In This Edition...

Could anything possibly make Michael Phelps even faster than he already is? Yeah, believe it or not, Voyant can make him even faster....in a sense. 

We'll get to that first, but be sure to keep reading after that. I want to take a real good look at the market - I don't like what's coming in the very short-term. 

I'll follow that up with Spicy Pickle's quarterly numbers, which I haven't had a chance to really discuss until today. 
 

	Making Phelps Faster Than Fast

OK, in all fairness I can't fathom anything in or out of the water that could actually improve Michael Phelps' ridiculously-impressive swimming ability. However, some Taiwanese television viewers - perhaps unbeknownst to them - have been watching him perform same amazing feats much faster than they may have been able to otherwise.

Remember RocketStream? Voyant International's (OTCBB: VOYT) software that basically makes the Internet faster? It's being used by several Taiwanese television stations to deliver coverage of this year's Beijing Olympic games.

Lambert Newmedia, Inc. is the master distributor. They're a high-quality supplier of IT solutions to the Taiwanese media industry ...a good partner to have. And the Olympics? It doesn't get any more high-profile than that.

The deeper message is still the same one I've been preaching all along - there's a market for RocketStream. They sold about $133K worth of it last quarter, and about $15K in the quarter before that one (the first one where RocketStream was bearing revenue). Now they've got the Olympics revenue for the current quarter, on top of reaping the rewards of any new seeds they planted last quarter. Plus, I don't need to tell you how big of a deal it will be to put the Olympics on their list of users.

Talk about credibility. The full press release is below.
 

	Stocks Walking a Fine Line

I blogged thoughts on all of this early yesterday, but after getting Monday's closing prices, an update is merited. In a nutshell, I'm expecting higher oil and a weaker dollar to spell trouble for the market. 

Let me take a step back though, to really explain where I'm coming from. 

A strong dollar is generally considered good for stocks. Cheap oil is also considered good for stocks. And, considering a stronger dollar also helps send oil lower....well, let's just say that's a big part of the reason stocks did well over the last month or so.

The problem is, the opposite can also be true - a weakening dollar and rising oil prices can challenge stocks. That's my concern right now...the dollar looks toppy, and oil looks like it's trying to head higher again. That's only a short-term view on both counts, but still leaves investors a little too vulnerable for my comfort.

My gauge for the dollar is the U.S. Dollar Index (UDX), which got stuck around 77 the last two days. My proxy for oil is a barrel of oil (surprise surprise), which seems to have found support right around $110 the last couple of days. Throw in the fact that the stock market itself has stalled at current levels, and you don't exactly hear the bulls screaming 'keep buying'.

It's still a little too soon to say it's all going to pan out badly, even if it is only in the short run. However, I think the odds favor stocks heading south for the time being - I just don't see what's going to keep driving the dollar higher or driving oil lower (there's no fundamental reason for a continuation of either trend). If oil climbs to, say $116 or so, and the U.S. Dollar Index sinks to 76.0, I suspect that'll be all the excuse needed for some stock profit-taking.

I'll be keeping any eye on all three charts in the blog.
 

	Spicy Pickle's Numbers

I'm sure some of you already saw it, but for anybody who didn't, Spicy Pickle's (OTCBB: SPKL) quarterly numbers are out. All in all they're about what you'd expect, though some comments need to be made.

Top line revenue came in at $1.225 million. That was 280% better than the same quarter a year earlier. More relevantly, it was 143% above the prior quarter (Q1 of 2008). That's a pretty good chunk of change. Some of it came from more franchises; most of it came from company-owned stores.

It's also worth breaking out how much of that top line was in royalty and rebate fees. The one-time franchise fees are booked as revenue, but the figure I'm interested in is the royalties and rebates - they're renewable revenue. They totaled up to $259.4K last quarter ...a decent improvement on the previous quarter's $218.2K.

Net income came to a loss of $1.6 million in the quarter. No surprises - they built three new units and bought for existing stores. You'll see the property and equipment value line on the books went up by $1.3 million, so we know where a large piece of that pie went.

The thing to keep in mind is simply that these numbers were created by 34 franchises and 8 company-owned restaurants. That's less than half the number they've already received signed commitments for.

Here's the Voyant news.
 

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