"I believe in a strong dollar"

O'Henry! Hank, the tank? Henry Paulson is full of it and he knows it. His policy is anything but a strong dollar policy. When you a forced to not just cut but cut beyond expectations, as he will be asked come next week, you are not endorsing a stronger dollar. You are damning the dollar to hell. Fed fund futures, although not perfect, do serve as a proxy for the feds actions next week; and they are indicating a 100% chance of a 25 basis point cut. Which means that the street is going to sell off if it gets only that. Watch. They know they own the fed. With the ex-Goldman hero/villain Paulsen, the street is sure to get what it needs. Do you think for one second that he is going to let his partners and friends at Goldman lose their jobs under his watch? Not a chance in hell. In my opinion (and I am guessing) the fed acts "proactively" and cuts another 50 basis points next week. Which begs the question...if things "aren't that bad" (as the fed likes to so rigorously contend) why 100 basis points in little over a month? I'm hoping to get a piece of a few names...UXG, GG, GFI, CVX prior to the meeting, but UXG and maybe CVX are the only likely ones.

There was an interesting article on Sears Holding (SHLD) in this weekend's Barrons. It discussed Lampert's one time street darling, Sears, recent issues...and its potential. As some of you know I'm a big believer in "betting the jockey not the horse". Lampert is as smart as they get, and if he's down, it won't be for long. The street marks Sears as a retailer. It is a conglomerate or one in the making. Anyone who has done their homework on Lampert knows he has grandiose plans for SHLD and they don't end with buying Sears. This is a great long-term price for SHLD.

I opened a position in PRFT today for a trade. The technicals were improving and I got it at a discount to yesterday's nice rally. I'm also looking at VIVO for a possible trade in the next few days. We'll see...time reveals all.