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WEEKLY MARKET DIGEST: EMPLOYMENT DATA WEAKER THAN EXPECTATIONS, GOLD SPIKES $GLD $SLV $USO $DIA $SPY $QQQ $TBF $TBT

August 2, 2013

(The Weekly Digest reproduces the morning capsules made available every morning before the market open in the Real Time Feeds to the paying subscribers. ) EMPLOYMENT DATA WEAKER THAN EXPECTATIONS, GOLD SPIKES August 2, 2013 The U. S. employment data came much weaker than expectations. Non-Farm Private Payrolls came at 161K vs consensus of 195K and whisper number of 225K. Inflation is under control. June PCE Core Prices came at 0.2% vs 0.2% consensus. This is our favorite inflation indicator. Year over year PCE Core Prices are up only 1.2%. Prior to the release of the data, gold had fallen under $1285. Immediately after

TAKE PARTIAL PROFITS ON ZAGG $ZAGG

August 1, 2013

This post was just published on ZYX Short Change Alert. The present ZAGG position is short from $13.85. Profits have previously been taken as low as $6.70. Over a long period of time, significant profits have been booked by trading this position. 50% of the full core position size is being held. As of this writing the stock is at $4.73. In view of the strong overall market consider taking profits on 15% tranche of ZAGG right here in the zone of $4.60 to $4.75 before the market close. The stock reports earnings after the close.

INTREPID POTASH AND THE MOSAIC COMPANY: THE PLAN ON GENERATIONAL OPPORTUNITY IN POTASH $IPI $MOS

August 1, 2013

This post was just published on ZYX Buy Change Alert. Over the next 12 months, we expect a wide range in potash prices from $200 to $350 per ton. Potash stocks may also fluctuate widely. On IPI, a starter position has already been initiated. Our preferred scenario is to accumulate 100% of the full core position size on IPI at an average price of under $9. However there is no guarantee that such a scenario will come true, investors will need to be flexible. The target zone is $18 to $20. Under a preferred scenario, 100% of the full core position size on MOS will

UNDERSTANDING GENERATIONAL OPPORTUNITY IN INTREPID POTASH $IPI $MOS

July 30, 2013

This post was just published on ZYX Buy Change Alert. The world population is increasing. The world is going to need more food. To grow more food, more fertilizer is going to be needed. There are only six major producers of potash in the world. In the very long run, the price of potash is going to go up. However in the short-term, the price is likely to fall by about 25%. This is a generational opportunity to accumulate a potash producer. Among the six major producers we have chosen IPI because it is also the most likely buyout candidate.

A NEW IDEA ON INTREPID POTASH, POTASH CARTEL BREAKS UP $IPI $MOS $POT $CF $AGU $SQM $CMP $FCX

July 30, 2013

This post was published on ZYX Buy Change Alert. Intrepid Potash Russia’s Uralkali, one of the world’s largest potash producers, said this morning that its board has decided to stop its export sales through Belarusian Potash Company and direct all export volumes through Uralkali Trading. The company said, “Unfortunately, we should state that our cooperation with our Belarusian partners within BPC framework has come to a deadlock. It has always been Uralkali’s position that export activities of both producers should go through the unified sales network. This fundamental principle of partnership was violated by the Decree No.566 issued by the Belarusian

WEEKLY MARKET DIGEST: GOLD BREAKS $1300 ON THE UPSIDE ON BIG ABE WIN $GLD $SLV $USO $DIA $SPY $QQQ $TBF $TBT $MCD $DD $TRV

July 26, 2013

(The Weekly Digest reproduces the morning capsules made available every morning before the market open in the Real Time Feeds to the paying subscribers.) INFLATION IN JAPAN RISES TO HIGHEST RATE SINCE 2008, GOLD STAYING ABOVE SUPPORT July 26, 2013 Japan is the third largest economy in the world. For years Japan has been mired in deflation. Now there is the first hard data point that policies of Abe Shinzo are working. Japan reported the highest inflation rate since 2008. Core Consumer Price Inflation Index, excluding fresh food, is now at 0.4% year over year. This morning interest rates are backing off

COLOR ON KB HOMES BASED ON SPF CONFERENCE $KBH $PHM $DHI $SPF

July 26, 2013

This post was just published on ZYX Buy Change Alert. Yesterday we told you about negative comments from two other home builders, PHM and DHI. At this time, it is not clear if these two are company specific situations or this reflects a general industry trend. Another home builder, SPF, reported earnings today. We have just finished attending their conference call. SPF commentary was positive. There is a difference between SPF and PHM. PHM and DHI mainly cater to low-end home buyers. SPF caters to move up buyers. The three important metrics here are: traffic cancellations sales The situation is very fluid and it is not clear if

UPDATE ON KB HOMES $KBH

July 25, 2013

This post was just published on ZYX Buy Change Alert. KBH is a home builder. At present 60% of the full core position size is being held. When KBH was initiated, it was initiated based on the individual merits of this company and also our macro analysis that interest rates would pull back. Over the last two days, interest rates have moved back up. So far this is part of classical backing and filling and is not of concern unless they rise further. The other new development is negative statements by two other home builders PHM and DHI. It is not clear if the situations with PHM and DHI are specific