Thread: Market Talk / March 25th - 31st

He's back! Jim Cramer on Market Manipulation

That's revealing, robo. That will screw up any type of market analysis, whether fundamental or technical.

Did Jim Cramer Cross the Line?
March 23, 2007, 11:53 am Link to This
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Topics Hedge FundsIndustries
As money-manager-cum-TV-personality James Cramer was apologizing Thursday for parts of his recent treatise how to manipulate stock prices, his nemesis, stock-analyst-cum-writer Henry Blodget, was tapping out a column for Slate suggesting that Mr. Cramer may have destroyed his own career.

Mr. Cramer, in a video clip of the show “Wall Street Confidential” that was posted at TheStreet.com last December and has circulated around the Net, seems to be endorsing possibly illegal stock manipulation, saying it is easy to get away with because “the Securities and Exchange Commission doesn’t get it.”

For those already predisposed to believe that hedge funds engage in shady practices, the interview seemed to confirm their worst suspicions. For many in the hedge fund business, Mr. Cramer seemed to smear an entire industry unfairly.

Mr. Cramer said he had used some of the tactics himself, including lying to “bozo” reporters to get them to report misinformation on particular stocks. He singled out CNBC’s Bob Pisani. He separated legal activities from illegal ones (such as “fomenting”), and never quite says he ever took part in the latter.

The New York Post reported on the clip this week. On Thursday, Mr. Cramer called in to the Imus in the Morning radio show to say he should have been “more clear” and that “you can’t be as glib, because people will interpret this as being that you’re a bad guy.”

He apologized outright for his remarks about Mr. Pisani. “He deserved better from me. He’s one of the best. And you know, sometimes I screw up. I screwed up in saying that stuff about him.” Mr. Cramer’s show, “Mad Money,” airs on CNBC.

But he also lashed out at the Post for reporting on the clip, as well as its parent company, News Corporation, which also owns Fox News. “I think most of the discipline is coming from organizations that have kind of an edge against maybe CNBC, maybe of the FOX venue, the “New York Post venue,” he said. “It’s almost as if they’re about to launch their own business channel.” Fox has a news business-news cable channel in the works.

In a long examination of the clip, Mr. Blodget — who has been barred from the securities industry for life as part of a settlement over his stock research — predicts that Mr. Cramer’s career might be over. “Can CNBC really say nothing when one of its most visible employees urges investors to use the network to engage in behavior that is questionable to say the least?” he asked.

Mr. Blodget concludes:

It is certainly possible that the whole thing will pass: Cramer has been very effective at stifling or weathering critics. It is also possible, however, that Jim Cramer has committed professional suicide.

http://dealbook.blogs.nytimes.com/20...ross-the-line/

Ole Jimmy has created some bad buzz for himself!

Boo yah, Jim!

The Bull/Bear battle continues, but the Bulls are still in control.

The Kingdom of TSP
Daily Edition
March 26, 2007 Closing

Yak, Le Charts, Doodles, Tea Leaves & The Tally Can

Kingdom Yak:
Pro-Yak....................................Hammer backfills hole, bulls regain control.

Con-Yak...................................Housing still dragging an anchor.

Jester-Yak................................Techs drank a Boost!

Le Charts

Charts courtesy of www.stockcharts.com

Doodles:
Stops.......................................Alert (-1&#37....Trail (-2%)
.....SPX........1437.50 +1.39.........1423.............1409

Dollar........................................83.0 7 -0.23 for the day.

Lube (NYMEX) Closed at...............62.91 +0.63 for the day.
Oil Markers.................................<60= ok, 60-65= worry, >65= panic.

Tea Leaves:
Yakndoodles...............................Green.

Tally Can
TSP Funds..................................G-fund, F-fund, C-fund, S-fund, I-fund.
Top 10 last 12 mo........................2.8 ......4.3 ......0.3 .....2.3 ......0.5
Today........................................3 made IFT(s), 70% bearish, 30% bullish.
Friday .......................................3 made IFT(s), 89% bearish, 12% bullish.

Looks like its time to fill that gap out there.... ka ching.

Briefing.com:
06:19 am : S&P futures vs fair value: -5.6. Nasdaq futures vs fair value: -5.8.
06:18 am : FTSE...6305.30...+13.40...+0.2&#37;. DAX...6862.79...+33.97...+0.5%.
06:18 am : Nikkei...17365.05...-156.91...-0.9%. Hang Seng...19706.79...-59.06...-0.3%.

Briefing.com:
08:00 am : S&P futures vs fair value: -3.7. Nasdaq futures vs fair value: -4.2. So much for yesterday's late-day momentum carrying over into this morning's opening bell as futures indications currently signal a lower start for stocks. As if yesterday's unexpected drop in new home sales wasn't bad enough for the troubled housing market, homebuilder Lennar Corp (LEN) followed up a 73&#37; year/year drop in Q1 profits by withdrawing its 2007 earnings guidance and warning that "soft market conditions have been exacerbated by the well-publicized problems in the subprime lending market."

You saw what the Dow transports did yesterday, down about 100 points yesterday, and down another 50 points today. Looks a lot like some head and shoulders now.

More downside to come.

I'm on the sidelines for another day- thinking that I will be able to buy in cheaper tomorrow.