Vale

Vale got a 65% increase in iron ore prices from Japan and Korea. China will have to pay up next. This is at the high end of an estimated 30-70% range. The concensus was that they would meet in the middle at 50%. Let's see how much Vale is up tomorrow. Russ Winter predicts that there will be some bailout of the monolines announced on Tuesday in order to separate the "good" muni bond business from the "bad" derivative insurance business. Russ predicts that they are just trying to unload muni bonds onto Aunt Millie because that will be the next shoe to drop, as tax revenues implode. I wholeheartedly agree.