Quick hits and a reminder about this week’s Live Q&A Chat

I always reminded my viewers on Fox Business that “the only thing permanent in life is family”.  I’m in Roswell today dropping off my 10 year old son of my dad’s brother’s son so he can fly back to his parents in Dallas.

I’ll be back in the saddle at 2pm EST for our weekly Live Q&A Chat at http://tradingwithcody.com/chat.

A couple quick notes this morning. I suggested taking profits on the LPS short back when it was in teens. The stock has come back big with the financial markets courtesy of the bailouts and endless so-called “emergency” measures designed to inflate the profits of the financial companies. I think it’s likely headed back to the single digits when the economic cycle turns back against the financials. I’m working hard on figuring out some timing for adding to this short.

Yesterday, btw, IBM got downgraded at Goldman Sachs, for exactly the same reasons I reported to you guys six months ago.

Amazing how the price of the silvert ETF, SLV has dropped so dramatically despite the actual selling price of silver having fallen less than a 1/3 that much over the same time frame. That is, you can buy the ETF at $18/paper-promised-ounce, or 21% less than you could have a few months ago. But if you want to actually buy a real-world silver coin, it’s running you about $21/ounce which is only a couple dollars less than you could have a few months ago, or about 8-9% less. Obviously, you’d get killed on postage, transaction costs and spreads if you’re trying to trade physical coins around these gyrations and not buying silver for the long run. But the point here is that the spread between the real-world pricing of silver and that of the “spot” and ETF pricing is wider than ever and reflective of some sort of break from reality between the two asset classes. The physical silver itself is a much better bet on real prices and for what’s ahead than the SLV ETF. Feet to fire though, the end of the year I expect both will be over $25/oz.