Archive for November, 2007

Mega Deals are Signs of Weakness

Although mega deals are usually good for stock market sector pricing, they aren’t typically positive for sector economics unless you have a dumb seller and dumb buyer. As one of my associates at Lehman Brothers once said, “The Acquirer wants the Acquiree at a low price and the acquiree usually trades at a low price [...]

Is Ethanol’s Cure Worse that the Disease

We have highlighted the developing debate regarding ethanol and whether the problems that it creates are worse than the disease. The Wall Street Journal did a beautiful job yesterday in telling this story.
Nobody does it better…..”

Rating 3.00 out of 5

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Ethanol and the Unfair Argument

The US Government gives ethanol a $0.51 (51 cent) federal subsidy while also imposing a $0.54 tariff on imported ethanol. Even some proponents of ethanol are crying foul. Said one industry insider to Ethanol Blog, “Market Dynamics should not require unfair competitive practices to make ethanol a viable energy alternative.”
Here’s more.

Rating 3.00 out of 5

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Ethanol May be the Presidents Next Disaster

All the signs are now pointing to the fact that ethanol may not be the answer for $100 barrel oil prices. Ethanol prices have tumbled over 50% while some are also blaming ethanol for record crop prices. As one Washington insider who wished to remain anonymous said, “Solving one problem to create a new problem [...]

Some of the Arguments Against Ethanol

There’s more arguments against ethanol each day and smart money is starting to pay attention to some of the naysayers because there are arguments are quite compelling.
I recently read a report titled “Bioofuels:Is the cure worse than the disease?”. The report received a lot of press and I highly recommend reading it.
I just found [...]

Say Yes to Green Energy

As a young man growing up in New York, we used to joke on Saint Patricks Day that we were wearing green underwear. Now it seems that everybody wants to be green and it has nothing to do with being Irish.
I was watching the Democratic Debate last night and I was quite surprised that none [...]

Lower Fuel Prices Means Higher Beer Prices

If you drink a lot of beer, you may want to start an anti-Ethanol campaign. This could also mean a problem for the independent brewer industry or anybody that doesn’t include Budweiser, Miller or Molson. The big companies have the ability to hedge against higher wheat, barley and hop prices but the tremendous growth seen [...]

Is Ethanol the Amswer for our Energy Problems?

With oil prices hovering near $100 a barrel, we must begin to wonder if ethanol is really the answer to our energy problems? If not, how much of an impact will it have to reduce our needs for foreign oil. Keep searching for more alternative fuel. In a recent article written in Energy Policy by [...]

Georgia Set to Break Ground on a Cellulosic Ethanol Plant

Who said that Rumpelstiltskin was a fairy tail? If you live long enough, you may just see a man turn straw into gold and Colorado-based Range Fuels is about to break ground on a new fuel plant in Georgia which will turn wood chips into ethanol.
To date in the U.S., ethanol has been produced from [...]