ShareJunction - Member Posts

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This is not going to be affecting DJ. Read it and forget about it.

cathylmg ( Date: 15-Aug-2009 21:51) Posted:

By MARCY GORDON,AP Business Writer AP - Saturday, August 15

WASHINGTON - Regulators on Friday shut down Colonial BancGroup Inc., a big lender in real estate development that buckled under the collapse of the market. It was the biggest U.S. bank to fail this year, with about $25 billion in assets.

Alabama banking regulators closed Montgomery, Ala.-based Colonial and appointed the Federal Deposit Insurance Corp. as receiver. The federal agency approved the sale of Colonial's $20 billion in deposits and about $22 billion of its assets to BB&T Corp. The failed bank's 346 branches in Alabama, Florida, Georgia, Nevada and Texas will reopen at the normal times starting on Saturday as offices of BB&T, the FDIC said.

Colonial was a major lender to developers in Florida and Nevada and was hit hard by the collapse of the real estate market in those states. It was the sixth-largest bank to fail in U.S. history.

While losses on home mortgages may be leveling off, delinquencies on commercial real estate loans remain a hot spot of potential trouble, experts say. Many regional banks like Colonial hold large numbers of them.

BB&T, based in Winston-Salem, N.C., operates throughout the Southeast and is considered among the nation's stronger regional banks. BB&T said the deal, the biggest acquisition in its history, creates the nation's eighth-largest financial holding company by deposits.

The move "represents an exciting growth opportunity for BB&T," company CEO Kelly King said in a statement.

In addition, the FDIC and BB&T signed an agreement to share losses on about $15 billion of Colonial's loans and other assets.

Colonial said early this month there was "substantial doubt" it would be able to continue as a going business, following five straight quarterly losses. In addition to its financial woes, the company has been the subject of federal criminal and civil investigations over alleged accounting irregularities and other issues.

Colonial's failure is expected to cost the deposit insurance fund _ which is financed by assessments on U.S. banks _ an estimated $2.8 billion. Colonial was roughly twice the size of BankUnited FSB, a Florida thrift closed in May with $13 billion in assets, though the expected hit to the insurance fund from Colonial is less than that bank's estimated $4.9 billion impact.

The costliest failure was the July 2008 seizure of big California lender IndyMac Bank, from which the insurance fund is estimated to have lost $10.7 billion. The biggest U.S. bank failure ever also came last year, though there was no cost to the insurance fund from the collapse of Seattle-based thrift Washington Mutual Inc. in September _ with $307 billion in assets _ because it was acquired whole by JPMorgan Chase & Co. for $1.9 billion.

Seventy-seven federally insured banks have failed this year amid rising loan defaults spurred by tumbling home prices and rising unemployment. That compares with 25 last year and three in 2007.

The FDIC also announced Friday the closures of Community Bank of Arizona, based in Phoenix; Union Bank, based in Gilbert, Ariz.; Community Bank of Nevada, based in Las Vegas; and Dwelling House Savings and Loan Association, located in Pittsburgh.

"The past 18 months have been a very trying period in the financial services arena, but the FDIC and its staff have performed as Congress envisioned when it created the corporation more than 75 years ago," FDIC Chairman Sheila Bair said in a statement. "Today, after protecting almost $300 billion in deposits since the current financial crisis began, the FDIC's guarantee is as certain as ever. Our industry-funded reserves have covered all losses to date."

Colonial, founded in 1981 by longtime president and CEO Robert E. Lowder, saw its fortunes crumble over the past two years as its stock price plunged from around $25 in 2007 to less than 50 cents this year.

Lowder stepped down in May as new management took control under a plan for a $300 million investment led by Taylor, Bean & Whitaker Mortgage Co. of Ocala, Fla., an investment designed to make Colonial eligible for $550 million in federal bailout funds.

But the deal fell through and federal agents raided the Ocala headquarters of Taylor, Bean & Whitaker.

Colonial has been under criminal investigation by the Justice Department in connection with alleged accounting irregularities at its division in Orlando, Fla., that provides financing for mortgage lenders, and a civil probe by the Securities and Exchange Commission concerning accounting issues and the bid for federal bailout funds.

Late last month, the Alabama regulators ordered the company to submit a plan detailing how it would build up its capital reserves. Also this week, Colonial said in a regulatory filing that it wouldn't be able to file a second-quarter financial report because of the alleged accounting problems. The company said it didn't know at this point how much money it lost in the April-June quarter.

Colonial's troubles mounted on Thursday as a federal court in Miami froze $1 billion of its assets in response to a lawsuit filed by Bank of America Corp. The suit said Colonial appeared on the verge of collapsing and an emergency order freezing assets was needed.

The suit alleges that Colonial refused to return funds it had held for Charlotte, N.C.-based Bank of America when a mortgage and loan transaction was terminated.

___

Associated Press writer Kendal Weaver in Montgomery, Ala., and AP Business Writer Ieva Augstums in Charlotte, N.C., contributed to this report.

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Yes we are in the middle of Q3 and so far the results & Indicators have proven so far so good from all the figures and indicators. We are looking at a positive growth for Q3.

Anyway if you understand economy and researched well. You will have the same conclusion with me. Tony Tan is one very smart man, he also say "Economy has bottomed" and growth are within sight

smartrader ( Date: 15-Aug-2009 21:28) Posted:

We are already in 3Q and into 4Q --- the same recovery theme and high hopes for 2010 (companies refocusing on growth expansion instead of taking defensive approach like cost cutting) will ensure stability

1. US out of recesssion in 3Q

2. Companies results : 3Q09 vs 3Q08 and 3Q09 vs 2Q09 will support recovery theme

3. More countries reporting high GDP growth or emerging out of recession..

Some companies with good results will continue to rise in price amid any market corrections..(barring any major crisis across the globe)

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I understand that :) right ..... similar experience i had.

In 2008 - I did some investment after some research

vested GoldenAgri @ $0.18
vested IndoAgri @ $0.48
vested AusGroup @ $0.11
vested Oceanus @ $0.18
vested ChinaEnergy @$0.11
vested ChinaSports @$0.14
and many more. But what did my family and friends tell me when I buy they say its too risky... different people see different things.

All i say now is truly base on my FA and Midas is truly a GEM. It will rock up very soon :) Believed or not. Time will tell. Remember to Buy & HOLD :)

knightbridge ( Date: 15-Aug-2009 20:08) Posted:

Hi risktaker, not need to try to explain to people of good stock to hold.. If they listen and they make, their business i dun make a single cent.. If they lose, i dun lose a single cent but get curse by them...

The only objective is to make money for oneself in investment.. If one dun sell me the stock at a lower price, i cannot sell at a higer price. If no one buy from me at a higher price, i cannot profit from it also. If u think will be $2 in the future, just avg and buy up all the way...

I also vest in midas, in march to apr i ask my family friend and relative to buy midas after doing my homework.. They say risky, times are so bad... I say china stimulus package midas 50% sure to benefit some more buying new factory... none buy also.. Now at 90 they are interested... Human are so funny, when nobody wants at low price no one wants to buy.. When the price start to run people chasing after it... Just like property... (Understand human emotion can help in trading)

risktaker ( Date: 15-Aug-2009 15:42) Posted:

Well, keep on explaining and spoon feeding information is kinda tired why people dont go research ? and observe the market so that you can feel it like your own pulse. I have to go out attending party. Maybe I will reveal it today when i get back.

I am 100% sure this share worth over $2-$3 easily.

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Well, keep on explaining and spoon feeding information is kinda tired why people dont go research ? and observe the market so that you can feel it like your own pulse. I have to go out attending party. Maybe I will reveal it today when i get back.

I am 100% sure this share worth over $2-$3 easily.

tonylim ( Date: 15-Aug-2009 11:07) Posted:

Can reveal the 4 factors? I am accumulating this stock till it hits $2.50

risktaker ( Date: 15-Aug-2009 09:26) Posted:

There are at least 4 factors why Midas will break $1.00 by next week.

Smart investors - will know. Tired of :)
Think about it :) What are the 4 factors hehe i wont tell you

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What i see, it is building up a base for further surge :) Once it hit 9500-9600 "provided indicators are going in the right direction", in mid Sept to early Oct might see major correction.

cheongwee ( Date: 15-Aug-2009 15:27) Posted:

If you combine the sentiment readings with the overbought technical condition, you are given few choices but to take profits as we move into August. We must respect the fact that the six weeks from September 1 to October 15 are the most vulnerable weeks of the year.

The easy money has already been made. Traders will face a more difficult environment during the next six months.....................................taken fr Rick Ackerman..

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all info is there already. Also please go through this thread i have highlighted the key results area.

Buy and Hold :)

raymondho ( Date: 15-Aug-2009 13:06) Posted:

Well, I dun really understand their Quarterly report, can any FA forumers mind to share from FA points of view?

As this morning, I check and read the chart with my own judgement, the ADX, Stochastic and CCI both indicate

a downturn, will it be happened by Mon's morning? As Dow was down.

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This is a good report. In business point of view they know how to do business :) In the right direction.

The lowest period in sales is April to end of June. They sold almost the same about of the previous quarter "Chinese new year" Spending spree.

While the coy engage fahrenheit as spokeperson has increase the coy S&D, we shall see Q3-Q4 results if the revenue can hit higher.

Subcontracting cost went up higher. As they mostly sub it out and it might keep increasing it, since they have no choice, Currently they are engaging to buy a plot of land for manufacturing :)

Everything else went up :)

Good Coy certainly will buy more.

monstar83 ( Date: 15-Aug-2009 13:31) Posted:

China Sports 2nd Quater Results is out.

http://info.sgx.com/webcoranncatth.nsf/VwAttachments/Att_20CF5C950827D4564825761200303E1B/$file/CSI_2Q09_press_release-140809.pdf?openelement

http://info.sgx.com/webcoranncatth.nsf/VwAttachments/Att_CE8304EC96152FEF482576120033E9B8/$file/CSI_2Q_2009-140809.pdf?openelement

Revenue Increase but Net Profit decrease.

Any Comments ??

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Let us flash back what is the causes of this economic crisis

The crisis can be attributed to a number of factors pervasive in both housing and credit markets, factors which emerged over a number of years. Causes proposed include the inability of homeowners to make their mortgage payments, due primarily to adjustable rate mortgages resetting, borrowers overextending, predatory lending, speculation and overbuilding during the boom period, risky mortgage products, high personal and corporate debt levels, financial products that distributed and perhaps concealed the risk of mortgage default, monetary policy, international trade imbalances, and government regulation (or the lack thereof).

Two important catalysts of the subprime crisis were the influx of moneys from the private sector and banks entering into the mortgage bond market and the predatory lending practices of mortgage brokers, specifically the adjustable rate mortgage, 2-28 loan.Ultimately, though, specific to the bailout of Wall Street and the financial industry moral hazard lay at the core of many of the causes.

This credit and house price explosion led to a building boom and eventually to a surplus of unsold homes, which caused U.S. housing prices to peak and begin declining in mid-2006.Easy credit, and a belief that house prices would continue to appreciate, had encouraged many subprime borrowers to obtain adjustable-rate mortgages. These mortgages enticed borrowers with a below market interest rate for some predetermined period, followed by market interest rates for the remainder of the mortgage's term. Borrowers who could not make the higher payments once the initial grace period ended would try to refinance their mortgages. Refinancing became more difficult, once house prices began to decline in many parts of the USA. Borrowers who found themselves unable to escape higher monthly payments by refinancing began to default.

As more borrowers stop paying their mortgage payments (this is an on-going crisis), foreclosures and the supply of homes for sale increases. This places downward pressure on housing prices, which further lowers homeowners' equity. The decline in mortgage payments also reduces the value of mortgage-backed securities, which erodes the net worth and financial health of banks. This vicious cycle is at the heart of the crisis.

In March 2009 we have touched the bottom and gradually things started to turn around. During september - March the economy of US is contracting at a free fall rate, every single economic indicators and market speculation has results some excessive cut of workers from some sectors. At that time, many people cannot really see the light at the end of the tunnel. But now everything from economic indicators and coy earnings have proven the other way round. The US has indeed touched the bottom in march 2009.

Stock market is a measurement of company health 6-9 months. We are betting on the future of the company. Last year banking sectors reveal that they lost tremendous amount of money and we have survived the it and the house price has finally started to stablise and raise during june, july. The banking sector due to this has gradually recovered.

I agree certain shares are gone up many times but that was the price of what they previously worth. Some went up even higher like for instance wilmar but it has a reason.

Economy is OK for now, but you have to pay attention to the key indicators of the economy to see Q3 if it is indeed going to expand or contract.

Like i say, somethings when I dump my share i wished the market will crashed and i tell my friend damn the market is looking but in actual fact it is still going up. When your into it you will hope the share will up, when you dumped you hope the share will down. However the stock market will not crashed like in March. There are controlling it now.

Q3 will be important. IS the rally be substainable ? Will depending on the indicators from now to september.

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There are at least 4 factors why Midas will break $1.00 by next week.

Smart investors - will know. Tired of :)
Think about it :) What are the 4 factors hehe i wont tell you

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I spend 4-5 hours each day doing FA T.T

smartrader ( Date: 15-Aug-2009 09:09) Posted:

I just bought a Weekend Business Times at breakfast. Your summary is better.

There is a good article under Wealth Investing - Play Your Cards Right ..can read it for free online after 6pm.

Cheers !!!

risktaker ( Date: 15-Aug-2009 08:04) Posted:

ohh i didnt read BT :)

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do not try short sell unless your pro :)

ravikp ( Date: 15-Aug-2009 08:15) Posted:

How the short selling profits or counted? Example i sell a share at $1.0 and later i will buy back at $1.2, so the 0.2 is my profit..is it correct?

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ohh i didnt read BT :)

smartrader ( Date: 15-Aug-2009 07:39) Posted:

Give you a good post rating for the efforts in consolidating the Business Times Weekend Summary...hehe

risktaker ( Date: 15-Aug-2009 06:11) Posted:

Also if you analyse the closing of DJ - Last hour volume is incredible Huge buy in.

Why it shouldnt drop so much.
1) Many major economy is out of recession. Germany, France. US expected 3rd quarter.
2) DJ will carry on its resilence on bad news until Q3 results proven that US economy is on the wrong track.
3) HK is out of recession, Singapore is out of recession and I believed we are seeing growth in Q3 too. for full year 2009 we might growth instead of contraction. As those guys working on the figures, they cant really analyse properly and over estimate the pull back. Its like its better to report badly now than to have a positive outlook and when results out it failed. So figures from SG government is always prepared for the worst. But really the worst is over. We will see growth in Q3.

There are a lot of people on the side lines that are hoping for a major pull back or a major market correction. These investors/funds manager will start speculations about stocks rally that wont hold the ground. As they keep saying about the fundementals is weak or bad. So that those people who exited the market earlier or never enter the market can buy in at a cheaper price. This quarter you will see Obama stimulus effect kick in. So US Q3 should have less than 0.3 contraction or 0.2 percent growth.

The situation is different from march and august. The fundementals isnt that bad anymore. Dark Clouds that cast a shadow over the economy has almost disappeared we are able to confirm this in Q3. Q3 is an important quarter for US should it contract over 1% the stimulus is not working as expect the stock market will crashed again. However it is very unlikely that we will see contraction over 1%, most company so far has risen their outlook to more positively. Industrial production has growth for the first time in 9 months, stimulus effect is kicking in.

True that the US unemployment rate will increase but its the fact of life about economy, it will always lack behind the real economy. You cant expect when you plant a durain tree and the next day it will bear fruits. So it will take a while for the stimulus to passing through the economy chain.

DJ will test 9600 region and 10000 mark on Q4. Do not listen to speculation they want you to sell and enter the market. Its the fact of life.

Friday Effect + 2 days of bad news. DJ drop only 76.79 ..... Monday DJ will rise high with the massive buy in before closing.

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Also if you analyse the closing of DJ - Last hour volume is incredible Huge buy in.

Why it shouldnt drop so much.
1) Many major economy is out of recession. Germany, France. US expected 3rd quarter.
2) DJ will carry on its resilence on bad news until Q3 results proven that US economy is on the wrong track.
3) HK is out of recession, Singapore is out of recession and I believed we are seeing growth in Q3 too. for full year 2009 we might growth instead of contraction. As those guys working on the figures, they cant really analyse properly and over estimate the pull back. Its like its better to report badly now than to have a positive outlook and when results out it failed. So figures from SG government is always prepared for the worst. But really the worst is over. We will see growth in Q3.

There are a lot of people on the side lines that are hoping for a major pull back or a major market correction. These investors/funds manager will start speculations about stocks rally that wont hold the ground. As they keep saying about the fundementals is weak or bad. So that those people who exited the market earlier or never enter the market can buy in at a cheaper price. This quarter you will see Obama stimulus effect kick in. So US Q3 should have less than 0.3 contraction or 0.2 percent growth.

The situation is different from march and august. The fundementals isnt that bad anymore. Dark Clouds that cast a shadow over the economy has almost disappeared we are able to confirm this in Q3. Q3 is an important quarter for US should it contract over 1% the stimulus is not working as expect the stock market will crashed again. However it is very unlikely that we will see contraction over 1%, most company so far has risen their outlook to more positively. Industrial production has growth for the first time in 9 months, stimulus effect is kicking in.

True that the US unemployment rate will increase but its the fact of life about economy, it will always lack behind the real economy. You cant expect when you plant a durain tree and the next day it will bear fruits. So it will take a while for the stimulus to passing through the economy chain.

DJ will test 9600 region and 10000 mark on Q4. Do not listen to speculation they want you to sell and enter the market. Its the fact of life.

Friday Effect + 2 days of bad news. DJ drop only 76.79 ..... Monday DJ will rise high with the massive buy in before closing.

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DOW drop 76.79 not so bad :) Looks good from here with the bad news from yesterday and today. Its healthy.

handon ( Date: 15-Aug-2009 01:13) Posted:

my boss said.... bad sentiments continue.... 9.0 can be... hehe... Smiley

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your correct. But dow shouldnt drop over 100.

cheongwee ( Date: 14-Aug-2009 23:26) Posted:

if it is down, on what basic...poor data???..today only sentiment out...it is a no issue...but they choose to take profit...so they give this as reason...

i thk next week shd be ok,,,HK is out ofrecession...surprise...next will be Asean..

market next week will cheong irrespective of dow..anticipating this region to be out of receesion soon...

hope it is for real.....

m0shii ( Date: 14-Aug-2009 23:19) Posted:

US also post increase in Q2 but DOW Jones proved opposite....??...

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Monday will rally la. PM Lee Rally speech on Sunday. Monday shares fall ? LOL wanna get tekan from Gov ?

richtan ( Date: 14-Aug-2009 23:04) Posted:

Very hard to say, it may or may not drop, if drop, most probably drop to the 25ema, imo.

Personally, if it closes below the 25ema for 2 days continuous, I will exit (as one day close below it could be a fake n may the next day pull up above it to fool and shake out those weak holders),

Anyway, this is jmo, not a call to sell, dyodd n BOSAYOR and dun follow me blindly as everybody has their own strategy..

bennykusman ( Date: 14-Aug-2009 22:45) Posted:

dow jones drops a lot.. will this share drop also

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good for him. Dow will close little - or positive today.

handon ( Date: 14-Aug-2009 22:26) Posted:

my boss washed hand liao... nothing left.... hehe.... Smiley

cigarettes on the way.... good... Smiley

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Industrial Production raise first time in 9 months. So you think DOW will fall ?

handon ( Date: 14-Aug-2009 20:58) Posted:

my boss hope Friday Effect kick in later.... if not no cigarettes liao...

hehe.... Smiley

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So your boss short or not ? My friend ask me to pass a message to you "DONT SHORT"

handon ( Date: 13-Aug-2009 23:45) Posted:

my boss said die die stay short...

wait for tomolo Friday Effect... hehe... Smiley

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they are taking profit. Shorters will soon join in the fun :)

cross567 ( Date: 14-Aug-2009 15:01) Posted:

any senior can advise to buy, sell or hold at current with respect to the financial report?

my view is that since their cash is eaten as much as they are generating, shall sell, then buy at low......

please advise