filed in My Investments on Oct.08, 2009
Thank you retail sales numbers! Today this news, along with the surprise earnings from Alcoa (AA) kept the markets in the green. At one point, the markets were up almost twice at what they closed at. This was the first time since 2008 that the collective retail sales numbers were up across the board. Good news, for now. With the way some of these reports for jobless, and payroll have been surprisingly up and down, its still cautious to look at the next months set. Already there is anticipation that the holiday sales will be low like the previous year. Another item that was up today and reached yet another high was gold, the safe-haven has been on a strong rise and its rise is not some magic – its the notion that people are starting to head towards the sidelines. The dollar yet again dropped and like I said yesterday, the Canadian dollar was higher once again. If you have the means, watch for an parity position to make a profitable trade from USD to Canadian dollars and back to USD once the rates change again.
Today I had a great chance on a retail play that many others jumped on also. It was announced on CNBC that Liz Claiborne Inc (LIZ) was going to be sold in JC Penny across the United States. Being a more accessible store compared to Macy’s, I felt this was a great opportunity for sales. (LIZ) was already higher at the open and I manged to fill an order for 350 shares at $6.00. This I felt was a good price to get in but almost right after, the price did turn lower. I was a little panicky I admit and contemplating selling for a loss as maybe I was too jumpy on the stock, but my gamble did prevail towards the end of the day when the stock was up towards $6.80/share. I got out at $6.73/share and know I could have held further. This stock has the potential to touch $8/share by December.
Total profit on (LIZ) = $255.50
Here is the market summary for Thursday:
Thursday I did expect PepsiCo and Marriott to both touch higher, neither did pop but after write-downs look like great long term buys. Pepsi does expect 11-13% growth in the coming year which is great to look forward to and Marriott looks much better after writing down their time shares.
- Surprise Retail Numbers Tank Markets Wednesday
- Markets End First Week of September in Green
- Markets Remain Positive Tuesday and Pending Home Sales up 32%