All we know one more trading day later is people are convinced this deal will happen, happen higher or some yutz or group of yutz’s (yutzem?) pays more for this new media conglomerate. I mean Yahoo is almost fully priced at Microsoft deal offer now. The freaking arbs are hard up for deals to….well…ARB!

All we know is that Google could probably care less. They do care enough to dispatch a few hundred Google Lawyers (still awful people even though they practice law for GOOGLE) to just mess around and run up bills about this and that.

All we know is Microsoft lost another percentage point today. The ‘ol closet indexers are pissed off.

Al we know is that Yahoo would be NUCKING FUTS to pass on this deal.

All we know is Google is getting sold on any news it releases. That’s good for me and my kids – my kids buying today by me.

It’s not that complicated accept for the arbs and traders pressing their luck on Yahoo at $29.

All I DO Know for sure is the risk in the market went up further on this merger news which created uncertainties we don’t need. Valuations will get held back at least until a final deal is struck in M.Y.M.A.

PS – Fred has another good post on the deal – actually how Yahoo can get out . Ya right!

When the market turns again, look for the software leaders to continue their runs. The sector is in play.

Maybe perennial dog Symantec?

Disclosure- Ling INFA and CTXS and VRSN

A weak dollar just makes the $1 billion Bear Stearns Investment from Citic a steal. The sound bites from James Cayne (last bank to the party) are a joke (stick with Goldman as I have always said). The big money to be made off this news is to sell your business now while the getting is good. Foreigners have a history of paying top dollar for US assets only to give them back a few years later.

That all said, this time may be different (China is not Russia, Japan, or France).

First, they are buying into Bear Stearns down 30 plus percent from all-time highs. They are buying it with US dollars that cost them a nickel a piece.

Basically they got this piece of Bear Stearns for squat.

Interesting times indeed and a great time to be a bull. Tons’s of bears, no IPO’s, a weak dollar giving us a bazillion mergers, and US companies with foreign exposure are getting a huge competitive advantage, whether they deserve it or not.

I named some posssible winners and bought them – Citrix, INFA and ADBE which all did great this week. BUT, the comments had the big winners and that’s way cool. My friend Ross nailed Cognos (COGN), up 15 percent this week, but the big winner was BEAS.

Here’s classic FLY introducng his choices into my comments and my reply:

FLY – Fuck you guys – Icahn says buy BEAS. You buy BEAS, else get clipped outside your favorite bakery.

Howard - Hows motorola coming for that old fart – He should be focused on Pfizer/viagra for the sake of his old shriveling
weenie.

I was wrong by just trying to be a smartass, but FLY was serious and had a good idea of a company already in play. I should have looked a little further as BEAS got a huge bid this week from Oracle and even had the ‘balls’ to turn it down.

Software will stay hot as per my post and kudos to The Fly on both Beas and CRM (Wallstripped ).

Off to play Pacific Dunes now!

Disclosure – Long ADBE, CTXS nd INFA

Now we know why tech is strong and won’t dip. Look for software stocks to start making biiiiig gains. Have you been watching VMWare since it’s IPO. I have and we have and it’s on freaking fire . Tonight SAP put a whole bunch of stocks in play. I am not long software other than Adobe and Verisign. I will be adding a few names tomorrow.

If you check out Business Objects Google Finance Page you will see all the HUGE names in the space. One smaller name…Informatica (INFA), looks quite lovely.

I am scouring tonight. Maybe Citrix (CTXS) , at all-time highs (back out bubble).

If you are going to speculate, DO IT IN A BULL MARKET. This is when silly shit happens and you should not apologize or feel guilty. Just don’t be wreckless…you are not smart.

I love Sunday nights in bull markets. Go to work. Talk to me with some other names….

GAME ON!

Disclosure – Long Verisign and Adobe, BUYING INFA and CTXS

It sure was fun waking up to the juiced mergers everyday. Sure the odd/big merger is still happening, but that valve just shut right down 3 weeks ago.

With the weak US Dollar that our current administration has NO INTERST in stopping, I do not expect that to last and those lovely 6am PST wakeup to 25 percent gaps should be back soon.

I love this kind of open thinking. I also agree. Lot’s of integration too with the new Google Finance.

Along those lines it makes absolute sense for Google to enter the financial world in a big way with a purchase of an online broker. The data that Google would get from entrenching themselves in the financial world would be sick. You can’t stop it so, might as well embrace it.

If Apple buys Oakley and solidifies themselves in the fashion industry, 2007 could start getting interesting.

I have been negative on Satellite radio for …forever.

We all knew it was coming and when it arrived…the blogosphere exploded, but the market yawned.

Roger Ehrenberg ran Monitor 110′s engine for us and produced this deep gem on the merger and possibilities .

It’s a monster deal for sure and who the hell will ever figure it out, no one knows. Smarter, more informed people than I say that it will be pushed through Antitrust. My gut says it will as well. Too much at stake to let both be flushed as stand alones. They would spend themselves into oblivion eventually.

What irks me is that management is getting rewarded for drunken behaviour, while shareholders have seen value bludgeoned.

It’s an intersting inflection point for the industry. Sirius has less subscribers, but more passionate users and a bigger market cap. I tried out XMSR during the Wallstrip Show , in the Wallstrip Scion (soon to be a Bentley :) ). The Scion rocks, XMSR is lamo.

It is frustrating to see so many people waste so much investing energy on what is a giant finacial train wreck. The cost savings could turn this mess around as The Washington Post speculates, but the stock’s have so much market cap built in, that I don’t see the growth story. How about these 10 issues that Wired Magazine’s blog points out .

To short this industry seems just as foolish at this time. Sirius users, love the product . It’s a warzone with so many conflicts, you don’t have the tools to succeed.

It will be interesting to watch this unfold from the sidelines.

BTW – driving with Lindsay is a panic :) . Thanks to Jon Labes and crew for a great edit job.

Disclosure – Long Lindsay and Fresh Bread and no positions in the stocks mentioned.

Investment Tips for 2007:

For all of you with any money left, be aware of the next expected mergers so that you can get in on the ground floor and make some BIG bucks. Watch for these mergers in 2007:

1. Hale Business Systems, Mary Kay Cosmetics, Fuller Brush, and W.R. Grace Co. will merge and become: Hale, Mary, Fuller, Grace.

2. Polygram Records, Warner Bros., and Zesta Crackers join forces and become: Poly, Warner Cracker.

3. 3M will merge with Goodyear and and become: MMMGood.

4. Zippo Manufacturing, Audi Motors, Dofasco, and Dakota Mining will merge and become: ZipAudiDoDa.

5. FedEx is expected to join its major competitor, UPS, and become: FedUP.

6. Fairchild Electronics and Honeywell Computers will become: Fairwell Honeychild.

7. Grey Poupon and Docker Pants are expected to become: Poupon Pants.

8. Knotts Berry Farm and the National Organization of Women will become: Knott NOW!

And finally:
9. Victoria ‘s Secret and Smith & Wesson will merge under the new name: Titty Titty Bang Bang

PS – Mergers are getting bigger and happening more often these days. I don’t expect that to slow down anytime soon. One of the best hedge fund indexes the last year was MergerArb. They had pretty much bored most investors to death the previous 5 years and I don’t think last year was a fluke.