KAPOW!!!!

Stepped in front of that one!!

Let me get back up and dust myself off after stepping in front of the Energy Sector train.

Apparently BHP still has enough money after paying for it's spill in the Gulf of Mexico because yesterday it decided to buy HK for approx $38 per share.  BHP MUST REALLY HAVE A LOT OF MONEY because HK closed the day before at $23.49.

Check out the chart of HK:

Yes, that dot in the upper right hand corner of the chart represents the price of HK yesterday.  Nice little spike in volume, huh?  A mere 62% increase from the prior day.  For giggles, I looked at how much it would cost to buy one of the Call Options for HK on Thursday, it was approx $1.00 (or $100 really).  You could have sold that same option for approx $14.00 (or $1,400) on Friday.  Now THAT'S an ROI!!!!

Thanks to BHP, the entire energy sector (XLE) was lifted and was the highest closing sector yesterday.  XLE had a 2.69% increase from it's closing price the day before.  Here's it's chart:

The overall markets gained in the .33% to 1.37% range respectively.  Here's their charts:

So, BHP really pulled up the Energy Sector (Oil and Gas even more), when all the other market sectors were really flat.

Why do I care?  Because the trade on put on the very day before was PXP, which is in the Oil & Gas part of the Energy sector.  Onto the next blog entry...