Moon Kil Woong - Comments
Executive Officer at SME
Moon Kil Woong is currently a VP at a SME. Previously he was a tech stock consultant, VP of Research at ING, and sell side Director at Crédit Agricole Indosuez. Moon Kil Woong has a Masters in Public Administration from SJSU. He contributes to both TalkMarkets and Seeking Alpha. You ...more
Latest Comments
Small Caps Suffer Worst Quarter In 3 Years; Bonds Leading Year-To-Date
9 years ago

Thanks for the graphs. The declines in small caps and rise in low traded higher yield bonds have really made headlines with those watching the market. Despite the rather artificial stability of large caps still hoping for a Federal reserve save, the fact remains, no one is believing a structurally strong economy is in the works. Rather the bets are in the opposite direction regardless of the Federal Reserve's decision to unwind their low rate policies.

All the central bank can do now is allow the market to taper down and hit a cyclical decline sooner or later. If they choose later they will have a very weak hand to help the market when it hits the up and coming rut.

In this article: GLD, SLV, VIX
Great Graphic: China's Unit Labor Costs
9 years ago

This is a good statistic and one that less sophisticated economically people don't realize. China's increased competitiveness is springing from the benefits of production just like the US benefitted as England and Europe rotted away on silly notions of holding all the gold rather than focusing on factors of production and its befits like Adam Smith wrote about.

China is increasing its patent library and moving towards capitalism while the US is moving away and destroying its capitalist structure with government intervention and central bank policies right out of the socialist playbook. We better wake up. It is fortunate for America that China still hasn't opened up its currency to the free market because they would be a threat to US dollar dominance and that it still is not open to free information or they would be even more competitive and be a real threat to American e-commerce and media.

Rather than complain about China's deficiencies we should be grateful for them and start minding ours like our socialized housing system under Fannie and Freddie, our socialized TBTF bank model, and our regulatory system structured for big business that pays lobbyists to regulate and get out of regulation. One may argue that this is capitalism because the rich connected win, but it's not. Distortions in the playing field whether its for wealthy or poor are socialistic and bad for the free market and the people saddled with them save for when that are created to prevent wrongs due to monopoly power where the free market can't work properly.

Airline Stock Roundup: Delta Expands Business, JetBlue Attains Record, Air France Faces Strike
9 years ago

This is worrisome given the weak price of oil. If anything this tends to indicate that airline speculation is on falling demand exceeding the benefit from low oil prices. Of course low oil prices are also an indicator of people betting on falling demand. Amazing since apparently, according to the government we should be giddy with excitement about how robust our economy is, lol.

In this article: ALK, DAL, GOL, UAL, AFLYY, HA, JBLU
U.K. Regulators In Talks With 6 Banks For Currency Rigging
9 years ago

Not to diminish the faults of the accused, but US banks are equally engaged in playing with currencies and colluding with the Federal reserve to manipulate rates.

I think they are getting a bit unnerved that they can't stop the US dollar's rise as central banks around the globe engage in the same funny games the US central bank has done to stoke its economy at the cost of the rest of the world's economies.

I suggest to the US not to throw stones at other from a glass house that already has glaring flaws in free market capitalism.

In this article: BCS, C, HSBC, JPM, RBS, UBS
Bank Of America Overstated Its Regulatory Capital In Regulatory Filings
9 years ago

LOL, how many times has B of A lied or falsified financial data. They yawn and laugh at regulatory agencies and at the public who will inevitably be the fall guy when they ruin the company and demand a bailout yet again. Let's hope a 3rd times a charm and next time it goes down its for good.

In this article: BAC
Are Cars About To Crash?
9 years ago

The issue is whether or not the lease rates account for the devaluation in pricing from the car company's standpoint. Given the manufacturing cost is around 60% of the retail price and the lease terms are generous to the lease, I doubt this is a big issue for them.

As for the auto industry rebound, I would tend to agree with the author that rampant growth in car spending is an illusion and that we are seeing the results of seasonality more than consumer willingness to engage in more auto loan debt.

In this article: F, GM
BioLife Elevates Guidance With 130 Embedded Clinical Trials
9 years ago

Yes you are right that this sector is doing quite poorly and may make a comeback. As for insiders, it is good to see at least one insider buy at these low prices, however, clearly the confidence isn't there to muscle up the price by major shareholders one would wish for.

Anyways, as mentioned, this companies is worth watching in the future if it manages its cash to survive the doldrums.

In this article: BLFS
Stocks Tumble; High-Yield Credit Risk Spikes To 1-Year Highs
9 years ago

Just think what it would be doing if the Fed actually raised rates. No matter how the federal Reserve wants to sugar coat things, they are encouraging riskier and riskier lending with low rates and can't defend against all the fallout. Likewise, cracks are beginning to show in their game of presenting an artificially low rate environment. The low rates only apply to their friends and large Wall Street companies (since they are supporting a runaway stock market).

For all others your rates are rising.

Consumer Reports Addresses The Famous IPhone 6 Plus Bend Gate. Can We Move On Now?
9 years ago

70-90 pounds of force is not a lot of pressure although it is apparently still acceptable. I don't suggest putting it in your pocket and sitting. This doesn't exonerate Apple, it just gives a precise figure for the bending to happen.

Once again, rather than being the leader in the market, they are proving to be the followers. Given this is their first large phone, I suggest waiting for their next and expecting them to at least come close to matching Samsung's specs.

Circular Reasoning About Commodities
9 years ago

Commodities always fare poorly in economic declines. Likewise, with the exception of precious metals demand falls with them. With oversupply in oil, steel, copper, and most everything else thanks to easy money commodities are liable to fall harder as a downturn becomes apparent.

It already seems apparent that people realize the easy money policies of the US can't become easier without undermining the already shaky monetary infrastructure being undermined with government overspending, a decreasing foreign willingness for long term US Treasuries, QE, falsified low interest US Treasuries, and a central bank that is engaged in lying to itself and the public about its inability to do its primary job which is sell US debt not make fake money and buy it due to its failure to sell it.

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