Good News From Europe (after 3 years?), Zynga vs Groupon, James Altucher's Secrets of Entrepreneurship, and Buying Low and Selling High!

So after almost three years, the market finally got some news from Europe that it liked. What was it? First, Spain held a bond auction which was well bought and their interest rate is far lower than what anyone previously thought. Next, the German economy showed stronger growth than anyone in the investment community imagined. As a result, risk was now back on and the market turned positive for the year. The best performing stock in the Dow Jones Industrial Average for 2011 has been McDonalds, which makes my skin crawl. McDonald's has all kinds of products, many of them tailored to the low cost consumer. They always seem to copy everything else which might be working somewhere else. The stock is up 30% for the year and has been hitting all time highs daily. I remember when the stock was sitting at 12 bucks a share about 10 years ago and thinking Ronald McDonald for 12 bucks. Did I buy it? No. Bad mistake by me as you would also own Chipolte as well. When things get cheap, look really hard as you can bet the only thing constant is change. Politically, we are getting to primary season as Iowa, New Hampshire, South Carolina, and Florida will be on us very soon. Ron Paul may win Iowa, but he will not win the Republican nomination. In watching Mitt Romney speak, he appears very confident, and does not even acknowledge the other Republican candidates. His focus is on Obama, which makes me think he knows he is going to be the nominee. I hope so, and then its on like Donkey Kong. Interesting article on the performance of Zynga vs Groupon in the public markets and how it is related to the float: http://dealbook.nytimes.com/2011/12/23/groupons-real-deals-trump-zyngas-virtual-sheep/?ref=business Always enjoy articles by James Altucher, this one on his secrets of entrepreneurship: http://techcrunch.com/2011/12/24/secrets-of-the-accidental-entrepreneur/ Trying to buy low and sell high and having a rough time? Here are some tips: http://www.businessinsider.com/the-psychology-of-buying-high-and-selling-low-2011-12 I hope everyone has a great holiday season and gets health and happiness for yours and your family. If you have any comments on the blog or posts, please share them!!!! As always, on any company mentioned here, past performance is not a guarantee of future returns. Investing involves risk of losses on invested capital. One should research any investment and make sure it is suitable with your objectives, risk tolerance, risk profile liquidity considerations, tax situation, and anything else pertinent to your financial situation. Also, the CFA credential in no way implies investment returns will be superior for any charterholder.