The secret of announcing losses is to describe them as “non-cash”, which means that they do not count. As if.
However, should one knock off intangibles from Tesco (TSCO)‘s balance sheet, one is left with £3.3bn tnav. This contrasts with a market valuation of the order of £19bn. This is quite alright provided one reckons that Tesco will alter its part in food distribution so to compete. It may do and, then again, it may not. The share price looks vulnerable as matters stand.
Asia Resource (ARMS) stands at around 36p. I can’t think why. There is 41p in effect on the table and the Gnat is hovering in the background. What will it offer? 45p? 47p?
I suppose that Hounslow is the perfect sotto voce base for setting out to own the world but Mr Sarao seems to me to have behaved entirely legitimately in causing the Henny Pennies to give him some money.
I long ago decided that to the authorities’ minds (if such is the right word to describe the void between their ears) manipulation is something they would like to be able to engage in but finding that they do not know how to do it attribute this sin/crime to someone who does. This must be the basis of Mr Sarao being fingered. For it seems that he placed orders to sell or seemed to place orders to sell which on enquiry were withdrawn a tiny fraction of a second before they could be met. However, this lifting of the skirt deceived the Henny Pennies into selling and thus allowed weak market conditions for Mr Sarao’s nimble computer to buy. Apparently, Mr Sarao has made £27m. Good on Mr Sarao.
The problem will be that the USA will seek to have Mr Sarao extradited so that he can be framed there. I hope (but do not expect) that the judiciary over here will ask the Americans to explain themselves which of course they cannot. However, for the time being, Mr Sarao and family should steer clear of Disneyworld.
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