Let’s hope it can sustain. If the U.S. is truly hitting its slump then let’s hope we do not drag the world down into contraction.Comments »
Monthly Archives: November 2012
“The Goldman Sachs Analyst Index (GSAI) hit a new post-recession low this month. The index is a composite of corporate outlook by industry from Goldman’s company research. In the past, the index generally fell in line with other economic activity indices such as ISM Manufacturing – but not recently. While the ISM index is showing a slight expansion (though we don’t yet have the October ISM number), GSAI is pointing to the sharpest contraction across US industries since 2009. Sales, shipments, new orders – all came in weak. This indicates that the positive economic numbers in September (see discussion) may have been an aberration.”Comments »
“The latest layoff report from Challenger, Gray, & Christmas is out.
Job Cuts Surge to Five-Month High
OCTOBER JOB CUTS JUMP 41% TO 47,724
CHICAGO, November 1, 2012 – Planned job cuts surged 41 percent in October to 47,724, as a spate of layoff announcements in the wake of weak quarterly earnings reports helped push downsizing activity to its highest level in five months, according to the report on monthly job cuts released Thursday by global outplacement consultancy Challenger, Gray & Christmas, Inc.”Comments »
“(Reuters) – U.S. retailer Costco Wholesale Corp (COST) posted a better-than-expected 7 percent rise in October sales at stores open at least a year, helped by higher gasoline prices and a weak dollar.
Analysts had expected a rise of 6.6 percent, including the impact of fuel prices and foreign exchange, according to Thomson Reuters data.
Excluding the effects of fuel and currency exchange, Costco posted an October same-store sales increase of 5 percent.”Comments »
“NEW YORK (AP) — Drug giant Pfizer Inc. says its third-quarter profit fell 14 percent as sales plunged, mainly due to U.S. generic competition to cholesterol fighter Lipitor, long the world’s top-selling drug.
The maker of pain reliever Lyrica says net income was $3.21 billion, or 43 cents per share. That was down from $3.74 billion, or 48 cents per share, a year earlier.
Excluding one-time items, earnings were 53 cents per share. Analysts expected 52 cents.
Revenue fell 16 percent to $13.98 billion, below expectations for $14.66 billion.
Pfizer raised its 2012 profit forecast, to $1.30 to $1.38 per share, from $1.21 to $1.36 per share, but reduced the top end of its revenue forecast by $1 billion.
Pfizer’s stock fell 52 cents, or 2.1 percent, to $24.35 in premarket trading.”Comments »
New Mountain is expected to pay around $45 a share, or roughly $1.9 billion, for JDA, one of the people said. The final negotiations are ongoing and a deal could still fall apart.
The Scottsdale, Ariz.-based company’s software helps businesses manage their supply chains electronically.
New Mountain already owns a supply chain-management software provider, RedPrairie Holding Inc. Given this expertise, it could seek to combine the two businesses.Comments »
“The latest batch of global manufacturing data is helping to confirm a shift in conventional wisdom that’s been brewing over the last couple of weeks.
Whereas before, the thinking was that the US economy was the lone pillar of strength in a world that was seeing declines in Europe and China, the new thinking is that Europe and China are starting to turn the corner, and that the US is just starting to hit its slowdown. Today’s manufacturing and trade data from Asia confirm the idea that Asia is turning around.
In a note to clients yesterday, SocGen’s Sebastien Galy wrote:”Comments »
Kinder Morgan Energy Partners LP (KMP), the biggest U.S. pipeline company, and its rivals are planning to add 2.4 billion cubic feet a day of export capacity within three years, or enough gas to heat 32,000 U.S. homes. That’s a 58 percent increase on this year’s total, which in turn was up 34 percent from 2011.”Comments »
“BANGKOK (AP) — The restart of refineries in the storm-hit northeastern United States helped lift oil prices on Thursday.
Benchmark oil for December delivery rose 7 cents at late afternoon Bangkok time to $86.31 inelectronic trading on the New York Mercantile Exchange. The contract rose 56 cents to finish at $86.24 per barrel in New York.
Nine oil refineries that make up 8 percent of U.S. refining capacity sit in the region hit by superstorm Sandy. Nearly all were affected by the storm, and two still were not operating late Wednesday.
Crude prices were up “following reports that a number of key Northeastern refineries were back in operation after Hurricane Sandy, which was seen bolstering near term demand for crude oil,” CME Group said in an energy market report.”Comments »
“The dollar rose for the first time in three days versus the euro as investors sought the safety of the U.S. currency after manufacturing data from Norway and Sweden added to speculation Europe’s debt crisis is slowing growth.
The U.S. currency gained against all except two of its 16 major counterparts as economists said as American report today will show manufacturing growth slowed in October. The yen fell before the Bank of Japan releases minutes tomorrow of its October meeting amid speculation the central bank will ease monetary policy. The impact of Hurricane Sandy on U.S. gross domestic product is still being assessed with some estimates that the storm caused as much as $50 billion of damage.”Comments »
“Even as shares of Alcatel-Lucent SA (ALU) trade near a 23-year low, growing numbers of investors are betting they haven’t yet hit bottom.
The unprofitable phone-equipment maker is France’s most shorted stock, based on data compiled by Markit, a financial- information provider in London. Roughly 16 percent of Alcatel’s shares are on loan — borrowed stock is typically shorted –more than six times the European average, according to Markit.”Comments »
The tower reached its full height of 339 meters (1,112 feet), 29 meters more than the Shard, Kesaev’s Mercury Development said today, citing Hamburg-based researcher Emporis. The 70-story skyscraper, designed by U.S. architect Frank Williams, who died in 2010, and Russia’s Mikhail Posokhin, is due to be completed in the first quarter next year.”Comments »
The so-called Aussie rose for a third day against the yen ahead of next week’s policy decision by the Reserve Bank of Australia. Demand for the Australian and New Zealand dollars was limited as investors awaited the last jobs report in the U.S. before the presidential election.
“We’ve been seeing a pickup in the Chinese economy,” said Takuya Kawabata, an analyst at Gaitame.com Research Institute Ltd. in Tokyo, a unit of Japan’s largest currency margin company. “The improved sentiment about China can create upward pressure for the Aussie.”Comments »
“Asian stocks fell as Panasonic Corp. led declines among Japanese electronics makers after forecasting a loss 30 times bigger than analysts estimated, overshadowing a report China’s manufacturing output expanded for the first time in three months.
Panasonic plunged 19 percent, the most since at least 1974, to lead a retreat on the MSCI Asia Pacific Index. (MXAP) Arrium Ltd. tumbled 13 percent after a consortium that includes Noble Group Ltd. and Posco dropped an attempt to buy the Australian steelmaker. Sands China Ltd. climbed 2.9 percent, pacing gains among Macau casino operators, as gaming revenue in the Chinese city rose to a record last month.”Comments »