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Wall Street Breakfast: Must-Know Newsby SA Editor Rachael Granby- Bank trio becomes duo. Wells Fargo (WFC) will become the largest U.S. bank by branches with its bid for Wachovia (WB), after Citigroup (C) withdrew from compromise negotiations late yesterday on concerns about the quality of some of Wachovia's assets. Wells Fargo, with a bid valued at $11.4B, expects the purchase to be completed by the end of the year, and denies it will have to absorb assets shakier than originally thought.
- Government considers next steps. As the financial crisis continues to worsen, the U.S. government is considering two dramatic steps to turn around, or at least slow, the damage: guaranteeing billions of dollars in bank debt and temporarily insuring all U.S. bank deposits. The moves, which would mark the government's most extensive intervention to date, are in discussion stages only.
- Credit stays frozen. As frozen credit markets refuse to thaw, the cost of default protection on corporate bonds reaches new global records amid investor concerns the credit crisis will trigger corporate failures as companies struggle to finance their businesses. Interbank lending remains limited, and borrowing from the Fed's expanded discount window continued its trend of setting new highs every week, as the total daily average rose to $420.2B vs. $367.8B last week.
- Oil demand withers. The International Energy Agency warned Friday worldwide oil demand...
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- An Outcry from Emerging and Developed Markets Alike by Jonathan O'Shaughnessy
- Long Term, Financials Look Good by Michael Filloon
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Oil Price- Oil Below $75: Increased Chance of OPEC Production Cuts by Money Morning
- Oil Down 48% from Highs by Bespoke Investment Group
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Economy- Long Term, Financials Look Good by Michael Filloon
- Round 3 of the Recession: Main Street by Paul Fekula
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- Farewell Financial Bear Raids - Cramer's Mad Money (10/14/08) by SA Editor Joan Wickham
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Long Ideas- Utilities Beginning to Generate Interest for Longs by Joe Kunkle
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Short Ideas- Why Short Sellers Are the Heroes of Wall Street by Investment U
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- Jim Cramer's Picks -SampleBetter Choices - Cramer's Lightning Round (10/15/08)by SA Editor Rachael GranbyStocks discussed in the lightning round session of Jim Cramers Mad Money TV program,
Wednesday, October 15.Bullish Calls:Continental Resources (CLR) -- "This is a remarkable decline. All of the high quality ones are down so much, I can't go against it. This is where you pull the trigger.
3M (MMM) -- The moment this stock starts yielding 5%, I'm a buyer. Until then, keep your powder dry.Bearish Calls:Computer Sciences (CSC) -- This is a company that was going to be bought, but they passed up the chance. Now I don't want to buy it."Email continues...
Annaly Mortgage (NLY) -- I think this is a business model that needs to borrow money. Definitively do not buy."
Northrop Grumman (NOC) -- You can't own the defense stocks right now. If I had to own one, I'd look at Lockheed Martin (LMT) with its good dividend. - Stocks & Sectors -SampleSeeking Alpha - Stocks & SectorsInternet
- eBay: Q3 Looks Good but Q4 Guidance Disappoints by Greg Feirman
- Is Google Feeling Lucky? by Sam Gustin
- Why Today Could Suck for Tech by Kevin Maney
Media- A Triple Financial Whammy Afflicts Newspapers by Ken Doctor
- Three Years On, Buying MySpace Looks Like One of Murdoch's Smartest Bets by Erick Schonfeld
- How Will Arbitron Fare in This Market? by Sreeni Meka
Telecom- Ten Ways to Invest in Louisiana by Stockerblog
- Earnings Preview: Electro-Optical Engineering by theflyonthewall.com
- Shared Docks Via WiFi All the Rage by Dean Bubley
Financial- Switzerland Strengthens Its Banks; Short Interest Remains Low by Jessica Johnson
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- An Outcry from Emerging and Developed Markets Alike by Jonathan O'Shaughnessy
- USANA Health Sciences Inc. Q3 2008 Earnings Call Transcript
- Perfect World Announces Share Repurchase Program by Trader Mark
- China: Hot Money Inflows Down, Nervousness Up by Michael Pettis
India- Indian Economy Has Much to Cheer About by Equitymaster
- India: RBI Cuts Cash Reserve Ratio by Equitymaster
- India: Markets Continue Downward by Equitymaster
Japan- Sanyo Enters Thin-Film Market, Goes Up Against Sharp by Greentech Media
Asia- Four International Dividend Stocks to Watch by David Hunkar
Eastern Europe- Reality Bites As Stocks Continue To Collapse by The Mole
- Alternative Energy Investing -SampleSeeking Alpha - Alternative EnergyAlternative Energy
- Seven Stocks for an Impending Apocalypse by H.J. Huneycutt
- Solar Shares Under Pressure From Credit Crunch and Pricing by Eric Savitz
- Trina Solar Looks Good, Though Market Yawns by Trader Mark
- The Electric Car Market: Wise Energy Use Stocks by Tom Konrad
- Investing in the Power of the Sea
- ETF Daily -SampleSeeking Alpha - ETF DailySector ETFs
- Too Early To Buy Homebuilders ETF by Larry MacDonald
- Utilities Beginning to Generate Interest for Longs by Joe Kunkle
- Two Global Infrastructure Investment Opportunities in ETFs by Investment U
New ETFs- First Trust Launches Infrastructure ETF with Global Reach by Index Universe
- Overview and Analysis of the Global Generic Drug Industry by Mike Havrilla
Emerging Market ETFs- Brazil Is the Best of BRIC by Carl T. Delfeld
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- The Daily Dispatch -SampleSeeking Alpha - Daily DispatchWall Street Breakfast
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US Market- An Outcry from Emerging and Developed Markets Alike by Jonathan O'Shaughnessy
- Wall Street Breakfast: Must-Know News by SA Editor Rachael Granby
Housing & Real Estate- Too Early To Buy Homebuilders ETF by Larry MacDonald
- Another 'Root Cause' That Isn't: Tumbling Home Prices by Tim Iacono
Transcripts- TrueBlue, Inc. Q3 2008 Earnings Call Transcript
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ETF- Too Early To Buy Homebuilders ETF by Larry MacDonald
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Latest Comments8 Comments
Is There an Unprecedented Demand for 3G iPhone?
Besides, I wouldn't take too much notice of that stat - 33% of 40,000 people surveyed just after the original iPhone's release said they would buy it and then quite clearly didn't.
blogs.zdnet.com/Orchan...
Not Buying It: Sanford Analyst Toni Sacconaghi's iPhone Hit Job
"The content of the survey is irrelevant,"
Well, no it isn't. It seems that a survey has indicated that the majority of CIOs in this sample do not see the iPhone as a viable corporate device. I can't comment if the CIOs were cherry picked or what the distribution of Fortune 500 and other companies was, however the message remains the same. You can't ignore this and then go on to claim that 35% of Fortune 500 companies are working with Apple - and actually, they're not - 35% have tested the SDK, this isn't the same thing as 'working with Apple'.
Perhaps you'd care to comment on what percentage of Fortune 500 companies actually use rather than 'are testing' Blackberries as a comparison?
"Toni has a history of twisting the facts to suit some underlying agenda, this is clear, the whole industry knows it."
Undoubtedly. That's why I say his survey has its flaws.
"Secondly, the iPhone isn't about it's individual features and how they stack up against other gadgets. No sir! The iPhone is about the ecosphere that Apple has built around it."
Really? Is that the same 'ecosphere' that has no significant corporate presence? Because I believe we are talking about the corporate sector are we not?
"There is NO other device or manufacturer that stacks up. Apple and iPhone are THE standard, RIMM is very, very nervous about their long-term prospects in this light."
Nonsense. The iPhone is a very good phone but there are other very good phones out there and due for release. Perhaps it's because I'm European but we tend to be a little fussier over our devices. I'm sure the iPhone will do well but it's not a world beater, at least not outside the US anyway which, it seems, is the story for most Apple products with the exception of the iconic iPod.
Optimism, whilst nice, is no substitute for reality.
Not Buying It: Sanford Analyst Toni Sacconaghi's iPhone Hit Job
Both have their faults, unfortunately.
It's true that Toni's analysis was conducted in May, however, by that time the market already knew that the iPhone would have MS Exchange support, an app store and 3G was likely. The GPS and lower initial cost - but actually higher TCO - wouldn't really change the CIO's opinions if we're being honest here. We can't therefore say that this invalidates the research.
The iPhone is a mobile computer but then again so what? So are Symbians, WinMos and even Blackberries to a degree. All have processing capacity, all have applications, all have corporate e-mail so what new stuff of substance is Apple actually bringing to the party? Nothing much apparently.
I think the iPhone will get some corporate market share, but displace the 800 lb gorilla that is RIM? Not a chance in hell. Entrenchment is a powerful blocker, especially when the competition doesn't bring anything new to the table.
The sad thing is that Zach then goes onto some tedious attacks on Toni's missed estimates without then comparing to some of the missed estimates on the positive side. These attacks just diminish his own credibility.
Nokia in Light of the 3G iPhone
As for Symbian, it's not a desktop operating system but then, frankly, it doesn't need to be. It is, however, an OS for handheld computers.
A word of advice: roughlydrafted.com isn't exactly the most credible source in the world.
Can Apple Double Its iPhone Sales Goal?
Apple: Next Leg Up Will Be From Enterprise Accounts
You're missing a point here. Companies don't buy individual units, they have contractual agreements with suppliers. Furthermore no large scale company is going to be interested in the Airbook as an option for its managers - it doesn't have the versatility or the capabilities of the favoured Lenovo or HP brands. Furthermore you have additional license costs for Windows - which you need to run Office 2007 - in particular MS Access.
Your second assertion is just as silly. OSX Leopard is a bit better than Vista but not sufficiently so to justify the expense of switching to a new platform for most businesses who, in any event, stick with XP as it's tried and tested and a very, very good OS. The fact that Apple's US market share remained flat through XP's tenure and has only increased by perhaps a couple of percentage points despite the disappointment of Vista should tell you that there is no real Corporate appetite for Apple products. This situation is even apparent if you look globally where Apple's market share remains about 2-3%.
Apple's New MacBook: Favorable Price Comparison to Dell
As for OSX, it's a nice personal OS but it's not really suitable for business because it doesn't run the software that large businesses use. Sure, you could run Parallels or use Boot Camp but you're still going to have to pay extra for a copy of XP or Vista and that just isn't economical.
It is better than Vista at the moment, but the differences are minimal as far as the average user is concerned and it's not going to make any difference to the mass market. You're also off on XP - with SP2 (and SP3 coming) it's a very good and stable OS. I actually find the fact that Apple had to release five versions of their OS in the same time a bit alarming.
Don't let your love of Apple distort the facts here.
Apple's New MacBook: Favorable Price Comparison to Dell
What should be compared is the Inspiron 1420. This gets you a 2.4 GHz Penryn, a bigger hard drive (250 GB) and more RAM (3 GB) for $1,049.
Fair comparisons are fun, aren't they?