STOCK MARKET WATCH, Wednesday 9 August

[ozymandius]

Wednesday August 9, 2006

COUNTING THE DAYS
DAYS REMAINING IN THE * REGIME 896 DAYS
DAYS SINCE DEMOCRACY DIED (12/12/00) 2055 DAYS
WHERE'S OSAMA BIN-LADEN? 1755 DAYS
DAYS SINCE ENRON COLLAPSE = 1716
Number of Enron Execs in handcuffs = 19
ENRON EXECS CONVICTED = 6
Enron execs conveniently deceased = 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 August 8, 2006

Dow... 11,173.59 -45.79 (-0.41%)
Nasdaq... 2,060.85 -11.65 (-0.56%)
S&P 500... 1,271.48 -4.29 (-0.34%)
Gold future... 659.50 +3.50 (+0.53%)
30-Year Bond 5.02% +0.02 (+0.40%)
10-Yr Bond... 4.92% +0.00 (+0.04%)






GOLD, EURO, YEN, Loonie and Silver


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 Frank Barbera

The Fed May Not Be Done

The Fed finally let the cat out of the bag--no rate hike combined with a “doveish” statement adding up to the ever so elusive, widely anticipated “pause.” Of course, you too noted the shouts of glee on Wall Street as stocks rallied for about 15 minutes today only to reverse course and end the day down 49.23 points, with the S&P down 4.29 and the NASDAQ down 11.61. Pretty disappointing action to be sure in the wake of what should have been one of the bigger positives for the bulls -- the perceived end of Fed tightening. Of course, with inflation still building as a by-product of several years worth of high energy prices, it really may not be the end of the tightening cycle at all. Instead, what the stock market truly fears could be a scenario of more entrenched inflation forcing a continuation within a few months of still more rate hikes.

Humbly submitted for your consideration, the idea of the day may be the old Marty Zweig cliché of “Don’t Fight the Fed” and the Fed may not be done for this cycle. Back in the day, circa 1970’s when inflation was prone to fits and starts, rising inflationary trends meant Fed tightening and bear market conditions for equities. It was never pretty, and in fact, in 1970, 1974 and 1982 people got more excited about a game of solitaire than they did about investing in the stock market. Bear markets back then were relentless -- down day after down day -- 1/4 point by 1/4 of a point -- like watching paint dry -- you ended up just watching share values melt away. While they were not always exciting, and were not always volatile, bear markets are normally relentless and can destroy wealth at an amazing clip leaving many to give up in disgust and just exit the market for good – that happened in the 1970’s and right now, we could be setting up a relay of that difficult decade.

-cut-

Finally, it is worth nothing that IF a group does manage to hold up well during a bear market, chances are that if the bear market ends, money will rotate away from that group making it important again to exit in timely fashion and not give back prior gains. A good example of this can be found in the Gold stocks post the 1973-1974 bear market. When the S&P finally hit bottom and began to rally in early 1975, the gold stocks began to retrace their prior bull market gains and gave back a reasonable portion of the preceding advance.

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

[ozymandius]

2. Today's Reports

10:00 AM Wholesale Inventories Jun
Briefing Forecast 0.6%
Market Expects 0.7%
Prior 0.8%

10:30 AM Crude Inventories 08/04
Prior -1774K

[UpInArms]

31. June Wholesale Inventories Report:

10:00 AM ET 8/9/06 U.S. MAY WHOLESALE INVENTORIES REVISED TO UP 0.9% VS. 0.8%

10:00 AM ET 8/9/06 U.S. JUNE WHOLESALE SALES RISE 1.4%

10:00 AM ET 8/9/06 U.S. JUNE WHOLESALE INVENTORIES RISE 0.8% VS. 0.9% EXPECTED

http://www.marketwatch.com/News/Story/Story.aspx?guid=%7B432D677C%2D38DA%2D46D9%2DAD07%2DC741D44B338D%7D&dist=newsfinder&symbol=&siteid=mktw

WASHINGTON (MarketWatch) -- Inventories at U.S. wholesalers rose 0.8% in June while sales increased 1.4%, the Commerce Department said Wednesday. The inventory-to-sales ratio fell to 1.14 in June. The increase in inventories was slightly lower than the 0.9% predicted by economists surveyed by MarketWatch. Inventories had increased a revised 0.9% in May, up from 0.8% originally estimated. Inventories are up 8.1% in the past year. Sales are up 13.5% in the past year.

[UpInArms]

33. DOE Petroleum Inventories Report:

10:30 AM ET 8/9/06 CRUDE SUPPLIES DOWN 1.1 MLN BARRELS IN LATEST WEEK - DOE

10:30 AM ET 8/9/06 GASOLINE SUPPLIES DOWN 3.2 MLN BARRELS IN LATEST WEEK - DOE

10:30 AM ET 8/9/06 HEATING OIL SUPPLIES DOWN 200K BARRELS IN LATEST WEEK - DOE

[54anickel]

38. Impeccable timing with the BP announcement on Alaska. So did

our consumption and demand suddenly rise drastically, or did someone turn down the spigot on the supply side last week? Hmmmm, just how long before the official announcement did BP actually find the pipeline problems anyway? :freak:

[AnneD]

43. Morning Marketeers,

:donut: It's sad when you count you business 'retreat' as a vacation. Just got back from 2 days of 'vacation'. One of the folks got sick so I was in a small town emergency room from midnight until 3 am and didn't get but 4 hrs of sleep before the next session. Boy, I need more time off. My birthday falls on the Labour Day weekend so I plan to go fishing on a charter boat. All I need is a cup o' joe and a fishing rod.

Quess the feds finally figured the economy really does suck after all. About damn time! They wouldn't know a bear was on them until their intestines were spilled on the floor.

Too bad the media is trying to make out the Lieberman loss as a partisan slip. I see it as the grass roots finally trying to sent the message to our 'leadership'.

Happy hunting and watch out for the bears.

[54anickel]

44. Morning AnneD. Good to see you. I'm thinking the upcoming elections

are going to get pretty interesting. Notice how they've managed to label Lamont as an "anti-war businessman". Out of all the LIEberman issues pointed out by the grass roots "bloggers", they picked the one most easily "defended" (in their minds anyway). I see there's now a movement in the campaigns for "blog advisers". Watch for infiltrators in blog sphere coming soon. Cripes, you can't trust the damned MSM and now there will be a bit more second guessing on information retrieved on the "internets".

[AnneD]

49. I don't believe everything I see on the blogs.....

It needs to be substantiated. I look at the number of post and what they post. Believe you me, as a Nurse, I have seen hospital reps try to hype their facility but it just didn't work. I would not vote for Liberman because of his voting record and his introduction and passage of the bankruptcy bill. The media is trying to make this out as a split in the party which is a diaper load. We are not the GOP...we can handle differences of opinion. But these 'leaders' voted a corperate agenda, they are forgot who brought them to the dance. The voter in Conn. just sent a reminder. I will not vote for a DINO just to have a Dem occupy a seat. THAT, my friend is the lesson I want to send. For the last 5+ year, the Dems in congress have forgotten where they placed their balls (except for the female Dems who have had more balls than their male counterparts- go figure).

[sgxnk]

51. a bear?

are u implying we are in a bear market.

in the midst of a powerful secular bull market, that's an astounding statement, if that IS what u mean

[AnneD]

61. This is a board history inside joke...

I use to live in bear country. No matter how secure the trash cans were-you always looked carefully when taking out your trash and opening the dumpster. When you heard noises at night-you never went out to investigate. You might get up to make sure you locked the door but you NEVER went outside. Winters were safe but Spring and Summer were, shall we say, interesting. The common admonishment given to kids were go outside but watch out for the bears. I feel that this was sound advice.

Now reguarding todays market, I don't care WHAT fudged figures the government puts out, what phoney earnings reports are put out....we have been in a near bear/ real bear market for a while now and the economy is in bad shape. I don't trust the uneducated business media's 'reporting' that is nothing more than free advertising. I use my life wisdom (and over 20 years as a small investor) and my own investigation. I have reported what I see here on the ground. I have a diverse group that I get togather with every few weeks and we spitball what we have observed. I trust my observations over many a reporter 'facts' (that were spoon fed to him by corp interests). I have a decent track record. I have never lost money when I went by my observations. No one EVER loses money if they pull out a tad early -you just loose paper profits...which aren't real anyway.

[sgxnk]

63. thanks

for the explanation

i trade index futures for aliving, so i take my opinion seriously.

but i never embrace it

at ANY time, we can enter a bear market. that was true 100 yrs ago, it's true today

however, analysis of the current and past situation is CLEARLY a very nice secular bull market

for pete's sake, AMEX composite has been kicking hyooooge buttocks

this aint yer daddy's bull market though

in the stock market, it doesn't matter what the figures are, or earning reports (and i disagree with you in that earnings reports on the whole have been very good) are, but how the market REACTS to them

i trade supply/demand with a healthy dose of quantitative analysis.

futures almost exclusively, btw. i invest in stocks, but i TRADE futures

[AnneD]

65. Thanks...

we have different points of view and different ares of expertise on this thread and I value every one of them. I have become a smarter investor because of this thread. As I have little knowlege of or expertise about futures, I am not one to trade in it. But I can look at/research things and have a good idea what will do well and on that type of 'futures' I have done well (my best calls were aspertame, last years sugar, oil, emerging markets, and health care). As one poster said ...it is gestalt marketing.

[sgxnk]

66. i did some gestalt trading

on UARM HANS and NVAX

clothing, energy drinks, and birdflu respectively

lurv it
those were fun

[ozymandius]

3. Oil up ahead of US data, Alaska supports

LONDON (Reuters) - Oil prices climbed near $77 on Wednesday ahead of weekly inventory data which is expected to show falling fuel stocks in the United States.

U.S. light, sweet crude rose 39 cents to $76.70 a barrel, less than $2 shy of its peak in July.

-cut-

Prices had eased a little from record peaks on Tuesday amid hope that some output from BP's Prudhoe Bay field in Alaska, which represents 8 percent of total U.S. production, could be maintained.

-cut-

Some analysts were skeptical that even a limited flow from the 400,000 barrels per day BP field could be maintained, given the regulatory scrutiny BP was facing and the logistical challenges in buying pipelines and installing them in the harsh north.

more

[ozymandius]

4. Questions raised over aging oil fields

ANCHORAGE, Alaska - BP's problem of corroding pipes is worsening as the nation's largest oil field ages and more water and less oil is produced during drilling.

"Really, we are a giant water field," said Bill Hedges, BP PLC's corrosion expert, explaining that what comes up now during drilling is three-quarters water.

Water contains carbon dioxide, ideally suited to corroding pipelines.

The shutdown this week of the Prudhoe Bay oil field because of severe corrosion found in transit lines is raising questions about the condition of the rest of the field. Oil first flowed at Prudhoe Bay on June 20, 1977.

more

[54anickel]

39. Only one paragraph hinting to the larger issue....

"The changing quality of the crude that is being produced has presented an issue with the infrastructure that's in place and the development and that is what BP are battling against," Kenney said.

They are RUNNING. OUT. OF. OIL.

[ozymandius]

5. Alaska woes may boost price of gas

Late-summer gas price shocks have become a tradition for Valley motorists. Prices soared in 2003 after a pipeline ruptured near Tucson and last September after hurricanes battered the Gulf Coast's oil producers.

Pump prices could spike again after BP said Monday that it will shut down the nation's largest oil field in Alaska so it can replace a long stretch of corroded pipeline. The Prudhoe Bay closing will halt production of 400,000 barrels of oil per day, a loss of fuel expected to ripple throughout West Coast gas stations.

Most gas-market watchers don't expect gas prices to escalate as quickly as last September after the hurricanes or in 2003 after the pipeline rupture. Still, experts say, the price of a gallon of gas could increase several cents in coming days.

"One thing we certainly learned after (Hurricanes) Katrina and Rita is any impact to the supply has a nationwide impact," said Bob Slaughter, president of the National Petrochemical and Refiners Association. "If this is a prolonged situation, it will be felt throughout the U.S. and throughout the world."

http://www.azcentral.com/arizonarepublic/news/articles/0808biz-gas0808.html

[54anickel]

16. MAY boost prices - what the heck? Gas here went up .06 to .11 cents

the day the Alaska pipeline hit the news! The only ones that haven't gone up yet are the 2 stations in my little town. They are waiting each other out at $3.17. All the others on the way to the "big city" are $3.23 - $3.28.

[UpInArms]

32. Crude @ $76.45 bbl - Unl Gas @ $2.215 gal - Htg Oil @ $2.124 gal

10:02 AM ET 8/9/06 CRUDE FUTURES OPEN UP 14 CENTS AT $76.45 A BARREL

10:02 AM ET 8/9/06 GASOLINE FUTURES OPEN DOWN 1.13 CENTS AT $2.215 A GALLON

10:02 AM ET 8/9/06 HEATING OIL FUTURES OPEN UP 0.78 CENT AT $2.124 A GALLON

10:02 AM ET 8/9/06 NATURAL-GAS OPENS UP 28.2 CENTS AT $7.44 PER MILLION BTUS

[UpInArms]

35. Crude @ $76.80 bbl - Unl Gas @ $2.23 gal - Htg Oil @ $2.1375 gal

10:32 AM ET 8/9/06 NATURAL-GAS FUTURES UP 39.2C, OR 5.5%, AT $7.550/MBTUS

10:32 AM ET 8/9/06 HEATING OIL FUTURES UP 2.11C AT $2.1375/GALLON

10:31 AM ET 8/9/06 GASOLINE FUTURES DOWN 0.37C AT $2.2300/GALLON

10:31 AM ET 8/9/06 CRUDE FUTURES UP 49C AT $76.80/BARREL

[ozymandius]

6. Good morning Marketeers!

:donut: :donut: :donut:

Tiem is short for me this morning. It seems that the closer the Ozymandius family gets to moving into a new home - the less time I have for other things.

But I miss you all. Have a wonderful day!

Ozy :hi:

[fasttense]

7. Good morning Ozy, thanks for your

continued postings. They are a little bit of sunshine on a cloudy day. Hope your move in day goes smoothly. :loveya:

[AnneD]

50. Hey Ozy...

you have my heartfelt sympathy. Drop a line when you can and congrats on the house.:grouphug:

[Ghost Dog]

8. Tokyo shares recover on strong data

http://www.ft.com/cms/s/cd682a62-275c-11db-80ba-0000779e2340.html

The Japanese stock market staged an about-turn on Wednesday, falling in the morning on gloom about the US economy but recovering in the afternoon after strong Japanese machinery order figures. The Nikkei 225 closed up 1.2 per cent to 15,656.59 while the broader Topix rose 1 per cent to 1,578.43.

Domestically focused sectors rose, as confidence in the Japanese economy was strengthened by the data. Banking was up 1.5 per cent, with retail and real estate both 1 per cent higher.

/...

[Ghost Dog]

9. Bourses ease on growth concerns (midday)

http://www.ft.com/cms/s/aa216a72-2771-11db-b25c-0000779e2340.html

European stocks gave up early gains on Wednesday as worries over economic growth undermined sentiment after Wall Street reacted negatively to the Federal Reserve’s decision to leave interest rates unchanged.

The Fed held rates for the first time in two years at 5.25 per cent, but left the door open for further rises saying it still saw risks from inflation.

The FTSE Eurofirst 300 fell 0.2 per cent to 1,327.75 with the Xetra Dax in Frankfurt down 0.2 per cent to 5,641.57, the CAC-40 in Paris up 0.1 per cent at 4,973.59 and the FTSE 100 in London off 0.2 per cent to 5,806.5. The FTSE 11 point fall is less than the 12 points taken from it by stock going ex-dividend.

/...

[Ghost Dog]

57. Bourses buoyed by Wall Street advance (close)

http://mwprices.ft.com/custom/ft2-com/html-story.asp?dateid=38938.5210532407-880206335&guid={505EC99B-A594-4E32-A7DC-F63F345FBDB5}

European stocks wiped out morning losses as sentiment was boosted by a positive start on Wall Street. The FTSE Eurofirst 300 rose 0.7 per cent to 1,340.7 with the Xetra Dax in Frankfurt up 0.9 per cent to 5,702.8, the CAC-40 in Paris up 1.2 per cent at 5,025.2 and the FTSE 100 in London 0.7 per cent higher at to 5,860.5.

/...

[UpInArms]

10. daily dollar watch

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

Last trade 84.55 Change -0.53 (-0.62%)

Fed high wire act looks increasingly hazardous

http://business.timesonline.co.uk/article/0,,13129-2305030,00.html

RARELY in the annals of human history has inaction been so widely anticipated or so potentially consequential as yesterday’s decision by the US Federal Reserve to leave interest rates unchanged.

The Fed’s pass, after 17 straight meetings with a rate increase, comes as fears are mounting that the central bank may already have raised interest rates too far and tipped the US economy into recession.

After five years of robust growth following a brief downturn in 2001, the economy’s pace has decelerated sharply in the past few months, caused in part by the central bank’s tightening that began two years ago.

In the three months to June, gross domestic product grew at an annual rate of just 2.5 per cent, down from a 5.6 per cent pace in the first quarter. And in July almost all the most important economic indicators pointed to a further slowing. The housing market, the driver of much of the growth in the past few years, seems to be in full retreat, with prices falling in some areas and housing starts declining sharply.

Consumers have been relying on the steep increases in their housing equity in the past five years to keep up their frenetic pace of spending. But with prices now flat or falling and mortgage rates moving higher, they will need to increase their savings and curtail consumption. Business investment is also weakening, and high oil prices continue to crimp confidence and spending of both consumers and corporations.

...more...

Bernanke Puts His Reputation on the Line on Inflation

http://www.bloomberg.com/apps/news?pid=20601103&refer=news&sid=ae9EyG9x3piU

Aug. 9 (Bloomberg) -- Federal Reserve Chairman Ben S. Bernanke put his inflation-fighting credibility on the line after barely six months in the job, leaving interest rates unchanged even as consumer-price increases quicken.

Bernanke led a majority vote yesterday to keep the benchmark lending rate at 5.25 percent, and the statement emphasized the outlook for prices rather than the recent pickup in inflation. In the process, he lost unanimity among policy makers as Richmond Fed President Jeffrey Lacker voted against the decision, preferring an 18th-consecutive increase.

The Fed said prices will ``moderate over time'' as the cumulative effect of prior rate increases, surging energy prices and a sagging housing market slow growth. Fed watchers said the strategy is risky because there's no sign inflation is abating, and failure may erode the credibility built up under former chairmen Alan Greenspan and Paul Volcker.

``The Fed is going out on a limb,'' said John Silvia, chief economist at Wachovia Corp. in Charlotte, North Carolina. ``Bernanke has given us a story: moderating economic growth will lead to moderating inflation. That is going to be the test of his credibility.''

Between now and the Sept. 20 policy meeting, the government will release at least three inflation reports, as well as data on housing, retail sales and job growth. If the indicators show inflation isn't moderating, economists said the decision likely marks a pause, not a peak, in the rate cycle.

...more...

[54anickel]

41. Interesting Times...Today's Pfenning

http://www.kitcocasey.com/displayArticle.php?id=880

Good day... These are very interesting times for the new Fed chairman. Bernanke put his inflation-fighting credibility on the line yesterday when he led a majority vote to leave interest rates unchanged even as consumer price increases quicken. But the FOMC was not unanimous in its decision, with Richmond Fed President Jeffrey Lacker blasting the majority decision. We will have to wait and see just how strong a leader Bernanke is in directing the FOMC through the next few meetings.

Instead of shedding some light on the future direction of rates, the new FOMC statement was fairly vague (so much for Bernanke's policy of clear disclosures!). The statement points to a cooling U.S. economy and inflation risks that are 'elevated'. In language added to this month's statement, the panel predicts pricing pressures will abate because of past Fed moves and "other factors restraining aggregate demand." Here, for your reading pleasure, is the text of today's statement:

NEW FOMC STATEMENT
"Economic growth has moderated from its quite strong pace earlier this year, partly reflecting a gradual cooling of the housing market and the lagged effects of increases in interest rates and energy prices. Readings on core inflation have been elevated in recent months, and the high levels of resource utilization and of prices of the energy and other commodities have the potential to sustain inflation pressures. However, inflation pressures seem likely to moderate over time, reflecting contained inflation expectations and the cumulative effects of monetary policy actions and other factors restraining aggregate demand. Nonetheless, the Committee judges that some inflation risks remain. The extent and timing of any additional firming that may be needed to address these risks will depend on the evolution of the outlook for both inflation and economic growth, as implied by incoming information."

The markets seem as confused as the FOMC about the direction of the U.S. economy, as the dollar dropped dramatically just after the announcement only to bounce right back up to close the session just over where it started yesterday morning. Overnight the Asian and European markets decided the accompanying FOMC statement was more dovish than the U.S. markets had thought and the dollar was sold off again. With a divided Fed, an economy that seems to be slowing and inflationary pressures rising, the markets will continue to be very volatile trading up or down on the days data releases.

And speaking of data releases, today we already saw the release of MBA mortgage applications, which were surprisingly strong. We will also get Wholesale Inventories, which are expected to show a rise of just .6% for June. The big numbers will be released tomorrow when we will get the Trade Balance, weekly jobs data, and Monthly Budget Statement. The 'Twin Deficits' will likely show the U.S. continuing to increase our trade deficits while our budget deficits will narrow slightly due to increased tax revenues. While the narrowing budget deficit is good news, the near-record trade deficit won't be. As Chuck has been pointing out, the currency markets are putting a premium on the currencies of countries who have a trade/current account surplus. A widening trade balance in the U.S. will only feed more fuel to the dollar bears.

more...

[UpInArms]

11. Ford May Deepen Job Cuts Plan as Fuel Concern Is `Permanent'

http://www.bloomberg.com/apps/news?pid=20601103&sid=aZ5YmPt.iLcQ&refer=news

Aug. 9 (Bloomberg) -- Ford Motor Co., the second-biggest U.S. automaker, is looking at deepening a plan to cut jobs in North America because consumer demand for more fuel-efficient vehicles is ``more permanent than we expected,'' the company's chief in the region said.

``I'd rather be proactive than wishing and hoping things would go back to the way they were,'' Executive Vice President Mark Fields told reporters at a dinner last night in Traverse City, Michigan. ``More people want less dependence on foreign oil.''

Ford said last month it's accelerating a restructuring plan announced in January calling for cutting as many as 30,000 jobs in North America by 2012. The announcement came after Ford recorded a pretax loss of $1.6 billion in the region last year. Ford has reported net losses the past two quarters, as losses in North America have overwhelmed profits from car and truck loans.

Chief Executive Officer William Clay Ford Jr. installed Fields as chief of the automaker's Americas unit last year. Ford is trying to lessen its dependence on sport-utility vehicles and pickup trucks, which generally consume more fuel than passenger cars. The company recorded a 12 percent decline in sales of F- Series pickups through July and a 33 percent slide in sales of Explorer mid-size SUVs.

<snip>

``The new realities are we under-estimated the swiftness'' of buyers shifting to cars, Fields said at the media dinner. ``We've been monitoring the business, not every month but every week. You'll see us come back before the end of September'' to announce additional restructuring moves, he said last night.

...more...

[54anickel]

21. So reality has finally bit them in the ass and awakened them from

their slumber? I feel for their employees who will again pay the price for their ineptitude.

[AnneD]

52. Soooooo,

should our theme song be:
Tied to the whipping post by the Allman Brothers
I been run down, I been lied to,
<snip>

Sometimes I feel, sometimes I feel,
Like I been tied to the whipping post,
Tied to the whipping post,
Tied to the whipping post,
Good lord, I feel like Im dyin.

My friends tell me, that Ive been such a fool,
And I have to stand by and take it baby, all for lovin you.
Drown myself in sorrow, and I look at what youve down.
But nothin seems to change, the bad times stay the same,
And I cant run.

<snip>

Sometimes I feel, sometimes I feel,
Like I been tied to the whipping post
Tied to the whipping post,
Tied to the whipping post,
Good lord, I feel like Im dyin.

[UpInArms]

12. Colorado's tech sector expects more layoffs

http://www.rockymountainnews.com/drmn/tech/article/0,2777,DRMN_23910_4903938,00.html

Colorado's tech sector - already smarting from well-publicized layoffs totaling more than 1,000 jobs - appears poised to endure more cuts.

McData Corp.'s acquisition by Brocade Communications Systems Inc. is expected to produce layoffs among Broomfield-based McData's work force.

John Kelley, McData's CEO, said it was too soon to know the extent of the layoffs. But he acknowledged that Brocade will call the shots.

<snip>

The prospect of more layoffs in Colorado's tech industry comes after Sun Microsystems Inc. last week said it would cut 301 additional workers - on top of more than 100 employees already earmarked for dismissal.

<snip>

Economist Patty Silverstein, president of Development Research Partners, noted the information technology hardware industry in the Denver area has been particularly hard hit in recent years.

...more...

[UpInArms]

13. Fannie Mae to delay second-quarter earnings report

http://www.marketwatch.com/News/Story/Story.aspx?guid=%7B267A935C%2D04E6%2D4161%2D9643%2D29C601A709AE%7D&dist=newsfinder&symbol=&siteid=mktw

WASHINGTON (MarketWatch) -- Mortgage-lending giant Fannie Mae (FNM : 47.25, -0.21, -0.4% ) told the SEC it will delay the filing of its second-quarter earnings report Wednesday. Fannie has been struggling to restate several years' worth of earnings as it recovers from an accounting scandal. The company plans a call with investors Wednesday afternoon to discuss issues related to the delay. Shares of the Washington, D.C.-based company lost 21 cents to close at $47.25 on Tuesday.

[UpInArms]

14. Treasurys drop ahead of auction

http://www.marketwatch.com/News/Story/Story.aspx?guid=%7BF928FA2D%2D8DB5%2D44E0%2DB4B2%2D807A23513093%7D&dist=newsfinder&symbol=&siteid=mktw

NEW YORK (MarketWatch) - Treasury prices fell early Wednesday, sending yields higher, as traders continued to digest the Federal Reserve's decision to leave rates unchanged at 5.25% Tuesday and awaited the auction of 10-year notes later in the session. "Carry-through from the Fed's decision was limited overnight," said David Ader, government bond strategist at RBS Greenwich Capital. "We look to the $13 billion of 10-year supply to set the tone of today's trade -- modestly steeper and lower." The benchmark 10-year Treasury note was last 8/32 lower at 101 10/32 with a yield of 4.952%, up from 4.924% late Tuesday.

[UpInArms]

26. Treasuries slip before 10-, 30-year auctions

http://today.reuters.com/news/articleinvesting.aspx?type=bondsNews&storyID=2006-08-09T132509Z_01_N09323549_RTRIDST_0_MARKETS-BONDS.XML

NEW YORK, Aug 9 (Reuters) - U.S. Treasury debt prices slipped on Wednesday, a day after the Federal Reserve halted a two-year string of rate increases, with traders cutting prices of 10- and 30-year Treasuries ahead of a new supply.

The Treasury will sell $13.0 billion in new 10-year notes on Wednesday in the second part of its three-part $44.0 billion quarterly refunding.

In when-issued trading, the 10-year notes to be sold on Wednesday yielded 4.9275 percent.

The Treasury will sell $10 billion of 30-year bonds, a reopening, on Thursday.

While the Fed's calling at least a temporary halt to its monetary tightening campaign on Tuesday was bullish for bonds, Treasuries prices did relatively little with the news, having priced in the prospect of a rate hike cessation well beforehand.

"The (Fed) message was written over the last three weeks and the mailman delivered it yesterday," said John Spinello, chief fixed-income strategist at Jefferies and Co.

...more...

[UpInArms]

30. Printing Press Hums: Fed adds reserves via overnight system repos

http://today.reuters.com/news/articleinvesting.aspx?type=bondsNews&storyID=2006-08-09T133347Z_01_N09343692_RTRIDST_0_MARKETS-FED-OPERATIONS.XML

NEW YORK, Aug 9 (Reuters) - The Federal Reserve said on_Wednesday it added temporary reserves to the banking system through overnight system repurchase agreements.

Fed funds last traded at 5.25 percent, the Fed's target for the benchmark overnight lending rate.

For further details on the operation, see http://www.ny.frb.org/markets/omo/dmm/temp.cfm

[Roland99]

69. Over $21 billion so far this week

[UpInArms]

15. Toll Brothers says home building still sliding

http://today.reuters.com/news/articleinvesting.aspx?type=bondsNews&storyID=2006-08-09T124027Z_01_N0972583_RTRIDST_0_CONSTRUCTI0N-TOLL-OUTLOOK-UPDATE-2.XML

NEW YORK, Aug 9 (Reuters) - Luxury home builder Toll Brothers Inc. (TOL.N: Quote, Profile, Research) on Wednesday said new orders and revenue fell in the quarter just ended, prompting the company to slash for the fourth time the number of homes it expects to build this year, as the U.S. housing market continued its slide.

Preliminary numbers show that new orders fell 47 percent, to 1,443, in the fiscal third quarter ended July 31 from the same period last year, Toll said. The value of the contracts fell 45 percent, to $1.05 billion from $1.92 billion.

Investors sent shares down 4.5 percent in premarket activity on the Inet electronic brokerage system, where Toll shares traded at $25.36 from their Tuesday close of $26.58.

"This is worse than we expected," said Majestic Research analyst John Tomlinson. "I don't think we've quite reached the bottom."

Building revenue during the quarter slipped to $1.53 billion from $1.54 billion, and its backlog of homes on order but not yet constructed tumbled 13 percent to $5.59 billion from $6.43 billion.

The company, based in Horsham, Pennsylvania, attributed the weakness to an oversupply of homes on the market, as speculators try to unload their investments and potential buyers sit on the sidelines waiting for better deals. Toll said cancellation rates ran high during the quarter, especially in last year's hot markets of Orlando, Florida; Las Vegas, Nevada; Phoenix, Arizona; and Palm Springs and Northern California.

...more...

[UpInArms]

29. Toll's quarterly home contracts slip 45%

http://www.marketwatch.com/News/Story/Story.aspx?dist=newsfinder&siteid=mktw&guid=%7B06F7EE28%2DBE87%2D492E%2D8086%2D5E486F85A927%7D&symbol=

BOSTON (MarketWatch) -- Toll Brothers Inc. said Wednesday the value of signed contracts in the luxury home builder's fiscal third quarter fell 45% from the earlier year's record pace, and for the fourth time lowered its 2006 home-delivery forecast.

The company's (TOL : 26.58, -1.34, -4.8% ) preliminary results for the quarter ended July 31 showed home-building revenue fell slightly to $1.53 billion from $1.54 billion while the value of Toll's backlog of homes awaiting construction slipped 13% to $5.59 billion.

The builder lowered its estimate of homes it expects to deliver in the fiscal fourth quarter to a range of 2,500 to 2,800 homes, from between 2,900 and 3,300 deliveries. For the fiscal year, Toll sees deliveries between 8,600 and 8,900 homes.

The company has knocked down its 2006 estimate several times this year, with its last forecast in May between 9,000 and 9,700 homes. The shares are off 23% year to date through Tuesday's close as home-builder stocks have been hit by a cooling housing market and rising mortgage rates.

Toll Brothers said it would take write-downs for the value of land options on "deals that no longer work due to today's weaker market conditions and slower sales paces." The company said it would specify the write-downs when it formally reports third-quarter financial results on Aug. 22.

Robert Toll, chairman and chief executive, in a statement said current housing slowdown "is the first downturn in the 40 years since we entered the business that was not precipitated by high interest rates, a weak economy, job losses or other macroeconomic factors."

...more...

[UpInArms]

17. Nokia to cut San Diego staff by half (550 jobs)

http://www.signonsandiego.com/news/business/20060809-9999-1b9nokia.html

Nokia said yesterday that it will cut in half its San Diego work force of 1,100 employees.

The cutbacks are a result of Nokia's decision to stop making phones that use Qualcomm's patented technology, called CDMA, or code division multiple access.

Nokia increased its San Diego presence in 1999, opening its 185,000-square-foot facility in Scripps Ranch and doubling its work force in hopes of becoming a dominant player in the CDMA phone market.

But during the past year, the two telecom giants have been squabbling over the renewal of a cross-licensing deal that allows the companies to use each other's technology.

Nokia has long complained that Qualcomm charges too much to use its CDMA patents. In June, Nokia said it would no longer design and manufacture mobile phones using CDMA technology and scrapped plans to join forces with Sanyo to create a separate company that would concentrate solely on CDMA phones.

...more...

[AnneD]

53. So how's this economy working for ya....

bet some folks are rethinking their Nov votes. Every time folks bitch to me about the economy...I see it as an opportunity to get the Dem message across. All I have to do is mention the CEO salary and their donations to GOP and that gets so of those folks to thinking. But alas, there are some that refuse to believe. I don't waste time...I don't suffer fools anymore-bad for your health you know.

[54anickel]

18. Richmond Fed's Lacker Votes Against Leaving Rate Unchanged

http://www.bloomberg.com/apps/news?pid=20601103&sid=aZpoyT7P5rbo&refer=us

Aug. 8 (Bloomberg) -- Federal Reserve Bank of Richmond President Jeffrey Lacker, who has warned of complacency in fighting inflation, disagreed with the Fed's decision today to forgo an interest-rate increase.

The rebellion is the first on the Federal Open Market Committee since Ben S. Bernanke became chairman in February and the only one since Hurricane Katrina came ashore last August, displacing millions and killing more than 1,800 people. He argued for a quarter-point rate increase.

Lacker, 50, who has led the Richmond Fed for two years, may try to persuade the central bank to resume lifting rates in September, with inflation exceeding the fed's comfort zone. As research director of the Richmond Fed, he was an advisor to Al Broaddus, who cast six dissenting votes in the mid-1990s in favor of stronger Fed action to quash inflation.

``The Richmond Fed has historically been for strong money,'' said Mark Vitner, a senior economist a Wachovia Corp. in Charlotte, North Carolina. ``This adds hawkishness to the pause. This increases the odds of a September move, though only modestly so.''

snip>

``It adds to the Fed's inflation-fighting credibility to have a dissent,'' said Anthony Chan, chief economist at JPMorgan Private Client Services and a former Fed economist. ``Bernanke may not be disappointed by a dissent because it makes his case all that easier'' should he wish to tighten in the months ahead, added Chan.

more...

[54anickel]

24. Housing drove Fed, Pimco expert says

I've got a feeling McCulley is going to eat these words!

http://www.ocregister.com/ocregister/money/abox/article_1237241.php

Veteran Fed watcher Paul McCulley at Pimco in Newport Beach wasn't surprised by the central bank's decision Tuesday to leave interest rates it controls unchanged after 17 consecutive hikes dating to June 2004. McCulley previously predicted the Fed was done raising rates for this economic cycle.

Q. How big a role did a shaky housing market play in Fed's decision?

A. Huge.

Q. What does this non-action mean for mortgages?

A. Mortgage rates down a touch over last month, likely to hover 'round here, even as "affordable" products (novel home loans containing pay options or negative amortization) abate with tighter underwriting standards and fear.

Q. Should I keep my adjustable mortgage? Is the rising-payment pain over?

A. Yes.

more...

[UpInArms]

19. Motherrock Hedge Fund Imploded with borrowed money

http://www.thestreet.com/_googlen/newsanalysis/energy/10301570.html?cm_ven=GOOGLEN&cm_cat=FREE&cm_ite=NA

8/3/2006 1:59 PM EDT (while I was away)

MotherRock, an energy trading hedge fund led by former Nymex President J. Robert "Bo" Collins, is imploding.

The two-year-old fund, which once had about $450 million in assets under management, notified investors early Thursday that it is closing up after suffering through two brutal months, say people familiar with the fund.

A copy of the investor letter, in which Collins says MotherRock is winding down because of its "terrible performance," was obtained by Bloomberg News.

In May, the hedge fund posted a 2.2% loss. Things got much worse in June, when MotherRock plunged 24%, slashing its assets under management to about $280 million, sources say. The bad performance continued in the month of July, although figures for the past month weren't available, the sources say.

The swift decline in MotherRock's assets may also be partly attributable to investor redemptions, sources say.

MotherRock's troubles stemmed from a series of bad bets on natural gas prices made with leverage, or borrowed money, sources say. Natural gas prices have been volatile in recent months.

"To be honest with you, I was sort of expecting some failures," says Harry Chernoff, a principal at Pathfinder Capital Advisors. "Natural gas prices have been going up and down 10% almost every day. It's very easy to lose a great deal of money, very quickly, under those conditions. This kind of volatility could kill a lot of funds."

...more...

[UpInArms]

20. ABN may see $100 mln in fund-related losses-report

http://today.reuters.com/news/articleinvesting.aspx?type=bondsNews&storyID=2006-08-09T124956Z_01_L09793184_RTRIDST_0_FINANCIAL-ABN-FUND.XML

AMSTERDAM, Aug 9 (Reuters) - Dutch bank ABN AMRO (AAH.AS: Quote, Profile, Research) may face losses of nearly $100 million from the collapse of a hedge fund run by former New York Mercantile Exchange President Robert Collins, the New York Post said on Wednesday.

A spokeswoman for ABN AMRO, the Netherlands biggest bank, declined to comment on the report.

The fund, called Motherrock, collapsed last week and lost almost all of its investors' $450 million after a bet on natural gas went wrong, the newspaper said on its Web site, citing unnamed sources.

ABN brokered trades for Motherrock and allowed the fund to trade with borrowed money, and is now holding over 1 million futures and options contracts on natural gas, the New York Post said, citing "traders and other sources close to ABN."

The newspaper also said that the incident could jeapordise ABN's plans to sell its global futures business to UBS (UBSN.VX: Quote, Profile, Research) for $386 million in cash.

[UpInArms]

22. Mirant to sell 6 U.S. gas-fired power plants

http://today.reuters.com/news/articleinvesting.aspx?type=bondsNews&storyID=2006-08-09T123401Z_01_WEN3704_RTRIDST_0_UTILITIES-MIRANT-SALES-URGENT.XML

NEW YORK, Aug 9 (Reuters) - Independent power producer Mirant Corp. (MIR.N: Quote, Profile, Research) on Wednesday said it plans to sell six intermediate and peaking gas-fired power plants in the U.S., representing a total of 3,504 megawatts of generating capacity.

The company said it expects to record a total impairment loss of $500 million to $700 million from the plants.

It said JPMorgan will serve as financial advisor for the sales.

What crappy reporting. Who, What, When, Where, Why - :grr:

Who are they selling to? (outside of the US?)

Where in the US are those plants located?

[UpInArms]

23. pre-opening blather

09:15 am : S&P futures vs fair value: +8.2. Nasdaq futures vs fair value: +14.5.

09:00 am : S&P futures vs fair value: +7.3. Nasdaq futures vs fair value: +14.0. Still shaping up to be a higher open for equities as investors continue to embrace better than expected earnings reports. With more than two thirds of the S&P 500 having already reported and a 12th straight quarter of double-digit earnings growth almost in the books, investors for now are looking past potential inflation indicators (i.e. higher oil prices), which could lead to another rate hike before the end of the year, in favor of attractive valuations as a result of continued profit growth in a flat market.

08:30 am : S&P futures vs fair value: +7.3. Nasdaq futures vs fair value: +13.5. Futures indications continue to strengthen, signaling a sharply higher open for the indices. With the Fed decision out of the way and dated June Wholesale Inventories today's only economic report (10:00 ET) and one that rarely impacts the market, investors have refocused their attention to earnings. Two more blue chips topping forecasts and helping solidify a strong start for stocks are Dow component Walt Disney (DIS) and Federated Department Stores (FD).

08:00 am : S&P futures vs fair value: +5.5. Nasdaq futures vs fair value: +9.2. Early indications suggest that stocks will regain some upward momentum following yesterday's decision by the Fed to leave rates unchanged but leave the door open for more hikes; both the S&P 500 and Nasdaq 100 futures are trading above fair value. Cisco Systems (CSCO) surging 9% in pre-market trading is providing the bulk of support this morning as its better than expected Q4 report and reassuring FY07 revenue growth outlook offers some reassurance for the struggling tech sector.

[UpInArms]

25. Bear Stearns, UBS among 13 firms fined by NYSE

http://www.marketwatch.com/News/Story/Story.aspx?guid=%7B70EF6680%2DF471%2D4D17%2D89AD%2D0025BC962FED%7D&dist=newsfinder&symbol=&siteid=mktw

NEW YORK (MarketWatch) -- Bear Stearns Cos. (BSC) and UBS (UBS) were the marquee firms named Wednesday among the 13 that NYSE Regulation Inc. said it fined for various violations. Bear Stearns was fined $115,000 for placing odd-lot orders for customers believed to be day traders and other violations in 2003 and 2006. UBS was fined $175,00 for record keeping and supervisory deficiencies at branch offices in 2003 and 2004. Other firms that agreed to fines were Daiwa Securities, Scott & Stringfellow and Southwest Securities Inc. NYSE Regulation is a not-for-profit subsidiary of NYSE Group Inc. (NYX)

[54anickel]

27. OT - THE BUSH QUIZ: THE TWENTIETH HUNDRED DAYS (Heh-heh)

http://www.newyorker.com/shouts/content/articles/060807sh_shouts

1. Complete George W. Bush’s quote: “I believe that my job is _____.”

(a) to protect life. And sometimes people have to die in order to protect life, see? And that saddens me.

(b) hard. It’s a heckuva hard job. It’s difficult. But I’m doin’ it, see, and I’m gonna keep on doin’ it, because that’s the job of a President.

(c) to go out and explain to people what’s on my mind. That’s why I’m having this press conference, see? I’m telling you what’s on my mind. And what’s on my mind is winning the war on terror.

(d) to construe the laws I sign in a Presidential way. Because that’s part of being a leader, see, is construing with your gut.



2. Who is Peter Wallsten?

(a) The partially blind reporter whom George W. Bush mocked (“Are you going to ask that question with shades on?”) for not removing his sunglasses while addressing the President.

(b) The wheelchair-bound senior citizen whom George W. Bush mocked (“You look mighty comfortable”) for not standing in the presence of the President.

(c) The C.I.A. employee who, after delivering the “Bin Laden Determined to Strike in U.S.” briefing, was told by George W. Bush, “All right, you’ve covered your ass now.”

(d) The Iraq-war amputee with whom George W. Bush tried to bond by telling him about a scratch he got during “combat with a cedar” while clearing brush.



more...

[OrangeCountyDemocrat]

34. Good Stuff!

May have to send that out in a few e-mails. Thanks.

[AnneD]

56. Step away from your computer....

I have 'mexed fillings'(what you get at that dental clinic across the border-cause your job dropped that benefit 4 yrs ago :rofl: )

.... I knew the answer to way too many of the questions.

[UpInArms]

28. 9:37 EST a-thumpin' and a-bumpin'

Dow 11,236.91 +63.32 (+0.57%)
Nasdaq 2,091.69 +30.84 (+1.50%)
S&P 500 1,281.32 +9.84 (+0.77%)
10-Yr Bond 4.949 +0.026 (+0.53%)

NYSE Volume 96,108,000
Nasdaq Volume 122,178,000

[54anickel]

36. The Currencies of the Anti-Idiots (Mogambo warning - at his Libertarian

finest this week!)

http://www.kitco.com/ind/Daughty/aug092006.html

snip>

This doomsday scenario dovetailed nicely when he went on to say, "And made available to a far larger range of people that previously did not qualify for loans." As a guy who is such a loser that I cannot possibly qualify for a loan, I understand what a deadbeat I am, and my mind is overwhelmed by the enormity of it all, as I could plainly see a large, terrifying mushroom cloud rising into the air! I don't know if he was reading my mind or what, but he summarized it perfectly when he said "This essentially describes our system today."

He adds, perhaps hoping to make me feel better "If this sounds like a bad idea to you, even if you are not an expert in banking and finance, you can give yourself a gold star for having a good intuition, because this arrangement is not only bad, it is catastrophically bad." As the Klingons would say, "Quite clgg-like!"

He notes that this is all carefully explained by the Federal Reserve, as he reports them as reassuring us wimpy scaredy-pants little girlie-men by soothingly saying "Although reserve requirement ratios have not been changed since the early 1990s, the level of reserve requirements and required reserve balances has fallen considerably since then because of the widespread implementation of retail sweep programs by depository institutions. Under such a program, a depository institution sweeps amounts above a predetermined level from a depositor's checking account into a special-purpose money market deposit account created for the depositor. In this way, the depository institution shifts funds from an account that is subject to reserve requirements to one that is not and therefore reduces its reserve requirement. With no change in its vault cash holdings, the depository institution can lower its required reserve balance, on which it earns no interest, and invest the funds formerly held at the Federal Reserve in interest-earning assets."

In short, "We gave your money to someone else to hold, so it's not our problem!" Hahaha!

He finishes up with "The Fed's behavior has been a crime visited upon the general citizenry, and the impact of the resulting asset bubbles and inflation will eventually be recognized as harming the most vulnerable the most severely."

And that last phrase about "harming the most vulnerable most severely" is poignantly portrayed in Waveney Ann Moore's article "Lean Times" in the St. Petersburg Times newspaper, where she chronicles a sudden flood of appeals to local charities and agencies and governments for assistance in paying rents, utilities and buying food. This is the initial symptom of the price inflation that follows monetary inflation.

more...

[ramapo]

46. The true role of our gov'mint

The Bush gov'mint and its media hacks (especially the financial media) main focus is on holding this mess of an economy together long enough to get out of town. It would be ironic, yet entirely probable, that the house of cards they call the booming American economic engine will throw a rod, grind to a halt, and maybe just spill its oily guts on the floor, for a Democratic administration.

Everyday I am amazed that a financial system totally predicated on debt is able to function. The Mogambo makes just too much damn sense. It seems much of what goes on is powered by an endless supply of fairy dust. We're a country of addicts.

[OrangeCountyDemocrat]

37. So, For Now, They Sacrificed The Dollar?

Good for Stocks. Good for Gold. Good for Housing. Bad for Interest Rates. Bad for value of the Dollar. Bad for slowing Inflation.

Next period I bet they sporadically throw out the ol' "Fed Is About To Raise Again" mumbo jumbo, to support the dollar from taking too much of a hit, while at the same time including enough doubt as to the Fed's move, in order to keep the stock market in line.

Finally, at the last meeting of the year, they'll hold again, to keep everybody Happy during the holiday buying season.

So, outside of metals, oil or foreign currency, how to benefit from the malaise and short term fluctuations which will occur the rest of 2006? I wouldn't be surprised to see Interest Rates at 5 1/2% and the market at 11,000 when we begin 2007. So, given that, and given I think we're far worse off than we're being told, something has to go down in the period. My guess is that inflation will increase and the dollar will continue to decline. Is a $2.00 Pound easily accomplished at this point?

[54anickel]

40. Two economies separated by a common policy

http://news.independent.co.uk/business/comment/article1217449.ece

snip>

But for how long can these two central banking heavyweights dance to a different tune? The left-hand chart shows movements in base rates and Fed funds, the key policy rates on either side of the Atlantic, since 1997, the year in which the Bank of England was granted its independence. While there are some differences of timing and magnitude, the overall pattern on either side of the Atlantic is not so different. While both the Bank of England and the Federal Reserve may be independent from political interference, they seem to be singing, for the most part, from a remarkably similar hymn sheet. It's difficult to imagine a world where, persistently, the Bank of England raises interest rates when, at the same time, the Federal Reserve keeps rates unchanged or, as may be increasingly likely in the months and quarters ahead, actually contemplates cutting interest rates.

snip>

Based on the Bank's experience, perhaps markets should regard any interest rate pause from the Federal Reserve as another shot in the arm, a neat monetary trick designed to give the US economy a second wind. Somehow, though, I doubt the Federal Reserve sees things this way. The Federal Reserve has raised interest rates a lot further than the Bank of England and some of its governors believe that monetary conditions are now restrictive. The US housing market is showing widespread signs of slowing down. The unemployment rate unexpectedly rose on Friday. And the pace of economic growth has faded fast, particularly after a post-Katrina bounce towards the end of last year.

And, most important of all, the US is a very large economy and the UK, despite being a major industrial nation, is rather small. Should the UK wilt in response to restrictive monetary conditions, the rest of the world is not likely to worry too much. Should the US slow down, we're all likely to be affected. In more ways than one, the UK can sometimes be regarded as America's poodle.

Domestic economic conditions in the UK have clearly improved over the last 12 months. The UK has also benefited from the eurozone's economic renaissance, a recovery that, like the UK's, has seen its reward in the guise of higher interest rates. But policymakers in both the UK and the eurozone will be casting nervous glances across the other side of the Atlantic, knowing through sometimes bitter experience that their own economic wellbeing still depends to a large degree on Uncle Sam's health.

What if Uncle Sam really is slowing down? What if the boom in the US housing market is drawing to a close? Or if US consumers are finally running out of steam?

For the UK, there are three broad concerns. First, a sizeable loss of US demand should lead to a narrowing of the US current account deficit: and that suggests fewer exports heading westwards from Britain. Second, an increase in cost-cutting pressure on American firms could lead to job losses not just in the US, but also in American affiliates elsewhere in the world, including those in the UK. Third, if US rates have peaked and eventually head lower, the dollar is likely to soften. Indeed, with sterling already above $1.90, a $2 pound can't be ruled out. Good news for British holidaymakers, no doubt, but the kind of exchange rate action that might, in time, lead the Bank of England to think again before raising interest rates another notch.

more...

[Ghost Dog]

58. Sterling eases from peak after BoE inflation report

http://investing.reuters.co.uk/news/articleinvesting.aspx?type=ukPoundRpt&storyID=2006-08-09T143820Z_01_L09131482_RTRIDST_0_MARKETS-STERLING-CLOSE.XML

LONDON, Aug 9 (Reuters) - Sterling rowed back from a recent 15-month high against the dollar on Wednesday after the Bank of England's quarterly inflation report proved to be less hawkish than some in the market had expected.

In its inflation report, published a week after it unexpectedly raised rates to 4.75 percent, the central bank said its expected profile for economic growth and inflation over the next two years was higher than in May.

Most significantly, the CPI rate was expected to be well above the 2.0 percent target in 2 years if interest rates remained at their current level.

But the pound fell because financial markets had priced in a more aggressive monetary tightening campaign after last week's hike.

The report "is probably marginally dovish. The inflation forecast that they used, used market rates from before the meeting," Westpac currency strategist Geoff Kendrick said. "Given that rates have moved quite a lot since then, that would imply that if you assume rates as they are today, inflation would probably track back below target over the two-year period," he added.

By 1411 GMT, sterling was broadly steady against the dollar at $1.9096 <GBP=>, having fallen some 20 ticks just after the report. Against the euro it fell to 67.47 pence <EURGBP=>. The pound hit a 15-month high on Tuesday at $1.9144 after the U.S. Federal Reserve decided to keep rates on hold at 5.25 percent.

/more...

[54anickel]

42. 11:16 and drifting upwards

Dow 11,211.69 +38.10 (+0.34%)
Nasdaq 2,089.11 +28.26 (+1.37%)
S&P 500 1,280.04 +8.56 (+0.67%)
10-yr Bond 4.943 +0.02 (+0.41%)
30-yr Bond 5.043 +0.02 (+0.40%)
NYSE Volume 829,678,000
Nasdaq Volume 732,965,000

11:00 am : Major averages are paring some of their gains as oil prices spike to session highs following a larger than expected draw down in weekly gasoline supplies. Crude oil futures have recently climbed back above $77 a barrel, providing a lift to the Energy sector (+1.1%) but also serving as a reminder that the Fed, albeit finally taking a rate-hike breather yesterday, said it will continue to keep a watchful eye on inflation risks like higher energy prices, which left the door open for more tightening. DJ30 +25.74 NASDAQ +19.80 SP500 +6.54 XOI +1.4% NASDAQ Dec/Adv/Vol 1066/1622/652 mln NYSE Dec/Adv/Vol 1165/1768/476 mln

10:30 am : Not much has changed since the last update as investors show little reaction to the day's only scheduled economic release. June wholesale inventories rose 0.8% (consensus 0.7%) while sales jumped 1.4% -- the smallest gain of the last three months, leaving a new record low inventory-to-sales ratio of 1.14 months. However, since the sales figures say close to nothing about personal consumption, the report has been largely overlooked as traders wait to see what sort of impact the Energy Dept.'s upcoming weekly oil report will have on energy prices, which have been trending higher ahead of the data.DJ30 +36.34 NASDAQ +23.32 SP500 +7.11 NASDAQ Dec/Adv/Vol 814/1785/480 mln NYSE Dec/Adv/Vol 882/1930/326 mln

10:00 am : Market is off its opening highs but all 10 sectors are still trading higher as bargain hunters come out in droves to lift the market in early trading. Cisco Systems (CSCO 19.53 +2.24) bouncing off seven-month lows with its best one-day gain (13%) in several years is providing the bulk of early support and helping Technology pace the way to the upside (+1.8%). In fact, Cisco's upbeat sales guidance has lit a fire under the entire Tech sector, which accounts for eight of today's top ten performing S&P industry groups. Even IT Consulting & Services, last month's second worst performer (-18.5%), is turning in one of today's best performances (+1.4%). ..NWX +3.4%. ..HWI +1.0%. ..GSO +1.4%. DJ30 +44.67 NASDAQ +25.13 SOX +2.3% SP500 +8.14 NASDAQ Dec/Adv/Vol 550/1863/292 mln NYSE Dec/Adv/Vol 542/2044/178 mln

09:40 am : As futures trade presaged, stocks open sharply higher as a batch of better than expected earnings reports renews enthusiasm for equities. With so many concerns about growth prospects in the face of higher interest rates, Cisco Systems (CSCO 19.37 +2.07) following up a Q4 earnings surprise by saying FY07 sales will grow at a faster than anticipated 15-20%, on the heels of the Fed pausing no less, has restored investor confidence, especially in the underperforming Tech sector. Dow component Walt Disney (DIS 29.98 +1.00) growing Q3 profits nearly 40% lending further credence to a 12th straight quarter of double-digit earnings growth for the S&P 500 is also giving blue chips a big boost right out of the gate. DJ30 +52.59 NASDAQ +28.76 SP500 +8.81 NASDAQ Vol 152 mln NYSE Vol 72 mln

[stop the bleeding]

45. Hey everyone, my puter completely crashed yestereday

I have been spending all of my time trying to restore missing files. - AAARRGGHHH!!!

I do research and I lost most of my work from November/05 forward - this is not a good day.

If anyone knows of a quick area where I can ask some tech questions and actually get quick easy to understand responses I would greatly appreciate it.

All of my trading software and other programs have to be reinstalled. Luckily we were out of the market, but it sucks not being able to follow things in case there is something that catches the eye.

One of my main problems is the size of the text and overall look of my internet pages. I have clicked on View at the top and adjusted text size but that is not fixing the problem any ideas?


AAARRGGHHHHH!!!:argh:

[54anickel]

47. Don't know what you're running or what the issue is, but couple of

thing to try.

Is your screen resolution set properly? In XP or 2K just right-click on your desktop, go to Properties and then to the setting tab to check the screen resolution settting.


Did you loose some video driver files? Easiest way to check is to right-click on My Computer and select Manage from the drop menu. Select Device Manager in the left pane and see if your display adapter is recoginized OK and not just some generic VGA driver, or has a yellow bang ! over it.


Edit to add: I'd like to help you out more, but I've gotta get off to work. Sorry. Could help you this evening if you can wait that long. Just PM me.

[stop the bleeding]

55. thank you

I have been messing with resolution all morning and no luck - it is like my layout is more narrow that is the only way I can describe it

[Ghost Dog]

59. Try here:

http://www.computing.net/

and maybe here:

http://www.winguides.com/forums/

(assuming this is Windoze...).

Depending on the value of your lost data, you may want to think about contracting a hard disk data recovery company - they can work miracles - run a local google search.

[specimenfred1984]

48. Big Fraud Bank Pump in S&P

at 11:44 am. Volume of 22,000 in 2 minutes, making a new high for the day, followed by a little selloff that takes the price below what was resistence (the old high for the day).

Normally, that'd be a technical sign of a selloff but these markets are the pawns of the big fascist, propaganda-spewing market manipulators, brought to you by years of ignorance, crime and "deregulation"!

Our "investments" are safe, until these frauds decide to dump 'em, that is. Maybe Dubai should build a few palm-shaped jail islands for all the white collar criminals?

[AnneD]

64. Tax-free weekend is 'very, very busy' for retailers, shoppers

With two teenagers and a preteen, Garnetta Ashmore always looks for the best deal. She found several over the weekend, she said, as Texas wrapped up its eighth consecutive sales tax holiday on Sunday.

<snip>

Retailers described the state's latest tax holiday as a success, though detailed sales figures were not yet available. Stores were full over the weekend, and shoppers carted off back-to-school clothes, shoes, socks and other goods.


<snip>

"Definitely, the crowds were bigger," said Joe Cardaropoli, a district manager for Kohl's Corp. in the Dallas area. "We see our business grow every year with tax free."

<snip>


Ms. Strayhorn, who is running for governor, has reckoned that this year's tax holiday would save consumers $49 million this year – $38.5 million in state taxes and $10.5 million in local taxes. That's about 3.4 percent more than the estimated $47.4 million they saved last year.

http://www.dallasnews.com/sharedcontent/dws/bus/stories/0807dnbusretail.1fd91c6.html


The article said that this tax holiday did not really increase sales as much as compress them into a time frame. I am not so sure about that as stores near the borders tend to get extra business as shoppers cross over to take advantage of the lower prices.

[UpInArms]

54. 1:20 EST numbers, blather and bye!

Dow 11,154.06 -19.53 (-0.17%)
Nasdaq 2,083.22 +22.37 (+1.09%)
S&P 500 1,275.11 +3.63 (+0.29%)
10-Yr Bond 4.943 +0.02 (+0.41%)

NYSE Volume 1,443,189,000
Nasdaq Volume 1,222,547,000

1:00 pm : Sellers show some resolve within the last 30 minutes, spearheaded by a reversal in the Financials sector. The absence of such influential leadership, since Financials accounts for the bulk of (21.4%) the weighting on the S&P 500, is removing much of the market's momentum, especially on the blue chip averages. Dow component American International Group (AIG 58.28 -1.40) plunging 2.4% ahead of its earnings report after the bell is weighing heavily on the sector while rising bond yields, as Treasuries sell off ahead of an upcoming 10-year note auction, are also contributing to recent weakness throughout the rate-sensitive group. The 10-year note is off 5 ticks to yield 4.94%.DJ30 +1.12 NASDAQ +26.21 SP500 +5.68 NASDAQ Dec/Adv/Vol 1047/1822/1.16 bln NYSE Dec/Adv/Vol 1024/2085/878 mln

12:30 pm : No real change in sentiment as the afternoon session gets underway. Tech stocks remain in rally mode, still giving a lift to the rest of the market; the sector's 2.4% surge has erased nearly a quarter of its 10.5% year-to-date decline. Energy and Telecom Services are also turning in strong performances of more than 1.0%, as all 10 sectors remain in positive territory. DJ30 +37.21 NASDAQ +32.12 SP500 +9.51 NASDAQ Dec/Adv/Vol 979/1857/1.06 bln NYSE Dec/Adv/Vol 944/2138/794 mln

Gotta run - prolly won't be back 'til after the close :hi:

[Sven77]

60. BRITISH PETROLEUM'S "SMART PIG"

The Brilliantly Profitable Timing of the Alaska Oil Pipeline Shutdown
by Greg Palast

BRITISH PETROLEUM'S "SMART PIG"

Is the Alaska Pipeline corroded? You bet it is. Has been for more than a decade. Did British Petroleum shut the pipe yesterday to turn a quick buck on its negligence, to profit off the disaster it created? Just ask the "smart pig."

Years ago, I had the unhappy job of leading an investigation of British Petroleum's management of the Alaska pipeline system. I was working for the Chugach villages, the Alaskan Natives who own the shoreline slimed by the 1989 Exxon Valdez tanker grounding.

Even then, courageous government inspectors and pipeline workers were screaming about corrosion all through the pipeline. I say "courageous" because BP, which owns 46% of the pipe and is supposed to manage the system, had a habit of hunting down and destroying the careers of those who warn of pipeline problems.

continued

[specimenfred1984]

62. And the Dump

in nice, neat 15,000 to 17,000 increments in the S&P. Tgt 1235 on the downside unless the well-educated frauds decide to pump it up again.

I hope for the future of this country that dems get some kind of a majority in Nov.. If not, our markets will be screwed for at least another 2 years, if not for 10 years. That is, if we even have the appearance of a free country remaining.

[UpInArms]

67. bloody closing numbers and despondent blather

Dow 11,076.18 -97.41 (-0.87%)
Nasdaq 2,060.28 -0.57 (-0.03%)
S&P 500 1,265.94 -5.54 (-0.44%)
10-Yr Bond 4.937 +0.014 (+0.28%)

NYSE Volume 2,555,178,000
Nasdaq Volume 2,145,420,000

The major averages failed to hold on to what was looking like an impressive day of gains as ongoing concerns about moderating economic growth overshadowed a batch of better than expected earnings.

With so many worries about growth prospects in the face of higher interest rates and rising oil prices, Cisco Systems (CSCO 19.78 +2.49) following up a Q4 earnings surprise by saying FY07 sales will grow at a faster than anticipated 15-20% pace initially renewed optimism that IT spending might not slow by as much as many on Wall Street had feared. Further, the timing of such an upbeat report could not have been better, especially for a beaten down Tech sector which has had more than its share of disappointments and especially in the wake of the Fed leaving rates unchanged for the first time in years but not completely ruling out the possibility of more hikes.

Dow component Walt Disney (DIS 28.81 -0.17) also helped restore investor confidence and gave blue chips a big boost right out of the gate after the entertainment giant said Q3 profits rose nearly 40%, which lent further validity to the idea that the S&P 500 will log its 12th straight quarter of double-digit earnings growth.

Be that as it may, with the jury still out as to just how much the economy is slowing, and what impact such a slowdown may have on inflation, a change in sentiment late in the day as the bulls grew disillusioned with their inability to sustain an intraday rally, coupled with a breakdown in market technicals, left the market at its worst levels of the day and down for a fourth straight session.

Hardest hit were cyclicals, since their bottom lines are most closely tied to shifts in the economy. The Dow turned in the worst performance among the majors. Industrials like Caterpillar (CAT 68.52 -3.08) and United Technologies (UTX 60.31 -1.57), among two of the heaviest weighted components in the price-weighted Dow, were also among today's worst performing blue chips.

Financials was another notable and even more influential sector losing at least 1.0%. Countrywide Financial (CFC 34.15 -3.19) paced the way lower after it said loan fundings fell sharply in July. Providing further evidence of the "gradual cooling of the housing market" that was reiterated by the Fed in yesterday's policy statement as an impediment to economic growth was Toll Brothers (TOL 24.88 -1.70). The luxury homebuilder cut its Q4 delivery outlook, as the year's second worst performing S&P industry group -- Homebuilding -- extended its losses as the day's worst performer. BTK -0.2% DJ30 -97.41 DJTA -2.9% DJUA +0.1% DOT +0.3% NASDAQ -0.57 NQ100 +0.1% R2K -0.9% SOX +0.7% SP400 -0.7% SP500 -5.53 XOI +0.9% NASDAQ Dec/Adv/Vol 1835/1148/2.12 bln NYSE Dec/Adv/Vol 1927/1329/1.71 bln

[54anickel]

68. What's AP smokin'? Dow Ends Down 64, Nasdaq Finishes Down 1

http://biz.yahoo.com/ap/060809/wall_street.html?.v=21

Dow Closes Down 64 at 11,109, Nasdaq Closes Down 1 at 2,060 on Slowing Economy, Oil Prices


NEW YORK (AP) -- Investors concerned about erratic oil prices and a slowing economy sent stocks lower Wednesday despite strong earnings from Cisco Systems Inc. and the Federal Reserve's pause in raising interest rates.

snip>

The Dow fell 97.41, or 0.87 percent, to 11,076.18 after having risen as much as 77.25 early in the session.

Broader stock indicators also moved lower. The tech-focused Nasdaq composite index slipped 0.57, or 0.03 percent, to 2,060.28, though the index had gained 1.8 percent in early trading on the strength of Cisco's earnings. The large-cap Standard & Poor's 500 index lost 5.53, or 0.43 percent, to 1,265.95.

Bonds fell in response to the Fed decision, with the yield on the benchmark 10-year Treasury note rising to 4.94 percent from 4.92 percent late Tuesday. The dollar was mixed against other major currencies, while gold prices rose.