This Week in Barrons - 8-17-2014

This Week in Barrons – 8-17-2014

Due Diligence:

Ever since the 1920's, the practice of ‘due diligence’ has been the mantra of the financial community.  To avoid getting caught up in the crazes, or the lies – smart investors pour over financial statements in order to discover elements such as fake companies and ponzi schemes.  This fundamental analysis was the most important term in investing for the next 85 years.

Since ‘due diligence’ takes time, effort and knowledge, the cottage industry of ‘financial analysts’ was born.  Financial analysts are paid to look deep into a company, confirming their true sales, their true assets versus liabilities, the market trends and then (based on those findings) place a rating on the company.  The feeling being that if sales were growing and revenues were exceeding expenses, it stood to reason that the company would become more profitable over time – and hopefully share that good fortune with the shareholders.  Therefore, people owning the company's stock would likely see a dividend, and (as the company became more profitable) its share price would rise.  It just made sense.

Unfortunately, one of the saddest things that I've had to tell people over the past 10 years is that when it comes to stocks, I don't care about: (a) the company, (b) what it makes, (c) their earnings, (d) their new CEO, or virtually anything other than the market technicals.  Why?  Because the fundamentals have become virtually worthless.  Corporate numbers are so tweaked and distorted lately, that they bear no resemblance to reality.  And how can you use fundamentals and ‘due diligence’ to judge a company, when the numbers you're using to determine its value are corrupt?

My favorite example of worthless ‘due diligence’ is FASB’s (Financial Accounting and Standards Board) decision to let banks mark their assets to ‘Model’ rather than to ‘Market’.  Can you imagine?  That's like me telling you that your house (according to my computer model) is worth $500,000 when (in fact) nothing has sold in your neighborhood in the past 3 years over $100,000.  Yet if I was a bank - I could list it as a $500,000 dollar asset on my books – because it’s value is based upon my computer ‘Model’ not any ‘Market’ relevance.  I can’t even imagine the amount of over-priced assets out there on bankers’ books.  

On the stock side, my favorite ‘due diligence’ example is CYNK Technology Corp.  CYNK is a social media development company that recently had a market capitalization in excess of $1 billion.  CYNK was founded in 2008 but has never commenced operations, only had one employee, no website, no revenue, no product and no assets.  This year the stock has traded for 10 cents (or less) through June 16, after which it began a ride up to a closing price of $13.90 on July 10.  We’re not talking about the tech craze of the 90's here – this was just a month ago.  But that same greed, hype, made-up figures, lies and manipulations allowed CYNK to rise just like: (a) the 1920’s run up and crash, (b) the 1990's run up and crash, and (c) the 2007 run up and crash.

Speaking of ‘due diligence’, does this sound like a healthy global economy?  Last week:

-       Germany and France's GDPs fell,

-       The German 10-year bond fell below 1% for the first time in HISTORY,

-       Wal-Mart warned for the balance of the year – blaming Obama-care,

-       Italy, Romania and Cyprus are in recession,

-       The Belgium, Czech, German, Latvian, Hungarian, and Polish stock markets are all down considerably year to date, and

-       The Euro-Zone's three largest economies (which account for two-thirds of the $12.8 Trillion dollar GDP) posted 0% growth.  

Now, how exactly does that news translate into a bullish signal for stocks?  If you can't trust the fundamentals to make your investing decisions, what can you use?  I’ll say: (a) use your own common sense, (b) your ability to connect the dots, and (c) a stock’s technical patterns (given computer trading makes up over 70% of the current trading volume on Wall Street).  Find the right chart patterns, try to be in the right sectors at the right time, and you'll do fine.

The point of all this is simple: fundamentals used to be a good way to invest for the long term, but those days are long gone.  Honestly, there isn't a sole alive that really believes our vaunted Federal Reserve when they tell us that inflation is running below 2%.  Yet, the entire credit market uses their numbers as the basis for swaps, bond rates, and social security benefits.  Just know that the closer we get to the mid-term elections the more absurd these numbers (and lack of ‘due diligence’) is going to become.  Welcome to ‘fantasy football’ season – it’s right around the corner.

The Market...

For a minute on Friday (after listening to the news flow out of Russia and the Ukraine) I thought I was living in the Matrix.  The market was up by 65 points, and at 11am it turned on a dime and went to being down 80.  The news that was hitting the wires was a statement out of the Ukraine that said a Russian convoy of arms had tried crossing into the Ukraine, and the Ukrainian military blew it up.   This naturally led to a lot of speculation about what Russia might do in retaliation.  

Then the strangest thing happened.  The Russians put out a statement saying that they did NOT have an arms convoy crossing the border, and that the Ukrainian statement was a fantasy.

Instantly, the world tried to do their ‘due diligence’ – looking for photos of the wrecked convoy, but there were none to be found.  Wait a minute.  The Ukrainians – the good guys (yes) - said that they blew up a convoy of weapons and there are NO pictures?  IF the Russians are sending convoys of weapons to the rebels and the Ukrainians blew them up, wouldn’t we have a true escalation-taking place?  But IF the Ukrainians simply made up this story to further the pressure against the Russians, then that (in and of itself) is an escalation.  In either event, that entire situation isn't good.

But if nothing goes ‘bump in the night’ over the weekend, I think we see the market shake off the jitters and push us higher, in a nervous, herky-jerky fashion – fully knowing that weird news could hit at virtually any time.  This is a wacko-market where buying smaller positions and taking your profits quickly is the way to play.  Don't swing for the fences (just yet) in this market.

Tips:

I continue to follow my plan – looking for ‘income plays’ (spread trades) and monitoring the positions closely.   When I say ‘spread trades’ I mean:

-       IF a stock is moving up or sideways, then I ‘SELL’ a Put-Credit Spread, 1 standard deviation out of the money, and

-       IF a stock is moving down or sideways, then I ‘SELL’ a Call-Credit Spread, 1 standard deviation out of the money.

My current list of potential spread candidates include: AZO, CBRL, HOG, BA, CMG, UTX, SLB, PII, URI, BAX, KRE, BEAV, OEX, CBI, TWX, SHPG and SPY.  In terms of directional trades:

-       Buying TLT (the Bond ETF) on pullbacks to the 8-day and 21-day moving averages, and selling at extensions has been working nicely for the past 11 months, and

-       Buying stocks that have a mind of their own (despite what the market is doing) such as TSLA, FFIV, AAPL, NFLX and CMG continues to work in weekly increments.

Examples of 2 spread trades that we did this week are:

-       EWZ – the Brazilian ETF.  Days ago, Brazilian Presidential candidate - Eduardo Campos was killed in a plane crash.  This sent the entire Brazilian market lower, and sent EWZ down by as much as 2.6%.  It is now holding support at its 100-day moving average.  The volumes are elevated, and I therefore sold an Iron Condor for September expiration.  I used 2-point wide strikes to limit my risk.  I SOLD the SEPT – 45/ + 43 PUT’s & the - 52 / +54 CALL’s for $0.45 per share.

-       IWM – the small cap ETF.  I think that there is a good set-up here for September.  There are elevated volumes, and nice premiums to be sold.  Again, I used 2-point wide strikes to limit my risk.  I SOLD the SEPT – 106 / + 104 PUT’s & the - 118 / +120 CALL’s for $0.50 per share. 

My current short-term holds are:

-       AAPL (Tech) – in @ $92.86 – (currently $97.98),

-       DLTR (Retail) – in @ $51.97 – (currently $55.60),

-       KO (Beverage) – in @ $41.17 – (currently $40.88),

-       LNG (Energy) – in @ $57.40 – (currently $73.23),

-       NUGT (Gold) – in @ $41.10 – (currently $46.94),

-       TLT (Bonds) – in @ 112.32 – (currently $117.71),

-       SLV (Silver) – in @ $20.17 – (currently $18.86)

-       SIL (Silver) – in at 24.51 - (currently 14.06), and

-       GLD (ETF for Gold) – in at 158.28, (currently 125.48)

Diving back into some Small Caps:

-       FET (Oil) – in @ $25.14 – (currently $32.36),

-       GTAT (Tech) – in @ $17.84 – (currently $17.36),

-       IDTI (Tech) – in @ $15.08 – (currently $15.22),

-       IG (Tech) – in @ $6.24 – (currently $6.12),

-       LEJU (Tech) – in @ $13.07 – (currently $13.57),

-       PEIX (Oil) – in @ $19.34 – (currently $20.38),

-       RFMD (Tech) – in @ $11.05 – (currently $11.54),

-       TSRA (Tech) – in @ $28.05 – (currently $28.73),

-       VDSI (Tech) – in @ $14.17 – (currently $14.23), and

-       VTNR (Oil) – in @ $7.87 – (currently $7.86)

To follow me on Twitter and get my daily thoughts and trades – my handle is: taylorpamm. 

Please be safe out there!

Disclaimer:

Expressed thoughts proffered within the BARRONS REPORT, a Private and free weekly economic newsletter, are those of noted entrepreneur, professor and author, R.F. Culbertson, contributing sources and those he interviews.  You can learn more and get your free subscription by visiting: <http://rfcfinancialnews.blogspot.com> .

Please write to Mr. Culbertson at: <rfc@culbertsons.com> to inform him of any reproductions, including when and where copy will be reproduced. You may use in complete form or, if quoting in brief, reference <rfcfinancialnews.blogspot.com>.

If you'd like to view RF's actual stock trades - and see more of his thoughts - please feel free to sign up as a Twitter follower -  "taylorpamm" is the handle.

If you'd like to see RF in action - teaching people about investing - please feel free to view the TED talk that he gave on Fearless Investing: http://www.youtube.com/watch?v=K2Z9I_6ciH0

To unsubscribe please refer to the bottom of the email.

Views expressed are provided for information purposes only and should not be construed in any way as an offer, an endorsement, or inducement to invest and is not in any way a testimony of, or associated with Mr. Culbertson's other firms or associations.  Mr. Culbertson and related parties are not registered and licensed brokers.  This message may contain information that is confidential or privileged and is intended only for the individual or entity named above and does not constitute an offer for or advice about any alternative investment product. Such advice can only be made when accompanied by a prospectus or similar offering document.  Past performance is not indicative of future performance. Please make sure to review important disclosures at the end of each article.

Note: Joining BARRONS REPORT is not an offering for any investment. It represents only the opinions of RF Culbertson and Associates.

PAST RESULTS ARE NOT INDICATIVE OF FUTURE RESULTS. THERE IS RISK OF LOSS AS WELL AS THE OPPORTUNITY FOR GAIN WHEN INVESTING IN MANAGED FUNDS. WHEN CONSIDERING ALTERNATIVE INVESTMENTS (INCLUDING HEDGE FUNDS) AN INVESTOR SHOULD CONSIDER VARIOUS RISKS INCLUDING THE FACT THAT SOME PRODUCTS AND OTHER SPECULATIVE INVESTMENT PRACTICES MAY INCREASE RISK OF INVESTMENT LOSS; MAY NOT BE SUBJECT TO THE SAME REGULATORY REQUIREMENTS AS MUTUAL FUNDS, OFTEN CHARGE HIGH FEES, AND IN MANY CASES THE UNDERLYING INVESTMENTS ARE NOT TRANSPARENT AND ARE KNOWN ONLY TO THE INVESTMENT MANAGER.

Alternative investment performance can be volatile. An investor could lose all or a substantial amount of his or her investment. Often, alternative investment fund and account managers have total trading authority over their funds or accounts; the use of a single advisor applying generally similar trading programs could mean lack of diversification and, consequently, higher risk. There is often no secondary market for an investor's interest in alternative investments, and none is expected to develop.

All material presented herein is believed to be reliable but we cannot attest to its accuracy. Opinions expressed in these reports may change without prior notice. Culbertson and/or the staff may or may not have investments in any funds cited above.

Remember the Blog: <http://rfcfinancialnews.blogspot.com/> 
Until next week – be safe.

R.F. Culbertson

<mailto:rfc@culbertsons.com>

<http://rfcfinancialnews.blogspot.com>

This Week in Barrons - 8-10-2014

This Week in Barrons – 8-10-2014

The Good, The Bad, and the Real Ugly:

The Good:     The other day I was standing in line next to a retired Air Force Colonel – when he struck up a conversation by saying: “The level of competence in the U.S Government has reached new lows”.  This brought me to thinking: What if the U.S. Government hired the management of Wal-Mart to either run or at least fix the government?  Thanks to JLA for reinforcing this thinking.  First, do we have a problem?  The facts are:

-       After 237 years, the U.S. Postal Service is broke.

•       After 77 years, the Social Security Office is broke.

•       After 47 years, Medicare and Medicaid are broke.

•       After 42 years, Fannie Mae and Freddie Mac are broke.

•       After 48 years of having the War on Poverty transfer over $1 trillion a year to the poor – it is in worse shape than ever.

•       After 37 years, the Department of Energy (established to lessen our dependence on foreign oil) has ballooned to over 16,000 employees, with a budget over $24 billion – and we still import more oil than ever before.

•       And finally, customer satisfaction within all 3 branches of our government has fallen to record lows: Supreme Court = 30%, Congress = 7%, and a 6-year low for President Obama = 29%.

Can Wal-Mart handle something as large as the U.S. Government?

-       Efficiency & Scale:   Americans willingly spend $36,000,000 at Wal-Mart every HOUR – producing a $20,938 profit every MINUTE.

•       Global Reach:          Wal-Mart has 1.6 Million employees worldwide.  This year 7.2 billion different purchasing experiences will occur at Wal-Mart.  (The Earth's population is approximately 6.5 Billion.)

•       Growth:                      Wal-Mart has over 3,900 stores in the U.S. – growing at approximately 200 stores per year.

•       Accessibility:             93% of all Americans live within fifteen miles of a Wal-Mart.

•       Customer Satisfaction:      Wal-Mart’s customer satisfaction scores are more than double those of the Supreme Court and President Obama, and over 10 TIMES those of Congress.

I am NOT complaining.  I’m simply stating that the U.S. Government should HIRE the management team of Wal-Mart to run our country.

The Bad:        Consider this: if you purchased wood (to fuel your stove) from the sawmill in the next town, would you place sanctions on the sawmill and try to make their life miserable?  Probably not.  Why - because the sawmill would simply stop shipping you their wood, causing your stove to go out, and then you wouldn’t be able to cook your meals or heat your home.  And you can bet on that sawmill stopping your wood shipments as soon as the weather turned colder.  

Well, Russia supplies most of Europe’s gas, and many of their food products.  In response to U.S. sanctions, Russia's retaliations (via restricting European imports) are beginning to wreak havoc on German and Norwegian businesses.   When you disrupt an economy, the immediate impact is centered on the target businesses (a calculated reaction); however, the ripple effects of the economic disruption are felt long after and are often mis-calculated (to the downside).

We sanctioned Russia to make a statement, and to try and get Russia to back down from the Ukraine, OR to drag Russia into a ‘street fight’ with the U.S. and the NATO countries.  The sanctions were supposed to ‘break Russia down’.  Instead, Germany's exports are falling like a rock.  Our sanctions on Russia are hurting Europe more than they're hurting Russia. 

Currently, U.S. exports to Russia have fallen by 34%.  With exports falling, idled jobs are quick to follow.

The Ugly:       In the early 1960's (at the height of the cold war), we were within minutes of WW3 with Russia.  Russia wanted to place missiles on their military base in Cuba – just 90 miles from the U.S. border.  The U.S. could not tolerate nuclear missiles so close to our border, and went head-to-head with Russia.  As the supply ships were coming from Russia to Cuba, we set up a naval blockade around the island.  Times were tense.

On October 27, 1962, the American destroyer USS Beale began dropping depth charges on the nuclear-armed Soviet submarine B-59, which was lurking near the U.S. blockade line around Cuba.  The charges were non-lethal warning shots intending to force the sub to the surface, but the submarine's captain mistook them for live explosives.  Convinced he was witnessing the opening salvo of World War III, the captain angrily ordered his men to arm the submarine’s lone nuclear-tipped torpedo and prepare to attack.

If not for a contingency measure that required all three of the submarine's senior officers to sign off on a nuclear launch, we would have been in a nuclear war with Russia.  The Soviet captain wanted to shoot his nuclear-tipped torpedo, but Vasili Arkhipov (B-59's second in command) refused to give his consent.  After calming the captain down, Arkhipov coolly convinced his fellow officers to bring B-59 to the surface and request new orders from Moscow.  As soon as the submarine surfaced – it was told of the negotiated truce, told to back down, and to return to Russia.

Did you know that this was not reported for almost 40 years?  Why, because the agencies involved were too embarrassed.  If not for the courage of ONE MAN (a second in command), nuclear war and probable global destruction were assured.

Today the roles are reversed.  It is the U.S. and NATO that want to put our missiles on Russia's front porch.  It is natural that Russia doesn’t want this to happen.  And so we ask ourselves:

-       1^st - Without Wal-Mart to run our country, where are we heading?

-       2^nd - By establishing sanctions that hurt us and our allies more than the intended target – what are we trying to prove?

-       And lastly - WHO and WHERE is that ONE person that will step-up to prevent the firing of that first nuke – and back us all down to a discussion between reasonable people.

The Market:

You must admire creativity.  In a push to make more people eligible for loans, our government has asked that the method of calculating FICO scores (credit scores) be changed.  Currently, when you have negatives on your report (non-payment, collections, late fees, etc.) it affects your score and often results in either a ‘no credit decision’ or an interest rate so high you can't afford the loan.  Currently, 77 million people (over 25% of our total population) are undergoing collection efforts – increasing their FICO scores and making it hard for those 77 million to get additional loans.

In the new plan, if you've gone into collection (where a collection company is hounding you for payment) and you finally pay – the record of you going into collection will NO LONGER be included in your FICO score calculation.  So, if you buy a car you can't afford and you go to collection, and if you finally settle and pay your bill (normally for 50% of the original charges), all of those collection efforts will no longer be reflected in your FICO score.  So while we poke ourselves in the eyes with backfiring Russian sanctions, we're going to try (once again) to ignite a housing bubble by allowing A&B (alive and breathing) accounts to buy homes.  What could go wrong with that idea?

This was interesting week in the market.  On Monday we had a bounce that only lasted a day, and on Tuesday we fell again.  Wednesday we were green by 13 points, but on Thursday the trap door opened and we fell like a rock.  On Friday, none of the politicians wanted to be on the weekend talk shows explaining why the market is puking, so they created a green market by recycling old news:

-       A ‘tweet’ by the Russian agency stated that military maneuvers near the Ukraine border were ending, and that stared all of the algorithms firing-off (in unison) over the good news.

-       The only issue was that it was ‘old news’.  It seems that four days earlier Russia announced that it would be ending the drills on Friday.

So they manufactured a bounce – what else is new?  Does this bounce have staying power?  I think that if nothing goes ‘bump in the night’ over this weekend, then yes – we should see a bit more follow-through to the upside on Monday.  But for the longer term:

-       Is the FED going to reverse the tapering on QE?  I doubt it.

-       Is the situation in the Ukraine any better?  Nope, it's worse.

-       Is the conflict between Israel and Palestinians over?  I don't think so.

-       Are the BRICs willing to abandon their goals and re-embrace the dollar?  Not likely.

-       Is the U.S. going to end the Russian sanctions, and reverse the economic damage they're causing in Europe (and on the US)?  Don't bet on it. 

So while we should see a bit more upside on the heels of Friday’s big day, unless something really meaningful changes – it’s going to be hard to regain those 800 DOW points that we lost last week.

Tips:

In terms of what to buy and what to sell:

1.    MNKD – Mannkind Pharmaceuticals is coming out with news on Monday.

2.    This news is either going to be very good for the stock (announcing partnerships with major drug companies) or very bad for the stock.

3.    If you know that a stock is going to move violently either up a lot or down – a strategy known as purchasing a ‘Strangle’ – could be employed.  A ‘Strangle’ is an option strategy where the investor holds a position in both a call and put option, at different strike prices, but with the same maturity date.  This strategy only works if you think there will be a large price movement in the near future, but are unsure of the direction of the price movement.

4.    The ‘Strangle’ involves buying an out-of-the-money call, and an out-of-the-money put option.  These options are generally less expensive because they are out-of-the-money.

5.    For example, imagine a stock currently trading at $50 a share.  To employ the strangle option strategy, a trader enters into two option positions: one call and one put option.  The call is for $55 and costs $3.00 per option, while the put is for $45 and costs $2.85 per option.  If the price of the stock stays between $45 and $55 over the life of the option the trader will lose what he paid for the options.  However, the trader will make money if the price of the stock starts to move outside of the $45 to $55 range.  If the stock price ends at $35, then the call option will expire worthless but the put options will gain more than enough value to offset the loss of the call option.

6.    For MNKD – this week’s $8 / $8.50 straddle is buyable for $1.18, and is well inside the expected move of $1.67.  Now if you already own the stock, Buying the $8 put options for $0.61, or the $7.50 put options for $0.43 are interesting ways to protect yourself on the downside – all the while maintaining your upside bias.

My current short-term holds are:

-       AAPL (Tech) – in @ $92.86 – (currently $94.61),

-       COST (Retail) – in @ $115.12 – (currently $119.16),

-       DLTR (Retail) – in @ $51.97 – (currently $55.68),

-       FEYE (Tech) – in @ $28.05 – (currently $30.44),

o   Purchased PUTS as a hedge

-       IG (Tech) – in @ $6.24 – (currently $6.28),

-       KO (Beverage) – in @ $41.17 – (currently $39.45),

o   Purchased PUTS as a hedge

-       LNG (Energy) – in @ $57.40 – (currently $70.72),

-       MNKD (Drug) – in @ $6.35 – (currently $8.13),

o   Purchased PUTS as a hedge

-       NUGT (Gold) – in @ $41.10 – (currently $46.66),

-       TLT (Bonds) – in @ 112.32 – (currently $115.52),

-       TSRA (Tech) – in @ $27.26 – (currently ($28.28),

-       SLV (Silver) – in @ $20.17 – (currently $19.19)

-       SIL (Silver) – in at 24.51 - (currently 14.18), and

-       GLD (ETF for Gold) – in at 158.28, (currently 126.19)

To follow me on Twitter and get my daily thoughts and trades – my handle is: taylorpamm. 

Please be safe out there!

Disclaimer:

Expressed thoughts proffered within the BARRONS REPORT, a Private and free weekly economic newsletter, are those of noted entrepreneur, professor and author, R.F. Culbertson, contributing sources and those he interviews.  You can learn more and get your free subscription by visiting: <http://rfcfinancialnews.blogspot.com> .

Please write to Mr. Culbertson at: <rfc@culbertsons.com> to inform him of any reproductions, including when and where copy will be reproduced. You may use in complete form or, if quoting in brief, reference <rfcfinancialnews.blogspot.com>.

If you'd like to view RF's actual stock trades - and see more of his thoughts - please feel free to sign up as a Twitter follower -  "taylorpamm" is the handle.

If you'd like to see RF in action - teaching people about investing - please feel free to view the TED talk that he gave on Fearless Investing: http://www.youtube.com/watch?v=K2Z9I_6ciH0

To unsubscribe please refer to the bottom of the email.

Views expressed are provided for information purposes only and should not be construed in any way as an offer, an endorsement, or inducement to invest and is not in any way a testimony of, or associated with Mr. Culbertson's other firms or associations.  Mr. Culbertson and related parties are not registered and licensed brokers.  This message may contain information that is confidential or privileged and is intended only for the individual or entity named above and does not constitute an offer for or advice about any alternative investment product. Such advice can only be made when accompanied by a prospectus or similar offering document.  Past performance is not indicative of future performance. Please make sure to review important disclosures at the end of each article.

Note: Joining BARRONS REPORT is not an offering for any investment. It represents only the opinions of RF Culbertson and Associates.

PAST RESULTS ARE NOT INDICATIVE OF FUTURE RESULTS. THERE IS RISK OF LOSS AS WELL AS THE OPPORTUNITY FOR GAIN WHEN INVESTING IN MANAGED FUNDS. WHEN CONSIDERING ALTERNATIVE INVESTMENTS (INCLUDING HEDGE FUNDS) AN INVESTOR SHOULD CONSIDER VARIOUS RISKS INCLUDING THE FACT THAT SOME PRODUCTS AND OTHER SPECULATIVE INVESTMENT PRACTICES MAY INCREASE RISK OF INVESTMENT LOSS; MAY NOT BE SUBJECT TO THE SAME REGULATORY REQUIREMENTS AS MUTUAL FUNDS, OFTEN CHARGE HIGH FEES, AND IN MANY CASES THE UNDERLYING INVESTMENTS ARE NOT TRANSPARENT AND ARE KNOWN ONLY TO THE INVESTMENT MANAGER.

Alternative investment performance can be volatile. An investor could lose all or a substantial amount of his or her investment. Often, alternative investment fund and account managers have total trading authority over their funds or accounts; the use of a single advisor applying generally similar trading programs could mean lack of diversification and, consequently, higher risk. There is often no secondary market for an investor's interest in alternative investments, and none is expected to develop.

All material presented herein is believed to be reliable but we cannot attest to its accuracy. Opinions expressed in these reports may change without prior notice. Culbertson and/or the staff may or may not have investments in any funds cited above.

Remember the Blog: <http://rfcfinancialnews.blogspot.com/> 
Until next week – be safe.

R.F. Culbertson

<mailto:rfc@culbertsons.com>

<http://rfcfinancialnews.blogspot.com>