Tropical Storm Rita, likely to become a category 1 or category 2 hurricane by the time it reaches Key West tomorrow, is projected to move into the Gulf of Mexico, where it will find plenty of hot water to build strength.

Meteorological alarmist Jeff Masters offers this advice:

The entire stretch of coast from 500 miles south of Brownsville, Texas to Mobile, Alabama is at risk -- no one can say with any confidence where Rita will hit this far in advance. Texas and Louisiana are at the highest risk. The current model trend is to recurve Rita earlier and earlier, so residents from Corpus Christi to New Orleans need to be particulary concerned.

Hurricane Philippe is heading over open ocean and not expected to threaten land.

I took a bath on my Philippe shares in the Yahoo Buzz game, riding them from $12.43 to $15.34 and back down to $10.62, selling at a loss this morning. Prices are set by search results for all stocks in a market, so when Rita jumped from $10 to $20.30 in two days, everything else in the Atlantic Hurricane exchange plunged.

My new strategy is to buy equal shares of every hurricane except Rita, which is the equivalent of short-selling the storm. Katrina only reached a high of $22.49, so I'm betting that Rita's oversold.

I'm currently ranked 8,203 out of 8,520 players.

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-- Rogers Cadenhead

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