Two new stocks to our trading list.

We have backed off some of the larger holdings in some trading stocks AGNC and CTL not because we do not like them, but in a politically charged environment we currently find ourselves in we prefer to keep  our holdings more diversified just in case some candidate attacks a certain group and they take a hit in stock price. We might even go back to both of these stocks after the election because we consider both of them solid going forward for many years. 

Using the opened assets we have added NCT and CLF as new trading securities. 

NCT, Newcastle Investments>  has been one of our favorites all along and this gives us a chance to take part in the mortgage processing business this company is pursuing in greater and greater volume.  There are so many mortgages that are in either foreclosure or close to foreclosure and NCT is buying a good bit of these underwater mortgages at rock bottom prices. Note they are getting sometimes 50% off CURRENT values to take over handling not only private label business, but also government issued paper as well.  NCT keeps them a few years, cleans up the mess, and re-sells them at a handsome profit all the while taking in the mortgage interest. Not a bad business to be in right now and NCT just added a 10% jump in their dividend to show they are making lots of money. We will be adding a short term option and a long term option to our portfolio with this posting. 

CLF, Cliffs Natural Resources,  makes iron ore nuggets and does and smaller amount of coal mining, but iron ore is the key here.  We have had an eye on CLF ever since they raised their dividend earlier this year to over 5%.  That is a nice payout for a metal processing firm and they had serious cash flow to back it up. Of course the economy has tanked and CLF is making much less money now from the huge sales going to China at one time.  The stock has tanked by over 50% and now looks like a bargain.  Personally we believe they can maintain the dividend and when investors notice the price there might be some capital gains here too as well.  We just like bargains and CLF is a outright steal (steel) here. We will be adding it to our trading list now.