Quote of the day

Michael Bigger, “Great traders adapt.”  (Bigger Capital)

Chart of the day


The aging of our capital stock.  (Mandel on Innovation)

Markets

The five biggest risks of 2011.  (Pragmatic Capitalism)

Dr. Copper vs. Dr. VIX.  (Money Game)

Why is the VIX testing new lows?  (InvestorPlace)

Financials are starting to outperform.  (Dragonfly Capital)

A cautionary note for oil service longs.  (Trader’s Narrative)

A new global equity oil ETF.  (IndexUniverse)

Another sign that the metals mania has “hit a new level.”  (Kid Dynamite)

Municipal bonds

Demystifying default and bankruptcy in the muni market.  (self-evident)

People are waking up to the risks of the muni market.  (Dealbook)

The end of Build America Bonds is settling on over the muni market.  (WSJ)

Bill Gross is buying muni bond closed-end funds for his own account.  (Money & Co.)

Strategy and Tactics

On the importance of communication in the investment business.  (the research puzzle)

David Blair, “Confidence grows when fed a diet of focus, patience, and discipline.”  (Crosshairs Trader)

“Advocates of strategic asset allocation often fail to recognize that optimization to past data is exactly what their pie chart is doing.”  (Systematic Relative Strength)

Hedge fund investors want transparency.  (All About Alpha)

Strategists look for another year of 10% equity returns.  (Peridot Capitalist)

Companies

Airline industry profitability remains balanced on a “knife’s edge.”  (WSJ)

Why “poker sharks” want online gaming legalized.  (Atlantic Business)

Groupon is a real company, but may not be a revolutionary one.  (New Yorker)

Economy

Retail sales are coming in ahead of expectations.  (Bloomberg)

Small business optimism improves.  (Calculated Risk)

Fearing the cutoff of the 99-ers.  (Calculated Risk, Money Game, Econbrowser)

More evidence that we are living through a “default-driven de-leveraging process.”  (Rortybomb also Street Sweep)

UK inflation on the rise.  (FT Alphaville, The Source)

A chart that shows the growing trade relationship between China and Africa.  (beyondbrics)

Worth watching

ARTV with David Gaffen.  (Abnormal Returns)

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