Monday, June 21, 2010

Lobbyists Win? Visa (V) and Mastercard (MA) Explode Midday

Hmmm... Goldman Sachs someone knows something.  Both Mastercard (MA) and Visa (V) have exploded upward around 1 PM.  I can only assume some piece of punitive legislation was successfully blocked by lobbyists in the financial regulation bill... and Morgan Stanley 'someone' was the first to know.

As Gordon Gecko says:

The most valuable commodity I know of is information. 

Errr, what I mean to say is whoever got this information before the rest of us are just the "smartest guys in the room"!  (just ask them)  I only wish I had access to information like this were so "smart".  Then I too could put up 100% winning quarters. Look at that volume explosion at 1 PM as insiders trade on information we don't have the free market works.  Gosh those are some "smart people".

[click to enlarge]

Edit 2:30 PM - boo yah, lobbyists win per Morgan Stanley.  Unfortunately this information is much less useful at 2:30 PM rather than having it at 1 PM when I could of been 'smart' and made some "MAD MONEY".

Morgan Stanley's contacts indicate an interchange compromise between House conferees and Senator Durbin's office is in the works that would likely have much less onerous transaction fees, among other agreements, and should be favorable for both Visa (V) and Mastercard (MA).

EDIT 2:55 PM - some laughable events in the options market.

  • Visa July 85 calls had open interest of 6411 but suddenly today somebody bought 4550 contracts
  • Visa July 90 calls had open interest of 916 but suddenly today somebody bought 3143 contracts
  • Visa July 95 calls had open interest of 20... 20! but suddenly today somebody bought 813 contracts
You can guess what I found for Mastercard.  Fair and level playing field folks... yep.

No position

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