good to be said about that.  The lost money and mental capital has to be forgotten about in a hurry because the markets won't wait.  The markets don't care.  I'll have to regroup over the weekend and be ready for Monday morning.  We've got plenty of economic data out next week and the Fed announcement on Wednesday.  But for now it's a Friday summer afternoon and time for a rest.  

Follow-Up on a Startup: BoomBotix

Back in March, we featured an article, 'Spotlight on a Startup', which gave an inside view of BoomBotix Inc., a creator of mobile audio For Sounding Great On The Go™. The company was founded in 2009 with roots in San Francisco’s urban art scene and the Tahoe action sports arena. In 2010, BoomBotix splashed into the portable electronics scene with the worlds loudest portable speaker tailored to the transient lifestyles of surf, skate, and snow culture.

Startups that survive go through a series of funding stages, usually starting out with investments from friends, family, and credit cards. The next step is funding from angels, wealthy individuals who are willing to put up money for high risk investments in return for the potential of very high returns. Also known as accredited investors, they are always looking to get in on the ground floor of another Google (GOOG), Apple (AAPL), or LinkedIn (LNKD).

The third stage is venture capital. VC companies are willing to invest funds in early stage companies with proven sales and traction. There may be several stages of funding at this point. The final stage in the process is going public through an IPO (Initial Public Offering) or being taken over by a much larger company.

BoomBotix has seen rapid growth; it boasts distributors in over 20 countries with more than 140 retailers domestically including Best Buy, Backcountry.com, and Amazon, though it began with a virtually non-existent marketing budget. Because of the company's success, it has reached its third stage of funding, closing its first venture capital round. Walden Venture Capital has lead a Series A round in Boombotix.

Walden Venture Capital is a 'Sprout Stage™' investor based in San Francisco that focuses on Digital Media and Cloud Services companies. With investments including Pandora, SoundHound, The Clymb and Glam among others, they have a track record of helping companies attain mass-market adoption. 'Lief Storer and his team are incredible at design and technology while having a real passion for the consumer', said Larry Marcus, Managing Director of Walden Venture Capital, 'We are looking forward to helping take the Boombotix brand and product line to the next level. The company that is young, hungry and dedicated to serving its users with better sound, design and functionality.'

Boombotix CEO Lief Storer commented, 'The Boombot speaker line is constantly expanding, and the team is eager to develop new products and continually improve the products already in our portfolio. This round is just going to help us lay down the real foundation that we need to take things to the next level.'

Boombotix portable speakers are available in several styles, in wired or BluTooth® models for $65 to $79 at Amazon, Best Buy, Backcountry, Tilly’s, or direct from the company at www.boombotix.com.

No investment recommendation nor any investment promotion is expressed or implied by either Stockerblog.com or BoomBotix Inc.

A Slap in the Facebook

Facebook (FB) was hit hard today, dropping over 10% in the after-market. The company released earnings today for the first time since the IPO. The company's revenues were $1.18 billion, up from $895 million a year earlier, an increase of 32%. It wasn't enough for the analysts, so the stock tanked. The current price is the lowest it's been since the stock went public.

This of course hasn't helped the price of companies that own lots of shares of Facebook. A free list of these 'Facebook Stocks' can be found at WallStreetNewsNetwork.com.

The market exploded to the upside on news out of Europe.  The Dow gained 211 points on good volume.  The advance/declines were almost 3 to 1 positive.  The headline risk was positive this time around.  The European Central Bank basically said it would print as much money as it takes to save the euro.  The US dollar tanked and that propelled the stock indices higher.  Perhaps this time we'll make it through the resistance at around 1370 on the S&P 500.  We'll have to see what happens after tomorrows GDP report.  GE was up 1/2 on good volume.  It looks like GE wants to continue higher here.  That will be a plus for the overall market if it happens.  Gold was higher by $7 on the futures which really wasn't much considering that the US dollar got pummeled today.  The gold shares lagged as well with some exceptions.  The XAU gained 2 7/8.  ABX fell about a buck, GG rose 2 and NEM gained 1/4.  The ABX earnings and guidance completely disappointed the market.  ABX was down 2 3/4 at one point.  It made a strong comeback but not enough to save any of my calls.  I'll probably dump the August calls tomorrow for a substantial loss.  It's possible that I can break even on the October calls if we get some type of rally in the gold shares in the next month or so.  GG is clearly the leader in relative strength here.  Mentally I'm feeling OK.  The stock indexes had a nice day but was it simply a one day wonder?  Perhaps this was simply a snap back rally but it didn't feel like it.  Tomorrow will tell a lot even if it is a summer Friday.  If the market continues to rally on a weak GDP number, then we should continue to move higher in the days to come.  If we drop back tomorrow the picture will be less clear.  Gold should have moved a lot more today considering the weakness in the US dollar.  Gold itself is short term overbought now as well.  ABX dropped to a new low today and there is no hope for my August calls now.  It is times like these that as a trader you just have to persevere.  My trading has been terrible all year.  It seems that nothing I'm doing is working out.  But you have to keep going.  There are still plenty of trading opportunities out there.  We'll see what transpires tomorrow.    

Warren Buffett's Company Created 7000 Pound Chocolate Lollypop

See's Candies is the western states producer and retailer of very high quality delicious chocolate and other types of candy. The company happens to be owned by Berkshire Hathaway (BRK-A) (BRK-B), the company that is run by the famous billionaire investor, Warren Buffett. See's, which is headquartered in South San Francisco, California, was founded in 1921 by Mary See. The company was taken over by Buffett in 1972.

Now the company has set a world record, by creating the world's largest lollipop, a chocolate lollipop at that, measuring three and a half feet wide and six feet long. This three and a half ton treat was revealed in San Francisco a few days ago.

The only way to invest in See's is to by Berkshire Hathaway. However, there are plenty of other chocolate companies to choose from. Info is available on them from WallStreetNewsNetwork.com, which has a free list of about a dozen chocolate and candy stocks, most of which pay dividends. Here are some that may be worth taking a bite out of:

Hershey (HSY) is the largest manufacturer of chocolate in North America. The stock trades at 20 times forward earnings and pays a tasty yield of 2.1%. .

Rocky Mountain Chocolate Factory (RMCF), makes and markets chocolate caramels, creams, mints, and truffles. The company has a forward price to earnings ratio 13, and provides a tasty yield of 3.6%.

And who can forget the "N E S T L E S, Nestle's makes the very best, chocolate" television commercial. Nestle (NSRGY), the large famous chocolate manufacturer, trades at 15 times forward earnings.

Chocoladefabriken Lindt and Sprüngli (LSPN.DE) (COCXF), sells its products under the Lindt, Ghirardelli, and Caffarel brands. The stock trades at 27 times earnings. 

If you want to see a free list of all the publicly traded chocolate and candy stocks, go to WallStreetNewsNetwork.com. The list, which includes several companies that pay dividends, can be downloaded, updated, and sorted.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

We broke the losing streak for the Dow today with a gain of 58 points on average volume.  The advance/declines were positive.  It was an up and down type of day in the stock indices.  A mixed market as both the S&P 500 and the NASDAQ were lower on the session.  Short term oversold now for the market and a bounce is to be expected.  With the summation index heading lower, I would expect any rally attempt to be short lived.  I could be wrong.  GE was flat on the day and volume was lighter.  GE has had pretty good relative strength lately.  That is a plus for the bullish case going forward if GE is a proxy for the overall market here.  Gold had a strong day on the weaker US dollar.  The yellow metal rose $30 on the futures.  The XAU was up only 4 points as the gold shares continue to disappoint.  ABX rose 2/3, GG up 1 1/8 and NEM gained 1 1/2.  Volume was slightly above average, which is a positive.  NEM was the leader and that is usually a positive as well.  My October ABX calls are slightly in the black but the ABX August calls I own are losers and will remain so barring a miracle.  Earnings are out tomorrow for ABX and that should be a mover one way or the other for this stock.  We'll see what happens.  Mentally I'm feeling OK.  The S&P 500 is trying to hold on at the 50 day moving average on the daily chart.  I'm guessing that the GDP report out on Friday could be a market mover but it will be summer Friday.  So the all the usual participants may not be around.  Gold had a strong day for a change.  My thinking here is that if the GDP report is weak on Friday then gold will continue to rally on expected easing down the road from the Fed.  That's a guess as usual.  We didn't hear anything out of Europe today but that could change at any minute.  Headline risk remains.  We'll see how ABX reacts to the earnings report and take it from there.

Stocks Going Ex Dividend the First Week of August 2012

  Here is our latest update on the stock trading technique called 'Buying Dividends'. This is the process of buying stocks before the ex dividend date and selling the stock shortly after the ex date at about the same price, yet still being entitled to the dividend. This technique generally works only in bull markets. In flat or choppy markets, you have to be extremely careful, and may need to avoid the technique during those times.

In order to be entitled to the dividend, you have to buy the stock before the ex-dividend date, and you can't sell the stock until after the ex date. The actual dividend may not be paid for another few weeks. WallStreetNewsNetwork.com has compiled a downloadable and sortable list of the stocks going ex dividend during the next week or two. The list contains many dividend paying companies, all with market caps over $500 million, and yields over 2%. Here are a few examples showing the stock symbol, the market capitalization, the ex-dividend date and the yield.

IDACORP Inc	IDA	8/2/2012	3.1%	$2.2B
The Southern Company	SO	8/2/2012	4.1%	$41.5B

CMS Energy Corporation	CMS	8/1/2012	3.9%	$6.4B
Itau Unibanco Holding (ADR)	ITUB	8/1/2012	3.2%	$32.9B
Natural Resource Partners	NRP	8/1/2012	10.6%	$2.2B

The additional ex-dividend stocks can be found at wsnn.com. (If you have been to the website before, and the latest link doesn't show up, you may have to empty your cache.) If you like dividend stocks, you should check out the high yield utility stocks and the Monthly Dividend Stocks at WallStreetNewsNetwork.com or WSNN.com.

Dividend definitions:

Declaration date: the day that the company declares that there is going to be an upcoming dividend.

Ex-dividend date: the day on which if you buy the stock, you would not be entitled to that particular dividend; or the first day on which a shareholder can sell the shares and still be entitled to the dividend.





Monthly Dividend Stock List

Record date: the day when you must be on the company's books as a shareholder to receive the dividend. The ex-dividend date is normally set for stocks two business days before the record date.

Payment date: the day on which the dividend payment is actually made, which can be as long at two months after the ex date.

Don't forget to reconfirm the ex-dividend date with the company before implementing this technique.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

The Dow once again made a last hour comeback but it wasn't enough to prevent the 3rd triple digit down day in a row.  The Dow fell 104 points on average volume.  The advance/declines were 3 to 1 negative.  We were off 200 at one point intraday.  The summation index is now moving to the downside.  We've broken the up trend line in the S&P 500 that has been in effect since the beginning of June.  We could snap back to that line but the trend has changed.  Not oversold yet on the daily technicals for the stock indices but we are working or way down there.  GE was off 1/8 on average volume and has held up rather well here.  Perhaps what we will get for the overall market is more sideways action instead of a huge decline.  That's a guess as usual.  No trades in GE for me at the moment.  Gold bounced around today but finished the day little changed on the futures.  The US dollar was stronger today.  The XAU was down 3/8.  ABX fell 1/2 on good volume, while GG and NEM were little changed on light volume.  My ABX calls for August and October are losers as ABX cannot find any support whatsoever.  At this rate the earnings out on Thursday won't make a difference.  The gold shares are still under performers with relation to the price of gold.  Mentally I'm feeling a bit tired again, did not sleep well.  The stock indexes have been roiled by Europe once again.  The 50 day moving averages are getting close to breaking down through the 200 day moving averages on a daily basis.  That is not a positive sign.  Puts are probably the way to go or simply head to the sidelines.  The relationship between the price of gold and the gold shares has hit an extreme in my opinion.  One of two things will happen.  Either the price of gold will have to fall quite a bit or the gold shares will have to rally.  We'll see what happens.  I'm holding losing trades for ABX and the earnings are due out before the bell on Thursday.  The August calls I have are probably dead.  We'll keep an eye on Europe overnight and take it from there.

Not a typical summer Monday as the Dow was rocked early by the problems in Europe once again.  We were down over 200 but made a comeback to finish the day with a loss of 101 points.  The advance/declines were 3 to 1 negative and the volume was average.  It certainly could have been a lot worse and the fact that we came back leads me to believe that we are not on the verge of some major market meltdown.  But anything can happen I suppose.  Europe was off the radar for a while, now it's back.  It will go away again and then come back.  This situation is like a broken record and it will not be solved anytime soon.  It makes the trading tougher than it already is.  GE was up 1/4 and the volume was good.  This is another reason why the decline probably doesn't have legs in my opinion.  GE is at times a proxy for the overall market.  We'll see how this plays out.  No trades here for me now.  Gold was off $5 on the futures but was lower early on as well.  The US dollar had some strength today on the flight to safety.  The XAU could not follow once again as it lost 4 points.  ABX off a buck, GG fell 3/4 and NEM lost 2/3.  Volume was light.  I canceled the open order that I had for the October ABX calls before the market opened.  I then replaced that order with a lower price when ABX opened lower.  That order was filled.  I still hold the August ABX calls as well that I should be getting rid of after the earnings report out on Thursday.  That trade will be a loser.  Mentally I'm feeling a bit tired, did not sleep enough.  So now all eyes will be back on Europe and whatever news comes out of there.  The headline risk returns to the marketplace.  Once again, that can cause things to go either way.  I do not have any OEX trades in mind for now.  I'm trying the ABX calls again and they haven't worked for me yet this year.  Plenty of time on this trade as it goes out for 3 months.  We'll see what happens.  There's a potential positive RSI divergence on the daily chart and the Gold/XAU ratio is off the charts to the buy side.  That ratio hasn't worked well as of late but that won't be the case forever.  We'll watch things overseas tonight and go from there.

The Sofía Vergara Stock Index

According to Forbes, the highest paid television actress over the last twelve months is Sofía Vergara. She is the beautiful 40 year old Colombian actress and model who stars in the TV hit show Modern Family.

She started out as a runway model and as a co-host for a Colombian television show at the age of 20. After working for Univision for several years, she started appearing in sitcoms for ABC. She was nominated three years in a row for the Primetime Emmy Award for Outstanding Supporting Actress in a Comedy Series. She is starring in the upcoming movie The Three Stooges. She earned approximately $19 million in the last year, putting her at the top of the Forbes top TV actress list.

It is not just Vergara that is making money for herself, she is also helping the companies that she is associated with make money. Her first commercial was a Pepsi (PEP) ad broadcast in Latin America and just last year, she appeared in a Diet Pepsi commercial with David Beckham. Pepsi trades at 16 times earnings and pays a decent yield of 3.1%. The company reports earnings July 25.

Vergara also has an endorsement deal making her the new face of CoverGirl, the cosmetic product line of Procter and Gamble (PG). The company has a forward price to earnings ratio of 16.5 and yields a generous yield of 3.5%. The company's earnings announcement is August 3.

Of course with her popularity in Modern Family, the companies that benefit include the production company, 20th Century Fox Television, owned by News Corp. (NWSA), and the ABC television network, owned by the Disney Company (DIS).

All the companies that she is connected with can be found on the free list of Sofia Vergara stocks at WallStreetNewsNetwork.com. If you take all these stocks and put them in the form of a stock index, you will find that the Sofia Vergara Stock Index greatly outperformed the Dow Jones Industrial Average.

Since January of 2008 to July of this year, Sofia's stocks were up 32.3% versus only 1.4%. If you measure from January 2009, the S and P was up 60.3% but Sofia still beat it, rising 77.9%.

If you like celebrity stock indexes, you might want to check out the Gisele Bunchen Stock Index and the Angelina Jolie Stock Index.

Assumptions:
The Sofia Index is a price-weighted index, similar to the Dow Jones Industrial Average. It includes reinvested dividends.

Disclosure: Author owned DIS and NWSA at the time the article was written. No celebrity endorsement expressed or implied.

By Stockerblog.com

What Stock Dropped Almost 100 Points on Friday?

Do you know what stock dropped almost 100 points on Friday? This is not counting Berkshire Hathaway (BRK-A) (BRK-B) which was down 1265 points. The stock that was down big time to the tune of 21.5% was Chipotle Mexican Grill, Inc. (CMG), the operator of numerous Mexican restaurants throughout the US. This has been a hot stock of late, closing at 403.86 last Thursday, but dropping as low as 307.20, down about 96 points, then closing at 316.98.

The company reported sales below what Wall street analysts were expecting, which in turn, triggered several downgrades for the stock. The stock trades around 29 times forward earnings and does not pay a dividend.

Pre Olympic Excitement

Check out Michelle Jenneke Dancing at the Junior World Championships in Barcelona 2012.

How Long Will You Live?

Check out this Lifescan Calculator, created by The Northwestern Mutual Life Insurance Company. As you answer the calculator questions, you can see your estimated age at death increase (or decrease).

You can access it HERE.

Stocks Going Ex Dividend the Fifth Week of July

  Here is our latest update on the stock trading technique called 'Buying Dividends'. This is the process of buying stocks before the ex dividend date and selling the stock shortly after the ex date at about the same price, yet still being entitled to the dividend. This technique generally works only in bull markets. In flat or choppy markets, you have to be extremely careful, and may need to avoid the technique during those times.

In order to be entitled to the dividend, you have to buy the stock before the ex-dividend date, and you can't sell the stock until after the ex date. The actual dividend may not be paid for another few weeks. WallStreetNewsNetwork.com has compiled a downloadable and sortable list of the stocks going ex dividend during the next week or two. The list contains many dividend paying companies, all with market caps over $500 million, and yields over 2%. Here are a few examples showing the stock symbol, the market capitalization, the ex-dividend date and the yield.

Bank of Montreal	BMO	$34.5B	7/30/2012	5.1%
Hasbro, Inc.	HAS	$4.3B	7/30/2012	4.3%
Pinnacle West Capital Corp	PNW	$5.6B	7/30/2012	4.2%

The additional ex-dividend stocks can be found at wsnn.com. (If you have been to the website before, and the latest link doesn't show up, you may have to empty your cache.) If you like dividend stocks, you should check out the high yield utility stocks and the Monthly Dividend Stocks at WallStreetNewsNetwork.com or WSNN.com.

Dividend definitions:

Declaration date: the day that the company declares that there is going to be an upcoming dividend.

Ex-dividend date: the day on which if you buy the stock, you would not be entitled to that particular dividend; or the first day on which a shareholder can sell the shares and still be entitled to the dividend.




Monthly Dividend Stock List

Record date: the day when you must be on the company's books as a shareholder to receive the dividend. The ex-dividend date is normally set for stocks two business days before the record date.

Payment date: the day on which the dividend payment is actually made, which can be as long at two months after the ex date.

Don't forget to reconfirm the ex-dividend date with the company before implementing this technique.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

A downside bias to expiration day as the Dow fell 120 points on average volume.  The advance/declines were 2 to 1 negative.  Some negative noise from Spain today.  We closed the week below the important 1370 level on the S&P 500.  Perhaps we'll make another run at a breakout next week.  GE was all over the map today on the earnings report.  It opened lower, was up 1/2 and then sold off to be little changed.  Volume was heavy.  I'm not exactly sure which way it goes from here.  Gold was up a couple bucks on the futures today despite a stronger US dollar.  The XAU fell 3/8.  ABX, GG and NEM were mixed with fractional moves on light volume.  I'm leaving the October ABX call order open and I'm waiting to sell the August ABX calls at a loss.  Earnings for ABX are due on Thursday.  Mentally I'm feeling OK.  The stock indices tried to break out this week and so far have failed.  Some had gaps to the downside and that isn't a positive going forward.  However none of the up trend lines in place since June have been violated.  Gold had a pretty good performance today considering the strength in the US dollar.  Perhaps the flight to safety trade is going to make a comeback.  I'd like to own the October ABX calls before the earnings are announced.  We'll see.  I've already lost a lot of money so far this year trading the gold shares from the long side.  We are approaching the historical positive months of August and September for gold.  I'll have to ponder this trade over the weekend.  For now it's a Friday afternoon in the summer and time for a break.

What Companies Have Been Raising their Dividends?

One great indicator that can give a signal that a company is doing well is a dividend increase. When a business does this, it generally means that much better earnings are on the horizon.

One recent example is Kinder Morgan, Inc. (KMI), the energy transportation and storage company, boosted its quarterly dividend by 17%, from 30 cents per share to 35 cents per share year over year, and a 9% increase over the previous quarter dividend of 32 cents per share. The stock trades at 26 times forward earnings, and pays a dividend rate of 3.6%.

Penske Automotive Group, Inc. (PAG), the international automotive retailer, bumped up its quarterly dividend by 9%. The stock trades at 10 times forward earnings, plus it sports a yield of 1.8%.

A week ago, Cummins Inc. (CMI) raised the quarterly dividend on its common stock by an incredible 25 percent to 50 cents per share, up from 40 cents per share.The stock has a forward price to earnings ratio of 8.5. The dividend payout is 2.3%.

For a free list of stocks going ex dividend this month, which can be downloaded and sorted, go to WallStreetNewsNetwork.com.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

An expiration drift higher today.  The Dow gained 34 points on average volume.  The advance/declines were slightly positive.  The economic data out today was weaker than expected.  No matter, there are no sellers at the moment.  We've gotten above the key 1370 area in the S&P 500.  It certainly hasn't been a robust move higher yet though.  Interesting that we haven't heard anything about Europe lately as if that problem is suddenly solved.  The market goes where it wants.  GE was off fractionally on light volume.  We'll see if tomorrows earnings report can get this issue moving.  Gold was up $10 today as the US dollar was just a bit weaker.  The CRB index has moved higher lately.  The XAU was up 1 3/4.  ABX and NEM rose 1/2, while GG gained 3/4.  Volume was light.  I did place an overnight order for the October ABX calls but it wasn't filled.  I'm leaving the order open.  My August ABX calls remain solid losers.  I'll wait for the earnings next week and probably take the loss there.  Mentally I'm feeling OK.  The stock index action of late seems a bit slow and lethargic.  I guess it's perhaps finally a summer of doldrums.  Not the best trading environment.  We've got option expiration tomorrow and then I don't see any real catalysts for the market until the 2nd quarter GDP report.  So I'll sit and wait.  It's all you can do really.

Continuing higher as the Dow gained 103 points on average volume.  The advance/declines were positive.  Another day like today and we will break through the resistance on the S&P 500.  Todays economic data was better than expected.  It looks like the gains in the indices will continue.  GE was up 1/8 on light volume.  Earnings Friday.  Gold was down $18 on the futures as the US dollar was flat on the day.  The XAU fell 1 3/4.  ABX and NEM were both off around 1/3, while GG fell 1 1/8.  Volume was light.  My ABX August calls are just about dead.  I'm considering moving out to the October calls here.  I may place an overnight order for them.  Mentally I'm feeling tired.  Todays post is abbreviated due to other commitments that I had today.  Back at full strength tomorrow.

Cord Blood May Treat Strokes and Spinal Cord Injuries

Salk Institute for Biological Studies researchers have discovered the use of a single protein called transcription factor-to convert cord blood cells may be helpful in treating spinal cord injuries, strokes, and other neurological disorders. Other research has shown that umbilical cord blood may be useful in treating leukemia. Several companies, both large and small, are involved in the cord blood industry, and Richard Branson has even invested in the cord blood business.

Cord blood is blood that comes from the umbilical cords of babies, and contains a significant amount of hematopoietic stem cells. Specialized cord blood banks store this blood. Cord blood stem cells are considered far superior to stem cells from bone marrow. Cord blood of a baby is preserved in the event it may be needed at some point in the future for treatment of the cancer or genetic disease of the child or the child's siblings. Many diseases have been treated with cord blood. Information on cord blood and how it is collected, stored, and used, is available at CordBloodStocks.com.

Investors have two options when investing in this industry. They can own the stocks of the cord blood banks or own the companies that use cord blood to develop cures and produce extraction and storage products. WallStreetNewsNetwork.com has come up with a list of 20 companies involved in the cord blood field. One example is PerkinElmer, Inc. (PKI), which owns ViaCell, a Cambridge, Massachusetts company which sells ViaCord, a product which is used to preserve baby's umbilical cord blood. They also research and other therapeutic uses of umbilical cord blood-derived and adult-derived stem cells. The stock trades at 11 times forward earnings and pays a decent yield of 1.1%.

Baxter International Inc. (BAX) makes blood collection bags for umbilical cord blood and develop adult stem-cell therapies. They also own a patent for assembling and methods to process cord blood in a sterile fashion to avoid exposure to bacterial contamination and to disburse the introduction of cryopreservation solution into cord blood at a desired rate, thereby avoiding damage or trauma to the cord blood cells. The stock has a forward price to earnings ratio of 11.4 and sports a yield of 2.4%.

Celgene (CELG) is a New Jersey company that is involved in the discovery, production, and marketing of therapies designed to treat cancer and immune-inflammatory-related diseases. They own LifeBank USA, a cord blood bank. The stock has a forward PE of 12.3.

Amgen Inc. (AMGN) is also funding research into cord blood extraction, preservation, and storage. The stock has a forward PE of 11.6 and carries a yield of 1.9%.

For a free list of cord blood and stem cell stocks, which can be downloaded, updated, and sorted, go to WallStreetNewsNetwork.com.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

Moving higher per expiration week as the Dow gained 78 points on what passes for average volume these days.  The advance/declines were 2 to 1 positive.  The market opened higher, moved lower when Bernanke started talking and then resumed its climb back to the upside.  The economic data today was about in line with expectations.  Summation index still moving to the upside.  Resistance on the S&P 500 comes in at 1370.  A decisive break above that level would send the stock indexes much higher in my opinion.  I'm not sure if that will be the case.  The down trend line at 1370 has been in effect since the beginning of April.  GE was up 1/8 on average volume.  Still oversold on the daily technicals there.  We'll look to the earnings on Friday as a catalyst one way or the other.  Gold was moving around to the downside today.  The precious metal lost a few bucks in the regular session and then fell more in the aftermarket.  The US dollar was lower today as well.  The XAU was off 1 1/2.  ABX, GG and NEM were all off fractionally on light volume.  I'm still holding the ABX August calls and will be until the earnings out next week.  They continue solidly in the red.  Mentally I'm feeling a bit tired, did not sleep well.  Looking to see if we can break the longer term resistance on the stock indices and that will be the key for the near term.  The S&P 500 will easily go to 1400 if we can break through 1370 in my analysis.  Hasn't happened yet.  Gold remains range bound as it has been for weeks on end.  Not sure what will get the metal moving.  More Bernanke tomorrow along with the days economic data. 

Stocks Going Ex Dividend the Fourth Week of July 2012

  Here is our latest update on the stock trading technique called 'Buying Dividends'. This is the process of buying stocks before the ex dividend date and selling the stock shortly after the ex date at about the same price, yet still being entitled to the dividend. This technique generally works only in bull markets. In flat or choppy markets, you have to be extremely careful, and may need to avoid the technique during those times.

In order to be entitled to the dividend, you have to buy the stock before the ex-dividend date, and you can't sell the stock until after the ex date. The actual dividend may not be paid for another few weeks. WallStreetNewsNetwork.com has compiled a downloadable and sortable list of the stocks going ex dividend during the next week or two. The list contains many dividend paying companies, all with market caps over $500 million, and yields over 2%. Here are a few examples showing the stock symbol, the market capitalization, the ex-dividend date and the yield.

 

Boardwalk REIT	BOWFF	$2.7B	7/27/2012	3.2%
DNP Select Income Fund Inc.	DNP	$2.7B	7/27/2012	7.0%
NiSource Inc.	NI	$6.9B	7/27/2012	4.0%

The additional ex-dividend stocks can be found at wsnn.com. (If you have been to the website before, and the latest link doesn't show up, you may have to empty your cache.) If you like dividend stocks, you should check out the high yield utility stocks and the Monthly Dividend Stocks at WallStreetNewsNetwork.com or WSNN.com.


Dividend definitions:

Declaration date: the day that the company declares that there is going to be an upcoming dividend.

Ex-dividend date: the day on which if you buy the stock, you would not be entitled to that particular dividend; or the first day on which a shareholder can sell the shares and still be entitled to the dividend.




Monthly Dividend Stock List
Record date: the day when you must be on the company's books as a shareholder to receive the dividend. The ex-dividend date is normally set for stocks two business days before the record date.


Payment date: the day on which the dividend payment is actually made, which can be as long at two months after the ex date.

Don't forget to reconfirm the ex-dividend date with the company before implementing this technique.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

Just another mundane Monday in the summer as the Dow fell about 50 points on light volume.  The advance/declines were negative.  No upside follow through to Fridays fireworks.  I still think we'll head higher from here with expiration week as the back drop.  We've got a couple days of Bernanke blabbering to Congress to get through.  The daily stock index technicals are mid-range so I suppose you could make a case for either direction from here.  Plenty of earnings to contend with along with a modest amount of economic data.  GE was off 1/8 on light volume.  Still holding the 50 day moving average on the daily charts.  Earnings on Friday.  I doubt I'll be attempting a trade for GE this week.  Gold was little changed on the day as the US dollar was lower.  The XAU fell 5/8.  ABX was flat while GG and NEM had fractional losses.  Volume was light.  My ABX August calls continue to be losers.  I'm resigned to waiting on the earnings report next week.  Might be too late by then.  This trade is in the cut the loss stage at this point.  The technicals are oversold though so we'll see what happens.  Mentally I'm feeling OK.  The stock indices continue to remain above their rising trend lines on a daily basis that began in the beginning of June.  As long as that holds the trend is higher in my opinion.  Gold has been moving sideways and the gold shares have lagged.  That usually isn't a bullish scenario going forward.  Yet I still own the August ABX calls at a loss.  Less than 5 weeks to go on this trade now.  Perhaps the earnings will help me cut the loss.  Not a good trading strategy there.  We'll wait to see what Bernanke has to say tomorrow.

The Investor's IQ Test - Basic

Are you a novice or experienced investor? Think you know everything or at least a lot about the stock market? Take this test.

1. The stock symbol for AT and T, Inc. common stock is?
a. ATT
b. T
c. A
d. TEL

2. A call option will move in what direction when the stock moves up?
a. up
b. down
c. fluctuate
d. remain flat

3. The highest priced stock in the United States currently is
a. Apple
b. Google
c. ExxonMobile
d. Berkshire Hathaway

4. When interest rates go up, bonds go
a. up
b. down
c. fluctuate
d. remain flat

5. A bear market is a
a. rising market
b. falling market
c. fluctuating market
d. flat market

6. If you buy a stock on the ex-dividend date, you
a. are entitled to that dividend
b. are not entitled to that dividend
c. may or may not be entitled to the dividend based on the company's decision

7. When you short a stock, you make money when the stock
a. pays a dividend
b. goes up
c. goes down
d. has a stock split

8. What is the largest stock exchange in the world?
a. NASDAQ
b. Tokyo Stock Exchange
c. London Stock Exchange
d. NYSE Euronext

9. Which of the following is a stock index?
a. Dow Jones Industrial Average
b. S and P 500
c. NASDAQ Composite
d. All of the above

10. Which of the following is most likely to grow in value long term?
a. common stock
b. preferred stock
c. bond
d. put

Have you written down all your answers?

Are you ready to check your answers?

Check your answers below:

1. b
2. a
3. d
4. b
5. b
6. b
7. c
8. d
9. d
10. a

If you find investment trivia interesting, you may want to check out Stock Market Trivia and Investment Trivia.

The Invisible Gorilla

First watch the following video and count the number of passes that the white shirt team makes:

Did you see the gorilla? Most people don't see it when they watch the video for the first time.
The book The Invisible Gorilla: How Our Intuitions Deceive Us was written by Christopher Chabris and Daniel Simons, the psychology professors who are known for their 'Gorillas in Our Midst' study. This is an incredible book.
The fact that many people can miss something that happens right in front of their eyes, also known as inattentional blindness, is just one section of the book. Remember the incident in the Canary Islands where a passenger plane took off and ran in to another airplane as it was going down the runway? The pilots didn't even see the Boeing 747. Many other examples are given. Even doctors can miss things in X-rays, items that are right in front of them.
Did you know that smart chess players and stupid criminals have something in common? I'm not going to give away the concepts; just read Chapter 3. People who are interested in business and investing should find Chapter 4 of interest: 'Should you be more like a weather forecaster or a hedge fund manager?' Everybody overestimates what they know, even scientific experts. This is called the 'Illusion of Knowledge.'
Cause and effect is one of the important concepts extensively covered in the book. Did you know that more people drown on days when a lot of ice cream is consumed? Is there cause and effect? Is there a correlation? Is there another cause for both? Or is it just a coincidence?
One of the key takeaways from this book is the following quote:

The only way - let us repeat, the only way - to definitively test whether an association is causal is to run an experiment.

There are numerous books available to readers, which I call 'Why' books; why you should be doing this or that, why this happens, why that happens, why the economy happens a certain way, why people do certain things, and on and on. Chabris and Simons make it very clear that unless there is an independent scientific experiment that that proves something with statistical significance, with the study published in recognized scientific journals with peer review, then the claim may not, and in many cases, probably not, be true.
You don't have to worry about a lot of scientific gibberish in this book. It is very clear and easy to read and understand. The Invisible Gorilla is one of my favorite books that I have read for this year, and I highly recommend it.

Latest News on Warren Buffett for the Week of July 13

The latest news about Warren Buffett, head of Berkshire Hathaway (BRK-A) (BRK-B).

Free list of Warren Buffett stocks at WallStreetNewsNetwork.com

Warren Buffett says economy slowed in last 2 months

Warren Buffett Wins as Berkshire and Walmart Rally

Warren Buffett says Libor Scandal Involves 'The Whole World'

Warren Buffett's Berkshire Hits 16-Month High

How Shills From Warren Buffett’s Chinese Car Company Stole Their Own Facebook Contest

Coca-Cola's stock split may upset Warren Buffett

Free list of Warren Buffett stocks at WallStreetNewsNetwork.com

We finally got the rally I was expecting as the Dow gained 203 points on light volume.  The advance/declines were 5 to 1 positive.  We never got any weakness early as it was off to the races from the start.  I didn't get any OEX calls and that is another missed opportunity.  I expected some up side like this over 2 to 3 sessions, not all in one day.  The excuse is that the bank earnings were better than expected.  Didn't matter.  The stock indexes were overdue for some technical upside.  We'll probably continue higher for the short term.  GE was up 1/3 and the volume was light.  We're bouncing off of the 50 day moving average here.  Earnings in a week.  The July 20 calls here perhaps?  Probably not.  Gold rallied on a weaker US dollar as the precious metal futures rose $26.  The XAU did not follow as it only gained 2 1/3.  The under performance of the gold shares here is glaring and does not bode well for future upside.  ABX up 1/4, GG gained 7/8 and NEM added 3/4.  Volume was light.  My ABX calls are losers and ABX is under performing here as well.  The earnings are out in a week and a half so I suppose I will wait for that event.  Mentally I'm feeling discouraged of course for being stuck in a losing trade while winning ideas go by the wayside.  It's part of the game.  As always the mental capital wasted in losing efforts is the most important component.  My trading this year has not been good.  It has been exceptionally poor.  I'll need to rectify this going forward.  The stock indices have room to the upside here.  Expiration week should help move things forward along with the oversold condition technically.  The easy profits have been made though in my opinion.  Gold continues to move in a sideways channel with the gold shares simply continuing lower.  There is nothing on the horizon to change this pattern.  I will be looking out to the October ABX calls on more downside.  I'll check the charts over the weekend and go from there.  For now it's Friday afternoon and time for a break. 

The malaise continues as the Dow fell 31 points on what passes now for average volume.  The advance/declines were negative.  I didn't get any OEX calls today but I am still interested in that trade near term.  The timing has got to be good for this idea to work.  I will consider buying them tomorrow and dumping them on Monday or Tuesday.  The short term technicals are oversold.  No real news today of any consequence and we were off over 100 points early on.  I'm still expecting at least a short covering rally soon.  GE was down 1/4 on average volume.  We've reached the 50 day moving average on the daily charts.  Oversold short term here as well.  Earnings out in a week.  No trades for me here.  Gold was lower again today on the stronger US dollar.  The gold futures closed down $10, were down over $20 at one point of the session and made a comeback in the after hours market.  The XAU fell 2/3 but was much lower than that intraday.  ABX, GG and NEM all had fractional losses after all being lower by over a buck early.  ABX and NEM have potential doji morning stars on their daily candlestick charts.  My ABX August calls are firmly in the red.  That trade is now in a cut the loss, take the loss mode.  My next attempt here will probably be the October calls.  Mentally I'm feeling OK.  If we get some weakness in the morning for the stock indexes I'll probably try the July OEX calls.  I've been looking at this trade for a couple of days and the longer there isn't any upside the more likely it is for some to occur.  In theory anyway.  The market could just keep heading down as well.  But I don't think that is going to happen.  The ABX trade is yet another loser, it's just a matter of how much.  I still might wait until the earnings report though.  Not much else for a Thursday afternoon in the summer.  We'll close out the trading week tomorrow.     

Two Thirds of People Drink Booze to Relax

According to surveys done by ICM Research, approximately two-thirds of people drink alcoholic beverages during the evening in order to relax. The primary reasons given were work problems and stress. The company also found that one-third of workers have a drink or two before they go home. The organization Drinkaware has pointed out the risks of over-drinking, and may even lead to more stress down the road.

In terms of alcohol purchases, it turns out that 71% of grocery purchasers include alcoholic beverages on their grocery lists. Investors are taking a look at liquor companies as a semi-recession proof business. According to WallStreetNewsNetwork.com, there are over a dozen wine and liquor stocks, and additional dozen beer stocks. Eight of these stocks pay dividends.

Brown-Forman Corporation (BF-A) (BF-B) is one of the major marketers of whiskey, tequilas, liqueur, and wine. You are probably familiar with some of the major brands of the company, including Jack Daniel's, Southern Comfort, Finlandia Vodka, Woodford Reserve Bourbon, Canadian Mist, Early Times, and Korbel champagne.The stck trades at 26 times earnings and pays a yield of 1.6%. Unfortunately, earnings for the latest quarter were down about 37%, on relatively flat earnings.

Diageo (DEO) is a much larger company in the liquor business, with a market capitalization of almost $65 billion. The company's brands include the world leaders in their category, such as José Cuervo, the world's best-selling tequila, Smirnoff, the top selling vodka, and Johnnie Walker, the most popular Scotch whiskey. The stock has a forward price to earnings of 16 and a yield of 2.0%. Earnings for the quarter ending December 31 were down 20%.

The world's largest wine company is Constellation Brands (STZ). Brands include Robert Mondavi, Hardys, Clos du Bois, Franciscan Estates, Ravenswood, and Blackstone in the wine category. Beer brands include Corona, Modelo Especial and Negra Modelo, Pacífico, St. Pauli Girl and Tsingtao, along with Svedka Vodka and Black Velvet Canadian Whisky. The stock trades at ten times earnings, and does not pay a dividend.

For a free list of wine and liquor stocks, which can be downloaded, sorted, and updated, go to WallStreetNewsNetwork.com.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

5 days in a row to the downside as the Dow fell 48 points on light volume.  The advance/declines were slightly positive though.  The market didn't like the Fed minutes but did stage a last hour comeback to cut the loss more than in half.  I'm pretty sure that the OEX July calls are the way to go here for a short term trade.  The daily technicals on the stock indices are at the same level where they bounced before.  The only drawback here is the apathy from the players.  There really isn't any interest from the buy side but we could at least see a short covering rally.  That's a guess as usual.  If we get some weakness again tomorrow, I might try those OEX calls.  GE was up a touch today on light volume.  The short term technicals are oversold here as well as we approach the 50 day moving average.  No trades for me here though.  Gold took a slight hit on the Fed and the slightly higher US dollar.  The precious metal futures were off around $5.  The XAU continues to under perform, losing 2 2/3.  ABX dropped 2/3, GG fell 3 1/2 and NEM shed 3/8.  Volume was above average for the gold shares and extremely heavy in GG.  GG announced a shortfall in production for the year and got clobbered.  My ABX calls remain in the red and could be on the way to the graveyard of failed trades.  There is a chance that we are putting in a double bottom for ABX on both the daily and weekly charts but it will depend on where we close for the week.  That will be the only chance for this ABX August call trade to be profitable.  Mentally I'm feeling a bit tired, did not sleep well.  I'd like to perhaps try the OEX July calls here but I am still stuck in the ABX trade.  I don't know if I'd like to put on more risk.  I'll see what happens tomorrow morning and go from there.  There really isn't a catalyst out there for higher prices that I see but the market will go where it wants to.  We've had plenty of bad news lately and the stock indexes have held up rather well.  Plus we have expiration week coming up which usually has a positive bias.  So we'll see.  I'll keep an eye on things overnight and go from there.   

A downer Tuesday as the Dow fell 83 points on better than lately volume.  The advance/declines were 2 to 1 negative.  We made a last half hour comeback in the indices or it would have been worse.  No apparent reason for the decline but there are no buyers and there is no interest.  I think the market is falling on its own weight.  If I am to attempt the OEX July call trade the time is now.  We are back to the up trend line at the 615 area.  I'm sure if I wasn't involved in the current ABX trade that I would try the OEX.  GE fell 3/8 and the volume was good.  I suppose the July GE calls are out of the question now.  It appears that we had a false breakout on the weekly GE chart.  We have now fallen back below the previous resistance.  If this continues for GE that would not bode well for the overall market.  Gold fell today as well, the futures were off about $10 and another $10 in the aftermarket.  The US dollar was higher.  The XAU fell 5 1/8.  ABX off a buck, GG down 7/8 and NEM lost 1 1/3.  Volume was weak here again.  There is no buying interest.  My ABX August calls are now solidly in the red.  I'll need to see some kind of upside before the end of the week here or this will be yet another losing trade.  The short term technicals are oversold for the gold shares.  Mentally I'm feeling OK.  I'll have to think long and hard about getting the OEX July calls tonight.  Perhaps the Fed minutes will be an upside catalyst for the stock indexes tomorrow.  That's a guess as usual.  The short term technicals for the stock indices are mid-range.  Todays bearish action appeared out of nowhere really.  I guess maybe there won't be any summer doldrums again this year either.  The dollar is breaking out to new highs for the year and that won't be bullish for gold.  We are short term overbought in the US dollar though.  We'll keep an eye on things tonight and see what happens tomorrow.

Stocks Going Ex Dividend the Third Week of July 2012

 Here is our latest update on the stock trading technique called 'Buying Dividends'. This is the process of buying stocks before the ex dividend date and selling the stock shortly after the ex date at about the same price, yet still being entitled to the dividend. This technique generally works only in bull markets. In flat or choppy markets, you have to be extremely careful, and may need to avoid the technique during those times.

In order to be entitled to the dividend, you have to buy the stock before the ex-dividend date, and you can't sell the stock until after the ex date. The actual dividend may not be paid for another few weeks. WallStreetNewsNetwork.com has compiled a downloadable and sortable list of the stocks going ex dividend during the next week or two. The list contains many dividend paying companies, all with market caps over $500 million, and yields over 2%. Here are a few examples showing the stock symbol, the market capitalization, the ex-dividend date and the yield.

 

Netcare Limited	NWKHF	$23.8B	7/18/2012	3.2%
The Clorox Company	CLX	$9.3B	7/23/2012	3.6%
Royal Bank of Canada	RY	$71.6B	7/24/2012	4.5%

 The additional ex-dividend stocks can be found at wsnn.com. (If you have been to the website before, and the latest link doesn't show up, you may have to empty your cache.) If you like dividend stocks, you should check out the high yield utility stocks and the Monthly Dividend Stocks at WallStreetNewsNetwork.com or WSNN.com.


Dividend definitions:

Declaration date: the day that the company declares that there is going to be an upcoming dividend.

Ex-dividend date: the day on which if you buy the stock, you would not be entitled to that particular dividend; or the first day on which a shareholder can sell the shares and still be entitled to the dividend.






Monthly Dividend Stock List
Record date: the day when you must be on the company's books as a shareholder to receive the dividend. The ex-dividend date is normally set for stocks two business days before the record date.


Payment date: the day on which the dividend payment is actually made, which can be as long at two months after the ex date.

Don't forget to reconfirm the ex-dividend date with the company before implementing this technique.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

A lackluster start to the trading week as the Dow fell 36 points on light volume.  The advance/declines were negative.  Monday back from a long holiday week and the summer doldrums are here.  For a day at least.  No news of any importance and Europe was quiet today.  We are trying to bounce off of the 50 day moving average in the Dow.  I may try the OEX calls later in the week.  GE didn't do much today and the volume was light.  No trades there for now and the earnings are due on the last trading day of the July option cycle.  The gold futures were up $10 as the US dollar fell today.  The XAU dropped a point and change though as the gold shares are lagging the price of the metal itself.  That isn't a bullish sign for those issues.  ABX, GG and NEM all had fractional losses on light volume.  My August ABX calls are in the red now.  However I still plan on holding them for now.  Mentally I'm feeling OK.  There is trend line support for the OEX at the 615 level.  If we work our way back to that, I will probably try the July 620 calls.  That is the next idea on my radar screen.  I'd like to hang on the the August ABX calls until the earnings come out later this month.  But the markets will go where they want to.  I don't expect much out of this week.  Not much economic data due.  The Fed minutes will be out on Wednesday.  Earnings reports begin tonight.  We'll see if there are any surprises. 

What Country is the World's Marijuana and Beer Capital?

Can you guess what country has the highest consumption per capita of cannabis and beer? I'll give you a hint; it's not the United States. It is actually the island country of Palau, located in the Micronesia area of the South Pacific. The country has a grand total of only about 21,000 people, but the percentage of marijuana and beer users is huge, according to The United Nations' 2012 World Drugs Report and the World Health Organization's Global Status Report on Alcohol and Health.

According to the WHO report, 24.2% of the population use cannabis, far above the amount for the second highest countries, Italy and New Zealand, at 14.6%. In regards to beer, Palau has the highest consumption of beer based on liters consumed annually per capita for ages 15 and older. Beer also appears to be the alcoholic beverage of choice for Palauans.
So can beer consumption in Palau help beer companies? It is doubtful that it can increase the bottom line by much, but it shouldn't hurt. In regards to the type of beer, Palau actually has its own brewery, Red Rooster. But its a private company.

However, if you look at the menus of restaurants and bars in Palau, you can see the other beers that are distributed throughout the country. Miller Light is sold there. It is marketed by MillerCoors, a a joint venture between SABMiller (SBMRF) and Molson Coors Brewing Company (TAP). Molson Coors pays a decent yield of 3.1% and trades at 11 times forward earnings. The company reports earnings on August 7.

Kirin is another beer that is distributed in Palau. The Kirin Holdings Company, Limited (KNBWY) which trades to a limited degree in the United States on the over-the-counter market. The stock has a price to earnings ratio of 148.

Budweiser and Bud Light, produced by Anheuser-Busch InBev SA/NV (BUD), are also found in this island country. The stock has a 1.7% yield and trades at 15 times forward earnings.

Heineken (HINKY) is also popular. The stock has a forward P/E ratio of 9.
For a free list of all the beer stocks, which can be downloaded, sorted , and updated, go to WallStreetNewsNetwork.com.
Disclosure: Author did not own any of the above at the time the article was written.
By Stockerblog.com

The employment report came and went as the Dow fell 124 points on light volume.  The advance/declines were 2 to 1 negative.  The jobs number was a bit weaker than expected.  The result could have been worse but we came back in the last hour and a half.  Hard to say what will happen on Monday as the volume has been light all week.  I'm still going to be a believer in higher prices before the July option expiration.  Summation index still to the upside and the market has the feel of wanting to go higher.  GE fell 1/3 and the volume was good.  Not sure about the calls here as we broke through the longer term resistance only to fall right back below it.  I thought that the breakout was valid bit I guess not.  I'll check the charts again over the weekend.  Gold had a poor showing today as the US dollar rose despite the weak jobs report.  The precious metal fell $30 on the futures on the stronger dollar.  The XAU dropped 4 1/2.  ABX off 1 1/4, GG dropped a buck and NEM lost 1 1/8.  Volume was light.  My August ABX calls are now barely in the black.  Could be now that this trade is not going to work out.  I'll have to ponder this over the weekend.  The short term technicals have rolled over and the weeklies have too.  Mentally I'm feeling tired, did not sleep well.  I'm not exactly sure what will happen next to the stock indexes but the trend is still up for now.  I may be looking at a July OEX call trade.  Gold looks a lot worse than it did at the close of last week.  I will have to do the work over the weekend and try and come up with a game plan for the ABX trade next week.  I'm inclined to hold onto it for now.  Perhaps we'll get all the summer players back next week.  Right now, it's time for a break.

Top Yielding Warren Buffett Stocks

If you don't believe that Warren Buffett's advice is worth it, just look at what people were bidding to have lunch with this head of Berkshire Hathaway (BRK-A) (BRK-B). The top bid was an incredible $3,456,789. Buffett is one of the three richest people in the world, and got that way by being a successful stock trader and investor. In addition, he is a great entertainer.

Investors who want to ride on Buffett's coattails should consider buying the stocks that Buffett owns. For investors who want income will find that over 20 of Buffett's stocks pay dividends with more than half a dozen yielding in excess of 3%, according to the free Warren Buffett stock list at WallStreetNewsNetwork.com.

As an example, Gannett (GCI), the newspaper publishing company, pays a healthy 5.4% yield. The stock trades at seven times forward earnings and the company reports earnings on July 16.

ConocoPhillips (COP) is another Buffett holding. The stock pays a yield of 4.7%, payable quarterly. The stock trades at 9 times forward earnings. The company's earnings announcement is July 25.

Intel (INTC) pays a generous 3.1% abd has a forward price to earnings ratio of 10. Earnings will be announced July 17.

For a free list of Warren Buffett stocks, that can be downloaded, sorted, and updated, go to WallStreetNewsNetwork.com.

Disclosure: Author didn't own any of the above at the time the article was written.

By Stockerblog.com