Month: February 2012

In Forbes magazine’s rankings of the 50 most valuable sports clubs in the world, a majority are NFL clubs. But how can a sport with limited worldwide appeal outperform clubs that play the other kind of football (soccer), which marketing experts say has at least 10 times as many fans worldwide?

One answer lies in the very business model of NFL clubs, which requires all clubs to share revenue and accept competitive regulation.  It is a profitable form of socialism, and one that European football clubs may be heading towards.  Beginning with the 2012 season, UEFA will implement the Financial Fair Play Rules in hopes of balancing both team budgets and league competition.

Kurt Badenhausen of Forbes, Mike Davis and Richard Alm of SMU and Brett Daniels of the Dallas Cowboys talk about why this form of “socialism” is so profitable and whether it could ever work in the context of European football.

Producer/host:
Brian Woodward

Additional reporting:
Lasse Engelbrecht Jensen
Carina Møller Jensen

Legal information

Video courtesy of en.jyskebank.tv

With Facebook’s IPO, their S1 filing revealed a lot of interesting,never before known information that has been now been made public. Andthat includes the nitty gritty of just how much Facebook’s topexecutives were paid In 2011. Its no surprise, CEO and cofounder MarkZuckerberg sat at the top of the salary pyramid in 2011. But you maybe surprised, its a lot more than what he’s going to get in 2012.This year, Zuckerberg’s annual salary will decrease to $1.That would be $483,332 dollars LESS than what he made last year, notto mention his $220,500 bonus.And last year he also received an additional $783,529 for personalcosts includingthe use of chartered aircrafts for friends and family, which isconsidered part of his security plan.But don’t feel too bad for the CEO with a $1 salary – after all, heowns 28.4% of Facebook which equates to roughly $25 billion dollars.

Estee Lauder (EL) announced that quarterly profit increased to $396.7 million, or $1.00 per share, up from $343.9 million, or 86 cents per share, in the same period last year. Sales increased by ten percent to $2.74 billion.

Piper Jaffray (NYSE:PJC) continues to believe Apple (NASDAQ:AAPL) is arranging to launch a television after speaking to a major TV component supplier who was contacted by Apple regarding various capabilities of their television display components.The firm said it is confident that Apple will enter the connected TV market, but notes the timing remains uncertain. The firm thinks a television launch target is likely in late 2012 and keeps an Overweight rating on Apple shares.Apple (NASDAQ:AAPL) has potential upside of 24.9% based on a current price of $458.41 and an average consensus analyst price target of $572.5.

Source: ForexYard

The USD posted gains across the board on Friday, following the release of a better than expected US Non-Farm Payrolls figure. The US added 243K jobs in January, a significantly better number than the forecasted 150K. The positive jobs report resulted in the US Unemployment Rate dropping 0.2% to 8.3%, its lowest level in three years.

Following the release of the employment figure, the dollar rallied against virtually all of its currency rivals, including the euro and Japanese yen. The EUR/USD dropped as low as 1.3065, before staging an upward correction. The USD/JPY shot up over 50 pips, reaching as high as 76.72. The bullish dollar temporarily eased fears that the Bank of Japan (BOJ) would soon intervene to limit yen growth.

Whether or not the dollar is able to maintain its bullish momentum next week, is largely dependant on euro-zone news. Specifically, investors will be closely watching Greece to see if that country can successfully come to a debt swap agreement with its investors. Additionally, rumors that Portugal could be on its way to defaulting on its debt have weighed down on the common currency. Should any positive euro-zone announcements be released next week, investors may shift their assets toward riskier currencies and give the euro a boost.

Forex Market Analysis provided by ForexYard.

© 2006 by FxYard Ltd

Disclaimer: Trading Foreign Exchange carries a high level of risk and may not be suitable for all investors. There is a possibility that you could sustain a loss of all of your investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with Foreign Exchange trading.

Rarely have Americans faced a more challenging investment landscape.

Bonds yield next to nothing. Money markets pay literally nothing. Residential real estate is swamped in a flood of short sales and foreclosures. Gold – after climbing six-fold over the last 12 years – may have topped out. And stocks are gyrating madly.

Given all this, where does the prudent investor put his money to work?

That’s what I asked Rick Pfeifer, an Oxford Club Pillar One Advisor and Senior Portfolio Manager with Fund Advisors of America, a Maitland, Florida-based money management firm, in a recent interview:

Q: Rick, the typical investor is disgusted with the yields on bonds and cash and scared to death of the stock market. What are you saying to clients?

A: I’m telling them that now is an excellent time to take a portion of their portfolio and diversify into alternative assets: convertible bonds, preferred shares, foreign currencies, hedge positions, ultra-cheap commodities and so on.

Q: Okay, let’s take these one at a time. What are you buying now and why?

A: We recently launched a managed account for individual investors that we call The Global Hedge Portfolio. The idea is not to replace your traditional stock and bond portfolio, but to offer a complement to it. We’re seeking profits in investments that don’t move in lockstep with either the S&P 500 or Lehman’s Treasury Index.

Q: Give me a couple of “for-instances.”

A: Take the situation in the Eurozone, for example. We see European leaders and the European Central bank doing a whole lot of talking, but we don’t see genuine, concrete steps toward solving the huge fiscal problems in Southern Europe. Some might even argue that the reason they haven’t yet taken serious corrective steps is because their options are so limited. Italy, for example, is simply too big an economy to bail out, in my view. My co-strategist Greg Galloway and I forecast that the euro will fall to parity with the dollar within 12 months. So we are short the euro in our Global Hedge Portfolio.

Q: Can’t fault your thinking there. I’ve been saying much the same thing for months now. What else are you doing?

A: We’re investing in overlooked asset classes with plenty of upside potential. Take timber, for example. Over the long run, investments in timber have beaten stocks by about 4% annually – and with considerably less volatility. Plus, timber is uncorrelated to stocks, making it an excellent way to balance your portfolio. One timber trust we own is seeing revenue grow 23% annually. Operating margins top 24%. And we’re getting a 3.5% dividend yield, too.

Q: What else are you buying?

A: We’re finding bargains in certain international markets, particularly Asia and Latin America. Because domestic demand there is growing, these areas are largely immune to problems here at home and in the Eurozone. For example, we’re buying an Asian auto manufacturer that’s selling for just half of annual sales. It’s trading at a substantial discount to book and should easily triple its earnings this year. We’re also picking up undervalued oil assets in Brazil, high-yielding energy trusts in Canada, a high-quality wine maker in Chile and the world’s leading food company, denominated in Swiss francs.

Q: How about metals?

A: We’re not buying commodities directly. Instead, we’re buying metal producers that appear undervalued and have big dividends attached.

Q: What about gold?

A: I don’t know what gold is going to do and I don’t think anyone else knows, either. But some gold producers are selling at mouth-watering prices right now, even if gold goes nowhere. One of our favorites yields 10% right now. If gold takes off, great. But if it moves sideways for a while, a 10% yield makes it a comfortable wait.

Q: What if gold moves south?

A: We run trailing stops on our investment positions. That gives us unlimited upside potential with strictly limited downside risk.

Q: Anything else you really like?

A: Quite a few things, really. I’ll mention one. Residential real estate is a mess, not only in the United States but in many overseas markets, as well. But we’re finding real bargains in commercial real estate in select overseas markets. Of course, we’re not buying the buildings themselves. Our investments are totally liquid. And, in addition to potential share price appreciation here, some of the assets are currently yielding more than 7%.

Q: Good to know, Rick. And an excellent reminder that for investors who are willing to invest worldwide, there are always opportunities available somewhere. Thanks for sharing your thoughts with us today, Rick.

A: Any time. It’s my pleasure.

Good Investing,

Alexander Green

Article by Investment U

An hour a day is all you need to successfully trade –

With the advances in technology and easily accessible information, the forex market has seen a surge in the number of participants in recent times. A laptop or desktop PC with an internet connection is all that’s required to trade the markets. More and more brokers are offering traders the option to trade on Smartphone’s or Tablets meaning trading can take place almost anywhere with relative ease.

Contrary to popular belief, trading need not be a time consuming activity. An hour or two a day is all that’s required to successfully trade the FX market. Many trades make the elementary mistake of over analyzing and over complicating their approach to the markets.

 Its true the Forex market is a constantly changing environment, however, attempting to react to every change the market makes is unwise and near impossible. Reacting to price changes and patterns on higher timeframes has proven to be a lot more time efficient and can produce better results in the long run. With the market being open 24hours a day 5 days a week many trades fall into the trap of thinking they need to be trading and analyzing the markets all the time.

The market has 3 main trading sessions: Asian, European and U.S. Obviously with traders being located all over the world, trading all three sessions can prove to be a difficult task for an individual trader. Each session varies in volatility and activity. The Asian sessions tends to be quieter with the main action usually occurring in the European and U.S. sessions.

The best and most reliable market analysis should be taken from a higher timeframe (Daily/Weekly). With each trading day starting at the open of the Asian session and finishing at the close of the U.S. session, traders can set a specific time of day to analyze the markets meaning they do not need to sit in front of their screens all day waiting for something to happen.

Analysis of the daily charts is best done at the end of the U.S. session at the open of the new trading day in Asia. A trader can analyze yesterday’s market action using the daily chart and determine what trades, if any they plan to take today.

How to analyze the markets using a daily chart –

View the markets once a day at the end of the U.S. session and open of the new trading day in Asia.

Analyze each pair you actively trade separately preventing you from letting another pair influence your analysis.

Identify specific support and resistance areas and note any new swing highs or lows the market made during yesterdays trading.

Evaluate yesterday’s price action. Make a note of yesterdays daily chart pattern. For example, did yesterday’s price close the day with a pin bar, Hikkake etc…? Or did it simply do nothing?

Decide what, if any, trades are going to be taken today.

If your analysis suggests you will take a trade, place the trade after determining your entry, stop and target, not forgetting your money management and Risk: Reward ratios.

Leave the market alone. Step away from your screen as your market analysis has now finished.

Come back at a later time in the day or at the end of the day to check on your trade and decide how you wish to manage the trade from here.

Do the same again the next day remembering not to spend to long over analyzing and over complicating.

As you can see, daily market analysis need not be a time consuming activity and should only take one or two hours a day. It’s wise to keep a note pad or diary with you while analyzing the markets remembering to jot down specific details your analysis suggests. Keeping a diary or note pad of this sort is not only a good habit to keep, but will give you a better understanding of the movements the markets makes each day providing easier and enhanced analysis as time progresses.

Once a trader becomes proficient in trading higher timeframes such as the daily charts mentioned above, they can move to a lower TF such as the 4hr chart. The same analysis can be taken on the 4hr chart as the daily, however this time the trader should analyze the markets at each close of a 4hour candle.

Proper market analysis is crucial to the success and longevity of a trader’s career. Market analysis should not take more than an hour or two a day and should be kept as simple as possible. It’s wise to remember when trading to, K.I.S.S. (keep it simple stupid….!) Once a trader has become proficient in proper market analysis trading becomes second nature, resulting in better performance and profitability.

Article by Vantage-fx.com

London Gold Market Report
from Ben Traynor
BullionVault
Friday 3 February 2012, 09:30 EST

SPOT MARKET gold prices slipped back below $1750 an ounce while stock markets rallied strongly following the release of better-than-expected US jobs figures on Friday.

The Bureau of Labor Statistics nonfarm payrolls report, published on Friday, shows that the US added a net 243,000 nonagricultural private sector jobs last month. In addition, both November and December’s nonfarm figures were revised upwards. The unemployment rate fell to 8.3%, down from 8.5% the previous month.

Silver prices also fell following the nonfarm announcement, while the US Dollar saw an immediate gain against major currencies such as the Pound, Euro and Yen.

Earlier on Friday Dollar gold prices hit their highest level in 11 weeks at $1762 per ounce, a level not seen since mid-November, following US Federal Reserve chairman Ben Bernanke’s appearance before Congress on Thursday.

“We are not seeking higher inflation,” Bernanke told the House Budget Committee, in response to comments from Republican representative Paul Ryan, who said he was “greatly concerned to hear the Fed recently announce that it would be willing to accept higher-than-desired inflation in order to focus on the [employment] side of its dual mandate.”

“We do not want higher inflation and we’re not tolerating higher inflation,” responded Bernanke, although elsewhere in his testimony he warned that “risks remain that developments in Europe or elsewhere may unfold unfavorably and could worsen economic prospects here at home.”

Fed policymakers revealed last week that a majority of them expects interest rates to remain near zero for at least the next three years. Bernanke added yesterday that the speed and aggressiveness of any future rate rises “may depend to some extent on the balance” between maintaining employment and pursuing price stability.

“These comments lent support to gold,” reckons James Steel, chief commodities analyst at HSBC in New York, noting that the Fed could opt for additional quantitative easing if progress towards full employment was inadequate.

US inflation as measured by the consumer prices index fell to 3.0% in December, down from 3.4% the previous month, but up from 1.1% 12 months earlier.

“As every day goes by, I see deflation in the things you own and inflation in the things you need,” said hedge-fund partner Kyle Bass at a meeting of the University of Texas’s $25.7 billion Investment Management Co. (Utimco) in Austin, Texas on Thursday.

“I’m against selling any of the gold,” Bass said, referring to the $1.2bn which Utimco now owns in physical gold bars after switching out of futures contracts then worth $992m in April 2011.

Over in Europe, Greece’s finance minister Evangelos Venizelos said Thursday that the European Central Bank would need to take losses on its Greek government debt holdings if Greece is to achieve the goal of reducing its debt-to-GDP ratio to 120% by 2020.

Greece is yet to agree a deal with its private creditors over the size of losses they will take. The lack of a deal throws into doubt Greece’s €130 billion second bailout, without which it will be unable to pay out on maturing bonds next month.

“Greece needs a new program, there’s no question about that, but Greece must create the conditions for it,” German finance minister Wolfgang Schaeuble said Thursday.

“We can’t pay into a bottomless pit.”

“Precious metals are enjoying some support from safe-haven demand as issues in the Eurozone once again weigh on investors’ minds,” says Marc Ground, commodities strategist at Standard Bank, who sees resistance for gold prices at $1768 per ounce.

Gold jewelers in India meantime the government to raise the duty drawback – the amount of duty exporters can claim back from the Department of Revenue – applicable to the gems and jewelry sector. The request from the Federation of Indian Exports Organisations follows the government’s decision last month to increase duty on gold bullion imports and switch to an ad valorem tax, which takes the form of a percentage of value rather than a discrete amount by weight.

Heading into the weekend, Dollar gold prices looked set to record their fifth straight weekly gain.
The gold price in Euros meantime was up 1.8% for the week by Friday lunchtime, and closing in on the four-month high touched earlier on Friday at €43,098 per kilo (€1340 an ounce).

Like those for gold, Dollar silver prices also hit their highest levels since November Friday morning, at $34.44 per ounce.

Based on London Fix prices, gold is up nearly 15% since the end of 2011, while silver is up by more than 19%. Despite silver’s rise, however, the world’s largest silver ETF, the iShares Silver Trust (ticker: SLV) has seen its holdings of bullion rise just 0.2% since the start of 2012.

By contrast, the amount of gold held to back shares in the SPDR Gold Trust (ticker: GLD), the world’s largest gold ETF has grown 1.8% over the same period, rising to its highest level since December 20 yesterday at 1277 tonnes.

Ben Traynor
BullionVault

Gold value calculator   |   Buy gold online at live prices

Editor of Gold News, the analysis and investment research site from world-leading gold ownership service BullionVault, Ben Traynor was formerly editor of the Fleet Street Letter, the UK’s longest-running investment letter. A Cambridge economics graduate, he is a professional writer and editor with a specialist interest in monetary economics.

(c) BullionVault 2011

Please Note: This article is to inform your thinking, not lead it. Only you can decide the best place for your money, and any decision you make will put your money at risk. Information or data included here may have already been overtaken by events – and must be verified elsewhere – should you choose to act on it.

Video courtesy of ForexCT – A leading Australian forex broker, liscensed by the Australian Securities & Investments Commission, offers the MetaTrader4 and PROfit Platform to retail traders. Other services include Segregated Accounts, Trading workshops, Tutorials, and Commodities trading.

Source: ForexYard

Today’s US Non-Farm Payrolls figure, widely considered the most significant economic indicator on the forex calendar, is set to generate heavy trading today. At the moment, analysts are predicting that the US added somewhere around 150K jobs in January. Should the final result come in below expectations the USD may come under renewed pressure to close out the week.

Economic News

USD – Negative Euro-Zone News Gives USD Temporary Boost

Fresh concerns regarding Greece’s debt negotiations sent investors to safe-haven assets during the beginning of yesterday’s trading session. The news resulted in the US dollar recouping some of its recent losses against the euro. The EUR/USD dropped to the 1.3085 level before staging a correction during the evening session. The greenback was not as fortunate against other riskier currencies. The AUD/USD range traded for much of the day, maintaining its recent bullish trend around the 1.0725 level.

Turning to today, traders can expect significant volatility in the marketplace as the US Non-Farm Employment Change figure is set to be released. Wednesday’s ADP Non-Farm figure, which is widely considered an accurate predictor of today’s news, came in below expectations and resulted in some bearish movement for the US dollar.

At the moment, analysts are predicting that the US added 150K jobs in January. Should the final figure come in significantly below that number, the greenback may extend its losses. At the same time, traders will want to note that the employment statistic is notoriously difficult to predict. A better than expected figure is entirely possible, and could result in dollar gains ahead of markets closing for the weekend.

EUR – EUR Turns Bearish Following Greek Debt Uncertainties

The euro saw bearish movement during the European session yesterday, amid fresh worries that Greece’s negotiations with its creditors may prove to me more difficult than originally thought. Additionally, worries regarding Portugal’s sovereign debt added to investor pessimism regarding the euro-zone economic recovery. As a result, the EUR/USD dropped as low as 1.3085 before staging an upward correction toward the evening session. Similarly, the EUR/JPY tumbled almost 100 pips, reaching as low 99.59 before staging a reversal.

Turning to today, the US Non-Farm Payrolls Figure is likely to dictate the direction markets take and traders can expect extreme volatility when the indicator is released at 13:30 GMT. At the moment analysts are predicting that the US added around 150K jobs in January. A worse than predicted result is likely to weigh down on the dollar and could give the euro a significant boost to close out the week. At the same time, should the employment number come in above expectations, the common currency may extend its downward movement.

JPY – JPY Maintains Upward Trend against USD

The USD/JPY stayed largely bearish throughout yesterday’s trading session, as concerns continue to grow that the Bank of Japan (BOJ) may soon intervene to limit the yen’s strength. Japan’s export based economy is negatively impacted when the yen displays bullish strength. The USD/JPY was largely range trading yesterday between 76.03 and 76.20. Analysts are warning that should the pair drop to around the 75.50 level, the BOJ may make a move.

Whether or not the pair could drop that low today, will largely be dependent on the US Non-Farm Payrolls figure, set to be released at 13:30 GMT. Traders will want to note that should the figure come in below expectations, the yen is likely to extend its bullish trend on the dollar. Whether or not that will lead to the BOJ intervening in the market place is not yet known, but traders will want to pay careful attention to the news to find out.

Crude Oil – Crude Oil Tumbles amid Increase in Risk Aversion

Crude oil continued to fall throughout the day yesterday, as fresh euro-zone debt concerns drove investors away from riskier assets. The commodity fell as low as $96.24 a barrel during the European session before staging a slight upward correction. Fresh concerns regarding both Greek and Portuguese debt contributed to the bearish direction oil took. Crude often falls when there is a bearish outlook for riskier currencies, largely because the commodity becomes less attractive to international investors.

Whether or not crude will maintain this trend today will largely be dependent on the results of the US Non-Farm Payrolls figure, set to be released at 13:30 GMT. A worse than expected US jobs figure may weigh down on the dollar ahead of markets closing for the week. In such a case, the euro may see a boost which would likely result in a bullish reversal for oil.

Technical News

EUR/USD

After steadily increasing in recent days, technical indicators are now showing that this pair may see a downward correction in the near future. The daily chart’s Williams Percent Range is currently at the -10 level, while the Relative Strength Index has drifted above 70. Going short may be the preferred strategy today.

GBP/USD

Technical indicators are showing that this pair is in overbought territory and could see a bearish correction shortly. A bearish cross has formed on the daily chart’s Stochastic Slow, while the Relative Strength Index on the same chart is well into the overbought zone. Going short could prove to be the wise choice.

USD/JPY

While a bullish cross has formed on the daily chart’s Stochastic Slow, indicating impending upward movement, the Relative Strength Index on the same chart is in neutral territory. Traders may want to take a wait and see approach for this pair, as a clearer trend may present itself later on.

USD/CHF

Technical indicators on the daily chart show this pair trading in oversold territory, which is typically a sign of impending upward movement. The Williams Percent Range has drifted below the -90 level, while the Relative Strength Index is at 20. Opening long positions may be the wise choice.

The Wild Card

AUD/NZD

Most technical indicators show this pair trading in the oversold zone, typically a sign that upward movement could occur in the near future. A bullish cross has formed on the daily chart’s Stochastic Slow, while the Relative Strength Index on the same chart is hovering around the 30 level. forex Forex traders may want to go long in their positions today, ahead of a possible upward breach.

Forex Market Analysis provided by ForexYard.

© 2006 by FxYard Ltd

Disclaimer: Trading Foreign Exchange carries a high level of risk and may not be suitable for all investors. There is a possibility that you could sustain a loss of all of your investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with Foreign Exchange trading.