Baltimore — (TFN): How efficient are the markets? It is like asking how smart is the human race We all know the answer, but few of us are willing to suck in our pride and admit there are a few dim bulbs among us.

Judging by the sudden rise in fame of Levi Johnson or Balloon Boy’s antics, the human brain is far feebler than we give credit.

And so are the markets.

If you have taken a basic finance class anytime between 1965 and the present, you have likely studied Eugene Fama and his efficient market hypothesis.

Essentially, the University of Chicago professor created a cult-like following of investors and academicians that believe markets entirely reflect all known information and instantly react to new information.

For example:

When I told my ever-optimistic, ever-“hopeful” colleague, Laura Cadden, the news the majority of Obama’s infrastructure stimulus would finally be doled out sometime early next year

...

Over the last several years, politicians have been grappling with the need for sustainable energy. As this discussion has become rather commonplace, investors have become immune to the discussion. Ignoring the possibilities may be an error as there are many ways to profit in the energy sector. As an average investor, oil is often the thought where energy is concerned. There are, however, many forms of energy that may offer profit potential.

The “buzz words” should first be thrown out the door. As past posts have noted, we are still a fossil fuel economy which, regardless of what may be said, is not going to change any time soon. Environmentalists may say what they want but, as an investor, money is made where the money is spent.

Buy low, sell high. This may seem trite but it works. In this regard one may want to consider natural gas. It has been

...

At yesterday's meeting between Dmitry Medvedev and Hugo Chavez, Venezuela's PdVSA state oil firm and a consortium of major Russian producers signed a memorandum of understanding on cooperation in Orinoco and on joint development of the Junin-6 field.  PdVSA also made a deal with Transneft to build infrastructure in the Orinoco belt and another deal with Rosneft.  OPEC is apparently 'not encouraged' by Russia's lack of output cuts.  'We never had any obligations (to OPEC). When we were communicating, we never promised anything', an unfussed Sergei Shmatko has responded.  Ukrainian Prime Minister Yulia Timoshenko is hoping to hold the government to $770 million of loans in 2010 to improve coal mines, as an alternative energy source to natural gas.  If Norway's labor majority coalition lose next week's elections, it could be good news for oil majors as the ...

LDK, LDK Solar Co.Ltd.

NWMT, NewMarket Technology, Inc., NWMT.PK

CVAT, Cavitation Technologies Inc, CVAT.OB

DrStockPick Watch List!

 

DrStockPick Watch List! for Wednesday August 26, 2009

 

My Picks for Wednesday August 26, 2009 are:

**************************************************************

LDK, LDK Solar Co.Ltd.

As the worldwide demand for electricity increases and the historical reliance on fossil fuels is being challenged by increasing environmental awareness, the focus has turned to renewable energy sources. As a reliable and versatile form of renewable energy, solar photovoltaic (PV) systems are expected to become a dominant energy source.

LDK is a pure-play manufacturer dedicated solely to the design, development, manufacturing and distribution of multicrystalline solar wafers. Wafers are

...

A Partly Sunny Outlook for the Solar Industry

Tony Daltorio, The Investment U Research Team

The forecast for the solar power industry is rather cloudy.

On the one hand, we have governments globally trying to give the industry the impetus it needs, through subsidies and incentives, to fulfill its potential and become a mainstream energy source.

On the other hand, the fundamentals for the industry are currently far from sunny.

But just because there’s cloud cover, doesn’t mean that solar panels don’t make energy. And even though the markets conditions have changed, doesn’t mean we can’t make money here. Let’s take a closer look at the solar sector to see where the best opportunities are for investors.

The Global Solar Industry

Only last year, it was bright sunny skies for the solar industry. Demand for photovoltaic panels had been growing at 45 percent annually from 2000

...

For most of us, we wake up, we get in our cars and we go to work. Those who don’t work are just as busy, if not busier. The hustle and bustle of parenting includes carting our children around from place to place. That takes a tremendous amount of human energy. Did one ever stop to think how much energy our vehicles create while we are doing all this? Yes, you read that correctly. Our vehicles create energy, kinetic energy to be exact.

Now one vehicle does not produce a tremendous amount of energy. If that were the case, it’s safe to say that things would be a lot different than what they are now. Multiply that single car though by a couple hundred thousand, and it becomes a major possibility. The energy has to be harnessed and sustained in order to use it somewhere else though.

To harness energy like

...

Neah Power Systems, Inc. is developing long lasting, efficient, and safe power solutions for portable electronic devices. These devices include notebook PCs, military radios, and other computer, entertainment, and communications products. Founded in 1999 by Leroy Ohlsen and Michael Fabian, Neah Power has grown to include a world-class engineering and scientific team from around the world. Prototype development continues and the company expects to make their energy products commercially available this year.

Neah Power Systems uses a patented, silicon-based design for their micro fuel cells. This enables higher power densities to enable lighter-weight, smaller form factors and lower costs. The Company’s micro fuel cell system can run in aerobic and anaerobic modes. This silicon-based architecture lets the Company use a componentized design so that they can tailor a fuel cell to meet each customer’s needs, varying the components to achieve required power, size, and operating duration.

On April 21, 2009,

...

Our near-term (6-18 months) outlook for the coal industry has improved somewhat from our previous neutral sentiment to a more positive undertone. Based off of various recent economic indicators, the U.S. economy appears to be stabilizing. Although the rest of 2009 is likely to continue on a path of weak steel and electricity demand relative to 2008 levels, several factors should help lift the coal producers in 2010.

Reductions in capex spending from both coal and natural gas producers, the weakening of the U.S. dollar and most importantly, increased steel and electricity consumption in '10 should all be positive catalysts for the coal industry next year.

As stated in earlier outlook summaries, benchmark metallurgical prices for fiscal 2009 have been set around $120/mt -- off markedly from the $300/mt level seen in 2008 but still above historical met price levels. This means that in 2010, producers will still realize triple digit average

...

Our near-term (6-18 months) outlook for the coal industry has improved somewhat from our previous neutral sentiment to a more positive undertone. Based off of various recent economic indicators, the U.S. economy appears to be stabilizing. Although the rest of 2009 is likely to continue on a path of weak steel and electricity demand relative to 2008 levels, several factors should help lift the coal producers in 2010.

Reductions in capex spending from both coal and natural gas producers, the weakening of the U.S. dollar and most importantly, increased steel and electricity consumption in '10 should all be positive catalysts for the coal industry next year.

As stated in earlier outlook summaries, benchmark metallurgical prices for fiscal 2009 have been set around $120/mt -- off markedly from the $300/mt level seen in 2008 but still above historical met price levels. This means that in 2010, producers will still realize triple digit average

...

Our near-term (6-18 months) outlook for the coal industry has improved somewhat from our previous neutral sentiment to a more positive undertone. Based off of various recent economic indicators, the U.S. economy appears to be stabilizing. Although the rest of 2009 is likely to continue on a path of weak steel and electricity demand relative to 2008 levels, several factors should help lift the coal producers in 2010.Reductions in capex spending from both coal and natural gas producers, the weakening of the U.S. dollar and most importantly, increased steel and electricity consumption in '10 should all be positive catalysts for the coal industry next year.As stated in earlier outlook summaries, benchmark metallurgical prices for fiscal 2009 have been set around $120/mt -- off markedly from the $300/mt level seen in 2008 but still above historical met price levels. This means that in 2010, producers will ...