David Einhorn’s Comments at the Greenlight Re (GLRE) Investor Day on May 20th 2014

• Bernanke was predictable, but the new chairwoman is less predictable.
• It has been 5 yrs into the recovery. Corporate profits have increased a lot and continue to grow. Current earnings expectations are high at a double-digit growth rate. Q1 numbers are showing the economy growing at  ~1%.
• The fund is fully invested at 114% long and 66% short. It has increased its net long book from 35 to 50%.
• Largest longs are Alpha Bank, Apple, gold, Marvel, Micron, and Oil States International.
• Longs are cash-rich tech companies and businesses benefiting from structural changes. Shorts include secular decliners, momentum stocks, and iron ore related companies. Macro overlay due to monetary policy and unresolved imbalances.
• Divergence between stock and bond markets?  Bond market is saying that economy is slowing down and yields have come down. Yields are not down because of deflation – we are not in deflation as commo

When I brought up this chart to short the miners (XME) in Chat and subsequently posted it in the charts section, it was prettymuch met with the sound of crickets.......but I never said it would be easy.  To my thinking, one would add up near resistance (which we had last week) and cover above it; thereby limiting the risk to ones portfolio.

Well the mining bulls a're finally giving in.

I preferred shorting XME over an individual (possibly weak) miner due to anticipated M&A activity in the area but that's just me.  Blame China slowing down.  Blame an increase in copper production vs. 2013 and no demand.  What does it matter.  Good things come to those who wait,  Come to Mama!