>>105
>The Law Firm of Levi & Korsinsky
A few things.
First
This actually makes me want to buy the stock more. Simple historical analysis shows this announcement from Levi & Korsinsky is followed by large rises in stock price almost ALL of the time. In fact I was thinking of using there announcements to screen stocks to purchase. I surely can;t prove anything, but I suspect these guys are involved in foul play in trying to suppress stock prices when people want to buy a stock.
Second
Look how many "investigations" they have launched.
http://www.google.com/#q=SHAREHOLDER+ALERT:+Levi+%26+Korsinsky&hl=en&safe=off&ei=VkI8UemhCJOa9QS8wIDIAg&start=10&sa=N&bav=on.2,or.r_qf.&fp=1b3ca709867a17bf&biw=1347&bih=711
They launch maybe several "investigations" a day, almost every company on the NYSE has been "investigated". If there was anything to their story they would have put ore details than breach of fiduciary duty.. imo. The only time there investigation PR's ever materialize into an actual lawsuit, is when they provide more info about a specific cause.
And lastly they are concerned with protecting shareholders, so actually a lawsuit might not even be a bad thing for shareholders depending on what precisely it is.
Long story short, it's 99% chance of nothing and even if it was something, not necessarily even bad for you, if you react to this news you are probably getting fleeced. imo, it is probably related somehow to someone wanting to buy large volume of stock.. just my opinion. The people who have been trading for awhile completely ignore this tripe. there are even some stocks where these announcements have short circuited and they release the same announcement almost every other week, kind of hilarious, makes me think these "!!!SHAREHOLDER ALERTS!!!" are somehow automated.
Additionally if CNAM was running a scam they are doing it wrong, their balance sheet is empty of cash and they have been loosing money for years. LOL, I have seen a lot of chinese scams, they all report profits and lots of cash in the bank that they don't have. the only assets CNAM reports are tangible which I have seen with my own eyes. I have seen their scrap metal inventories and calculated their tonnages. I saw the trucks taking out the material on an unscheduled visit and many workers at the plant very busy. Among some other things. If the investigation was legitimate imo, it would probably be related to the recent stock offering CNAM did at .50 cents a share. Someone might be mad and thinks .50 is too cheap, that's the only plausible scenario I can come up with becasue all the risks involved in the business were clearly expressed in all their releases, and thier balance sheets and reports are very well done, especially for a Chinese company, most Chinese companies have shitty accounting practices, CNAM's is very good better than a lot of other NYSE companies, and they don't fluff their balance sheet with silly crap like intangibles and goodwill.
>If the security situation improves and investors are still prejudiced against the region due to its past that might result in some undervalued companies.
I like this way of thinking, seems like something worth looking into, but remember investors have more to worry about than physical insecurity, things like corruption, ect are just as big a threat or even bigger really. Pakistan imo, looks attractive right now. Very very cheap companies, and a lot of experienced IT people, actually getting more and more skilled every year, who work for a fraction of what western IT companies charge.
>If financial capital is increased but not the economy's capacity to support new growth, doesn't this just destabilize prices and reduce the competition for capital? Doesn't the government have to take on debt to support it? Doesn't it increase inflation hurting savings?
I am primarily a keynesian, and when I was younger I used to believe the paul stuff. Since then i have become wiser and see benefits to each side.
The key reason keynesian is the right way to go right now imo, is precisely becasue of debt and wages that are non competitive. Flushing the market with money will help alleviate debt stress, devalue the currency making paying off debt easier, and stimulate spending due to more inflation. The devaluation of the currency should encourage more tourism to Europe and more exports, while at the same time rasiing the costs of material goods, encouraging more efficient systems, and also the european govts can reduce taxes on many imports and VATs, they have room to accommodate this increased expense without disrupting their economy.
The key thing about keynesian imo, is trying to maximize the value added benefit of the money pumped through the economy to keep things flowing, done irresponsibly it can cause long term net value destruction. And keynesian policies should be rolled back in favor of more traditional economic policies at times of economic robustness.
I think both philosophies are valid however they each should be utilized at different terms in the economic cycle, with care to avoid sudden disruption and utilize slow transition.
Europe desperately needs a weaker currency, or even a currency break up imo. Maybe two classes of currency one for countries with low bond yields and another for countries with high bond yields.