Market Talk
The market indices are running at all-time highs. Perhaps there are signals that point to being mildly circumspect. For traders, let's look at one signal that can affect our stocks- Blackrock, Inc with CEO Larry Fink.
Here is a benign and gentle description of Blackrock:
Blackrock is the world’s largest asset manager, quietly shaping global finance while profiting in every market direction.
Here is a more real-world description for us small traders and investors:
Blackrock is like a giant hedge fund that can take a huge stock position and manipulate the hell out of it long and short - and leave you high and DRY or a bag holder if not aware. And conversely, if Blackrock is accumulating your favored company stock- traders will not argue! Just be aware Blackrock can be a two-sided coin in the near view.
In a nutshell, here is a way that Blackrock can roll with their positions. They may take a massive position in your stock, perhaps a lower cap stock it can manipulate - driving the shares higher. Then, suddenly reverse position, taking gains like pulling the rug out from under the stock as it seems like it's suddenly crashing (and it often is). Then after it fades, and retail investors confidence is shaken- Blackrock will lend remaining shares out to Brokers for guess what? Yep - lending to SHORT SELLERS. They then make about 12 % interest from that lending shares to brokers to short sell.
So, be aware about Blackrock - if you are on the wrong side of a Blackrock trade - they can feel like a nefarious dark force on your stock position as a small investor. The Jones report here tries to foster awareness. Again, if on the right side and Blackrock research agrees. Oh man - the stock can start flying- until they decide to take a gain, see something coming like challenged earnings or who knows?
So, you may not see buy / sell recs here. But when trading in an IRA, preserving a gain is a key to success. If Blackrock is dumping shares, then lending out their remaining shares to short? Just watch and make a note to sometimes preserve a gain and try to stay ahead or at least keep up with "the Finks" out there. Yikes!
Stock Talk
Yesterday, Blackrock dumped a lot of shares of meme stock OPEN as it was just starting to run to $5. Blackrock also dumped a lot of RKLB. One wonders what they may do with KTOS? We have some real nice gains in both.
hmmm sometimes trimming some shares and taking a well-deserved gain is a win, especially in a trading IRA account.
On the other hand, there is a 13G form filed by Blackrock on July 17 disclosing that they now hold over 5% of Ramaco Resources, METC. So, some digging or due diligence (dd) shows that Blackrock holds about 5.6% of METC shares and less, about 3.5% of the METCB shares and started buying in about the April time frame.
As a side note here - The Jones report does not "brag". One of the hallmarks of smart investing fostered here is to stay humble, never become arrogant. That can lead to a downfall. With the above well noted- If you've been a reader and watching METC since at a single digit? - 'nuff said. So, for now? perhaps METC and METCB are still looking good? - as holds or maybe even start taking a small position for a $ cost average rank on the prospects of increasing met coal for steel made in the US and the Rare earths being developed in their Brook mine in Wyoming and is starting to be called a National treasure of the USA.
Finally - maintain some dry powder and trade or invest according to your own due diligence.
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More later so ....Stay tuned, if you dare !
For now, we close by noting that any view on the market and stocks on any particular day may change in the future days to come. That is why we watch and see how our views match up with the reality of the time. But trying to look ahead a few months into the future may be a way to do things. If you think too deep about world events and the recent alliances forming, projecting ahead can be a dicey endeavor. In all - we use the word maybe "some", not "too much" and play it accordingly. Remember, never get arrogant in our various notions because things do change in the market and individual stocks are subject to many factors outside of our control.. So we try to -stay aware.
With all the above caveats and attempted prognostications, I will close this post. Stay tuned for more opining on the market and stocks to watch.
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