I get that houses are only selling at a 17% discount over last May, instead -17.9% (see Case-Shiller)... that makes them down a staggering 30% (instead of 30.9%) over May 2007!
I understand that GDP decreased by 1% instead of 1.5%... oh, but the REAL Q1 number was -6.4% NOT 5.5%, meaning the 1H of 2009 was WORSE THAN EXPECTED, but nobody mentions that!
AND, Great Job Obama with the "Cash For Clunkers", the Ghetto-Version of the 2 year Interest Only Adjustable Rate Mortgage, which means guys like me are saying to themselves "hmmmm, I have a clunker AND a job making less money... so instead of selling my clunker to the kid next door or driving it until I can AFFORD a new one, I'll take some tax-payer cash and add it to the junk pile (the US Economy, that is) for a NEW Clunker... A Clunker-To-Be, so to speak... creating an auto industry bubble just like the one we have/had in real estate!"
ALL GREAT STUFF... AND I LOVE THE US OF A... BUT something's out of order when every single rail stock catapults 25-42% in two weeks, especially on the heels of the already accelerated share recovery from March to Jun since S&P 666! Leaves you guessing... am I in for a 10, 20, or 30% haircut cause I know it's coming!
The stock market reflects our current culture... easy come - easy go, get yours before the other guy, Greed Greed Greed, I NEED it NOW, etc.
Ivana...maybe that's a good thing. Things are going well with CP and not much to talk about. Thank GOD the political nuts are staying away, they are a real plague on some of the other financial message boards.
It's simple. You hold a great company and buy on weakness until something fundamentally changes in the company making it unattractive for the long term. If you would have bought CP before the splitup (Fairmont, Fording CC, CP Rail, CP Ships, Encana) you would be enjoying a better than 10 bagger now. Don't sell a good company short because of temporary economic doldrums.
Get rid of the bad ones fast and don't look back.
I checked stock charts comparing CP and CN (been following CN but not closely). CP appears to underperform CN long-term but I was only aware of some of the CP divestments you mentioned. So is CP a pure-play railway now like CN? Any reason to think CP will outperform CN (and other railway businesses) in the next upturn? Thanks for any insights/comments.