Taxpayers will lose at least $64 LARGE on TARP1

January 26, 2009

1-24-2009-11-56-39-am It appears that the great investment bankers of the “U.S TRAP Fund, LLC” may have found their first capital loss. Perhaps they too are looking to tax-harvesting as a viable investment techniques. Or they are just really trying to perfect the financial optical illusion.

Isn’t it is too bad that we cannot fire them… (From the CBO’s Director’s Blog – not going to win any blog design awards)

Through December 31, 2008, the Treasury disbursed $247 billion to acquire assets under that program. CBO valued those assets using discounted present-value calculations similar to those generally applied to federal loans and loan guarantees, but adjusting for market risk as specified in the legislation that established the TARP. On that basis, CBO estimates that the net cost of the TARP’s transactions (broadly speaking, the difference between what the Treasury paid for the investments or lent to the firms and the market value of those transactions) amounts to $64 billion—that is, measured in 2008 dollars, we expect the government to recover about three quarters of its initial investment.

Okay, so we are making assumption that 75% of the money they have spent will come back. So far, that is not what I would call protecting the taxpayer. Nor is that what I thought that was said by many to Read more

Written by Andrew Horowitz · Filed Under Economy, MarketMash, Markets, Recent Reads, Strategy | 17091 Comment2009-01-26+16%3A45%3A01Andrew+Horowitz

Report: Technology Stocks for an Obama Recovery

January 25, 2009

S obama1 tocks that may benefit from Obama stimulus $$$$

Written by Andrew Horowitz · Filed Under Economy, Markets | 19597 Comments2009-01-25+23%3A27%3A30Andrew+Horowitz

Sunday Fun: Dashboard Madness

January 25, 2009

Here is a fun charting dashboard site that provides an interesting way to look at stocks and economics. Click on each of the gauges in the dashboard to see the S&P 500 and comparative charts on stocks and the economy.

Click HERE to go to Crystalbull.com.

(Definitely worth a look – Colorful if nothing else)

Written by Andrew Horowitz · Filed Under Markets | 1815Leave a CommentSunday+Fun%3A+Dashboard+Madness2009-01-25+14%3A30%3A17Andrew+Horowitz

Links and Reading for January 24th

January 24, 2009

Some of the more interesting and important items for January 24th :

Euro, Once a Boon, Is Now a Burden for Some – NYTimes.com – This is where the real problem lies with currency markets
Actress Zsa Zsa Gabor Lost as Much as $10 Million With Madoff, Lawyer Says – She never met a man she did not like, until now
Treasury 30-Year Bonds Post Biggest Weekly Loss Since 1987 on Debt Concern – Nice! We invested a nice piece in $TBT and it paid off handsomely the last 2 weeks….
Washington Mutual Owes $12.5 Billion Taxes, IRS Says in Bankruptcy Case – How they going to pay that? Oh yeah, you and me…..
Microsoft CEO sees slow economic rebound: employees – Balmer is no economist. If he was he would have planned better.
Capital One results suggest gloomy 2009 for credit card industry – Amazing that it has taken this long to figure out that COF is in bad shape
Freddie Mac May Need $35 Billion – MAY? MIGHT? COULD? PERHAPS? Come on…
Citigroup Plans to Raise $12 Billion in Largest FDIC-Guaranteed Bond Sale – AHHHH, more money to the dogs…

Written by Andrew Horowitz · Filed Under Markets, Recent Reads | 1837Leave a CommentLinks+and+Reading+for+January+24th2009-01-24+18%3A00%3A08Andrew+Horowitz

Audio: Dvorak/Horowitz Unplugged #13

January 24, 2009

Here is the 13th conversation I had with John C. Dvorak…. new insights for anyone who invests in anything. What to do? This chat is not produced and is presented as-is for anyone who wants to listen in. We discuss the new Obama Market. What to expect.