STOCK MARKET WATCH, Tuesday 10 January

[ozymandius]

Tuesday January 10, 2006

COUNTING THE DAYS
DAYS REMAINING IN THE * REGIME 3 YEARS, 12 DAYS
DAYS SINCE DEMOCRACY DIED (12/12/00) 1846 DAYS
WHERE'S OSAMA BIN-LADEN? 1545 DAYS
DAYS SINCE ENRON COLLAPSE = 1507
Number of Enron Execs in handcuffs = 19
ENRON EXECS CONVICTED = 3
Other Arrests of Execs = 54


U.S. FUTURES & MARKETS INDICATORS
NASDAQ FUTURES-----------------------------S&P FUTURES




AT THE CLOSING BELL WHEN BUSH TOOK OFFICE on January 22, 2001
Dow - 10,578.24
Nasdaq - 2,757.91
S&P 500 - 1,342.90
Oil - $27.69/bbl
Gold - $266.70/oz.

AT THE CLOSING BELL ON January 9, 2006

Dow... 11,011.90 +52.59 (+0.48%)
Nasdaq... 2,318.69 +13.07 (+0.57%)
S&P 500... 1,290.15 +4.70 (+0.37%)
30-Year Bond 4.57% UNCH (UNCH)
10-Yr Bond... 4.38% UNCH (UNCH)
Gold future... 550.50 +9.30 (+1.69%)






GOLD, EURO, YEN, Dollars and Loonie


PIEHOLE ALERT

Heads Up!
Preliminary info on appearances by Bush & Co. throughout the country. Details & links are added as they become available so check back. And if you know more, are organizing something, or would like to, contact [e-mail]

For information on protests and other actions Citizens For Legitimate Government

[ozymandius]

1. WrapUp by Rob Kirby

THE ROAD AHEAD

For those of you who have not been paying attention, there has been a considerable amount written recently about the Fed’s announcement to “abolish” the publication of M3 (money supply) data. Most of what is being written centers on the notion that M3 data is going to be withheld to mask visible statistical manifestations of INFLATION.

-cut-

Another notable and highly relevant piece that ‘caught my eye’ was Robert McHugh’s most recent offering, The Fed's Money Supply Armament is Underway. In this well timed, well researched effort McHugh gets at the heart of the soon to be discontinued M3 issue when he reveals,

M-3 has been launched into outer space, up another $56.3 billion last week, up $92.4 billion over the past two. This is some real horsepower. Over six weeks, the meaningless figure, ahem, is up $177.8 billion. These annualized growth rates are 28.7 percent, 23.6 percent, and 15.3 percent respectively. Those are the seasonally adjusted figures. The raw, non-seasonally adjusted, figure is up $293.3 billion over the past 12 weeks, on a pace to add 1.2 trillion in money to the economy. Wow. There must be a need for this. Maybe the master Planners see a coming need to monetize our debt? To support markets? They tell us the economy is good, so clearly they cannot be stimulating our way out of a recession. There's a lot of money flooding the economy and it has to go somewhere. Right now it is lifting markets.

That’s right folks – soon to be discontinued money supply data ALREADY showing annualized growth rates in excess of 28% - and the Fed would have us all believe that this is a non event. McHugh opines that the “master Planners” perhaps see a coming need to further monetize (the) our debt?

more...

http://www.financialsense.com/Market/wrapup.htm

[54anickel]

15. Gotta bring back UIAs post from last week on this one....I've got a hunch

that the M-3 decision plays a part in the Feds new tool kit.

Fed deflation tools can work if understood - study
http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2006-01-04T190405Z_01_N04310740_RTRIDST_0_ECONOMY-FED-DEFLATION.XML

snip>

Absent an effective way to lift the economy if rates had already hit rock bottom, a large economic shock could result in a severe recession exacerbated by deflation, which is a widespread collapse in consumer prices.

"Many of the proposals for dealing with the zero bound rely on influencing expectations, both of future interest rates and of future inflation," David Reifschneider and John Roberts said in the study, which was recently posted to the Fed's Web site.

"While recent experience suggests that financial markets may quickly understand and react to a shift in monetary policy, we think it is less likely that firms and households will respond immediately," they wrote.

Reifschneider and Roberts said it seemed fair to assume companies and households would respond to changes in a policy that has been in place for some time, but not so clear that that would be the case if a new approach was implemented.

"We show that the degree of understanding of those outside of financial markets matters a great deal to the efficacy of many of the proposed remedies," they said.

more...


Feeling like a mushroom yet?

[ozymandius]

2. One report today

10:00 AM Wholesale Inventories Nov
Briefing Forecast 0.6%
Market Expects 0.5%
Prior 0.2%

[UpInArms]

34. Wholesale inventories expand in Nov.

Stocks increase as sales have biggest drop since April '03

http://www.marketwatch.com/news/print_story.asp?print=1&guid={7A056F9C-F652-4FEC-BEE3-97E764AA94F8}&siteid=mktw

WASHINGTON (MarketWatch) - Inventories at U.S. wholesalers expanded in November as sales dropped 0.7% while inventories climbed 0.4%, the Commerce Department said Tuesday.

The inventory-to-sales ratio rose from a record low 1.14 months in October to 1.15 months in November.

The gain in wholesale inventories was in line with expectations, according to a survey conducted by MarketWatch. See Economic Calendar.

Financial markets rarely react to the wholesale trade data. They are chiefly of interest to economists, who use the data to fill in gaps in their estimates of gross domestic product.

The decline in November sales was the first since February and the largest drop since April 2003.

In addition, sales in October were revised down to an increase of 0.9%, compared with the initial estimate of a 0.9% rise.

The decline in sales was widespread. Petroleum sales fell 7.0%, furniture sales fell 2.3%, the biggest decline since December 2002. Auto sales fell 0.7%.

Sales of durable goods fell 0.5%, while sales of nondurables fell 1.0%.

...more...

10:00am 01/10/06 U.S. NOV. WHOLESALE INVENTORY-SALES RATIO RISES TO 1.15

10:00am 01/10/06 U.S. NOV. WHOLESALE SALES DOWN 0.7%, FIRST DROP SINCE FEB.

10:00am 01/10/06 U.S. NOV. WHOLESALE INVENTORIES UP 0.4% AS EXPECTED

[ozymandius]

3. Fed Reports Consumer Borrowing Falls Again

WASHINGTON - Consumer borrowing fell in November for a second straight month, the first time that has occurred in more than 13 years.

The Federal Reserve reported Monday that borrowing declined at an annual rate of $648.8 million in November following a record rate of decline of $8.4 billion in October.

The weakness in November caught analysts by surprise. They had been expecting a rebound in borrowing based on the fact that consumer spending and consumer confidence both revived in November, reflecting a drop in gasoline prices.

The $8.4 billion rate of decline in borrowing in October was a record for a single month and reflected a sharp drop in auto sales, which had soared during the summer as automakers offered attractive sales incentives.

more

[54anickel]

18. ARRRRGH!!! It's time to step away from the computer before I hurt

myself...

snip>

"People are still using the equity in their homes to finance spending," said Mark Zandi, chief economist at Moody's Economy.com. "It is much cheaper to borrow against your home than to use your credit cards."

Cheaper? Probably if only looking at interest costs. Riskier? You bet your bippie! I just cannot believe they continue to expect and condone people to hock their homes! "Hey honey, take the deed down to the Pawn shop and see what you can get for it" :bangshead:

[UpInArms]

19. check out this paragraph from the delinquencies article

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2006-01-10T132919Z_01_N10237796_RTRIDST_0_FINANCE-DELINQUENCIES.XML

excerpt:

Within that composite, personal loan delinquencies rose to 1.98 percent in the third quarter from 1.94 percent.

While home equity loan delinquencies fell to 2.33 percent from 2.75 percent, property improvement loan delinquencies rose in the third quarter to 1.55 percent from 1.52 percent. Also, past-due payments on home equity lines of credit -- the lowest delinquency rate category -- increased to 0.46 percent from 0.43 percent, the group said.

[54anickel]

22. We're on the same wave today - see my post #21 eom

[AnneD]

28. Morning Marketeers,

:donut: Those delinquency stats are sad but not surprising. I have the feeling they will continue to increase as real consumer earnings decline (trading one good paying job for 2 low wage jobs if you can find them)and inflation continues. Once the RE market settles, there will be so many that are upside down in their loans they won't be able to borrow their way out of this mess. All it will take is one good shock to the economy and I see a lot of potential tremours.
Happy Hunting and watch out for the bears.

[reprobate]

68. Iranian bourse. China retrenching from dollar.

Do you think these could be the shocks you refer to?

[AnneD]

74. Yes, among others...

like Real Estate bubble bursting and banks holding too many notes, fluxes in oil prices that will hobble the economy, profound and persistant unemployment or underemployment, and an unaddressed alternative minimum tax. And then there is the (not so) off the wall stuff like another direct terrorist attack, a health crisis (like SARS)that will not only hurt the economy but cripple what is left of the healthcare system, and of course the ever popular hurricanes and earthquakes.
I did not even address the deficit or our leadership, because frankly, I am bummed out already and don't want to dwell any more on it.

[ozymandius]

4. Crude Oil Prices Fall on Milder Weather

SINGAPORE - Crude oil prices slipped Tuesday amid expectations that fuel stockpiles in the United States grew last week and as milder weather in many parts of the country dampened demand for heating oil.

Light, sweet crude for February delivery fell 39 cents to $63.11 a barrel in Asian electronic trading on the New York Mercantile Exchange. The contract fell 71 cents to settle at $63.50 a barrel Monday.

-cut-

Analysts expect that the midweek U.S. government data on fuel inventories will show that stockpiles of heating oil and other distillate fuels have grown.

According to an average of estimates from 10 analysts polled by Dow Jones Newswires, distillate stocks — which include heating oil and jet fuel — were expected to jump about 1.7 million barrels last week. A rise of that size would push distillate stocks to just above the U.S. federal Energy Information Administration's five-year average.

more

[UpInArms]

41. Feb Crude @ $63.90 bbl - Feb NatGas @ $9.34 mln btus

10:07am 01/10/06 FEB CRUDE CLIMBS 40C TO $63.90/BRL IN EARLY NY TRADING

10:07am 01/10/06 FEB NATURAL GAS DOWN 2C AT $9.34/MLN BTUS

[UpInArms]

57. Crude prices pull back from the session's high (@ $63.60 bbl)

http://www.marketwatch.com/news/newsfinder/pulseone.asp?dateid=38727.5026629398-856838543&siteID=mktw&scid=0&doctype=806&property=symb&value=&categories=&

SAN FRANCISCO (MarketWatch) -- February crude was up 10 cents at $63.60 a barrel in afternoon dealings, but trading off the session's high of $64.10. "Mild temperatures undercutting heating demand are at least partially responsible for the turn, but we think the lack of fresh bullish fundamental news behind the prior advance is gaining some recognition as well," Tim Evans, a senior analyst at IFR Markets said in a research note.

[UpInArms]

60. Summary of DOE energy costs report: Bend Over

12:13pm 01/10/06 ELECTRICITY HEATING BILL TO RISE $72 OR 10% THIS YEAR: DOE

12:13pm 01/10/06 PROPANE HEATING BILL TO RISE $184 OR 17% THIS YEAR: DOE

12:13pm 01/10/06 HEATING OIL HEATING BILL TO RISE $275 OR 23% THIS YEAR: DOE

12:13pm 01/10/06 NATURAL GAS HEATING BILL TO RISE $257 OR 35% THIS YEAR: DOE

12:08pm 01/10/06 U.S. ENERGY DEMAND TO RISE 1.4% IN '06, '07: ENERGY DEPT.

12:08pm 01/10/06 NATURAL GAS PRICE TO AVERAGE $9.80 IN '06, $8.84 IN '07: DO

12:08pm 01/10/06 RETAIL GAS PRICES TO AVERAGE $2.41 IN '06, $2.33 IN '07: DOE

12:08pm 01/10/06 CRUDE OIL PRICES TO AVERAGE $63 IN 2006, $60 IN 2007: DOE

[ozymandius]

5. China's CNOOC takes 45 percent stake in Nigerian oil

BEIJING (AFP) - China's largest gas and oil producer CNOOC said it had agreed to buy a 45 percent stake in an oil block off the coast of Nigeria for almost 2.3 billion dollars.

The Hong Kong-listed unit of the China National Overseas Oil Corporation said it had signed a firm agreement with Nigeria's South Atlantic Petroleum to acquire the stake in the OML 130 block in the Niger Delta.

The purchase would be funded from internal resources, a CNOOC statement said.

"The purchase of this interest in OML 130 helps CNOOC gain access to an oil and gas field of huge interest and upside potential, located in one of the world's largest oil and gas basins," CNOOC chairman Fu Chengyu said Monday.

more

[cosmicdot]

89. wonder if Henry Kissinger was the lead advisor on this deal?

I suppose he's still an CNOOC advisor ...

http://english.people.com.cn/english/200110/29/eng20011029_83454.html

[salin]

6. Dollar slips vs. rivals; China in focus

http://www.marketwatch.com/news/story.asp?guid=%7B844EDBF0-B8E3-42B7-B05F-1FB96B0756AA%7D&siteid=google

A report in the Washington Post on Tuesday, sourcing an anonymous senior Chinese economist, said China has resolved to shift some of its foreign-exchange reserves away from the U.S. dollar into other currencies.

But a spokesman for the People's Bank of China suggested that China wouldn't be diversifying its current reserves stockpile, estimated to be over $800 billion, but instead may diversify future reserves.

....(from the article)

[EuroObserver]

7. Dollar Daze

http://www.safehaven.com/article-4406.htm

The elusive US Dollar rampage, so anticipated by the "deflation" community, will have to wait a while longer. Gold and gold stocks have been leading most markets that don't call themselves USD, higher. While the chart of gold itself is bullish with some short term caveats (slight bearish divergence on some indicators) in play, the daily, weekly and monthly charts of the HUI gold miner index look hysterically bullish. Much to the shorts' chagrin, it looks like the broad markets are about to follow the miners higher, although I will be surprised if the rise is anything but a pale shadow of the what the miners have done recently.

<snip>

So where does that leave us as we enter the second week of trading in 2006? Bullish. Bullish gold, bullish miners, bullish commodities, bullish energy, bullish alternative energy, bullish tech, bullish the Euro. Simply bullish anything not called "US Dollar", with the gold and silver miners playing the starring role. We call this a blow-off folks. Or perhaps a mark-up phase, or mini mania. Whatever it is, it is happening now, in real time, and there are a lot of people sitting sidelines, in cash, having top-called various asset classes. That money must now make a decision. "Is it real or is it Memorex?"

<snip>

Presented are three views; Daily, weekly and monthly. The charts become progressively more bullish as the focus is dialed out from short term to longer term. There is debate among the bulls as to the longevity of the current multi-market rallies (I fall into the short term bullish, intermediate and/or longer term bearish category because, like many analysts I respect and follow, I don't think inflation of money aggregates is anything but a ponzi-dynamic disaster in waiting). The fate of the dollar should be instructive going forward. On the biiwii site, the dollar has been referred to as "junk" and "intrinsically worthless" on several occasions, but that does not mean its price can not go up at any given time. I remain open to the possibility that we may go straight into hyperinflation (do we even remember the concept of sacrificing now so that future generations may have a fighting chance economically or has the hubris and denial become so thick that we believe all our assets will simply gain in value just because?). But if that happens, your stocks (including gold stocks) are not going to be worth a hill of beans when it's all said and done.

Without further delay, the charts:

<snip>


It is on the monthly chart that we get the clearest view of the argument that the dollar may not yet be done on the upside in its bear market rally. All indicators remain bullish and appear simply to be correcting a bit. RSI and MACD remain in a strong bullish divergence beyond the short to intermediate term. The dollar's price potential is not dead despite the mind boggling debt it denominates, Fed rate policy speculation and assets of all classes rising as if the buck is setting its sights on new multi-decade lows. Of course these indicators may be just beginning to roll over, in which case it would mean hell on earth for dollar holders. It would also mean an increase in inflation pressure to such a degree that the pretense that this is a healthy component of the financial and economic system would be stripped away. That would not inspire confidence in any paper assets. But it might well inspire a 4-digit gold price.

Bottom line: We are in the midst of a grand economic experiment. It has been in progress for nearly a century. As modern man tries to control his fate and attain the ideal of an ever rising tide, there are risks and pressure building. The dollar, being the world reserve currency of the last great superpower is one of the barometers used to gauge that pressure. Gold is another. Bulls may enjoy their rising commodity, stock and foreign bond assets, but in the end, the utter debasement of the dollar would be a disaster for all Americans and likely a good part of the rest of the world. I have never lived through a hyperinflation, but my guess is that in the initial stages, it feels mighty good seeing asset prices rise.

[mdmc]

8. what are your thoughts on nike and starbuck

as investment options.

I just found your thread yesterday. Do you post every trading day at DU?

:kick:

[EuroObserver]

9. Me? No thoughts really,

Beyond increasigly abandoning the US dollar and avoiding consumer sectors (with some Japanese exceptions) in general.

A little hedging in gold. The Swiss market has also recently been doing well...

ed. No, I don't post very often, but I like to keep an eye on things }(

[UpInArms]

10. daily dollar watch

http://quotes.ino.com/chart/?s=NYBOT_DX

Last trade 89.25 Change -0.16 (-0.18%)

China may use forex to build oil reserve

http://www.marketwatch.com/news/story.asp?guid=%7B487C89FA%2D1D19%2D44AF%2DBFA0%2DEDA75D32BA29%7D&symbol=&siteid=mktw

HONG KONG (MarketWatch) -- China may use part of its $800 billion foreign-exchange trove to stock a strategic crude-oil reserve, the head of the Research Bureau under China's central bank reportedly said.

Speaking to reporters in Beijing Tuesday, Tang Xu, director-general of the Research Bureau under the People's Bank of China, said the country "doesn't exclude buying oil for (oil) reserves," according to Dow Jones Newswires.

He added China has no plans to spend a large portion of its reserves on oil purchases. "(Buying oil) won't use up much of the foreign-exchange reserves," Tang said.

Tang also said China probably wouldn't sell off dollar-denominated assets from existing reserves and that it's unlikely the yuan would appreciate sharply.

Last week, China's State Administration of Foreign Exchange expressed a desire to diversify its forex holdings away from the dollar and into other currencies, though it did not provide any details.

...more...

Implied Positive Dollar Positioning Becomes Neutral

http://www.dailyfx.com/story/special_report/special_reports/5926_implied_positive_dollar_positioning_becomes.html

US Dollar Index: The NYBOT traded contract saw the commercials sharply add to their short positions following a week long sell-off in the dollar index. Volume remains once again picked following holiday liquidity crunch, with the On Balance Volume indicator signaling an increase of the downside volume. Speculative positions remained net long with 10,745 net long contracts, while commercials remained virtually unchanged with 10,720 net short contracts. Open interest rose by 2,166 contracts to 26,629 contracts outstanding.

...more...

[UpInArms]

26. Whew! Bullet Dodged! Verbal Intervention Works Again!

Dollar higher after report downplaying China diversification

http://www.marketwatch.com/news/newsfinder/pulseone.asp?dateid=38727.3867320949-856826796&siteID=mktw&scid=0&doctype=806&

NEW YORK (MarketWatch) - The dollar was higher against the yen and euro early Tuesday. Mike Malpede, senior currency analyst at Man Global Research, said the dollar threw off weakness against the euro after a news report quoted the research chief of the People's Bank of Chinaa saying the central bank was unlikely to diversify its reserves away from the dollar. In recent days, there have been conflicting reports about the bank's diversification plans. The Washington Post reported that Chinese officials are determined to diversify. The dollar was up 0.1% at 114.55 yen, as the euro fell 0.03% to $1.2051.

Oh My! The Truth almost got out! :eyes:

[54anickel]

33. Hmmm, what did Bushco offer up for this statement? Was the original

report a bit of muscle flexing on the part of China? Toe in the water perhaps? Inquiring minds and all......

[UpInArms]

39. Snow says China currency change would not hurt U.S

http://www.marketwatch.com/news/print_story.asp?print=1&guid={844EDBF0-B8E3-42B7-B05F-1FB96B0756AA}&siteid=mktw

NEW YORK (MarketWatch) -- The dollar was mixed Tuesday morning as market participants tried to sort through conflicting signals as to whether China will diversify its currency reserves away from the dollar.

Treasury Secretary John Snow weighed in on the subject, saying that the domestic economy would not be hurt if China does indeed move toward diversification.

The market also was trying to work out the implications for the euro of news that Iran removed international seals on its nuclear facilities and prepared to resume research.

<snip>

At one point the dollar moved higher against the yen as trading rooms received a news report that the research chief of the People's Bank of China said diversification was unlikely, according to Mike Malpede, senior currency analyst at Man Global Research.

At the same time, the market was taking in a Washington Post Story that quoted an anonymous senior Chinese economist saying that China has resolved to shift some of its foreign-exchange reserves away from the U.S. dollar into other currencies.

...more...

[UpInArms]

11. Iraq war may cost US trillions

http://www.news24.com/News24/World/Iraq/0,,2-10-1460_1860611,00.html

Washington - The Iraq war will likely cost the United States anywhere between one and two trillion dollars, despite earlier assurances by the White House that these expenses will be manageable, reveals a new study co-authored by a Nobel Prize winning economist.

<snip>

Lawrence Lindsey, a former chief White House economist, suggested in the run-up to the war that its costs could probably reach $200bn.

However, other administration officials immediately dismissed the number as a gross overestimation.

<snip>

According to a "conservative" assessment, the war would cost Americans at least $1.026. Under a "moderate" assessment, the expenses would top $1.854.

According to congressional officials, the US had already spent $251bn in cash on combat operations in Iraq since the invasion was launched, and continued to fund operations there at about six billion dollars a month.

<snip>

In addition, the cost of recruiting new soldiers had gone up dramatically, with the Pentagon paying recruitment bonuses of up to $40 000 for new enlistees and special bonuses and other benefits of up to $150 000 for current troops that re-enlist.

The authors pointed out: "Another cost to the government is the interest on the money that it has borrowed to finance the war."

...more...

[AnneD]

76. SO.....

when does the oil start paying for all of this.

[UpInArms]

12. Pombo defends himself over reports on FDIC probe, Abramoff case

http://www.mercurynews.com/mld/mercurynews/news/breaking_news/13587100.htm

WASHINGTON - House Resources Committee Chairman Richard Pombo said Monday he and other congressmen weren't attempting to block a federal investigation of a prominent Texas political contributor, but were trying instead to keep a government agency from wrongly seizing the man's property.

At issue were attempts by the Federal Deposit Insurance Corp. to recover $300 million from Houston millionaire Charles Hurwitz for his role in the 1988 collapse of United Savings Association of Texas, which cost taxpayers $1.6 billion.

A report in Sunday's Los Angeles Times said Pombo, R-Calif.; Rep. John Doolittle, R-Calif.; and Rep. Tom DeLay, R-Texas, sought to stop the case.

DeLay denounced the investigation in a letter to the FDIC chairman in 1999. Pombo and Doolittle subpoenaed the agency's records on the case and in 2001 inserted some of the documents into the Congressional Record where they were accessible to Hurwitz's lawyers.

Soon after the FDIC dropped its case against Hurwitz, a generous donor to DeLay who also gave some $7,000 to Doolittle and $1,000 to Pombo's 1996 re-election campaign.

...more...

[donkeyotay]

58. Good grief. Why does the GOP hate America?

Here the wheels of justice are working on the last time the GOP crime family stole a bunch of money - the S&L scandal - and the party that believes in giving money to rich foreigners and having working-class Americans pay for it intervenes:

It was about recouping as much money as we could for the taxpayers who lost $1.6 billion when his S&L failed" . . . .

Hurwitz countersued the government over the investigation and to recover attorney's fees. U.S. District Judge Lynn Hughes in Houston, a Reagan appointee, ruled in Hurwitz's favor last summer, ordering the FDIC to pay $72 million and issuing a highly critical opinion that said agency officials "lied about it all under oath" and "discarded the mantle of the American Republic for the cloak of a secret society of extortionists." The FDIC is appealing.

So, aside from the underlined remark that makes the judge sound, well, like an ACTIVIST judge, these ratbastards don't think this crook should pay back what he stole (let alone go to jail for the theft), they think he should have some MORE of your money. Maybe the GOP is describing itself again when the judge refers to "a secret society of extortionists." Sounds like a description of the GOP.

:banghead:

[UpInArms]

62. the Bush Family's history of looting the S&Ls

http://www.rationalrevolution.net/war/bush_family_and_the_s.htm

excerpt:

There are several ways in which the Bush family plays into the Savings and Loan scandal, which involves not only many members of the Bush family but also many other politicians that are still in office and still part of the Bush Jr. administration today. Jeb Bush, George Bush Sr., and his son Neil Bush have all been implicated in the Savings and Loan Scandal, which cost American tax payers over $1.4 TRILLION dollars (note that this is about one quarter of our national debt).

Between 1981 and 1989, when George Bush finally announced that there was a Savings and Loan Crisis to the world, the Reagan/Bush administration worked to cover up Savings and Loan problems by reducing the number and depth of examinations required of S&Ls as well as attacking political opponents who were sounding early alarms about the S&L industry. Industry insiders were aware of significant S&L problems as early 1986 that they felt would require a bailout. This information was kept from the media until after Bush had won the 1988 elections.

Jeb Bush defaulted on a $4.56 million loan from Broward Federal Savings in Sunrise, Florida. After federal regulators closed the S&L, the office building that Jeb used the $4.56 million to finance was reappraised by the regulators at $500,000, which Bush and his partners paid. The taxpayers had to pay back the remaining 4 million plus dollars.

Neil Bush was the most widely targeted member of the Bush family by the press in the S&L scandal. Neil became director of Silverado Savings and Loan at the age of 30 in 1985. Three years later the institution was belly up at a cost of $1.6 billion to tax payers to bail out.

The basic actions of Neil Bush in the S&L scandal are as follows:

Neil received a $100,000 "loan" from Ken Good, of Good International, with no obligation to pay any of the money back.

Good was a large shareholder in JNB Explorations, Neil Bush's oil-exploration company.

...more...

[reprobate]

70. It should also be noted that Neil, as of last year has profited to the...

....tune of four billion(!) dollars from his deal to sell preparation materials for the FCAT. He charges $3 per child per year, in a deal with his brother John Edward Bush (JEB). One gets the feeling that this was the motive for the FCAT in the first place, and maybe even the motive for the whole No Child Left Behind fiasco.

There's really a reason they call them the Bush Family Evil Empire.

[AnneD]

75. This is why this whole RE Bubble...

has been deja vu to me. We were really slamed here in Houston by the S&L scandal and I keep smelling another set up and down fall coming.

[UpInArms]

72. Abramoff Scandal brings down major DC lobbying firm

http://news.monstersandcritics.com/northamerica/article_1074894.php/Scandal_brings_down_major_DC_lobbying_firm

WASHINGTON, DC, United States (UPI) -- The major Washington lobbying firm Alexander Strategy Group is shuttering its business because of ties to lobbyist Jack Abramoff and Rep. Tom DeLay, R-Texas.

Edwin Buckham, the former top DeLay aide who owns the company, told The Washington Post the company was fatally damaged by publicity about the ongoing federal investigation into Abramoff, who pleaded guilty last week to fraud and conspiracy charges.

DeLay has been indicted on money-laundering charges in his home state and, by House rule, had to give up his majority leadership position. He is also one of several lawmakers under scrutiny in the Abramoff case, sources told the newspaper.

Buckham said the company, founded in 1998, with money from Enron will maintain only a small business-development division after the end of January.

...more...

[UpInArms]

86. How Abramoff Spread the Wealth - Great Graphic!

[UpInArms]

13. OfficeMax to close 110 retail stores by the end of the 1st quarter

8:13am 01/10/06 OFFICEMAX EXPECTS CHARGES OF $141M IN Q1, $46M IN Q4

8:11am 01/10/06 CORRECT: OFFICEMAX TO CLOSE 110 RETAIL STORES BY END OF Q1

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2006-01-10T131833Z_01_WEN7483_RTRIDST_0_RETAIL-OFFICEMAX-CLOSURES-URGENT.XML

NEW YORK, Jan 10 (Reuters) - Office products retailer OfficeMax Inc. (OMX.N: Quote, Profile, Research) on Tuesday said it would close 110 U.S. stores by the end of March and would take total charges of $187 million over the fourth quarter of 2005 and the current quarter.

The company said it would also close five stores in Canada and cease operations at a wood-polymer building materials facility near Elma, Washington.

http://www.marketwatch.com/news/newsfinder/pulseone.asp?dateid=38727.3547107292-856823122&siteID=mktw&scid=0&doctype=806&

NEW YORK (MarketWatch) -- OfficeMax Inc. (OMX) said on Tuesday it plans to close 110 U.S. retail stores by the end of the first quarter, stop operations at its wood-polymer building materials facility, as well as other restructuring activities. In connection with the domestic retail store closings, OfficeMax expects to record pretax costs and expenses totaling approximately $141 million. Related to the exit of the wood-polymer building materials business, the company expects to record total pretax costs and expenses of about $41 million. In connection with the other restructuring activities in the company's international operations, it will record pretax costs and expenses of about $5 million. In total, OfficeMax expects to record charges of $187 million, including about $46 million incurred in the fourth quarter of 2005 and about $141 million to be incurred in the first quarter of 2006. The company will provide details concerning its operating plan on a date to be announced within the next 30 days.

[UpInArms]

14. A.G. Edwards faces NASD action over fund sales

http://www.marketwatch.com/news/newsfinder/pulseone.asp?siteid=mktw&guid=%7B669FA579-8408-4F46-8434-477310CC36BE%7D&

BOSTON (MarketWatch) -- Securities regulator NASD has filed a disciplinary proceeding against A.G. Edwards Inc. (AGE) concerning the sale of certain mutual funds to IRA accounts in 2001 and 2002 for which fund firms made additional payments to the broker for selling funds, the company said in a filing. The NASD is asking for "unspecified sanctions and disgorgements or restitutions of unspecified amounts," according to the filing. Shares of A.G. Edwards gained 36 cents to $47.21 on Monday.

[UpInArms]

16. Late US credit card loan payments fall in 3rd qtr

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2006-01-10T132919Z_01_N10237796_RTRIDST_0_FINANCE-DELINQUENCIES.XML

WASHINGTON, Jan 10 (Reuters) - Late payments on credit card loans fell in the third quarter of 2005 from a record high in the second quarter, but rising interest rates and high gasoline prices continue to pressure American consumers, according to a survey released on Tuesday.

The American Bankers Association said the percentage of card accounts 30 days or more past due fell to 4.74 percent in the third quarter from the second's quarter's record 4.81 percent.

"Continued strong economic growth and falling gas prices in the fourth quarter leaves me hopeful that delinquencies will continue to fall -- however the full impact of hurricane Katrina has yet to be felt," said James Chessen, the group's chief economist.

He said any effects from the 2005 hurricanes, which battered the U.S. Gulf Coast in August and September, will likely be spread across the fourth quarter of 2005 and the first quarter of 2006.

In the third quarter, Americans' personal budgets were stretched by high gasoline prices and rising interest rates as the Federal Reserve continued to hike short-term borrowing costs, the bankers' group said.

"The persistent interest rate increases by the Federal Reserve and record high gas prices in the third quarter provided a one-two punch that continued to inflict pain on personal budgets," Chessen said.

...more...

[54anickel]

21. BWAHAHAHAHAHAHA!!!! I'll assume chief economist will be joining

the surprised economists group in the 4th quarter then. Another cheerleader touting a strong economy by just ignoring any statistics that may dampen his view. Sheesh, don't you think that maybe the HUGE number of bankruptcy filings may have played a role? :eyes:

"Continued strong economic growth and falling gas prices in the fourth quarter leaves me hopeful that delinquencies will continue to fall

One more snippet from your article:

While home equity loan delinquencies fell to 2.33 percent from 2.75 percent, property improvement loan delinquencies rose in the third quarter to 1.55 percent from 1.52 percent. Also, past-due payments on home equity lines of credit -- the lowest delinquency rate category -- increased to 0.46 percent from 0.43 percent, the group said.

Read it and weep for your brethren....

Home equity lines of credit, which have been growing like weeds as they hand the damned thing out like candy, INCREASED

[54anickel]

42. Wealth isn't all it looks like today

http://www.dallasnews.com/sharedcontent/dws/bus/columnists/all/stories/DN-dimartino_09bus.ART.State.Edition1.90ef4df.html

snip>

There was just such a wealth effect in the late 1990s, too, thanks to soaring stock prices. The sad thing is, many of those people got hurt because they watched that paper wealth rise and then fall. They didn't extract their profits.

The current wealth effect is worse. People think they're extracting profits, but what they're really doing is extending the loan against their home, which will come back to bite them when they sell – especially if they have to sell into a falling market.

snip>

Taking the bait

So why aren't households in a panic? Why haven't consumers slowed their spending?

"Tired of those credit card bills?" the ads demand. Well, of course you are. But taking out a home equity loan is the best way to make your debt even bigger than it was to begin with.

Sure, many of those who cash out do pay off the plastic with the home equity proceeds. But many don't cut up their cards. The card companies raise spending limits, and people get maxed out again, with a bigger mortgage to boot.

more...

[EuroObserver]

69. Trying to sell into a (fast)-falling market is a mug's game,

You need to get out before then.

I saw what it's like in London, October 1987 - from the sidelines, fortunately (I'd been involved in analysis/programming of the LSE's SEAQ systems).

In the stock markets, when the shit hits the fan, your brokers/marketmakers/traders just ignore (and then cancel) your electronic orders, stop answering the telephone, don't open the door to you. You're at the bottom of the pecking order. And there is much pecking, blood being shed.

While my mother was dying of cancer in 2000 I was very much in her attendance, and therefore, economically speaking, distracted, or otherwise focussed, let's say, but still kept enough of an eye open (I was investing by then) to decide to sell everything in April of that year in order to concentrate on that much deeper phenomenom. Good timing, as regards the markets, as it turned out.

But, now, to need to sell your HOME into a falling market... Dealing with real estate agents...

I can only recommend listening to what AnneD has to say (and what my post-war father explained to me very convincingly back in the '60's): Avoid all debt, like the plague. And if you happen to be in debt now, dedicate yourself to paying it all back, within your means, as soon as you can. Then try to accumulate some safe and solid reserve savings for the (predictably turbulent) future.

[AnneD]

77. Thanks for the vote of confidence Euro...

it wasn't just my paranoid delusions...some one was watching;) I learned those lessons the hard way. You never lose money by getting out too soon. I would rather count fewer profits than greater loss. And man! you are so right about not getting in touch with your broker. Lot of people sued over that one. Orders didn't get executed, etc. It was a bloodbath. I can only imagine if a REAL panic occurs.
I am not rash or crazy. I believe in balancing things. I want to beef up my cash and transfer to my defined benefit pension (tax based). That is as secure as I can make it for now until I can get a handle on how things are going. One really nice thing about now instead of the...this Stock Watch Thread. What a blessing.

[EuroObserver]

79. Stay safe, AnneD, folks. If you can afford to. n/t

ed. Something tells me my father also learned these lessons the hard way :( Hard times.

[UpInArms]

17. Phelps Dodge reduces quarterly profit outlook (derivatives?)

http://www.marketwatch.com/news/newsfinder/pulseone.asp?dateid=38727.3587341435-856823648&siteID=mktw&scid=0&doctype=806&property=symb&value=&categories=&

NEW YORK (MarketWatch) - Phelps Dodge Corp. (PD) on Tuesday said one-time charges would reduce its fourth-quarter earnings to $1 to $1.30 a share, down from a previous estimate of $4.15 to $4.40 a share. The quarterly charges would jump to $2.05 a share from 23 cents a share, reflecting "higher copper prices for the period, associated adverse accounting effects of the company's 2005-2007 copper price protection programs, and production and sales shortfalls of copper and molybdenum." The higher copper prices in the quarter of about $2 per pound, rather than the $1.80 per pound Phelps previously modeled, would be more than offset by the price protection program, which will cut operating earnings by $200 million.

[Zynx]

37. Kinda sorta.

They have various hedges in the futures markets to try to keep their revenue more consistent and since copper has been so volatile they probably got caught on the wrong end of some trades.

[UpInArms]

20. Alcoa posts sharply lower profit

http://www.marketwatch.com/news/story.asp?guid=%7B4F5EFE62%2D7222%2D4863%2DA695%2D016E1B7C263F%7D&symbol=&siteid=mktw

SAN FRANCISCO (MarketWatch) -- Alcoa Inc., the world's biggest aluminum producer, posted a sharply lower fourth-quarter profit late Monday, blaming the weaker results on a long list of production outages, strikes and restructuring costs.

For the three months ended Dec. 31, Pittsburgh-based Alcoa (AA) reported net earnings of $224 million, or 26 cents a share, down from $268 million or 30 cents, a year ago. Earnings from continuing operations fell to 24 cents a share, compared with 39 cents a year ago.

The shares fell early in Tuesday pre-open trading on Instinet by 5% to $29.03.

Revenue for the quarter rose, however, to $6.67 billion from $5.98 billion.

The results fell short of earnings analysts polled by Thomson First Call had been expecting, 37 cents a share on revenue of $6.69 billion -- optimism fanned mainly by rising aluminum prices on the world market.

"Profitability was eroded by negative impacts totaling $93 million, or 11 cents ," the company said in a report issued after the closing bell. Alcoa is the first Dow component to report fourth-quarter earnings.

<snip>

Alcoa also cited restructuring costs tied to plant closings and layoffs, losses on positions in the metals market and integration costs for recently acquired facilities in Russia as all contributing to the weaker bottom line.

...more...

[UpInArms]

23. Treasurys lower after strong foreign data dents "enthusiam" for US assets

http://www.marketwatch.com/news/newsfinder/pulseone.asp?dateid=38727.3797294676-856825710&siteID=mktw&scid=0&doctype=806&

NEW YORK (MarketWatch) - Treasury prices were lower Tuesday, pushing up yields, after a strong German economists' sentiment survey and solid UK retail data dented enthusiasm for U.S. assets. The benchmark 10-year Treasury note ($TNX) last was down 7/32 at 100-26/32 with a yield of 4.399%. Kim Rupert, managing director at Action Economics, said volume was light and trade was "pretty much range-bound" after Germany's ZEW survey showed strong sentiment.

[UpInArms]

35. U.S. Treasuries ease in quiet day as supply weighs

http://today.reuters.com/PrinterFriendlyPopup.aspx?type=bondsNews&storyID=uri:2006-01-10T144609Z_01_N10333861_RTRIDST_0_MARKETS-BONDS.XML

NEW YORK, Jan 10 (Reuters) - U.S. Treasury debt prices eased on Tuesday morning, weighed down in part by this week's upcoming Treasury note auctions, the first of the New Year.

Little important economic data is scheduled on Tuesday, so part of the market's attention was turning to a number of Federal Reserve officials who are speaking this week.

"The supply is kind of weighing things down, " said Alan De Rose, a bond trader at CIBC World Markets in New York.

On Wednesday, the Treasury Department plans to sell $13 billion in five-year notes, and on Thursday is issuing $9 billion in 10-year Treasury inflation protected securities, or TIPS.

...more...

[UpInArms]

44. Printing Press Silent?: Fed refrained from open market operations

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2006-01-10T154831Z_01_N10355839_RTRIDST_0_ECONOMY-FED-OPENMARKET.XML

NEW YORK, Jan 10 (Reuters) - The Federal Reserve took no action in the open market on Tuesday at its usual time for adding temporary reserves to the banking system.

Federal funds were trading at 4.25 percent, the Fed's current target for the rate, at mid-morning.

[54anickel]

46. Let's see how much air leaks out of the bubble today. eom

[UpInArms]

55. Treasury investors more bearish in latest week-poll

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2006-01-10T164854Z_01_N10412415_RTRIDST_0_FINANCIAL-TREASURIES-JPMORGAN.XML

NEW YORK, Jan 10 (Reuters) - More investors turned bearish on Treasuries compared with a week ago despite the growing view that the Federal Reserve will soon stop raising U.S. interest rates, a poll released on Tuesday showed.

Investors who said on Monday that they were "short" Treasuries, or holding less U.S. government securities than their portfolio benchmarks, grew to 41 percent from 36 percent a week ago, J.P. Morgan Securities said.

The share of "long" investors, those holding more Treasuries than their benchmarks, fell to 9 percent from 14 percent last week.

The number of net short investors climbed to 32 percent, its highest level since September 2005, from last week's 22 percent.

...more...

[UpInArms]

65. US Treasuries fall on eve of 1st 2006 note auction -YIKES!

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2006-01-10T181137Z_01_N10439243_RTRIDST_0_HOLD-MARKETS-BONDS-UPDATE-1.XML

NEW YORK, Jan 10 (Reuters) - U.S. Treasury debt prices fell on Tuesday, weighed down in part by this week's upcoming Treasury note auctions, the first of the new year, traders said.

Little important economic data was scheduled on Tuesday, so in addition to concerns over supply, the market's attention was also focused on a number of Federal Reserve officials who are speaking this week.

"The supply is kind of weighing things down, " said Alan De Rose, a bond trader at CIBC World Markets in New York.

On Wednesday, the Treasury Department plans to sell $13 billion in five-year notes, and on Thursday is issuing $9 billion in 10-year Treasury inflation protected securities, or TIPS, the first of a slew of issues scheduled in coming weeks.

In January and February, the government is projected to issue nearly $130 billion in Treasuries, including $14 billion in 30-year bonds in February after the Treasury last year decided to reintroduce the long bond after an absence of more than four years.

...more...

[UpInArms]

81. Treasuries slide, market re-awakens to rate hike risk

http://today.reuters.com/PrinterFriendlyPopup.aspx?type=bondsNews&storyID=uri:2006-01-10T205618Z_01_N10564196_RTRIDST_0_MARKETS-BONDS-UPDATE-2.XML

NEW YORK, Jan 10 (Reuters) - U.S. Treasury debt prices took a spill on Tuesday as investors appeared to decide yields were too low considering the Federal Reserve will most likely raise interest rates again in just three weeks.

Dealers said the downturn started in futures but quickly spread into the cash market, taking benchmark 10-year notes <US10YT=RR> 13/32 lower for a yield of 4.43 percent, up from 4.37 percent on Monday.

Part of the selling was purely a giveback after yields hit three-month lows last week.

Investors figured that, with the Fed set to tighten monetary policy at least once more on Jan. 31 barring some major economic slippage, rates were too low at current levels.

"Bonds certainly weren't cheap, and we had been looking for a back-up in long rates," said Kurt Reiman, senior fixed-income strategist at UBS Financial Services.

But fears of upcoming supply were also to blame for the souring sentiment.

<snip>

Combined with a hefty calendar of corporate borrowing, including a $5.75 billion deal from Oracle that some dealers hedged against by selling Treasury debt, all the supply left traders feeling a bit saturated.

...more...

hmmm.....

raising interest rates to compete with corporate borrowing...reminds me of the 80s :eyes:

[54anickel]

24. US Bonds: A Gift That Should Keep on Giving, or a Pig in a Poke?

Be sure to catch his PS regarding the Patriot Act...interesting if you put on the tin foil and read between the lines. wtf else is in that damned act?!

http://www.prudentbear.com/internationalperspective.asp

In his January Investment Outlook (“ A Gift That Should Keep on Giving”) PIMCO MD Bill Gross puts forward a bullish case for US Treasury bonds in 2006. Mr Gross is an outstandingly eloquent writer and thinker on investment issues, as well as a very powerful participant in the bond market itself. It is a brave or foolish man who tackles him on his own turf. However, one of the virtues of retirement is that one ceases to fear appearing foolish. I therefore suggest that there is a major flaw in his case, and that buying US Bonds now could be a serious mistake.

Let me start by stating where I agree with his argument. I agree that the recent inversion or near inversion of the US yield curve heralds at least a significant slowing of the US economy (Indeed I think a recession likely - see below). His concept of the spread between the Fed Funds rate and the average cost of intermediate Treasury financing of the last five years is a powerful one. It strongly supports his contention that “yields everywhere on the curve are much more restrictive than they appear”. This is really a sophisticated way of observing that massive accumulation of debt has made US economic growth more vulnerable to higher interest rates.

So, policy is more restrictive than it appears? Yes. Growth is going to slow more than expected? Yes.

Therefore US Bonds are a buy? Well, no. This is where I part company with Mr Gross. The missing element in his argument is the position of foreign investors. They already own a huge amount of that accumulated US debt and must be persuaded to not only retain that debt but continue to buy it in unprecedented amounts.

The consensus view appears to be that foreigners will indeed continue to buy US assets in vast amounts apparently in perpetuity. It is argued that they have to do this otherwise their currencies would appreciate (in the case of central banks) and also that the value of existing dollar investments would take a knock. I find these arguments naïve in the extreme. Basic economics tells you that when the supply of an item is continuously increased without reference to potential demand the price will eventually fall precipitously.

more...

[greiner3]

25. I see A is down;

A good (:rofl:) start to the 4th q earnings.

[54anickel]

27. Record Share Of Economy Is Spent on Health Care

http://www.washingtonpost.com/wp-dyn/content/article/2006/01/09/AR2006010901932.html

Rising health care costs, already threatening many basic industries, now consume 16 percent of the nation's economic output -- the highest proportion ever, the government said yesterday in its latest calculation.

The nation's health care bill continued to grow substantially faster than inflation and wages, increasing by almost 8 percent in 2004, the most recent year with near-final numbers.

Spending for physicians and hospitals shot up considerably faster than in recent years, while drug costs grew at a slower rate than over the past decade.

Even as health care costs continue to escalate, however, many Americans -- especially minorities and the poor -- still do not receive high-quality care, according to two other federal reports yesterday. The quality of health care is improving slowly and some racial disparities are narrowing, the reports found, but gaps persist and Hispanics appear to be falling even further behind.

snip>

Political, medical and economic leaders and experts have long warned that health care cost trends will gradually overwhelm the economy, and many companies now complain that employee and retiree health costs are making them less competitive. Yesterday's report added new reasons to worry.

Didn't they pooh-pooh Clinton when he said there was a pending health care crisis?

more...

[loudsue]

67. With republicans in total control of government, more people sick.

Since all environmental impact safety measures have either been reversed or eliminated, the environment in the entire country is getting dirtier by the hour. The bush administration has cut the number of employees in the department down to less than 100 people to police industry across the country for breaking laws that still stand.

Republicans think if you can actually breathe clean air, or drink clean water, that SOMEONE is missing out on an opportunity to make money. They are a pox on the world. Why anyone would ever call themselves a "republican" in this day and age is beyond me.

But, yeah....when the environment is sick, people continue to get sicker & sicker, and sure enough, health care costs are going to soar. It's not just the baby-boomers anymore, aging and needing health care. It's a whole host of young people getting environment-related illnesses.

It's great for YOUR business, isn't it, health care industry?


:kick::kick::kick:

[UpInArms]

29. 9:34 EST bleeding numbers and pre-opening blather

Dow 10,961.64 -50.26 (-0.46%)
Nasdaq 2,304.32 -14.37 (-0.62%)
S&P 500 1,286.16 -3.99 (-0.31%)
10-Yr Bond 4.395 +0.16 (+0.37%)

NYSE Volume 38,002,000
Nasdaq Volume 57,132,000

09:15 am : S&P futures vs fair value: -6.0. Nasdaq futures vs fair value: -7.5.

09:00 am : S&P futures vs fair value: -5.6. Nasdaq futures vs fair value: -7.0. Stage remains set for the cash market to open on a downbeat note. In addition to Alcoa's (AA) Q4 earnings miss taking some steam out of the Dow's push through 11,000 for the first time in 4 1/2 years, an analyst downgrade on United Technologies (UTX) could also weigh on blue chips and offset Home Depot's (HD) $3.19 bln bid for Hughes Supply (HUG).

08:30 am : S&P futures vs fair value: -5.3. Nasdaq futures vs fair value: -7.5. Still shaping up to be a lower start for the market as a lack of notable economic data to set a more definitive tone for Treasuries has also weighed on bonds. Weakness in the 10-yr note, which is down 8 ticks to yield 4.39%, could stall recent momentum in the rate-sensitive and influential Financial sector. Nov. wholesale inventories is the only report scheduled for release (10:00 ET) but it is expected to be a non-event.

08:00 am : S&P futures vs fair value: -5.1. Nasdaq futures vs fair value: -7.0. Futures versus fair value suggest a sharply lower open for the cash market as investors look to consolidate a strong start to 2006. Aside from a rebound in oil prices above $64/bbl perhaps underpinning some hesitation to extend five days of market gains, Alcoa's (AA) disappointing report has kicked off the Q4 earnings season on a sour note.

[ozymandius]

30. markets' sucker punch

9:34
Dow 10,963.40 -48.50 (-0.44%)
Nasdaq 2,304.79 -13.90 (-0.60%)
S&P 500 1,284.95 -5.20 (-0.40%)
10-Yr Bond 43.91 +0.12 (+0.27%)
NYSE Volume 72,113,000
Nasdaq Volume 83,567,000

I will be scarce again as we race to open a show. Thanks to all who make this a most enjoyable thread!

Ozy :hi:

[54anickel]

32. Pulling their chips off of the table. Check out the blather....

09:40 am : Market opens lower across the board as recent milestones for the major indices and a Q4 disappointment from Alcoa (AA 28.45 -2.12) prompt broad-based consolidation. As of yesterday's close, the Dow, S&P and Nasdaq were already up 2.7%, 3.4% and 5.1%, respectively, for the year -- surpassing all of last year's gains, leading many to believe stocks may have moved too far too fast. Meanwhile, even though Alcoa's profit miss has kicked off earnings season with a sense of uncertainty, their report shouldn't be considered a harbinger of a poor quarter overall, as we at Briefing.com still expect aggregate operating earnings for the S&P 500 to rise about 13% over the previous year. DJ30 -45.16 NASDAQ -12.04 SP500 -4.93 NASDAQ Vol 108 mln NYSE Vol 68 mln



Thirteen? THIR-TEEEEEEN Percent? :rofl:

[EuroObserver]

31. Nikkei down yesterday, today

http://newsvote.bbc.co.uk/1/hi/business/market_data/2946860.stm

(Close): Japanese stocks closed down, as a stronger yen encouraged investors to sell shares in leading exporters.

The benchmark Nikkei 225 index ended the day down 303.86 points, or 1.85%, at 16,124.35 - its biggest percentage fall in four weeks.

Shares in carmakers Honda and Toyota fell 4.8% and 2.1% respectively, weighed down by the yen's recent jump against the dollar.

Electronics giant Toshiba was among gainers, on hopes for rising earnings.

The broader TOPIX index of all first-section shares fell 1.54% to 1,659.03.

http://today.reuters.com/investing/MarketReportArticle.aspx?type=tokyoMktRpt&storyID=URI:urn:newsml:reuters.com:20060110:MTFH56926_2006-01-10_07-56-43_T96150:1

Nikkei posts biggest drop in 4 weeks, yen weighs
Tue Jan 10, 2006 2:57 AM ET

------------------ NIKKEI 225 IN PERSPECTIVE-------------------

Move on day -1.85 percent

Year high 16479.55

Year low 16250.76

Change on yr +0.08 percent

All time high 38915.87 29 DEC 1989

All time low 85.25 06 JUL 1950

[UpInArms]

36. Storms hit Louisiana, Mississippi bank profit-FDIC

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2006-01-10T143126Z_01_N10246157_RTRIDST_0_ECONOMY-BANKS-GULF.XML

WASHINGTON, Jan 10 (Reuters) - Banks in Louisiana and Mississippi suffered significant earnings declines in the months immediately following hurricanes Katrina and Rita, but they may not feel the full extent for some time, the Federal Deposit Insurance Corp. said on Tuesday.

In Louisiana, which lost a net 223,000 jobs in August and September, median return on assets for state headquartered institutions dipped to 1.09 percent in the third quarter of 2005 from 1.14 percent in the previous quarter and 1.12 percent a year earlier, the FDIC said in its latest state banking profiles report.

In the hard-hit New Orleans and Lake Charles areas, median return on assets dropped to 0.67 percent from 0.88 percent in the second quarter, FDIC said, citing higher loan loss provisions and overhead likely related to clean-up and repair costs.

New Orleans suffered the bulk of the state's job losses, shedding 217,000 jobs in August and September 2005, but the FDIC said the area added back 15,000 jobs through November due to clean-up and rebuilding efforts.

...more...

[UpInArms]

38. SnowJob spill garbage from his sack of shit

US's Snow-will shrink deficit with spending cuts

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2006-01-10T152152Z_01_WBT004510_RTRIDST_0_ECONOMY-SNOW-URGENT.XML

WASHINGTON, Jan 10 (Reuters) - U.S. Treasury Secretary John Snow said on Tuesday the Bush administration would shrink the nation's budget deficit through spending cuts, and would strongly oppose letting tax breaks expire.

"You'll see the administration press awfully hard to contain spending," Snow told reporters at a briefing.

10:15am 01/10/06 SNOW SEES ENERGY PRICES AS BIGGEST RISK TO ECONOMY

10:15am 01/10/06 SNOW PROMISES 'STRINGENT' SPENDING FOR 2007 BUDGET

10:15am 01/10/06 SNOW: U.S. ABLE TO ATTRACT ALL THE CAPITAL IT NEEDS

10:15am 01/10/06 SNOW: CHINA MOVE ON RESERVES WON'T HURT U.S. ECONOMY

[54anickel]

47. PHFFT! Read that 3rd quote to say PRINT vs ATTRACT. What a

bunch of lunatics. Just how long do they think US bucks will be considered the world's reserve currency if they are as proliferate as flies on shit?

[donkeyotay]

63. Stay the course! Ahoy maties! That's not an iceberg; that's an opportunity

We're turning the corner. The economy is in its last throes. The mission to bankrupt America is almost accomplished.

As it ever occurred to these elitists, that one sets of folks benefit from their pump-the-top policies, and another sets of folks pay the price? Sure inflation - defined as when working people partake in the party - has been limited to asset inflation. (Assets are also something working class people don't have.) But those at the top of the food chain, who have benefited from Mr. Bubbles liquidity expansion are not the people who are going to be hurt by the spending cuts.

:argh:

[UpInArms]

40. Tiffany holiday sales rise, narrows forecast

http://www.marketwatch.com/news/story.asp?guid=%7B1E7899A6%2D37B8%2D4725%2D91C4%2D843F9D49320B%7D&symbol=&siteid=mktw

NEW YORK (MarketWatch) - Jeweler Tiffany & Co. on Tuesday posted an increase in holiday sales, but tightened its forecast for the year, putting it slightly below Wall Street's average expectations.

Same-store sales for the holiday period rose 6% in the U.S. and 7% in Japan.

The company narrowed its earnings forecast range for 2005 to $1.60 to $1.62 a share, from its prior forecast of $1.55 to $1.65 a share. Analysts, on average, had been expecting it to earn $1.64 a share for the year according to Thomson First Call.

For 2006, Tiffany (TIF) expects earnings of $1.77 to $1.82 a share.

U.S. retail sales rose 8% to $386 million, helped by an increase in the average amount per transaction. Same-store sales rose 6%, with an 8% bump in branch store sales and a 1% decline in New York flagship store sales.

Four new U.S. stores opened in 2005 also contributed to sales growth, it operates 59 stores in the U.S.

...more...

[fasttense]

54. Hmm, not such good news if you could calculate the real inflation rate.

Snip:
"U.S. retail sales rose 8% to $386 million, helped by an increase in the average amount per transaction."

Hmmm, if food and energy were added back into the government reported inflation rate, it would be at or above 8%. So, I'm thinking Tiffany profits, not so good.

[UpInArms]

43. AmeriDebt Founder Settles Deception Charges

http://www.washingtonpost.com/wp-dyn/content/article/2006/01/09/AR2006010900763.html

The founder of the defunct credit-counseling firm AmeriDebt Inc. yesterday agreed to pay up to $35 million to settle two lawsuits accusing him of misleading debt-burdened consumers into paying high fees to support his lavish lifestyle.

Under the settlement, virtually all of Andris Pukke's assets, including his multimillion-dollar homes in Miami Beach and Southern California, would be sold, with the proceeds going to a fund that could be used to help repay about 300,000 AmeriDebt customers.

<snip>

Both lawsuits sought $172 million in consumer refunds, saying that was the amount AmeriDebt and its related firms charged consumers in hidden fees. According to the lawsuits, AmeriDebt of Germantown falsely billed itself as a nonprofit organization while Pukke milked clients, earning more than $80 million, which he and his wife spent on expensive cars, luxury foreign vacations and expensive real estate in Maryland, Florida and California.

Pukke's estranged wife, Pamela Pukke, was named as a co-defendant because the FTC argued she benefited financially from the alleged fraud even if she didn't participate in it. She settled on Dec. 30, agreeing to give up assets worth about $1.8 million, including her Florida home. She had been slated to be one of the lead witnesses against her husband if the trial had gone forward.

<snip>

In June, the court-appointed receiver estimated Pukke's assets worth $16 million but subsequently asserted that Pukke was trying to hide millions of dollars more, including his ownership in a Belize resort and a California home that he bought through a friend.

...more...

[54anickel]

45. Attack on Iran: A Looming Folly

http://www.truthout.org/docs_2006/010906I.shtml

big snip>

Unfortunately, all the dangers in the world are no match for the self-assurance of a bubble-encased zealot. What manner of maniac would undertake such a dangerous course? Look no further than 1600 Pennsylvania Avenue.

George W. Bush and his administration have consistently undertaken incredibly dangerous courses of action in order to garner political power on the home front. Recall the multiple terror threats lobbed out by the administration whenever damaging political news appeared in the media. More significantly, recall Iraq. Karl Rove, Bush's most senior advisor, notoriously told Republicans on the ballot during the 2002 midterms to "run on the war." The invasion of Iraq provided marvelous political cover for the GOP not only during those midterms, but during the 2004 Presidential election.

What kind of political cover would be gained from an attack on Iran, and from the diversion of attention to that attack? The answer lies in one now-familiar name: Jack Abramoff. The Abramoff scandal threatens to subsume all the hard-fought GOP gains in Congress, and the 2006 midterms are less than a year away.

Is any of this a probability? Logic says no, but logic seldom plays any part in modern American politics. All arguments that the Bush administration would be insane to attack Iran and risk a global conflagration for the sake of political cover run into one unavoidable truth.

They did it once already in Iraq.

[UpInArms]

48. The Smell of Desperation: GM

11:04am 01/10/06 GM: SAAB, HUMMER NOT INCLUDED IN PRICE CUTS

11:05am 01/10/06 GM: AMONG SATURN MODELS, ONLY RELAY PRICE CUT

11:02am 01/10/06 GM TO CUT MSRPS ON VEHICLES ACCOUNTING FOR 80% SALES VOLUME

11:03am 01/10/06 GM TO CUT MSRPS ON EVERY CHEVROLET, BUICK, GMC MODEL

11:03am 01/10/06 GM TO CUT MSRPS ON MOST PONTIAC CARS AND TRUCKS

11:01am 01/10/06 GM TO CUT STICKER PRICES ON VEHICLES STARTING JAN. 11

[UpInArms]

73. GM's CFO says company aware of financial crisis

http://www.marketwatch.com/news/newsfinder/pulseone.asp?dateid=38727.6173596528-856848855&siteID=mktw&scid=0&doctype=806&property=symb&value=&categories=&

DETROIT (MarketWatch) - General Motors Corp. (GM) CFO Fritz Henderson, responding to criticism from one of its biggest shareholders, told reporters Tuesday the company is fully aware of its deepening financial woes and working hard to reverse them. Blasted by Tracinda Corp. adviser Jerome York for GM's failure to comprehend the crisis it faces, Henderson replied: "I'm already in crisis mode ... I agree with York. There's a sense of urgency, and time is ticking." In response to York's criticism of GM for no longer giving investors financial guidelines, Henderson said "There's a benefit of articulating timing and targets publicly but we're not in a position to do that today." Tracinda, owned by billionarie investor Kirk Kerkorian, currently owns a 7.8% stake in GM.

[UpInArms]

82. GM told it's time "to go into crisis mode"

http://today.reuters.com/PrinterFriendlyPopup.aspx?type=bondsNews&storyID=uri:2006-01-10T204707Z_01_N10356142_RTRIDST_0_AUTOS-SHOW-GM-TRACINDA-UPDATE-2.XML

DETROIT, Jan 10 (Reuters) - An adviser to Kirk Kerkorian, the billionaire Las Vegas casino mogul who is the biggest individual investor in General Motors Corp. (GM.N: Quote, Profile, Research), on Tuesday told the automaker to step up efforts to stanch its mounting financial losses.

Saying it was time for GM "to go into crisis mode," Jerome York, a former Chrysler Corp. chief financial officer, urged the ailing automaker to sell off or close noncore businesses and assets and halve its $2 annual dividend, which costs the company about $1.1 billion per year.

He also said GM should slash compensation for its directors and senior managers and cut wages across the company, which is reeling from U.S. market share losses and mountainous costs for labor, health-care and pensions.

Seeking to drive home a sense of urgency, York also said GM needed to offer fewer and better products and consider getting rid of brands such as Saab, which he called a "pretty consistent money loser."

"When a company is in deep trouble -- and make no mistake, GM is at the present time -- there are only so many hours in the day for management to effectively focus on and fix things," York said."

...more...

[UpInArms]

49. 11:14 EST wallowing in the ditch

Dow 10,962.85 -49.05 (-0.45%)
Nasdaq 2,306.17 -12.52 (-0.54%)
S&P 500 1,284.36 -5.79 (-0.45%)
10-Yr Bond 4.403 +0.24 (+0.55%)

NYSE Volume 778,945,000
Nasdaq Volume 662,076,000

11:00 am : Little changed since the last update as widespread profit-taking continues to weigh on sentiment. Garnering some appreciation during an otherwise dreary session for the bulls, however, has been Home Depot (HD 42.29 +1.47), which is doubling the size of its supply division with the $3.2 bln purchase of Hughes Supply (HUG 45.59 +7.04). HD's 3.6% surge has in turn provided a lift to retail, recently helped Consumer Discretionary turn positive; but as one of just six Dow components trading higher, the price-weighted index continues to trade nearly 30 points below the 11,000 mark. DJ30 -38.20 NASDAQ -8.93 SP500 -4.23 NASDAQ Dec/Adv/Vol 1448/1295/582 mln NYSE Dec/Adv/Vol 1688/1333/466 mln

10:30 am : Indices improve their stance somewhat but hardly enough to make a significant change in the standings, as nine of ten sectors remain underwater. Helping the Nasdaq pare some of its early losses has been a turnaround in chip stocks, as an analyst upgrade has helped Advanced Micro Devices (AMD 34.50 +1.25) hit a new 52-week high. Further upside momentum in Energy (+1.3%) has also diluted some of the broad-based market losses as all 29 of the sector's components are now in positive territory.DJ30 -38.12 NASDAQ -8.31 SOX +0.2% SP500 -3.94 NASDAQ Dec/Adv/Vol 1552/1098/438 mln NYSE Dec/Adv/Vol 1896/1003/320 mln

[UpInArms]

50. Witness revises statement to pin comment on Skilling

http://www.khou.com/news/local/stories/khou060110_ac_enron.6333c834.html

has revised a statement attached to his guilty plea to attribute to former CEO Jeffrey Skilling what could be an incriminating statement he originally said he made.

Mark Koenig, who pleaded guilty in August 2004 to aiding and abetting securities fraud, is among the 61 potential government witnesses for the Jan. 30 fraud and conspiracy trial of Skilling and Enron founder Kenneth Lay.

Koenig is one of 16 ex-Enron executives who have pleaded guilty to various crimes stemming from their actions while employed at the company before it crashed in December 2001. Of those, eight appear on the government’s witness list.In court papers filed last week, Koenig revised a statement attached to his plea agreement that attributed to Skilling a statement he originally said he had made to mislead analysts about why Enron had folded its money-losing retail energy unit into the company’s profitable trading unit.

<snip>

In a statement filed with the revision last week, Koenig explained that he has since reviewed a recording of the conference call and found the discrepancy.

...more at link...

[UpInArms]

51. Judge Declines To Dismiss Charges Against Lay, Skilling

http://www.click2houston.com/news/5973663/detail.html

HOUSTON -- The judge overseeing the fraud and conspiracy trial of Enron Corp. founder Kenneth Lay and former CEO Jeffrey Skilling declined Monday to dismiss the case based on defense allegations of prosecutorial misconduct.

In a six-page opinion, U.S. District Judge Sim Lake said attorneys for Lay and Skilling failed to back up their claims that "deliberate, systematic prosecutorial misconduct" has choked their efforts to prepare for trial.

The judge said at a Dec. 1 hearing that he doubted he would dismiss the charges based on the allegations.

<snip>

Skilling faces 35 counts of fraud, conspiracy, insider trading and lying to auditors for allegedly conspiring to fool investors into believing Enron was healthy before revelations of hidden debt and inflated profits fueled the company's December 2001 collapse. Lay faces seven counts of conspiracy and fraud alleging he perpetuated the ruse after Skilling abruptly resigned in August that year.

...more...

[UpInArms]

52. Education crucial for U.S. future - Fed's Pianalto

(Are they counting the diction school that teaches people how to say:

"Would you like fries with that?" :eyes: )

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2006-01-10T163659Z_01_WAT004672_RTRIDST_0_ECONOMY-FED-PIANALTO-URGENT.XML

NEW YORK, Jan 10 (Reuters) - Raising education standards will lift U.S. growth, employment and income and ease the fiscal burden of social security and healthcare, Cleveland Federal Reserve President Sandra Pianalto said on Tuesday.

Pianalto, a voting member of the Fed's interest rate-setting committee this year, made no mention of current economic conditions or monetary policy in the text of her speech, which she gave to a conference on building investment in preschool.

"Better-educated and better-prepared employees produce more output at a lower cost, meaning that they can earn higher incomes and that their employers can make higher profits. ... - both employees and businesses win," she said.

[AnneD]

56. You would never guess it...

from the way they keep cutting the funds for education thanks to the underfunded 'No Child Left Alive' Act. And what about all these unemployed that go back to school, re tool themselves, and STILL can't get a job (or get the jobs that include hair nets and name tags)and now can't pay for their education. Am I putting to fine a point on that pinhead argument? I don't think our teacher's can stand too much more of this...intervention. I think almost 1 in 4 leave the profession leave after 5 years.

[UpInArms]

59. you hit it right on its pointy little head, AnneD

When reading the words from these assclowns, you should (imho) remember that this is the Contra-Government: Up is Down, Black is White, War is Peace.

I'm not sure if you have ever seen the Scorecard of Evil (and am sad that it is no longer being kept), but here is the list up to October 20, 2003:

http://www.jesseberney.com/scorecard_print.html

[AnneD]

78. So much evil,

so little time. Thanks, Loved it UIA.

[UpInArms]

53. 11:48 EST Tune Time: Gonna Try with a little help from my friends

Dow 10,986.53 -25.37 (-0.23%)
Nasdaq 2,312.51 -6.18 (-0.27%)
S&P 500 1,286.76 -3.39 (-0.26%)
10-Yr Bond 4.416 +0.37 (+0.84%)

NYSE Volume 952,691,000
Nasdaq Volume 791,412,000

11:30 am : More of the same for equities as consolidation across most areas continues to stall a strong start to 2006. While the market often has difficulty rallying during the early portion of earnings season, it's not a huge surprise that, given an average gain of 3.73% for the three major indices over just five days of trading, investors have found an incentive to lock in some of their profits. DJ30 -40.18 NASDAQ -9.66 SP500 -4.97 NASDAQ Dec/Adv/Vol 1647/1153/708 mln NYSE Dec/Adv/Vol 1900/1212/600 mln

[UpInArms]

61. U.S. November job openings, hires fade slightly

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2006-01-10T171244Z_01_N10267612_RTRIDST_0_ECONOMY-JOBS-OPENINGS.XML

WASHINGTON, Jan 10 (Reuters) - The number of U.S. jobs that opened in November dipped marginally from the month before and fewer workers were hired, the government said on Tuesday.

Openings eased to 3.904 million jobs in November from 3.937 million in October, but rose well above the 3.277 million a year ago, according to the Labor Department's latest Job Openings and Labor Turnover Survey (JOLTS).

Declines in construction, professional and business services, education and health services, and government outpaced gains in manufacturing; trade, transportation, utilities; and leisure and hospitality groups, Labor said.

The monthly survey is more dated than many used to gauge the job market. But it has become a better measure since the department began to adjust the numbers for seasonal variations in 2004.

Although the job openings rate dipped to 2.8 percent in November from 2.9 percent the previous month, it has generally trended upward since September 2003, the department said.

...more...

[ozymandius]

64. 1:20 update

Dow 10,997.82 -14.08 (-0.13%)
Nasdaq 2,314.83 -3.86 (-0.17%)
S&P 500 1,288.21 -1.94 (-0.15%)
10-Yr Bond 44.24 +0.45 (+1.03%)
NYSE Volume 1,352,110,000
Nasdaq Volume 1,151,869,000


12:30 pm : No change to the prevailing trend as the afternoon session gets underway. Technology, however, continues to pare its losses, most recently getting a boost following upbeat Macworld Keynote comments from Apple Computer (AAPL 79.34 +3.29). Within the last 30 minutes, Apple shares have soared to a historic high amid reports that Q1 revenues are now expected to reach $5.7 bln (consensus $5.04 bln).DJ30 -28.41 NASDAQ -4.83 SP500 -2.79 NASDAQ Dec/Adv 1486/1400 NYSE Dec/Adv/Vol 1617/1599/786 mln

[UpInArms]

66. 1:32 EST the faeries are hurrying today

Dow 11,012.38 +0.48 (+0.00%)
Nasdaq 2,318.21 -0.48 (-0.02%)
S&P 500 1,289.82 -0.33 (-0.03%)
10-Yr Bond 4.418 +0.39 (+0.89%)

NYSE Volume 1,410,834,000
Nasdaq Volume 1,202,461,000

[OrangeCountyDemocrat]

80. Those Bastards!

They just couldn't allow a close at below 11,000. That would send the CNBC news hacks into a tizzy, and upset too many people. So they rushed right in at the end and propped it up.

I wonder how long they can keep this up.

[UpInArms]

71. Calugar, Security Brokerage settle with SEC for defrauding investors

http://www.marketwatch.com/news/newsfinder/pulseone.asp?dateid=38727.5884197801-856846183&siteID=mktw&scid=0&doctype=806&

BOSTON (MarketWatch) -- The Securities and Exchange Commission Tuesday said Daniel Calugar and his former registered broker-dealer, Security Brokerage Inc., agreed to settle the SEC's charges alleging that they defrauded mutual fund investors through improper late trading and market timing. As part of the settlement, Calugar will disgorge $103 million in ill-gotten gains and pay a civil penalty of $50 million. Calugar, 51, of Ponte Vedra Beach, Fla., and SBI, formerly based in Las Vegas, have consented to the entry of a final judgment in the SEC's civil litigation pending against them in the United States District Court for the District of Nevada.

1:58pm 01/10/06 DANIEL CALUGAR, SECURITY BROKERAGE SETTLE WITH SEC

1:58pm 01/10/06 TO PAY MORE THAN $150 MLN FOR IMPROPER MUTUAL FUND TRADING

[OrangeCountyDemocrat]

83. May I Do Gold Wrap Up Today?

Gold futures fall from quarter-century high
Indexes lose ground but gold remains on 'solid footing'

By Myra P. Saefong, MarketWatch

SAN FRANCISCO (MarketWatch) -- Gold futures closed Tuesday with a loss of almost $5 an ounce after tapping a quarter-century high in overnight trading, but many analysts considered the pull back only temporary.

"While gold is very overbought and profit-taking can be expected, this secular bull market has continuously punished the bears and market top forecasters," said Peter Grandich, editor of the Grandich Letter. "This time should be no different."

Gold for February delivery fell as low as $540.70 an ounce on the New York Mercantile Exchange before recovering a bit to close at $545.70, down $4.80. It touched a high of $553.10 in overnight trading between Monday and Tuesday, a level not seen since 1981.

Last weeks' announcement that China it will diversify its holdings of foreign reserves has put pressure on the dollar and provided support for gold, taking prices in overnight trading to a quarter-century high of $553.10 overnight.

"Asian interests are in the driver's seat," said Brien Lundin, editor of Gold Newsletter, "while Western speculators have been largely absent from the market, outside of short-covering.

"This new 'gold fever' has been helped by indications that China will diversify its foreign reserves away from the dollar, and rumors that the nation may begin increasing the gold component of its reserves," he said.

So "Asia is fueling this latest gold rally -- broadening and deepening the base of investment demand for what is a relatively small market," he said.

Still on 'solid footing'

Overall, the gold market remains on "solid footing fundamentally and technically," aid Jon Nadler, an investment products analyst at bullion dealers Kitco.com.

Investors are looking at the longer-term picture, he said.

They "don't mind gold's short-term gyrations and are more scared of Iran, of U.S. domestic spying fallout, of Bernanke taking the helm at the U.S. Federal Reserve, the statements of diversification away from the U.S. dollar coming out of China and of investing in other assets that are probably far more overpriced than gold really is," Nadler said.

From here, gold will likely see support around the $515 to $517 level and resistance at $575 on the extreme upper end, he said.

"While gold is in overbought territory, the upper end of the scale keeps coming back and flashing the big number $600 to investors," he said.

"A build-up and assault on such lofty numbers will be far more likely and sustainable if we do not get there all at once, in a straight line up the proverbial wall," he said.

Elsewhere in the metals complex Tuesday, March silver fell 26.8 cents to close at $9.015 an ounce, April platinum added 20 cents to finish at $1,018.50 an ounce after a one-month high of $1,024.50 and March palladium fell $4.60 to end at $276 an ounce.

Meanwhile, March copper added 1 cent to close at $2.107 a pound. On Monday, the contract climbed to a record high of $2.12.

On the supply side, copper inventories were unchanged at 7,762 short tons as of late Monday, according to Nymex.

Gold stocks were up 100,166 troy ounces at 7.01 million troy ounces, while silver supplies were flat at 120.6 million troy ounces.

Indexes little changed

Indexes that track the metals-mining equities closed little changed Tuesday on the heels of Monday's decline.

Overall, Asian metals consumption "bodes well" for the long-term future of the bull market in gold and gold stocks, Lundin said, adding that he expects "strong Asian demand to surface for mining assets as well."

The Amex Gold Bugs Index (HUI: HUI304.05, +0.35, +0.1%) rose 0.1% to close at 304.05. Prices on Monday saw a record high of 308.78. Among the biggest index-component gainers, Freeport-McMoRan Copper and Gold (FCX: Freeport-McMoRan Copper & Gold Inc.
FCX60.94, +2.35, +4.0%) climbed 4% to finish at $60.95.

The CBOE Gold Index (GOX:
CBOE Gold Index
Last: 131.02-0.15-0.11%
GOX131.02, -0.15, -0.1%) fell 0.1% to end at 131.02 points, while the Philadelphia Gold and Silver Index (XAU: phlx gold silver index capital-weight XAU139.13, -0.27, -0.2%) closed at 139.13 points, down 0.2%.

Shares of Alcoa Inc. (AA:AA29.60, -0.97, -3.2%) fell 3.2% to close at $29.52 Tuesday as investors reacted swiftly to the giant aluminum producer's unexpectedly weak fourth-quarter earnings. See full story.

Among the junior mining stocks, Spokane, Wash.-based Gold Reserve Inc. (GRZ: GRZ4.75, +0.84, +21.5%) was a standout, tacking on 21.5% to close at $4.75. It holds rights to the Brisas gold/copper project in Venezuela, a project that's estimated to have proven and probable reserves of 10.1 million ounces of gold and 1.29 billion pounds of copper, according to the company.

Gold Newsletter's Lundin said he doesn't see any specific news on Gold Reserve, but pointed out that the mining industry is awaiting a report from the Venezuelan government clarifying any changes to laws regarding mining and exploration in the country. "It's very likely that news regarding this report is starting to leak," he said

[UpInArms]

84. Thanks OCD!

This is your official notice - You are now a Marketeer!

:hi:

:grouphug:

[EuroObserver]

85. "Gold for February delivery fell as low as

$540.70 an ounce on the New York Mercantile Exchange"

So, now, that's low.

ed:

[UpInArms]

87. McCormick & Co to close facilities in CA & MD - 400 jobs in CA

5:07pm 01/10/06 McCormick & Co. to close facilities in Calif., Md. - MarketWatch.com

5:06pm 01/10/06 McCormick & Co. to cut 400 jobs in California - MarketWatch.com

http://www.marketwatch.com/news/newsfinder/pulseone.asp?dateid=38727.7179765162-856859480&siteID=mktw&scid=0&doctype=806&

SAN FRANCISCO (MarketWatch) -- McCormick & Co. Inc. (MKC) said late Tuesday it will close its manufacturing facility in Salinas, Calif., eliminating 400 jobs, and move production to other existing North American manufacturing facilities by the end of 2006. As part of its restructuring plan, the Sparks, Md.-based spice and seasoning company also said it will close its condiment manufacturing facility in Hunt Valley, Md., and move production to South Bend, Ind., by the end of 2006. McCormick expects to record portions of the charges related to the closure of the two facilities in the fourth quarter.

[ozymandius]

88. fork-stickin' time

Dow 11,011.58 -0.32 (-0.00%)
Nasdaq 2,320.32 +1.63 (+0.07%)
S&P 500 1,289.69 -0.46 (-0.04%)
10-Yr Bond 44.28 +0.49 (+1.12%)
NYSE Volume 2,373,082,000
Nasdaq Volume 2,014,156,000

4:20 pm : The major indices closed relatively unchanged, again demonstrating their resilience in 2006 considering broad-based consolidation efforts weighed on sentiment throughout most of the session. Stocks opened sharply lower, as Alcoa (AA 29.60 -0.97) kicked off the earnings season last night with a disappointing quarterly report, sparking worries that profit growth is slowing and leaving investors little incentive to hold onto recent market gains. As of yesterday's close, the Dow, S&P and Nasdaq were already up 2.7%, 3.4% and 5.1%, respectively, for the year -- surpassing all of last year's gains, leading many to believe that stocks may have moved too far too fast. Nonetheless, as the day wore on it became apparent that Alcoa's 16% year/year decline in Q4 earnings should not be considered a harbinger of a poor quarter overall. We at Briefing.com still expect aggregate Q4 operating earnings for the S&P 500 to rise about 13% over the previous year.

With regard to sector strength and weakness, Materials turned in the day's worst performance following Alcoa's earnings miss and a Q4 profit warning from Phelps Dodge (PD 146.58 -7.97). Health Care was the most influential leader to the downside, as weakness in drug and HMOs offset a late-day rebound in biotech, while Consumer Staples and Industrials also showed relative weakness. Despite a sell-off in Treasuries and subsequent rise in borrowing costs, the rate-sensitive Financial and Utilities sectors closed flat. The 10-yr note closed down 14 ticks to yield 4.42% as the first of about $100 bln of U.S. debt to be auctioned off over the next month (e.g. $13 bln of 5-yr notes tomorrow) raised supply concerns.

Energy, though, extended its year-to-date leading 6.1% gain as concerns over Iran's nuclear plans initially prompted a rebound in oil prices. Consumer Discretionary also traded higher as retail got a boost following Home Depot's (HD 41.80 +0.98) proposed $3.2 bln bid for Hughes Supply (HUG 45.61 +7.06), which plays into our belief that 2006 will be a big year for M&A activity. A 1.2% surge in homebuilding provided additional sector support after D.R. Horton (DHI 40.33 +0.38) said Q1 net sales orders rose 19% to a record $3.2 bln. Eking out a small gain was Technology, which turned positive going into the close. The sector (and Nasdaq) benefited primarily from upbeat comments out of Apple Computer (AAPL 80.86 +4.81), highlighted by news that Q1 revenues are now expected to reach $5.7 bln (consensus $5.04 bln). Chip stocks, as an analyst upgrade helped Advanced Micro Devices (AMD 34.93 +1.68) hit a new 52-week high, also provided a lift. BTK +0.6% DJ30 -0.32 DJTA -0.5% DJUA +0.1% DOT -0.3% NASDAQ +1.63 NQ100 +0.1% R2K +0.7% SOX +0.7% SP400 +0.3% SP500 -0.46 XOI +1.0% NASDAQ Dec/Adv/Vol 1298/1739/1.97 bln NYSE Dec/Adv/Vol 1520/1837/1.73 bln