Wang’s Happy Trading

Submitted By Optiondragon

The Beatles - Money

From Briefing.com

Oppenheimer Cuts More Financials (C)(JPM)(WB)(MER)(UBS)
A day after taking down its earnings forecasts for Citigroup (C), JP Morgan (JPM), and Wachovia (WB), Oppenheimer has cut its first quarter numbers on Merrill Lynch (MER) and UBS (UBS).
According to Reuters, MER and UBS “may suffer respective first-quarter write-downs of $6.03 billion and $11.06 billion, according to Oppenheimer & Co analyst Meredith Whitney.”

ORCL gapping down on a shortfall on revenue. IBM still my favorite among Big Cap tech.

Shares short in Microsoft (MSFT) spiked up 7.4 million to 123.1 million. Short interest in Intel (INTC) jumped 11.7 million to 75.8 milion. The short interest in Cisco (CSCO) moved higher by 24.4 million to 73.1 million. Shares short in Oracle (ORCL) increased by 1.6 million to 38.9 million. Sonus short interest was up 9.3 million to 41.3 million. Sun’s (JAVA) short interest was up 6.1 million to 23.6 million.

Reuters reports that the Meriwether hedge fund is down 28% so far this year.
Reuters writes that the buyers of Clear Channel (CCU) have sued banks to close the $19 billion deal.
The Wall Street Journal reports that Paulson want the Fed to have more power over securities firms.
The Wall Street Journa reports that Nokia (NOK) is making a number of moves to take handset share in the US.
The New York Times writes that home equity loans may be the next round in the credit crisis.
The New York Times reports that oil moved up sharply to $106 a barrel.
Bloomberg writes that taxpayers may be liable for billions of dollars from Fed and Treasury efforts to help financial firms.

ECB chief warns worst may be yet to come-Telegraph
Jean-Claude Trichet, the European Central Bank chief, ‘wouldn’t say the worst is behind us.’ Speaking to European Union lawmakers, Trichet warned that global markets are in the middle of a major correction, and could find ‘ourselves faced with the same problems that we encountered’ during the first global oil shock if ‘we don’t learn the lessons of the past.’ Regarding U.S. subprime losses, Trichet stressed the importance of full transparency by financial institutions

(MarketWatch) — Google Inc. has had its second straight month of disappointing growth in “paid clicks,” a key metric that reflects the overall health of the company, according to data released Wednesday by research firm comScore Inc. — Could add additional downward pressure to GOOG today, its already gapped down.

GOOG target lowered to $600 from $700, reit Buy@THNK
ThinkEquity lowered their target to reflect modestly slower than previously expected growth for the company in the U.S. However, the firm believes Google is oversold, and their channel checks suggest the company should have a solid quarter, beating some “buy side” expectations
GOOG target lowered to $500 from $615, maintain Hold@STFG
Stanford lowered their target after comScore data revealed that February paid clicks grew 3% in February, down from 25% growth in Q4. In addition, the firm’s checks indicated that online marketers are concerned that a recession could substantially reduce U.S. Internet ad spending
GOOG: See great opportunity in the shares, maintain Overweight@TWPT
After comScore reported that Google’s total clicks were up 24% year over-year in January but the company’s paid clicks were up just 3.1%, Thomas Weisel believes investors are focusing on comScore data, while Google continues to gain market share and expand in other online growth categories. The firm thinks Google is making gains in emerging markets while trading at a historically low EBITDA multiple.

Booming crop prices means good times for irrigation equipment maker Lindsay-IBD
Lindsay Corp. (LNN), a maker of “central pivot” irrigation systems, is benefiting from high crop prices as farmers open their wallets, according to Investor’s Business Daily’s “The New America.” “With the exception of (companies in) agricultural chemicals,” says Rodman & Renshaw analyst Joe Giamichael,”it’s hard to find a company that is better positioned for these macro trends being played out in commodity markets such as corn, soy and wheat.” In the fiscal second quarter, ended in February, the company had a backlog of $98.5M in unshipped orders, up from $38.4M in last year’s second quarter. With $108.4M in total revenue in the quarter, up 70% from 2007, infrastructure products were $25.8M, about double a year ago. One of Lindsey’s traditional-size center pivot irrigates about one quarter-mile section of land, or 160 acres. The systems cost about $40,000 to $100,000 apiece. It’s main competitor, Valmont Industries (VMI), has 43% of the global pivot irrigation market, compared to Lindsay’s 30%. Business abroad is rapidly growing, too. Foreign revenue in that second quarter climbed 113% to $29M, as domestic irrigation revenue was up 44% to $53.5M. Analysts see Lindsay’s earnings up 144% in this fiscal year, which ends in August. Next year, profit is expected to grow 27%

(Reuters) - UBS raised its copper price forecasts for 2008, 2009, 2010 and the longer term, citing supply
problems and low inventories. The brokerage said incremental supply from Chile is threatened by strikes, pit problems and a potentially long-term energy shortage. Growth from the African Copperbelt could
disappoint, it said. UBS said it expects to see deficits emerge in both 2008 and 2009. It raised its copper price forecast for 2008 to $3.50 per pound from $3 per pound and 2009 forecast to $4 a pound from $3.40 a pound.
FCX upgraded to $135 from $110, ABX upgraded. Look at PCU for sympathy action, keep an eye on the miners, AEM, ABX, FCX, PCU, JOYG, BUCY, coals. Tim Seymour of Fast Money said to watch for a FCX acquisition from RIO. Also, ABX upgraded to Buy from Neutral@UBSW.

RMBS 5pm cc to discuss jury verdict in coordinated trial 3/27 sponsor Co Weblink
RMBS target raised to $35 from $25 on trial outcome@BWS Financial
BWS believes the verdict in favor of RMBS yesterday brings the litigation aspect of owning shares “back onto the front burner,” however they caution investors there remain additional legal battles before a clear victory could be declared. Shares remain Buy rated.

The price of crude is also moving higher following an attack on a pipeline in Iraq and a report on oil inventories yesterday showing a larger than expected drop. Later today, the API will release the Natural Gas Inventory Change. The GDP for the fourth quarter was released and showed an increase of +0.6% versus an expected +0.6%. Also, the Personal Consumption report for the fourth quarter showed an increase of +2.3% versus an expected +1.9%. The Initial Jobless Claims report came in at 366,000 versus an expected 370,000.

One of the biggest news this morning is that they are raising margin requirments on some commodities corn and soybeans. The amount that they are raising margins is big and this will have a negative impact on soft commodity
prices. POT, MOS, CF, MON and all AG plays will all be hit and are gapping down right now, expect further weakness.
Short DBA could be very good.

FSLR 2008 estimate raised to $3.50 from $2.52@SOLE
Soleil raised their estimate well above consensus given their conviction that FSLR will continue to increase its module output per manufacturing line faster than is built into consensus estimates and the weak U.S. dollar. Shares remain Hold rated.

CAG is gapping up on earnings, I strangled this with an overweight short but it looks to be profitable with my strangle on the calls.

Will there be a second-half comeback? - Barron’s Online
Barron’s Online says, faced with an increasingly glum economy, investors shouldn’t bank on corporate earnings to fuel gains in the U.S, stock market, at least not soon. After falling last year, profits per share generated by companies in the S&P 500 index are projected to start growing again later this year. But a weak economy has some pundits predicting a feeble revival. These pundits and investment pros agree that the U.S. already is in a recession. Now, arguments rage over how bad it will get. Already hurt by falling home prices, consumers are spending less as they face high fuel and food costs and a weak job market. And some corporations have started to rein in spending, too. Profits this quarter could fall more than expected. And the hoped-for 61% jump in Q4 earnings would be hard to achieve. That said, earnings in the energy and consumer staples sectors should continue to rise, regardless of the U.S. economy’s fate, thanks in part to foreign demand. And health-care companies should benefit from steady domestic demand. In contrast, industrial outfits are being squeezed by rising costs, and retailers face tight-fisted consumers. Some investment pros remain unconvinced that the financial sector will revive by year’s end, even though recent events have helped alleviate concerns. Lofty oil prices don’t help consumers, but they bode well for some energy companies. With an expected profit rise of 27% for Q1 and 15% for the full year, energy is the sole S&P 500 group in which earnings estimates have risen since the start of the year. Companies to look at include exploration and production outfits such as XTO Energy (XTO) and Devon Energy (DVN), which are benefiting from a strong market in North America for natural gas, says Paul Crovo, an analyst with PNC Capital Advisors. He also likes integrated oils, such as Exxon Mobil (XOM) and Occidental Petroleum (OXY). Also expected to fare well: consumer staples, which include necessities such as food, beverages, soap and tobacco. Focus on “big names,” such as Procter & Gamble (PG), Coca-Cola (KO), Colgate-Palmolive (CL) and Estee Lauder (EL). Health care is also a haven. The group’s profits are expected to rise 9% this year, on average. A side note, non-financial corporations have a lot of cash, and that stash is growing especially quickly at U.S. multinationals. But many of those companies may be reluctant to open their wallets until they see clear signs of a recover, something their reticence might impede. :

Mad Money Recap- Cramer likes X. Cramer says X is still cheap trading at just 11x 2009 estimates, while competitors NuCor (NUE) and AK Steel (AKS) trade at 12x and 13x, respectively. Cramer welcomed John Surma, CEO of U.S. Steel, to the show to discuss the company’s outlook. Surma sees a strong future ahead of the company. X is now more competitive, with increased productivity and new labor contacts, which give it a strong cost position. He cited low inventories and no excess supply as the catalysts that are driving X’s strong growth. Cramer on Energy Stocks - Sunoco (SUN) Cramer warned that Sunoco is not making a lot of money as long as oil stays high. He recommended owning Valero (VLO) or a refiner with natural gas exposure such as Conoco Phillips (COP). LIGHTNING ROUND: (Bullish) PEG; MCD; LLL; GD; RTN; TXT; EMC; DIS. (Bearish) TTM; BA; MCO; SNE.

Fast Money recap and positions- Macke said get out of PFCB. Najarian says GS upgraded coal stocks, Consol is leading the charge, and it has a lot more room to run, he said. Seymour likes CZZ. Finerman likes KALU. Pete recommends buying puts on the OIH. Macke likes HD. On Mar.26, 2008, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Macke Owns (YHOO), (INTC), (EMC), (ATVI), (DIS); Najarian Owns (AAPL), (CSCO), (EMC), (MS), (MSFT), (NOK), (ORCL), (TSO), (XLF),  (YHOO); Najarian Is Short (CAG); Najarian Owns (COP) Calls, (RMBS) Calls; Najarian Owns (MER) Puts; Najarian Owns (BSC) Calls; (CHK) Calls; Najarian Owned (RMBS) Calls On 1/30/08; Finerman Owns (GS); Finerman’s Firm And Finerman Own (HD); Finerman’s Firm Owns (CLWR), (MO), (MSFT), (SUN), (VLO), (WMT), (YHOO), (TSO), (BCE),  (BJS); Finerman’s Firm Is Short (IYR), (IJR), (MDY), (SPY), (IWM), (COF), (GLD); Finerman’s Firm And Finerman Own (KALU); Seymour Owns (AAPL), (CSCO), (INTC), (MER), (MSFT), (S), (TSO), (F), (HAL); Seygem Asset Management Owns Severstal, (TTM).

Keeping an eye on shorting the AG plays due to the huge margin raise. Looking for strength and longs in metals and energy: steel, gold and coal miners, oil companies due to the jump in oil prices due to the Iraq pipeline explosion. DVN, EOG, SU and refiners look good too, TSO, HOC, VLO, FTO

Good luck and great trading today, keep positive and seek the zone!!!