Quote of the day

Daniel Gross, “Now more than ever, international banking gives professional Beltway wonks the opportunity to be professional policy players—all while getting paid like professional basketball stars.” (Newsweek)

Chart of the day

A look at S&P sector weightings over time.  (Bespoke)

Video of the day

Mark Cuban talks with Howard Lindzon.  (Howard Lindzon)


Volatility was really, really low in December.  (Don Fishback)

Country market cap levels.  (Bespoke)

The metals are down, but not out.  (Dragonfly Capital, Bespoke)

Strategy and Tactics

“If you could eavesdrop on the inner monologue of your favorite trader it would profoundly disturb you.”  (Dynamic Hedge)

Emotions for a trader are unavoidable.  The challenge is how you deal with them.  (Bubble Boy Trader)

Mark Hulbert, “The portfolios that are at the top and bottom of the one-year rankings are those that have incurred extraordinary risk.”  (Marketwatch)

Are VIX calls the best way to play a market pullback?  (InvestorPlace, Barron’s)

High quality is just another exposure.  (ETF Replay)

No such thing as a “set it and forget it portfolio.”  (TRB)

Buying the stocks that analysts hate.  (ROI)

On the relationship between microblog sentiment and stock prices.  (SSRN via MoneyScience)

Managed futures

An actively managed long/short futures ETF launches.  (Focus on Funds)

Managed futures ended up 9.20% for the year.  (HedgeWorld)


Regarding finding a CIO candidate Buffett says: “Take all the people with a great track record [in investing] over the past five years. I wouldn’t consider 95 percent of them.” (Vanity Fair)

Reinsurers trade below book value.  (WSJ)

“Why does the owner of fast food chains want to buy a middling insurance company domiciled in an unfriendly state?”  (Stone Street Advisors)

Which half of the Motorola break-up should you avoid?  (Crossing Wall Street)


Tax-exempt bonds for beginners.  (Baseline Scenario)

The five ways to make money in finance.  (EconLog)

ETFs are helping lower fees across the fund industry.  (WSJ)

How many ETFs are going to close in 2011?  (IndexUniverse)

The SEC is looking to reassert itself in the secondary market for private companies.  (FT Alphaville)


Why Facebook won’t go public.  (Felix Salmon also WSJ, Infectious Greed)

Five tech deals it would be fun to see happen.  (Deal Journal)

Sarah Lacy, “Most startups hate the idea of being a public company.” (TechCrunch)

Fill or kill‘ for Facebook shares via Goldman Sachs (GS).  (Reuters, Francine McKenna)


Can the global economy recover without China?  (Gavyn Davies)

Skyscrapers are a bad sign for an economy.  Hello, China.  (Money Game)

Chile’s currency move is the first of many.  (beyondbrics, FT Alphaville)

Why do some countries grow faster than others?  (Consider the Evidence via Economist’s View)


The ISM services index shows a big move up.  (Bloomberg, EconomPic Data)

Private employers added more jobs in December than expected.  (Calculated Risk, FT Alphaville, Macroadvisers)

The Fed has no plans to ease off until unemployment begins to fall.  (Bloomberg, WashingtonPost)

Strong economic data does not necessarily mean a stronger dollar.  (The Source)

Growing fears that higher gasoline prices could slow the nascent economic recovery.  (AR Screencast)


Domestic auto sales continue to recover.  (Calculated Risk, WashingtonPostAtlantic Business)

Farhad Manjoo loves the Nissan Leaf and why the Leaf won’t matter to most people. (Slate, Ezra Klein)

Why Argentines “invest” in cars.  Something to do with 30% inflation.  (The World)

Thanks for checking in with Abnormal Returns. For all the latest you can follow us on StockTwits and Twitter.

This content, which contains security-related opinions and/or information, is provided for informational purposes only and should not be relied upon in any manner as professional advice, or an endorsement of any practices, products or services. There can be no guarantees or assurances that the views expressed here will be applicable for any particular facts or circumstances, and should not be relied upon in any manner. You should consult your own advisers as to legal, business, tax, and other related matters concerning any investment.

The commentary in this “post” (including any related blog, podcasts, videos, and social media) reflects the personal opinions, viewpoints, and analyses of the Ritholtz Wealth Management employees providing such comments, and should not be regarded the views of Ritholtz Wealth Management LLC. or its respective affiliates or as a description of advisory services provided by Ritholtz Wealth Management or performance returns of any Ritholtz Wealth Management Investments client.

References to any securities or digital assets, or performance data, are for illustrative purposes only and do not constitute an investment recommendation or offer to provide investment advisory services. Charts and graphs provided within are for informational purposes solely and should not be relied upon when making any investment decision. Past performance is not indicative of future results. The content speaks only as of the date indicated. Any projections, estimates, forecasts, targets, prospects, and/or opinions expressed in these materials are subject to change without notice and may differ or be contrary to opinions expressed by others.

Please see disclosures here.

Please see the Terms & Conditions page for a full disclaimer.