THE PAINTED PIG'S TUESDAY MORNING PORK PATTIES

WELL, WHAT A DAY. THE PIG WATCHED SOME OF THE TRADING IN SEVERAL STOCKS TODAY AND GALL DARNED IF IT THERE WASN'T SOME GOOD OLD FASHIONED EXCITEMENT OUT THERE ON THE FLOOR. NICE TO SEE !  WHILE WERE SURROUNDED BY COUNTRY BAILOUTS, GUSHING WELLS, AND NUTBAR BOMBERS THERES STILL TRADES TO BE MADE. THE PIG HAS A FEW MORE ON TONIGHTS SELECTIONS LIST AS THE SCANNER WENT OVERTIME TO CONFIRM SOME THINGS FOR THE PIG. AS USUAL, THE NUMBERS SEEM TO BE THERE.....NOW ITS JUST TIME.......WAIT WE DO.

ON WITH THE SHOW.....

FOM.V...ITS BEEN A WHILE SINCE THE PIG SEEN THIS KIND OF ONE-TWO NIGHTLY SCAN AND THIS KIND OF MOMENTUM ALSO. STILL BOUND IN RUMOURS, THIS PIGGY CERTAINLY HAS SOME LEGS. WILL IT CONTINUE ? THE SCANNERSAYS YES, BUT THE PIG IS WARY AS NO BIG GAIN GOES UNCORRECTED FOR VERY LONG. THEN AGAIN IT TRADED 57 MILLION SHARES ! IN ONE DAY AND THE BULK OF IT THROUGH ONE HOUSE. TODAY IT DEFIED THE ODDS, POSSIBLY THIS CAN CONTINUE AS THE MARKET DEPTH SELLS WERE MINIMAL. THIS ONES AN EXCITING ONE TO WATCH AND IF YOUR IN, WATCH THE LIQUIDITY, ONCE IT DRIES UP....MAYBE  TIME TO GET OUT. THEN AGAIN.........ANYTHINGS POSSIBLE. JUST ASK GREECE....

EV.V...THIS ONES BEEN SCANNING WELL FOR A COUPLE OF WEEKS AND ITS JUST MANAGED TO BREAK THE TOP 5 PICKS. BIG NUMBERS IN DISTRIBUTION AND NET CAPITAL INFLOW, BUT ITS THE MOVING AVERAGE VECTORS THAT PUSHED IT OVER THE TOP. LOOKS TO BE GETTING READY FOR A BIGGER BOUNCE.

DRV.V...A PREVIOUS PIG PICK FROM A FEW WEEKS BACK AT .13. REVISITS US AGAIN WITH SOME KLARGE UNDERLYING STRENGTH, MOMENTUM AND DISTRIBUTION NUMBERS. PATIENCE PAYS......

NRK.V....ANOTHER PIG PICK, FROM APRIL 5TH THIS TIME. SHOWED UP FOURTH TONIGHT BUT WITH NEAR BREAKOUT NUMBERS. ITS HERE AS AN "FYI" FOR YOU PORK CHOP TRADERS. LOOKS TO BE GETTING READY SO BE AWARE.........

Monday, May 10, 2010







Cause of market plunge may never be known: expert


David Pett in Toronto and Janet Whitman in New York, Finanicial Post






Bloomberg


U.S. regulators and leaders of key market exchanges are taking steps to prevent sudden meltdowns by strengthening circuit breakers, the trigger points used to determine when to halt trading activity due to significant changes in securities prices. The decision comes just days after investors on both sides of the border assessed the damage from a mysterious "computer glitch" that sent equity markets into free fall for what appeared to be no reason. Mary Schapiro, the chairwoman of the U.S. Securities Exchange Commission, said Monday that the leaders of six exchanges - the New York Stock Exchange, Nasdaq, BATS, Direct Edge, ISE and CBOE - and the Financial Industry Regulatory Authority met to discuss the causes of Thursday's market events, the potential contributing factors and possible market reforms. "As a first step, the parties agreed on a structural framework, to be refined over the next day, for strengthening circuit breakers and handling erroneous trades," the SEC said in a statement.


On Thursday, the Dow Jones industrial average fell almost 600 points in just minutes, resulting in an intraday drop of 998 points, the worst on record for the key U.S. exchange. In Toronto, the S&P/TSX composite index fell 400 points.While the exact causes remain unclear, the explosive sell-off between 2:40 p.m. and 2:50 p.m. is being blamed on computerized trading mechanisms that were activated at the time, causing several big name stocks to fall more than 90% in value. The eye-blink collapse left many investors, both institutional and retail, in panic mode, and at times unable to make transactions.
Tommy Nguyen, a portfolio manager at Palos Capital Management in Montreal, for one, tried unsuccessfully to buy Inter Pipeline Income Fund, a key holding that inexplicably fell 45%. "The first thing I did was to attempt buying. My system rejected it. Either there was too much volume flow or the bid ask price gap was too wide, forcing the stock to effectively halt," he said.


Meanwhile, Scotiabank said its online brokerage for retail investors was disabled shortly after 3:10pm eastern time until market close, due to unprecedented volume our on-line order entry. Timothy Geithner, the U.S. Treasury Secretary, briefed U.S. President Barack Obama on the investigation into the wild trading after meeting with top exchange officials and regulators on Monday afternoon.
U.S. lawmakers are holding a hearing in Washington D.C. on Tuesday aimed at getting to the bottom of the plunge.
James Angel, a professor at Georgetown who specializes in the structure and regulation of financial markets around the world, said the cause of the bizarre trading might never be known.


"First it was assumed it was a "fat finger" or a machine malfunction," he said. "But maybe it was a statistically freakish event where all the stars were lined up the right way. For centuries sailors have been talking about being at sea on a nice calm day and then a wave comes out of nowhere. My guesstimate is everything lined up and we had a freak wave."The solution isn't to slow down computers, but to speed up supervision, Prof. Angel said.

He said the best bet would be to set up a system like Germany's in which circuit breakers stop trading system wide. The problem in the United States is that circuit breakers at the NYSE slowed down trading, but the trades just went elsewhere, apparently exacerbating the problem."It could be when there's a 5% drop in five minutes," Prof. Angel said. "In Germany it's a state secret. They don't tell you the exact boundary."The NYSE is the only exchange that has circuit breakers on individual stocks, which can slow down trading in such stocks. For the broader market circuit breakers kick in on the NYSE it depends on the time of day. With more than 50 alternative trading platforms in the U.S., a more coordinated effort among exchanges is needed, Louis Gagnon, a finance professor at Queen's University, said.


"Markets are not appropriately linked or overseen in a deliberate and transparent way and we end up with a much weaker trading process," he said. "One that is unable to accommodate shocks like we saw Thursday. It is unacceptable."In Canada, there is also a system of circuit breakers originally introduced after Black Monday in 1987. IIROC works in co-ordination with U.S. markets to determine when circuit breakers should be invoked.
"We're reviewing our policies," Connie Craddock, vice president, public affairs at IIROC, said. "One of the issues is that markets are global now and changes move quickly. Speed has always been an issue and responding to that has always been a challenge. We need to step back to see what happened before we come to any conclusions about what to do in the future."


With files from Jonathan Ratner
dpett@nationalpost.com


Sugar Advances as Weaker Dollar Piques Demand for Commodities


May 10, 2010, 2:38 PM EDT

May 10 (Bloomberg) -- Sugar rose the most in at least three weeks in New York and London as global stocks rallied and a weaker dollar increased the appeal of commodities as an investment alternative. Coffee and cocoa also gained. The U.S. Dollar Index, a gauge of the currency against six counterparts, slipped as much as 1.8 percent after European policy makers unveiled a 750 billion-euro ($962 billion) loan plan to ease the region’s sovereign-debt crisis. Most commodities rose, with the Reuters/Jefferies CRB Index of 19 raw materials advancing 1.6 percent, the most since March 29.


“Commodities are up across the board; there’s the weaker dollar,” Jake Wetherall, a trader with Rabobank International Ltd. in London, said by telephone today. After three weeks or more of declining sugar prices, futures no longer reflected supply and demand, he said.
Raw sugar for July delivery rose 0.43 cent, or 3.1 percent, to 14.18 cents a pound on ICE Futures U.S. in New York, the biggest gain for a most-active contract since April 19. White sugar for August delivery advanced $10.20, or 2.3 percent, to $448 a metric ton on London’s Liffe exchange, the most since April 13.

Before today, raw sugar dropped for four straight weeks, touching a 13-month low of 13 cents on May 7 on speculation that India, the world’s largest consumer, may curb imports. White sugar fell for three weeks in a row.


Sugar’s Banner Year


Sugar prices more than doubled last year as excess rains in Brazil and a weak monsoon in India reduced output. Demand from importing nations from Egypt to Mexico also supported futures.“Duty-free imports into India may continue in the near term,” Jonathan Kingsman, the managing director of sugar and ethanol research company Kingsman SA in Lausanne, Switzerland, wrote in a report. “There are still plenty of freight enquiries.”Cocoa for July delivery rose 4 pounds, or 0.2 percent, to 2,353 pounds ($3,495) a metric ton on Liffe. Robusta coffee for July delivery climbed $14, or 1 percent, to $1,385 a ton.

On ICE, cocoa for July delivery added $61, or 2 percent, to $3,077 a metric ton. Arabica-coffee futures for July delivery gained 0.25 cent, or 0.2 percent, to $1.3415 a pound.


--Editors: Michael Arndt, Daniel Enoch.





Noranda earnings fuelled by zinc demand
The GazetteMay 7, 2010

Rising international demand for zinc and better pricing are improving operations at Noranda Income Fund's big Valleyfield electrolytic refinery west of Montreal. The fund swung back to earnings of $7.1 million in the first quarter from a loss of $2.7 million a year earlier and said industrial demand for the by-product sulphuric acid is also picking up. Most of the refinery's production is exported and the strong Canadian dollar is challenging, the Fund said. The upsurge in auto production accompanying the broad economic recovery in North America and Asia is boosting consumption of zinc used by steelmakers specializing in galvanized sheet, it added.
The Fund's bank credit facility has been extended to November 3 and it is negotiating a further extension to December 20 when a refinancing of $153.5 million of senior secured notes should be in place. Resumption of cash distributions to unitholders must await completion of the debt refinancing, the Fund added.


© Copyright (c) The Montreal Gazette


Ubika Research issues Research Bulletin on Allana Potash Corp (TSXV:AAA).











05/10/2010 [ACCESSWIRE]

TORONTO, Canada - Ubika Research has issued a new Research Bulletin on Allana Potash Corp. (TSX VENTURE: AAA) under the heading “Fundamentals are strong for Allana”. The Phase I drilling will test potash horizons near the current resource as well as in the centre of the evaporite basin. Ubika Research expects that the drilling will help Allana to increase the confidence of the inferred resource, i.e. move it to indicated or measured category and also to expand the resource estimate. We believe that the demand for fertilizer is expected to continue its secular uptrend. This is bringing attention to potash deposits from large mining companies including BHP Billiton (NYSE:BHP) and Vale SA (NYSE:VALE) as these mining conglomerates scout for high quality potash assets worldwide.



We continue to rate Allana Resources a “Speculative Buy” with a 12-month target of $1.02.

Download the free report at: http://www.smallcappower.com/microsite/research_reports.aspx?CompanyID=7



About Allana Potash Corp

Allana Potash Corp. (TSX-VEN: AAA) is a Canadian potash company focusing on the exploration and development of a previously explored Dallol potash property in the Danakil Depression, Ethiopia. The Danakil depression had small-scale potash production in the 1920’s and was extensively explored in the 1960’s with nearly 300 potash drill holes. The Company has a strong management with experience in potash industry and 43-101-compliant resources of over 100 million tonnes.



About Ubika Research

Ubika offers research, analytics and communications solutions to various areas of the financial services industry. We offer solutions that enhance revenue generation capabilities and provide clear competitive advantages. For more information visit www.ubikaresearch.com

About Smallcappower.com

SmallCapPower.com (SCP) is a leading resource for small cap investing. As an interactive website with rich investment content and dynamic functionality SCP brings investors and financial industry professionals together to discover and communicate with small cap companies. SCP has two points of differentiation from other internet portals: (1) at no cost, we provide professionally written investment research and ideas geared to the small cap investor; and (2) we assist small cap companies to bridge between traditional investor relations and the increasing important online presence with investors.



Disclosure

Except for the historical information presented herein, matters discussed in this document contain forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements.



Ubika Research, a division of Ubika Corporation, is not registered with any financial or securities regulatory authority, and does not provide nor claims to provide investment advice or recommendations to readers of this report. For making specific investment decisions, readers should seek their own advice. For full disclosure please visit:

http://www.smallcappower.com/microsite/research_reports.aspx?CompanyID=7



For additional information contact:

Vikas Ranjan, Managing Director

vikas@ubikacorp.com

Phone: 416-646-1941 ext 102

THE PAINTED PIG SUNDAY NIGHT PORK PATROL

THE PIG SAYS THAT HUMANS ARE MUCH TOO IRRATIONAL OF A BEAST.JUDGING BY THE PAST WEEKS TRADING, SOME OF THEM DON'T KNOW HOW TO READ EITHER  SO THE PIG SOLDIERS ON. THE PIG SEES SOME OPPORTUNITIES IN THE AFOREMENTIONED MINI MELTDOWN. HISTORY SHOWS THAT THE FLIGHT TO HARD ASSETS LIKE COMMODITIES, USUALLY HEIGHTENS IN TIMES OF CRISIS. .........SO WHATS THE PIG DEAL ? WELL.....REALLY NOT MUCH...THERE WILL ALWAYS BE TRADING OPPORTUNITIES AND PROFIT PORKTENTIAL. ALL LAST WEEK MEANS IS YOU HAVE TO WORK A BIT HARDER.

ON WITH THE SHOW.....

FOM.V....THIS PIGLETS BEEN ON THE PIGS SCANNER FOR THE LAST FEW DAYS. BROKE OPEN ON FRIDAY WITH A HUGE MOVE UPSIDE..MOMENTUM AND SENTIMENT VECTORS SCORING VERY HIGH, THIS IS JUGGERNAUT MATERIAL SAYS THE PIG. RUMOURS HAVE IT BIG NEWS PENDING THIS WEEK. THE PIG SAYS IT MIGHT BE A GOOD TRADE FOR THE NEXT FEW DAYS.....THIS THING HAS SOME MAJOR MOJO.....

GX.V...ONE OF THE AMAZING THINGS ABOUT THE STOCK GAME IS THE AMAZING THINGS THAT5 GO ON IN AND AROUND IT. NUMBER TWO SCANNER AND THIS CUTLET HAS ALSO BEEN SHOWING UP IN LAST WEEKS MIX. THE PIGS NOT SURE HOW TO READ A COUPLE OF THE SCANNED VECTORS BUT HERE IT IS FOR YOU ANYWAY, PUT IT ON THE WATCH LIST !

WER.V....COMEBACK OF THE WEEK ? CERTAINLY SCANNED THAT WAY. THE PIG SAYS THE JURY IS STILL OUT AS YET ON THIS CHOP. BUT SUFFICE TO SAY THAT IF THE SCANNER IS CORRECT AND MOMENTUM CONTINUES, THINGS MAY BE LOOKING IN FAVOR OF A BUY. A MAJOR TEST OF THE SCANNERS ABILITY TO PICK THEM OUT EARLY.

SXL.V......A PIG FAVORITE AND A RECCO FROM THE BEGINNING OF JANUARY. LOOKS LIKE THE STOCK MAY BE BEGINNING A NEW SPECULATION CYCLE FROM HERE. SCANNER SAYS SHES IN PLAY AND ITS MOVING SO LETS PUT THIS ON THE WATCH LIST AND SEE HOW SHE DOES.

• EUROPE MARKETS
• MAY 10, 2010, 5:12 A.M. ET

European Markets Surge

By ISHAQ SIDDIQI

European stock markets pushed sharply higher Monday, while sovereign debt markets slumped, as market participants reacted to news of a hefty €750 billion ($955 billion) rescue package to stabilize the euro and prevent the Greek debt crisis from affecting other member countries.
The Stoxx Europe 600 index jumped 4.7% to 248.40. London's FTSE 100 index was up 4% at 5333.95, Frankfurt's DAX index was 3.9% firmer at 5938.48, and Paris's CAC-40 index rallied 7.2% at 3636.91.
The Athens Stock Exchange was trading 9.7% higher at 1788.19 while Madrid's IBEX surged 10.6% to 10005.70.

Pawel Kopczynski/Reuters

Traders are pictured at their desks in front of the DAX board at the Frankfurt stock exchange on MondaY. Financial stocks surged, with banks most exposed to Greek debt and banks in the periphery nations gathering momentum after last week's decline in the sector. The Greek bank sub sector index jumped 13.5%. National Bank rallied 17.6%, Piraeus rose 13.9% Eurobank jumped 11.8% and Alpha gained 10.8%.

The yield spreads between some of the peripheral euro-zone countries and German bunds tightened substantially after the measures. The benchmark 10-year Greek bond was yielding 7.82% more than its German counterpart, down from over 10% on Friday.

Overnight, EU finance ministers reached agreement on a support plan for nations facing financial meltdown. It will consist of up to €440 billion in loans from euro-zone governments and €60 billion from an E.U. emergency fund, in addition to €250 billion from the International Monetary Fund.

"Policy makers surprised probably even the most optimistic observers by presenting a quick and forceful, unprecedented crisis package. It does not solve the fundamental fiscal problems but it gives countries now several years for swift action," said Carsten Brzeski, economist at ING Bank.

The ECB said it will intervene in the euro zone's public and private debt markets to 'ensure depth and liquidity in those market segments which are dysfunctional.' Meanwhile, IMF Managing Director Dominique Strauss-Kahn said the IMF was "ready to support our European members' individual adjustment and recovery programs through the design and monitoring of economic measures as well as through financial assistance, when requested."

On top of this, the U.S. Federal Reserve said Sunday that it would revive an emergency lending program used during the financial crisis. The Fed will ship billions of dollars overseas through foreign central banks, including the ECB, so they can, in turn, lend the money out to banks in their home countries in need of dollar funding.

Full details have to be hammered out but given the lethargy that European policy makers have displayed up to now, the weekend announcements are bigger than most would have hoped for and may stabilize markets in the short-term, said Dermot O'Leary, economist at Goodbody Stockbrokers.

The "stabilization fund could support peripheral bond markets for a while and provide some respite to, say, Spain, Portugal and Ireland combined, for the remainder of this year and beyond. In addition, the ECB stands as buyer of government bonds, if needed," added Elga Bartsch, economist at Morgan Stanley.

Meanwhile, in the U.K., the Conservative and Liberal Democrat parties held almost seven hours of talks Sunday on a possible power-sharing deal, but negotiations look set to stretch on for some time yet. Seeking to soothe concerns, both parties sought to stress progress after Sunday's meeting, saying economic stability and reducing the budget deficit were at the center of their discussions.

Looking ahead, the unusual timing of the Bank of England's May rate announcement at 11 a.m. GMT reflects the staging of the U.K. general election, and also dictates that any monetary policy move is highly unlikely at this stage, said economists at HSBC. "The fiscal outlook will come under much closer scrutiny over the coming month and rates will very likely remain on hold until a clearer picture emerges of the pace and severity of the fiscal consolidation process, and the likely impact upon growth," they added.

On Wall Street Friday, stocks slumped for a fourth straight session, led by particular weakness in the technology sector as Thursday's tumultuous trading continued to weigh on investor sentiment. Overall, the Dow Jones Industrial Average fell 1.3% to 10,380.43, while the Standard Poor's 500 dropped 1.5% to 1110.88. The Nasdaq Composite fell 2.3% to 2265.64.

But the announcement of the rescue package helped turn sentiment, and equities climbed in Asia Monday. Japan's Nikkei 225 was up 1.6%, while South Korea's Kospi Composite gained 1.8%. Hong Kong's Hang Seng Index rose 2.2% and China's Shanghai Composite Index was up 0.4%.

In foreign exchange markets, the euro was sharply higher on news of the euro zone's stability fund. The euro was at $1.3033 from $1.2745 in late New York trade Friday, while the dollar was sharply higher against the Japanese yen, at 93.35 yen from 91.44 yen.

Among other assets, spot gold was at $1188.55 per troy ounce, down around $20 from late New York Friday, as safe haven demand for the yellow metal ebbed. In the oil market, the front-month June crude oil future contract was higher, up $2.74 at $77.85 per barrel on Globex.

Write to Ishaq Siddiqi at ishaq.siddiqi@dowjones.com

Two Ladies Talking in  Heaven

1st woman:    Hi! Wanda.

2nd woman:   Hi! Sylvia.  How'd you die?

1st woman:    I froze to death.

2nd woman:   How horrible!

1st woman:    It wasn't so bad. After I quit  shaking from the cold, I began to get warm & sleepy, and finally died a peaceful death. What   about you?

2nd woman:   I died of a  massive heart attack. I suspected that my husband was cheating, so I came home early to catch him in the act.   But instead, I found him all by himself in the den watching TV.

1st woman:    So, what happened?

2nd woman:   I was so sure there was another woman  there somewhere that I started running all over the house looking. I ran up into the attic and searched, and down into the basement.  Then I went through every closet and checked under all the beds.  I kept this up until I had looked everywhere, and finally I became so exhausted that I just keeled over with a heart attack and died.

1st woman:   Too bad you didn't look in the freezer---we'd both still be alive.


     
 

 

THE PAINTED PIGS FRIDAY MORNING FRACAS

NOT MUCH ON THE PIGS SCANNERS THE LAST TWO NIGHTS. EASPECIALLY AFTER THE STEEP DROP AND RETURN OF THE DAY IT SEEMS SOME PEOPLE ARE A TAD SPOOKED. SAVE THAT FOR HALLOWEEN, ITS A TEMPORARY ISSUE. THE PIG FIGURES GREECE HAS FROZEN THE NERVES OF THE MARKET FOR THE SHORT TERM. HUMANS ARE A FUNNY LOT.

THE PIG WILL RETURN WITH HIS WEEKEND PICKS ON SATURDAY.......GREAT WEEKEND ALL !

Eight Things the Plunge Means for Your Money


By BRETT ARENDS




Athens burns. Europe panics. Something funny happens in the market. The Dow plunges nearly 1,000 points in a few minutes.






Is this 2008 all over again? Should you panic? Bail while you still can?






OK. Take a deep breath. Breathe. Ommmm ...






Here are eight things this means for your money.






1. Now you know why I love investing in boring blue-chip stocks. The duller, the better. Not only are many of them priced pretty reasonably right now: They let you sleep better, too. Be honest: When you heard about the Dow or saw the footage from Athens, your thoughts immediately went to that exciting new "aggressive" fund your broker just sold you. Did you really worry about your Kellogg stock? (Of course even dull blue-chip stocks can be volatile. But the companies rarely vanish and it is usually temporary. In the case of Procter & Gamble, hit briefly on Thursday, the panic ended very quickly.)






2. The debt crisis in Europe is more bad news for savers. It means Europe will probably have to keep interest rates lower for longer, and that will put more pressure on the Fed to follow suit. Already you're getting bupkus on your savings: The average money-market account is paying about 0.76% interest, and a one-year certificate of deposit just 1.2%, according to Bankrate.com. Those are abysmal rates, and compared to inflation—the official rate is 2.4%—you're losing money.













3.  Here at the Silver Lining Dept., we like to point out that the above is good news if you're looking to get a mortgage. The panic has sent long-term rates tumbling again: The rate on 30-year conforming loans is down to 5.07%, according to Bankrate. And that's likely to fall further, following the fall in Treasury yields. The yield on 10-year Treasury bonds issued by the Federal Government has fallen to 3.4%, from 4% a month ago. That's a big move.






4. And if you are in the market for stocks with decent yields, take a look at some of the blue-chip names knocked down in the panic. Verizon, now $28, has a dividend yield of 6.6% according to FactSet. Rival AT&T, $25.14, yields 6.5%. Johnson & Johnson, $63.40, yields 3.3%. Coca-Cola, $52.30, 3.3%. Chevron, $77.20 (down due to the Gulf crisis as well), yields 3.6%. %. (Obviously stocks are not bank accounts—prices vary, and dividends are not guaranteed!)






5. Big European names have plunged even more. Stocks like Eni, the Italian oil company, and Telefonica, the Spain-based telecom giant, have crashed more than 20% in a few weeks. Political troubles aside, these are pretty strong companies. Even London-based Diageo, the world's biggest alcoholic-drinks company, has come down sharply. (Diageo is the company behind Guinness, Smirnoff, Captain Morgan and a whole swath of Scotch whiskeys). The stock's yield is 3.7%. People will not drink less whiskey in a crisis. If anything, they will drink even more.






6. High-yield bonds—those issued by more-debt-laden companies—just tanked as some investors rushed to dump anything deemed "risky." The iShares High-Yield Bond exchange-traded fund briefly plunged nearly 10%, to lows last seen last summer, before rallying late yesterday afternoon. Even now, at $84.50, the yield is north of 8%, based on the last month's distributions. The fund offers a broad spread of bonds across industries. But anyone investing in such bonds should try to do so in a tax shelter like an IRA or 401(k), as bond coupons are taxable as ordinary income.






7. Beware of "safety." Thirty-year Treasury bonds now pay a paltry 4.1%, 10-year ones just 3.4%. Investors flock to them in times of uncertainty but they leave you at the mercy of inflation. You are getting paid very little and your bond coupons, unlike stock dividends, will not adjust over time to reflect rising prices.






8. Even those old investment stalwarts, inflation-protected government bonds, now look unappealing. Treasury Inflation-Protected Securities, or TIPS, offer poor value at current levels. The "real," or post-inflation, yield on the 10-year TIPS bond is just 1.25%, that on the 30-year 1.73%. The rule of thumb says these figures should be well above 2% for investors to get a decent deal.






Write to Brett Arends at brett.arends@wsj.com

THE PAINTED PIG'S WEDNESDAY MORNING WONDERS

THE PIG THOUGHT HE WOULD TRY SOMETHING NEW FOR A CHANGE. THE SCANS OF MONDAYS MARKETS WERE OKAY, BUT NOTHING OF AN EARTH SHAKING VARIETY. SO THE PIG FIGURED HE WOULD TRY HIS HAND AT SOMETHING ELSE RELATED TO OUR BUSINESS OF TRADING.

REMEMBER "BUY ON RUMOUR" AND "SELL ON NEWS" ?. AT ONE TIME, THESE TWO INDUSTRY MAXIMS WERE STOCK IN TRADE COMPONENTS OF THE BUSINESS. TODAY, WE ARE GOING TO LOOK AT TWO, FROM A LIST OF MANY STOCK TIPS, THAT COME THE PIG'S WAY.

WHY THESE TWO ? IN SHORT, THEY CURRENTLY HAVE THE STRONGEST RUMOUR BASE, HAVE EXTREMELY LOW FLOATS AND SEEMINGLY EXCELLENT LIQUIDITY. ALTHOUGH THE SCANNER GAVE THEM A GREAT REVIEW NUMERICALLY, THE CHART IS NOT QUITE A PERFECT MATCH WITH THE SCAN RESULTS. BUT AS YOU AND I BOTH KNOW, THIS CAN BE EVER CHANGING AND IN FAST FASHION. SO WHAT THE PIG WILL DO IS PRESENT TO YOU THE INFORMATION HE HAS GATHERED, A CHART, A COMMENT OR TWO AND THE REST IS UP TO YOU.

THE PIG IS CONSIDERING A PIECE OF BOTH COMPANIES BUT WANTS MORE LIQUIDITY FIRST. YOU MAKE UP YOUR OWN MINDS.

ON WITH THE SHOW.......

DAN.V...HAD SOME MAJOR RESULTS BACK YESTERDAY FROM THEIR MEXICAN PROPERTY. THE STOCK POPPED ALL THE WAY TO .21 ON THE NEWS AND RUMOURS OF MORE RESULTS FROM A COUPLE OF OTHER PROJECTS THEY OWN. NOW THE SCANS OF THE NUMBERS DID REVEAL SOME EXCITING PROSPECTS, ADDING TO THIS THE FACT THAT THERE IS A VERY LOW FLOAT AND ANYTHING BIG IN THE WAY OF NEWS WOULD SEND IT SUBSTANTIALLY HIGHER. THE RUMOURS THE PIG RECEIVED ARE FROM A TRUSTED SOURCE. WHO HAS BEEN RELIABLE IN THE PAST. NOW, HAVING SAID THAT THEY ARE JUST...RUMOURS. THE PIG MUCH PREFERS TO RELY ON STRAIGHT NUMBER ANALYSES THAN HERESAY. BUT HERESAY CAN BE FUN AND PROFITABLE. KEEP AN EYE ON IT.

GER.V...OUR NEXT RUMOUR CANDIDATE. SCANS SHOWED OFF SOME GREAT NUMBERS AGAIN, BUT NOT ENOUIGH FOR THE TOP 5 PICKS. MUCH THE SAME AS DAN.V. HOWEVER, AGAIN FROM A TRUSTED SOURCE, ALONG WITH SOME SIMPLE DD (SEDAR'S MD&A) THERE MAY BE SOME FIRE TO THE SMOKE. THE STORY IS THUS....THE COMPANY HAD A DEAL ARRANGED TO BUY A STAKE IN A RATHER LUCRATIVE SPANISH PROPERTY. THE DEAL FELL THROUGH BUT THE COMPANY RETAINED ITS $250 MILLION L.O.C. FROM A KUWAIT BANK. THE RUMOUR IS THAT THEY HAVE ACQUIRED A RATHER LARGE SITUATION WITH THIS MONEY. NOW, NO DETAILS, NO INFORMATION, THE ONLY COMMENT THE SOURCE SAID WAS THAT ITS LARGE SCALE. SO THE PIG DOES NOT KNOW IF ITS A PRODUCING PROPERTY, EXPLORATION READY, OR ANYTHING TO THAT EFFECT. HE JUST KNOWS THE SOURCE IS A TRUSTED ONE AND USUALLY RELIABLE. TAKE IT FOR WHAT ITS WORTH. MAYBE NOTHING, MAYBE SOMETHING. THE PIGS FURTHER DD WAS QUITE REVEALING, HE RECCO'S YOU GET THE MD&A OFF OF SEDAR (LINK BELOW) AND READ IT THOROUGHLY. THEN MAYBE ITS A CHANCE WORTH TAKING. USE SOME PIG SENSE......

http://www.sedar.com/DisplayCompanyDocuments.do?lang=EN&issuerNo=00002517

Dome to contain Gulf oil the next best solution

By VICKI SMITH and ALLEN G. BREED, Associated Press Writers Vicki Smith And Allen G. Breed, Associated Press Writers 40 mins ago

NEW ORLEANS – The best short-term solution to bottling up a disastrous oil spill threatening sealife and livelihoods along the Gulf Coast should be arriving on Wednesday in the form of a specially built giant concrete-and-steel box designed to siphon the oil away.



Crews for contractor Wild Well Control were putting the finishing touches Tuesday on the 100-ton containment dome. A barge at about midday would haul the contraption to the spot 50 miles offshore where a mile-deep gusher from a blown-out undersea well has been spewing at least 210,000 gallons of crude a day into the Gulf for two weeks. BP spokesman John Curry said it would be deployed on the seabed by Thursday.



It's the latest idea that engineers from oil giant BP PLC were trying since an oil rig the company was operating exploded on April 20, killing 11 workers. It sank two days later, when the oil started pouring into the Gulf. BP is in charge of the cleanup and President Barack Obama and many others say the company also is responsible for the costs.



Such domes have never been tried at this depth — about 5,000 feet — because of the extreme water pressure. The dome, if all goes well, could be fired up early next week to start funneling the oil into a tanker.



"We don't know for sure" whether the equipment will work, said BP spokesman Bill Salvin. "What we do know is that we have done extensive engineering and modeling and we believe this gives us the best chance to contain the oil, and that's very important to us."









The seas calmed Tuesday allowing more conventional methods to contain the spill to get back on track as businesses and residents kept an eye on the ocean currents, wondering when the sheen washing ashore in places might turn into a heavier coating of oil. Crews put out more containment equipment and repaired some booms damaged in rough weather over the weekend. They also hoped to again try to burn some of the oil on the water's surface, possibly Wednesday.



Chemical dispersants piped 5,000 feet to the main leak have significantly reduced the amount of oil coming to the surface, BP said. The company also hoped to shut off one of the smaller of three leaks though it might not reduce the flow much, said Doug Suttles, BP PLC's chief operating officer.



Forecasts showed the oil wasn't expected to come ashore until at least Thursday.



"It's a gift of a little bit of time. I'm not resting," U.S. Coast Guard Rear Adm. Mary Landry said.



From the air Tuesday, the site of the Deepwater Horizon explosion looked similar to a week ago except for the appearance of a massive rig brought in to drill a relief well to shut off the spewing oil. That would take months, however.



Across the accident zone, oil floated in the ocean in different hues, shapes and textures. In places, it was a rich paisley patterned reds and oranges. In others, it took on varying gray and blue striated shapes, almost like a Vincent Van Gogh's thick brush strokes.



People along the Gulf Coast have spent weeks living with uncertainty, wondering where and when that huge slick might come ashore, ruining their beaches — and their livelihoods.



The anxiety is so acute that some are seeing and smelling oil where there is none. And even though the dead turtles and jellyfish washing ashore along the Gulf of Mexico are clean, and scientists have yet to determine what killed them, many are just sure the flow of crude unleashed by the explosion at BP's Deepwater Horizon is the culprit.



The rig was owned by Transocean Ltd. Some of the 115 surviving workers who were aboard when it exploded are suing that company and BP PLC. In lawsuits filed Tuesday, three workers say they were kept floating at sea for more than 10 hours while the rig burned uncontrollably. They are seeking damages.



Guy Cantwell, a spokesman for rig owner Transocean Ltd., defended the company's response, saying 115 workers did get off alive. Two wrongful death suits also have been filed.



In their worst-case scenario, BP executives told members of a congressional committee that up to 2.5 million gallons a day could spill if the leaks worsened, though it would be more like 1.7 million gallons. A rainbow sheen of oil has reached land in parts of Louisiana, but the gooey rafts of coagulated crude have yet to come ashore in most places. While officials worked on cleanup, the long wait took its toll on nerves and incomes.



"It's aggravating, to a point," said Frank Besson, 61, owner of Nez Coupe Souvenir & Tackle. "You got people canceling out, thinking we've got oil on the beaches, and it's not even at the mouth of the Mississippi."



Fishermen have complained bitterly about the federal decision to close a large swath of the Gulf to commercial and sport fishing, saying it was an overreaction. Some even vowed to keep catching fish until someone arrested them.



But U.S. Sen. David Vitter said it was necessary to reassure the American public that the seafood on restaurant menus and store shelves is safe.



"We don't want hysteria to take over and hysteria to hurt the industry even more than the oil is," said Vitter, R-La.



Daryl Carpenter, president of the Louisiana Charter Boat Association, is struggling to get people to understand that three-quarters of the Gulf is still clean and open to fishing.



In Gulf Shores, Ala., the real estate firm Brett/Robinson Vacations, sent a note to those renting vacation properties that they would not be penalized for any spill-related cancellations, but urged them not to jump the gun.



"There are many questions and many `what ifs' regarding this event," the message read. "Because changes come about hourly and 30 days is a long way away, we are asking you to wait before canceling your vacation, especially those of you who are scheduled to arrive more than 30 days from today."



There are legitimate concerns, experts say. A second bird found in the slick, a brown pelican, is recovering at a bird rescue center in Louisiana. National Wildlife Federation president and CEO Larry Schweiger says there's no way to know how many birds have been oiled because the slick is so big and so far offshore.



Perdido Key, a barrier island between Pensacola and the Alabama state line with sugar-white sand studded with condominiums, likely would be the first place in Florida affect by the oil spill. Perdido — Spanish for "Lost" — got a sniff Tuesday morning of what may be in store.



"You could smell the smell of it, real heavy petroleum base," said Steve Ownesby, 54, a maintenance man at the Flora-Bama Lounge abutting the state line on the Florida side.



The air cleared later, but Owensby's 28-year-old daughter, Stephanie, who tends bar at the lounge, said some visitors have complained of feeling ill from the fumes.



"It's very sad because I grew up out here," she said. "I remember growing up seeing the white beaches my whole life. Every day I've been going to the beach ... a lot of people are out watching and crying."



___



Associated Press writers Harry R. Weber, Kevin McGill in New Orleans, Ray Henry in Robert, La., Sarah Larimer in Mobile, Ala., Jennifer N. Kay in Fort Walton Beach, Fla., Bill Kaczor in Perdido Key, Fla., and Cain Burdeau who flew over the site contributed to this report.

THE PAINTED PIG'S TUESDAY MORNING PORK PATTIES

THE PIGS SCANNER RAN OVERTIME TONIGHT. FOR SOME ODDBALL REASON, THERE IS MANY OF OUR PENNY PLAYERS THAT SEEM TO HAVE A YEN TO BREAKOUT, ALL WHILE WE HAVE THIS "TERRIBLE" MARKET. THE POINT FOR THE PIG HERE IS.....WHEREVER, WHENEVER, AND HOWEVER THERE IS A NEED FOR CAPITAL MARKETS TO SUCCEED, IT WILL HAPPEN.

THUS THE TRICKLE DOWN EFFECT TO US PIGS OUT THERE WHO PLAY THE PENNY MARKETS. THE PIG SAYS, ALWAYS REMEMBR THAT WHAT YOU READ IN YOUR NATIONAL OR INTERNATIONAL NEWSPAPER, HEAR ON YOUR NATIONAL MEDIA AND GET THROUGH THE INTERNET, IS NOT NECESSARILY GOING TO EFFECT YOU AND YOUR INVESTMENTS. CERTAINLY, IF YOU HAVE INTERNATIONAL OR MULTI-NATIONAL HOLDINGS, THEN YES, YOU COULD BE AFFECTED. THE PIGS POINT IS, USE PATIENCE, AND HAVE UNDERSTANDING, AND AVOID EMOTIONS LIKE GREED, AND RATIONALLY THINK YOUR STRATEGIES OUT, YOU WILL PROSPER !

ON WITH THE SHOW....

DUN.V...SOME LARGE TURNAROUND NUMBERS FOR A REGULAR MEMBER TO THE TOP 25 SCANS. LOOKS  AS THOUGH THIS ONE HAS EYES FOR THE TOP. MORE LIQUIDITY, AND SOME STRONGER MOMENTUM AND SHE WILL FLY LIKE A PIG. WATCH IT CLOSE.

RMD.V...ACCUMULATION TO THE MAX, AND SOME DECENT TURNAROUND NUMBERS IN MOMENTUM AND DISTRIBUTION HAVE THE PIG THINKING ITS ANOTHER CHOICE CHOP LOOKING TO MOVE...UP. AGAIN, MORE LIQUIDITY AND SOME DECENT NEWS AND THIS COULD BE A DUBLE CANDIDATE (OR MORE) IN THE SHORT TERM.

PGC.V...IS ANOTHER BREAKOUT CANDIDIATE. SOME GOOD NUMBERS IN THE TURNAROUND AREA, MOMENTUM AND DISTRIBUTION SECTORS UP HIGH AND SOME ENCOURAGING NUMBERS IN THE NET CAPITAL INFLOW AREA. AGAIN, NOT TO RATTLE ON LIKE A BROKEN RECORD BUT WE NEED SOME LIQUIDITY FOR IT TO MOVE. THE EYES ARE ON IT.

SD.V....WE ARE A BIT LATE FOR THE MOVE ON THIS PIGGY, BUT THE NUMBERS SAY THERE IS MORE TO COME. THIS PIGLET SHOWS UP REGULARLY BUT ALWAYS FAILS TO MAKE THE TOP FIVE OR TEN BECAUSE OF LACK OF "OOMPH". WORTH WATCHING TO SEE IF IT BREAKS FREE.


May 3, 2010







Economy at a Glance


Commodity prices are on the march again
ALEX CARRICK
Chief Economist, CanaData  



Nickel prices have been more restrained. They are only 37% of the way back to their previous high. However, since the price did fall so low in the recession, they are +160.4% above their trough level recorded in December 2008, the same month as the low point for copper prices.


Aluminum demand comes from the aerospace industry, motor vehicles, construction and beverage packaging. Some of these are on the upswing in North America, but it is more likely that demand growth is livelier overseas. In any event, aluminum prices are +75.7% higher than in February 2009 and they have made their way nearly 60% back from their trough position.


The number one headline commodity, oil, is now priced more than double (+116.9%) its level of a year ago. It is at about the halfway mark on its return path from trough (February 2009) to previous peak (July 2008). Coal has made almost one-third (29%) of the journey from trough (March 2009) to previous peak and is up 58.6% versus its bottomed-out position.


Even some livestock agricultural prices have been on the move. Cattle are +19.4% versus December 2009 and hogs – earlier devastated by bad publicity from swine flu and new country-of-origin labeling in the U.S. – are now +56.2% compared with August 2009. Hogs prices have received support from government programs that encouraged culling herd sizes.


While the timeframes are different for almost all of these commodities, it is still informative to consider that the average percentage change for the 10 product categories set out in this analysis, trough to current levels, is +79%. Commodity prices are on the march again. This has obvious implications for overall prices, since commodities are the building blocks of almost everything. Also, it is good news for Canada’s Western provinces, which are somewhat more resource rich, or at least more resource dependent, than the central and eastern parts of the nation.


Five other commodities warrant some commentary. Gold and silver prices remain at or near record highs, wheat and uranium prices are restrained and natural gas is deeply depressed.


Commodity prices reflect demand (versus available supply) and help drive expansion plans. Prices shown are monthly averages.

Data source: TD Bank Financial Group. Aluminum (London Metal Exchange, closing cash price); Coal (Australian thermal); Oil (West Texas Intermediate, domestic spot market). Charts: Reed Construction Data – CanaData.



COMMODITIES MAY 4,
2010 China Slowdown Pounds Copper
Copper extended a monthlong slide on Monday in a stark reminder of just how central Chinese demand is to the fate of the red metal.  Copper for May delivery fell 1.8% to $3.2785 per pound at the Comex division of New York Mercantile Exchange, the lowest since Feb. 26.



While commodities are generally holding up well amid signs of a strengthening U.S. recovery, copper—considered a leading indicator of global economic activity—has been in decline. The big drag on copper is a further sign that demand from China may be easing.



Since hitting a 21-month high on April 5, the metal has fallen 10%, while the Dow Jones-UBS Commodity Index was unchanged.



Over the weekend, the Chinese government lifted reserve requirements for banks in another attempt to tame liquidity and inflationary pressure. Higher reserve ratios could mean tighter credit for manufacturers and construction companies, in turn damping copper buyers' demand.



On Friday, the International Copper Study Group issued its latest forecast, saying Chinese demand for copper could drop as much as 13% in 2010, a sharp reversal from a 38% increase in 2009.



About one-third of the world's refined copper is consumed in China, helping the metal triple in price since collapsing during 2008's credit crunch. But the ICSG said some of copper China bought last year went into stockpiling, instead of actual use, which is likely to cap this year's demand.



Copper's demand growth is "reshifting" from Asia to developed countries, said Catherine Virga, senior base metals analyst at CPM Group, a commodity research firm in New York.



Copper consumption in the U.S., European Union and Japan is expected to grow about 7% in 2010, the ICSG said. But that won't help make up for the drop in China's demand, with global copper demand projected to fall 1.5% in 2010 and production to exceed consumption by 578,000 metric tons, up from 195,000 tons in 2009.



Copper's recent weakness could herald "more moderate economic growth going forward," Ms. Virga said.



With China's appetite waning, analysts are worried that copper prices are vulnerable to an even deeper correction in the short term. Wayne Atwell, managing director and head of research with natural-resource investment bank Casimir Capital in New York, believes copper could head as low as $2.90 over the next couple of months.



Adding more downward pressure is the traditional summer doldrums in copper markets. Trade slows because construction companies in warm climates have already bought the copper they need for summer projects.



But any pullback will be temporary, said Patricia Mohr, vice president and commodity-market specialist at Toronto-based Scotiabank, who sees copper averaging at least $3.30 this year.



This longer term support comes as many believe world-wide copper demand in coming years will outstrip new mine capability. The ICSG expects copper demand to grow 5.1% in 2011 as the rate of economic recovery in major copper consuming regions accelerates.



"The sentiment is just so good for copper," Mr. Mohr said.



Write to Carolyn Cui at carolyn.cui@wsj.com and Matt Whittaker at matt.whittaker@dowjones.com

THE PAINTED PIG'S WEEKEND WINNERS-MAY 1/2010

THE PIG APOLOGIZES FOR THE TECHNICAL TROUBLES. FIRST OFF, THE BLOG SERVICE HAD A BIT OF A GLITCH IN IT. SECOND, THE PIG WAS ADJUSTING THE SCANNER CO-ORDINATES. THIRD, THE THURSDAY MARKET SCANS WERE LESS THAN GREAT. THE PIG TRIES TO ONLY FILTER THE BEST OPPORTUNITES FOR THE TRADERS. WHEN THATS NOT POSSIBLE HE TRIES TO AVOID GIVING ANYTHING OUT SO AS TO LESSEN THE CHANCE OF A BAD BUY.

THE PIG NOTICES THAT A LONG TERM FAVORITE AAA.V HAD A NICE MOVE FRIDAY. OPW.V IS MOVING AS WELL. TWO OF THE LAST PIG DABBLINGS AXI.V AND YLL.V ARE READY TO BUST OUT BUT THE INVISIBLE HANDS OF THE MARKET MAKER SEEM TO BE HOLDING THEM IN PLACE FOR NOW. FUNNY THING ABOUT THE STOCK MARKET, THEY ALWAYS SPEAK IN THE HUMAN MEDIA ABOUT THE "LEVEL PLAYING" FIELD IN BUSINESS. WELL....THE PIG SAYS....(YOU HEARD IT HERE FIRST) ITS NOT LEVEL ! FROM BIRTH TO DEATH, THE WAVE IS AGAINST YOU, AND THATS WHY YOU NEED TO FIGHT AND SCRATCH YOUR WAY TO PROFITABLE UNDERTAKINGS ON YOUR MONEY. THE GOVERNMENT NOR THE BUSINESS WORLD WILL HELP YOU GET AHEAD, YOU HAVE TO DO IT YOURSELF.

THE PIG CHECKED HIS EMAIL FINALLY, ON FRIDAY AND FINDS HE IS WAY BEHIND IN RESPONDING, TAKE HEART, HE WILL DO SO. THE PIG THANKS EVERYONE FOR THE TIPS AND SAYS TO KEEP THEM COMING, HE WILL DO HIS BEST TO CHECK THEM OUT AND PUT THEM ON THE BLOG SHOULD THEY SCAN IN A POSITIVE LIGHT. A BIG THANK YOU ALL FOR THE POSITVE COMMENTS. THEY ARE APPRECIATED ! ENOUGH OF THE IDLE GOSSIP....LETS GET PORK..........

ON WITH THE SHOW..........

AAU.V....CAN YOU SAY "RELOAD FOR LAUNCH" ? ONE OF THREE EXCITNG SCANS FOR THE WEEKEND. ITS BEEN ON THE RADAR FOR A MONTH OR SO. ONLY NOW IS IT STARTING TO TURN UP IN MOST SECTORS. THE CHART CONFIRMS THE SCANNER HERE, SOMETHINGS BREWING, AND ITS DRAWING SOME MONEY IN.

STS.V....ANOTHER BIG CHANGE TO THE UPSIDE. A NEW MEMBER ON THE PIGS SCAN LOGS. CAME OUT OF NO WHERE BUT WITH SOME REALLY NICE NUMBERS, CAN WE BE SURE THIS IS FOR REAL ? NOT AT THIS POINT, BUT FOR THE WILDCAT GAMBLERS OUT THERE, IT MAY BE EARLY ENOUGH. EITHER WAY WE WILL WATCH IT. SO SHOULD YOU.

SEK.V...THIRD IN A THEME IT SEEMS, FOR THIS WEEKEND. BIG NUMBERS AND LITERALLY OUT OF NO WHERE. ANOTHER NEWCOMER TO OUR FOLD. AGAIN, THE CHART BEARS OUT THE SCAN RESULTS TO A TEE, SO THE PIG SAYS ITS IN PLAY. BUT LIKE THE REST OF TONIGHTS PICKS

AKV.V...ANOTHER GOOD SCAN OF THE WEEKEND GROUP. ACCUMULATION PHASE IN FULL SWING, MOMENTUM ON THE UPTURN, DECENT LIQUIDITY, AND SENTIMENT INDICATORS TURNING IN HIGH NUMBERS. NO STORY, BUT THE NUMBERS TELL A STORY. THE PIG LIKES THE STORY.

THE PIGS WEEKEND ODDITY........

FRX.V.....THE PIG WILL SAY THIS IS A VERY INTERSTING SCAN. LETS WATCH IT AND SEE HOW IT DEVELOPS. IT MAY HAVE PORKTENTIAL.

New York police defuse Times Square bombThousands of tourists moved and streets closed after T-shirt vendor spots 'amateurish' device in smoking car

Times Square was emptied of tourists after police closed off parts of the area due to a bomb scare. Photograph: Cary Horowitz/REUTERS New York police have defused a bomb in Times Square, one of the most popular tourist destinations in the US.Officers found an "amateurish" but potentially powerful bomb in a smoking vehicle at around 6.30pm (10.30pm GMT) last night.Thousands of tourists were evacuated from the square and the surrounding streets as officers moved in to dismantle the device.



"We are very lucky. Thanks to alert New Yorkers and professional police officers, we avoided what could have been a very deadly event," the city's mayor, Michael Bloomberg, said. "It certainly could have exploded and had a pretty big fire and a decent amount of explosive impact."Police removed three propane tanks, consumer-grade fireworks, two full 19-litre petrol containers, and two clocks with batteries, electrical wire and other components, police commissioner Raymond Kelly said this morning.Bloomberg called the explosive device "amateurish", while Kelly said the consumer-grade fireworks could have caused huge damage on a block of Broadway theatres and restaurants packed with tourists. "I think the intent was to cause a significant ball of fire," Kelly added.Police are reviewing surveillance footage and seeking futher video from office buildings that were not open at the time. Kelly said officers had traced footage showing the car driving west on 45th Street before it parked between 7th and 8th Avenues. There are no immediate suspects or motive.



A white robotic police arm broke windows of the dark green Nissan Pathfinder to remove any explosive materials after a T-shirt vendor alerted a mounted police officer to the vehicle, who noticed that the vehicle had smoke coming from vents near the back seat and smelled of gun powder.The car, which also had its hazard lights flashing, was parked on 45th Street, approximately four miles north of the site of the World Trade Centre.Bloomberg said the vehicle's Connecticut license plate was not registered to the Nissan, and its owner had sent the plate to be scrapped. The car's vehicle identification number had been removed, the mayor added.
Heavily armed police and emergency vehicles shut down the streets yesterday evening, which had been teeming with taxis and theatergoers enjoying one of the first warm days of the year. The south tower of the Marriott hotel was evacuated and several blocks surrounding Times Square remained closed into the night. Officers were deployed around the area with heavy weapons on empty streets in the heart of busy midtown Manhattan.The block that was closed is in the heart of Broadway territory, with seven theatres housing some of the city's biggest shows, such as Billy Elliot and Lend Me a Tenor.



Shelly Carlisle, of Portland, Oregon, said police crowded into her Broadway theater after the curtain closed on Next to Normal, a show on the same block where the vehicle was found."At the end of the show, the police came in. We were told we had to leave," Carlisle said. "They said there was a bomb scare."Katy Neubauer, 46, and Becca Saunders, 39, of Milwaukee, were shopping for souvenirs two blocks south of the car when they saw panicked crowds. "It was a mass of people running away from the scene," Neubauer said. Saunders added: "There were too many people, too many cops. I've never seen anything like it."



Bloomberg left early from the White House correspondents' dinner to be at the scene last night. "We have no idea who did this or why," the mayor said this morning, but added that the city is always a top terrorism target.President Barack Obama, who also attended the dinner in Washington, praised the quick response by the New York police department, White House spokesman Nick Shapiro said.Obama has directed his homeland security and counterterrorism adviser, John Brennan, to advise New York officials that the federal government is prepared to provide support.