MCM Macro 12/31/07...

Stocks Discussed: GLD, NKE, BONT, and WYN...

MCM Trades/Fades
1. sold all my Gold (GLD) this morning, $82.69... with the position up +5.2% for us, Gold has out performed the S&P 500 by a considerable margin since we rang the inflation alarms 6 weeks ago. You'll recall that a retest of the $83 level looked reasonable to me (you'll also recall that i'm rarely capable of holding out for that last bid!). We'll buy it back on down days; US stagflation thesis remains, even though its morphing into consensus at this point.

2. covered all my Bon Ton (BONT) today, $9.49... this remains MCM's top US Retail Bankruptcy candidate, and it looks like sellers are starting to consider the same, finally... short gains are meant to be taken, especially as this stock makes new lows on the last day of 2007. I'm locking down another 23% short gain here. Reshort it on up days.

3. covered all my Wyndham Hotels (WYN) today, $23.31... locking in another gain on the short side into year end selling. This was a great investment on the short side into JP Morgan's upgrade closer to $30, on the notion that Wyndham's time share business was going to be fine. Broadly, understanding that economic cycles are more powerful than myopic management teams will continue to represent a tremendous opportunity for plain vanilla short sellers in 2008.

4. covered all my Nike (NKE) today, $64.18... the stock has corrected since we said short the Street's euphoria, at the 52 week high a few weeks back. A nice 4.2% gain to ring the register on in celebration of a solid 2007 for our MCM Momentum Modelling shorts.

Best of luck and health to you and your families for 2008,

Keith McCullough
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MCM Themes
Fed Centric/Fed Cut bull case is the Tree; Access to Credit/Capital the Forest... -Nov07' Rebalancing to the Left; look for Socialism to regain her footing, Globally, in 2008... -Nov07'
Bonds, Banks, and Bailouts; Blue Magic is bad, in the end... -November 07'
''US$ Bottoming is a Process, not a Point' -November07'
'YouTubing America' - Transparency/Accountability will transform Washington to Wall Street -Dec08'
'Paulson & the Fed Centrists want you to call 1-888-995-HOPE' -Dec08
'The Double Edged Fear Sword: Fear is now the dominating market factor, not Credit - Fear for Fed Centric Bulls & Consensus Bears alike'-Dec08'
'Global Basic Food Consumption Growth will takeover from the consensus "Its Global this time" Industrial Production Growth story in 2008'-Dec08'
Litigations & Redemptions' - The Tide has rolled out on the Levered Long Community'-Dec08' _________________________________________________

Closed Out Positions (realized gains in green, losses in red)

Long
EWH (bought 20.70, sold 21.35) = +3.1%
BBY (bought 46.60, sold 49.40) = +6.0%
MLHR (bought 26.70 , sold 27.65) = +3.9%
HOG (bought 45.10 , sold 49.96 ) = +10.8%
EAT (bought 21.54, sold 22.44) = +4.2%
EBAY (bought 31.70, sold $34.91) = +10.1%
TOL (bought 22.30 , sold 21.51) = - 3.5%
EWH (bought $22.73. sold 21.98) = -3.2%
COST (bought 69.67, sold 68.74) = -1.3%
RSX (bought 49.32, sold 51.36) = +4.0%
HOG (bought 48.20, sold 46.55 ) = -3.4%
KGC (bought 17.33, sold 17.74) = +2.4%
GLD (bought 78.60, sold 82.69) = +5.2%

Short
RIMM (short 113.90, cover 111.60) = +1.0%
DAVE (short 14.24 , cover 13.60) = +4.5%
DLTR (short 28.51, cover 26.47) = +7.2%
HTZ (short 19.29, cover 18.58 ) = +3.7%
TGT (short 57.93 , cover 59.04 ) = - 1.9%
SPG (short 90.60, cover 94.10) = -3.9%
LIZ (short 25.58, cover 24.19) = +5.4%
BKC (short 26.74 , cover 25.80 ) = +3.5%
EWP (short 68.03, cover 67.47) = -0.82%
HAS (short 27.51 , cover 26.35) = +4.2%
DLTR (short 29.52, cover 28.18 ) = +4.5%
CPB (short 35.62, cover 36.76) = -3.2%
IPAR (short 20.48 , cover 16.47) = +19.6%
TLF (short 4.04, cover 3.27) = +19.1%
AN (short 16.99, cover 16.70) = +1.7%
WYN (short 28.19, cover 27.39) = +2.8%
MCD (short 63.35, cover 61.22) = +3.4%
DLTR (short 29.46, cover 27.66 ) = +6.1%
MA (short 219.44, cover 212.72) = +3.1%
SHLD (short $112.51, cover 104.37 ) = +7.2%
BKC (short $28.02, cover 27.70 ) = +1.3%
EWW (short 59.40, cover 55.83) = +6.0%
GE (short 37.60, cover 36.48 ) = +3.0%
JBX (short 28.49, cover 25.74) = +9.6%
BAGL (short $20.15, cover 16.43) = +18.5%
KSS (short 52.64, cover 45.37) = +13.8%
TLF (short 3.25, cover 3.05) = +6.2%
TGT (short 55.23, cover 49.99) = +9.5%
RIMM (short 103.53, cover 116.98) = - 12.99%
HAS (short 27.15, cover 25.80) = +4.97%
BONT (short 12.26, cover 9.49) = +22.6%
WYN (short 25.01, cover 23.31) = +6.8%
NKE (short 67.01, cover 64.18) = +4.2%

MCM Disclosure/Disclaimer: This email and/or blog is for a select group of my friends, and represents a beta test of an idea that i am incubating. My email and blog writings are prepared without regard to the unique circumstances or goals of those who read them. They do not provide investment advice that should be specifically acted upon without considering the all encompassing range of investment information and/or considerations available in the public domain and/or without considering all appropriate professional advice. This should not be considered a solicitation to buy or sell any security or to participate in any investment strategy. The information and editorials in these writings are not necessarily complete or perfectly accurate and are not guaranteed by Keith McCullough or MCM. This information is protected from disclosure and constitute opinions only as of the date of their issuance. Opinions are subject to change without notice, and Keith McCullough or MCM do not accept any liability whatsoever for any losses estimated to be attributable to any use of this content. Keith McCullough and/or McCullough Capital Management, Inc. likely owns and/or is currently trading in all of the securities cited in these emails and/or blogs