GOIH Capital Markets: Yahoo-Microsoft Spread Trade Exited

GOIH Capital Markets exits Yahoo-Microsoft spread trade.....

We had shorted MSFT at $29.15 for 200,000 shares and long Yahoo for 400,000 @ $24.20.


MSFT covered at $28.56


YHOO exited @ $23.88

Net: $0.59 MSFT per share x 200,000= 118,000 profit

Net YHOO $0.32 per share x 400,000 = 128,000 loss


Net Position: $10,000 loss

GOIH Capital Markets: Apple (AAPL) soring on Ipod announcement.

Apple will announce a new Ipod, one with a touch screen later this week it's rumored.

AAPL-----100,000 shares on the open @ $139.94 executed. Will hold for short term profits.


Yahoo (YHOO) rumored to be in play for takeover by Microsoft.

Looking at a risk arbitrage position.....short MSFT long YHOO in ratio spread trade.