Before I get into today’s E&C, trading guru Ian Cooper wanted to update you on his recent, winning scores.

Ian, take it away...

Energy Legislation

Energy Bill speculation leads to 11-day 34% and 52% Gains

Nothing says “global warming emergency” like two inches of snow.  That’s what fell on the nation’s capitol, Wednesday.

Still, despite the ice and snow, a Senate committee passed legislation to combat global warming.

With the Bali climate talks underway, the end of the legislative session approaching, and the Iowa caucus weeks away, energy legislation lives on for another day. 

But the bill that’d boost vehicle fuel economy requirements by 40% by 2020, increase ethanol use by 2022, fuel alternative energy, including solar, and force $13 billion in new taxes on big energy companies, may now face resistance from the Senate and a possible presidential veto.

Senate Republicans and the Bush administration are threatening to block the bill if it includes a $21.5 billion tax package and a mandate that utilities get 15% of power from renewable sources.

But bill, or no bill, speculation of its passage helped Small Cap Trading Pit readers realize 34% on half of the Hoku Scientific (HOKU:NASDAQ) recommendation, and a current 52% gain on the second half. 

(Note: As of today, the stock is up another $0.50 on news that it entered a finance agreement with Merrill Lynch for up to $185 million for polysilicon plant construction. In addition to the loan and any HOKU cash contribution, Sanyo Electric, Suntech, Global Expertise Wafer Division, and Solarfun Power Holdings agreed to prepay a combined total of about $240 million for future product shipments.)

As I’m sure you can imagine an 11-day gain is excitable. 

Geoff, for instance, tells me, “Thanks I now have 150 shares of HOKU for free....  Signed up for the SC Trading Pit on Monday, bought into HOKU @ $7.92/sh on Tuesday,

Thursday AM sold enough shares @ $12.00/sh to recoup my original investment which left me 150 shares of HOKU for free :)  Does it get any better this? At the time of this letter that’s a $1700 gain in just 3 days or 150 free shares of a stock that has a great future.”

Francois tells me, “I had bought calls on Hoku on your alert and realized a 146% net gain in a couple of days!”

Ain’t it grand?

Ian L. Cooper
http://www.sctradingpit.com

 

Same Day, Different Year… Same Fight

A lot of people don’t know this about me, but I have hillbilly blood running through my veins.

It’s true. My grandfather was a country boy from the Smokey Mountains in Tennessee. He grew up in a small town called Rockford.

If you don’t know where Rockford is (and who would?), it’s not too far from the tourist attractions of Pigeon Forge, Dollywood, and Gatlinburg.

Pops was 6’4 and very thin. But even as a teenager, his wiry frame belied his strength. In fact, the story goes that he got his nickname “Buck” (as in a male deer) after a customer at the general store where he worked saw him carry three 75-lb bags of potatoes without straining or ever breaking a sweat.

For the most part, he lived a satisfying and comfortable life of a young country gentlemen.

But that ended on December 7, 1941.

The day after the Japanese attacked Pearl Harbor, my grandfather joined the Army. Naturally, because of his strength, he was chosen to haul and operate the .30 caliber machine gun for his platoon, which was part of the Red Bull Division.

He fought in North Africa, Sicily and then to Anzio, where he was wounded by German artillery. He visited more nations in 3 years than I probably ever will in my lifetime.

Although he never served in the Pacific theatre, the attack on Pearl Harbor resonates with me because it was the official start of America’s involvement in World War II.

The Japanese raid on Pearl Harbor was one of the great defining moments in history. A watershed event for America.

A single carefully-planned and well-executed stroke removed the United States Navy's battleship force as a possible threat to the Japanese Empire's southward expansion.

America, unprepared and now considerably weakened, was abruptly brought into the Second World War as a full combatant.

Eighteen months earlier, President Franklin D. Roosevelt had transferred the United States Fleet to Pearl Harbor as a presumed deterrent to Japanese aggression, as they badly needed oil and other raw materials to continue its imperial ambitions.

Japanese access to oil was gradually hampered as its conquests continued. In July 1941 the Western powers effectively halted trade with Japan. From then on, as the desperate Japanese schemed to seize the oil and mineral-rich East Indies and Southeast Asia, a Pacific war was virtually inevitable.

By late November 1941, with peace negotiations clearly approaching an end, U.S. officials fully expected a Japanese attack into the Indies, Malaya and probably the Philippines.

By December 7, 1941, they’re thinking was validated.

It might be 66 years later, but the world is still fighting over oil. And I’m afraid to say that I see more conflict in the years ahead over black gold.

In memory of the Americans who fought and died in World War II,

Brian Hicks

"Energy stocks... The only way a human is going to make any money."

-- Matt Simmons, Peak Oil's first and most vocal proponent,
and founder of the country's last pure play energy investment banking firm.

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In early 70s Scientific American
published a world view of the flow
of OIL from OPEC nations to RoW.
BULK of the oil coming out of gulf
went to 2 countries; Germany & Japan
It showed America received BULK of its foreign oil from one OPEC nation.
Venezuala. It explains foreign policy
that US will do what it has to do to
ensure a viable supply of OIL
"We have met the enemy & he is US."

Thanks: good to hear a clear voice on american actions. the water is getting very muddy these days. The Chinese-Darfur game about playing with the lives of the villagers, at the UN has been all about getting oil. thousands have died and displaced.

Thanks for remembering. With the focus on an elusive al kayda, everyone seems to forget their grandfathers and grandmothers that were involved, or were caused to be involved by the japs.

Thanks again.
Michael

As a som of a Pearl Harbor survivor, I really enjoyed your story.

For a rather well-planned attack, with oil as an inspiring motive, it is really ironic that they made no attempt at all to hit the oil depot or the oil reserve facilities. Doing so would have crippled the US fleet with far less US outrage than as in fact occurred.

It is also ironic that sinking US ships in only 50 or so feet of water, in some cases on yards away from the finest shipyards facilities in the entire Pacific arena, ensured that all but THREE of the ships there were returned to action. Thus, the US was able to have a full fleet in action only three months later at the Coral Sea (where my father lost his cousin Eugene), AND then repair the badly damaged YORKTOWN well enough to DESTROY the Japanese carrier force at Midway less than 6 months after the Pearl Harbor attack.

Thanks again for remembering our veterans. Thank your dad for his service.

Very good article Brian. Sort of relives history. I was teen at the time and the japanese raid on the US Fleet was quite a blow.Glad
it turned out the way it did, But what it took was quite extreme to effect that nuclear attack. War is a bad scene no matter how you look at it, and us humans are still doing it to each other to this day.
There is always someone suffering from war someewhere on the earth every day. Enjoyed you recollections though. Best regards,
Don Herd, Vancouver, BC

Looks out for this that together we will move the civilization forward, though nobody know how much this has to cost...
Peter
Tullamore

Thanks for remembering; let us never forget...and may we learn from history

Sorry, Brian, but your knowledge of history seriously needs updating. Franklin Delano Roosevelt & Co. had decided to get into WW II through the “back door” by provoking Japan. After cutting off all of its oil (we were then an oil exporter) except what it needed to run its navy(!), the Prez forced that country to seize the Indonesian (then Dutch) oilfields. To make a long story short, historians have now, through the Freedom of Information Act, gotten access to the long-hidden records on how FDR tricked the Japs into attacking Pearl Harbor. Through our electronic surveillance intelligence, we knew the exact time and place, practically down to the minute, when the attack was coming. The U.S. government propagated the myth, swallowed whole by the populace ever since, that it was a “surprise” attack. Do a little reading and you’ll discover the truth. If you can take the truth, that is.
- Theedrich

I loved Brian Hicks article, not only
for the usuable information, but also
his relation to the Smokey Mountains,
long before Dollywood existed. That
is my old stomping grounds some time
ago, and brings back fond memories.
Thanks for the article, I shall
certainly look forward to incoming
information.
Jackie Holmes

Yes, Pearl Harbor was a tragedy in our nation's history. However, if you have visited Pearl Harbor you will find that even our US Park Service acknowledges that FDR and his administration ALLOWED the attack to take place....knowing that America's sentiment about entering the war would change as a result of being "attacked first". The only ships lost were the older ones still in the harbor. The real tragedy was the loss of life by our military forces.