Spamdex - Spam Archive

Report spam

Send in your spam and get the offenders listed

Create a rule in outlook or simply forward the spam you receive to

Also in

Market-Moving News ... And It's Not About Greece

Having trouble viewing this email? View it online.
Tuesday, June 23, 2015
Money and Markets
Market-Moving News:
And It's Not About Greece …
by Jon Markman

Dear ,

Jon Markman

In a reminder that the world doesn't revolve around Federal Reserve dot plots or the machination of Greek bailout negotiations in Brussels, there has been a surge of merger news as companies quietly go on doing the good work of capitalism: Expanding, buying, selling, and trying everything possible to boost profits and maximize shareholder wealth.

Homebuilders Standard Pacific (SPF) and Ryland (RYL) last week agreed to a $5.2 billion marriage to create the country's fourth-largest company in its industry. RYL builds homes targeted to entry-level buyers as well as first- and second-time move-up buyers. SPF is more focused on move-up buyers in metropolitan areas in California, Florida, the Carolinas, Texas, Arizona and Colorado. Geographic and product diversification were given as the justification for the tie up.

This is a sign of confidence in the health of the housing market, something that was corroborated by an increase in homebuilder sentiment to the best level since September.

Multiply Your Wealth in 2015!

I'm so concerned about the massive new threats to your income, savings, investments and retirement detailed in this report ... And I'm so confident that simply by taking the right steps now, you can USE these fast-breaking events to multiply your money ... I am ready, willing and able to give you everything you need to help protect and multiply your wealth in 2015 — absolutely FREE:

Click here to view now! -Larry

Internal Sponsorship

Next up, Dealertrack (TRAK) agreed to be acquired by Cox Automotive for $4 billion. TRAK is a leading provider of software and services for car dealerships while Cox operates Kelley Blue Book and Autotrader among its businesses. With auto sales running at the best pace in 10 years, this is also a sign of confidence in the industry.

In the retail space, Target (TGT) sold its pharmacy and clinics business — with more than 1,660 pharmacies and 80 clinics — to CVS Health (CVS) for $1.9 billion. The deal benefits both as CVS is suddenly free of the specter of developing a large number of new pharmacies while the cash will be immediately accretive to TGT's bottom line.

Merger activity is also red-hot in the managed care arena with Cigna (CI) reportedly turning down a $175 a share offer from Anthem (ANTM). UnitedHealth (UNH) reportedly has an interest in both Cigna and Aetna (AET). And both Anthem and Aetna are reportedly considering bid offers for Humana (HUM).

Click image for larger view

All this goes to show that even if investors are frightened by the prospect of the start of higher interest rates or a Greek debt default, corporate cash balances will remain a strong supporter of stock market valuations for the foreseeable future. CFOs are in a shopping mood, both in buybacks of their own stocks, and now their rivals' stocks.

You can see this in the chart above from FactSet research showing the swelling average price-to-earnings multiple of M&A deals. At present the health care and tech industries are the main beneficiaries, but in the future I would expect to see much more in other areas, such as tech and regional banks.

* *

Thinking About Value

Let's say that we can all agree — yes, I'm voting on your behalf — that once this whole Greek thing is put to bed people will look around and realize that euro-zone stocks are too cheap. Doesn't it make sense to start considering right here, right now, which ones or which countries should rebound best?

When you think about it, once the Greek thing blows over, the euro zone will still be pumping money into the Continent via quantitative easing. As the ECB grows its balance sheet, euro-zone stocks should wake up and benefit.

This line of thinking, sparked by comments by TIS Group analysts, got me musing about the whole concept of value. The U.S. is up 210% from its lows of 2009, but Europe and India are only up 75%, Japan is up 125% and China is up around 145%. Brazil, a very nice country with beautiful beaches and stunning commodity riches, has fared much worse, as are most other emerging markets.

Areas of the market that are cheap are also the most hated and the least respected. That's how they got cheap. Expectations are low. If I say that now is the time to add iShares Brazil (EWZ), I'm sure you would give me a big eye roll. The idea that it might turn around seems ludicrous as "everyone knows" that corruption, an over-reliance on energy and agricultural commodities, and an anti-capital government will forever keep the country down. Expectations are low, in other words.

Click image for larger view

On the opposite side of the spectrum are ideas that most investors agree are fair and true. A few are: Central banks always get their way, so QE will always work; interest rates will be low for years; biotech has entered a new era of long-term strength without bounds; and mergers always create value.

The chart above shows how a love for Brazil and abhorrence for biotech dominated the nine years from 2002 to 2011. More recently the tables have completely reversed. Will the new love of biotech and hatred for Brazil persist, or could it reverse when no one is looking? Something to ponder.

Best wishes,

Jon Markman

The investment strategy and opinions expressed in this article are those of the author's and do not necessarily reflect those of any other editor at Weiss Research or the company as a whole.

Have comments? Tell Us!

Facebook Twitter Linkedin YouTube Pinterest

About Money and Markets
For more information and archived issues, visit
Money and Markets is a free daily investment newsletter published by Weiss Research, Inc. This publication does not provide individual, customized investment or trading advice. All information is based upon data whose accuracy is deemed reliable, but not guaranteed. Performance returns cited are derived from our best estimates, but hypothetical as we do not track actual prices of customer purchases and sales. We cannot guarantee the accuracy of third party advertisements or sponsors, and these ads do not necessarily express the viewpoints of Money and Markets or its editors. For more information, see our Terms and Conditions. View our Privacy Policy. Would you like to unsubscribe from our mailing list? To make sure you don't miss our urgent updates, just follow these simple steps to add Weiss Research to your address book.

Attention editors and publishers! Money and Markets teaser content may be republished with a link to the full story on Such republication must include attribution with a link to the MoneyandMarkets home page as follows: "Source:"

Money and Markets: A Division of Weiss Research, Inc.
4400 Northcorp Parkway | Palm Beach Gardens, FL 33410 | 1-800-291-8545


All titles, content, publisher names, trademarks, artwork, and associated imagery are trademarks and/or copyright material of their respective owners. All rights reserved. The Spam Archive website contains material for general information purposes only. It has been written for the purpose of providing information and historical reference containing in the main instances of business or commercial spam.

Many of the messages in Spamdex's archive contain forged headers in one form or another. The fact that an email claims to have come from one email address or another does not mean it actually originated at that address! Please use spamdex responsibly.

Yes YOU! Get INVOLVED - Send in your spam and report offenders

Create a rule in outlook or simply forward the junk email you receive to | See contributors

Google + Spam 2010- 2017 Spamdex - The Spam Archive for the internet. unsolicited electric messages (spam) archived for posterity. Link to us and help promote Spamdex as a means of forcing Spammers to re-think the amount of spam they send us.

The Spam Archive - Chronicling spam emails into readable web records index for all time

Please contact us with any comments or questions at Spam Archive is a non-profit library of thousands of spam email messages sent to a single email address. A number of far-sighted people have been saving all their spam and have put it online. This is a valuable resource for anyone writing Bayesian filters. The Spam Archive is building a digital library of Internet spam. Your use of the Archive is subject to the Archive's Terms of Use. All emails viewed are copyright of the respected companies or corporations. Thanks to Benedict Sykes for assisting with tech problems and Google Indexing, ta Ben.

Our inspiration is the "Internet Archive" USA. "Libraries exist to preserve society's cultural artefacts and to provide access to them. If libraries are to continue to foster education and scholarship in this era of digital technology, it's essential for them to extend those functions into the digital world." This is our library of unsolicited emails from around the world. See Spamdex is in no way associated though. Supporters and members of Helping rid the internet of spam, one email at a time. Working with Inernet Aware to improve user knowlegde on keeping safe online. Many thanks to all our supporters including Vanilla Circus for providing SEO advice and other content syndication help | Link to us | Terms | Privacy | Cookies | Complaints | Copyright | Spam emails / ICO | Spam images | Sitemap | All hosting and cloud migration by Cloudworks.

Important: Users take note, this is Spamdex - The Spam Archive for the internet. Some of the pages indexed could contain offensive language or contain fraudulent offers. If an offer looks too good to be true it probably is! Please tread, carefully, all of the links should be fine. Clicking I agree means you agree to our terms and conditions. We cannot be held responsible etc etc.

The Spam Archive - Chronicling spam emails into readable web records

The Glass House | London | SW19 8AE |
Spamdex is a digital archive of unsolicited electronic mail 4.9 out of 5 based on reviews
Spamdex - The Spam Archive Located in London, SW19 8AE. Phone: 08000 0514541.