Whenever financial disaster strikes, it is tempting to try to identify the moment when it became inevitable. In the case of MF Global, was it when Jon Corzine, its former chief executive, started trading in European government bonds? Was it when MF Global first bent the rules on using client funds?
My vote, after reading the scathing report by James Giddens, the trustee who is trying to recoup the cash that went astray in MF Global’s crash, is for an earlier moment – when Mr Corzine took the job…
Mr Corzine ran MF Global into the ground with his optimism that he was still the trader he had once been at Goldman.
We may be skating on very thin ice here, but the weight of the evidence still supports a weak bull case for the near to intermediate term. So I’m adding buy picks on the chart pick list and adjusting trailing stops to account for the risk.
These reports are not investment advice. They are for informational purposes, for a broad audience of investment and trading professionals, and other experienced investors and traders. Chart pick performance changes week to week and past performance may not indicate future results, as you know. Trading involves risk, and these reports assume that you understand those risks and manage them according to your tolerance.