Absolut-ly Bad Trade

 

Last week, the Financial Services Authority (FSA) finished a long investigation, and confirmed what Wall Street insiders already knew: that the large and unexpected jump in the price of oil on June 30th, 2009 was caused by a single trader.

Between the hours of 1:22 and 3:41 am, a highly intoxicated senior broker at PVM Oil Futures purchased 7 million barrels' worth of crude oil futures - equivalent to 69% of the global market for oil.  The trader, Mr. Perkins, unfortunately has no recollection of the event as he subsequently experienced a blackout.

Shortly after waking up at 6:30 am, Perkins did what anyone would do under similar circumstances - he sent a text message to his supervisor, explaining that could not come into work as he had to care for a sick relative.

Unwinding the massive orders lost PVM 9.8 million USD.

As a result of his binge, Perkins was ordered to pay a fine of 72 thousand pounds, and had his license revoked for 5 years.  In truth, not a bad penalty for momentarily changing the world, and for a great story to tell for the rest of your life.

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"Mr. Perkins poses an extreme risk to the market when drunk."

The Financial Services Authority

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US Housing Market strong for Softwood

The US housing market has gone from disaster to doldrums.  Although some areas have bounced back quickly (New York and San Francisco most notably), the overall market appears to be stagnant.  But is it?  To know the real story, take a look at the industry that supplies the hungry US market.

 

Major Canadian softwood manufacturers, whose precarious profitability depends upon accurate forecasting, are predicting US housing starts of 835-900,000 in 2013, up from an estimated 746,000 in 2012.  By comparison, housing starts hit a low of 558,000 in 2008.

 

Already, the composite price of Random Lengths framing lumber (the most common wood used in homebuilding) has risen 27% in 2012, both from increased demand and the expectation of more.

 

The US housing recession is not over.  Yet, with immigration and family development continuing faster than housing starts, a full recovery is only a matter of time.

 

Doubting the US housing recovery is a popular pastime at present - but it is not wise to bet against such obvious statistics.

 

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"The best thing about the future is that it comes one day at a time."

 

Abraham Lincoln

 

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Live Long

 

After one has attained a significant degree of wealth, there is nothing better than the joy of a long and healthy life that allows one to take advantage of it.

 

A new study in the journal Current Biology suggests that there is a secret to extraordinary longevity in men: castration.

 

The study looked at historical data from ancient Korean aristocrats and the eunuchs (castrated servants) that worked in their households, and found that the eunuchs lived, on average, 19 years longer than their fully intact counterparts.

 

Testosterone, while making men strong and sexually potent, appears to also cause heart complications and weakened immune responses in later life.

 

Though the case for longevity through castration is strong, it is expected that few men will rush to take advantage of this new information.

 

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“We’re here for a good time, not a long time.”

 

70s rock band Trooper

 

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