“Germany’s top court said a decision on whether to suspend legislation for the euro bloc’s permanent bailout fund and fiscal treaty could take months rather than weeks due to the complexity of the ruling.”
Comments »Monthly Archives: July 2012
The Greenback Falls Before the Release of the Fed Minutes While the Aussie Dollar Rises
The Fed Minutes areto be released today, and investors fear weak data prompting central banks to ease. This led traders to sell the Greenback and by the Aussie dollar.
Comments »Car Sales Exceed Estimates in China for a Fourth Month
Consumers in China can not get enough automobiles in their lives. Sales continue to be strong led by Honda.
Comments »Emerging Markets Fall Over Night on Growth and Earnings Concerns
“Emerging-market stocks fell for a sixth day, dragging a benchmark index (HSCEI) to a two-week low, on concern a deepening global economic slowdown will weigh on earnings.
The MSCI Emerging Markets Index lost 0.2 percent to 932.73 as of 10:43 a.m. in London, poised for the longest losing streak since May 18. Tamweel PJSC (TAMWEEL) slid 3.9 percent, the most in more than a month, after the Dubai-based mortgage lender reported a 33 percent drop in second-quarter profit. Russia’s Micex Index (INDEXCF) retreated 1 percent, while Poland’sWIG20 Index (WIG20) slipped to the lowest in more than two weeks. China Southern Airlines Co., the nation’s biggest carrier by passengers, dropped 2.2 percent in Shanghai trading after saying first-half profit may fall more than 50 percent.”
Comments »Investors Find Safety in Sterling
Investors are seeking any safety possible by bidding up bonds and currencies. The latest to get bid up is the Sterling; which has not seen this level since 2008.
Comments »Asia Has a Modest Rally, Europe Has a Modest Sell Off, and U.S. Futures Reach for Upside
S&P 500 Has Longest Drop Since May Amid Earnings Concern
Via Bloomberg:
U.S. stocks declined for a fourth day, giving the Standard & Poor’s 500 Index its longest losing streak since May, amid concern about corporate profits….The S&P 500 decreased 0.8 percent to 1,341.47 at 4 p.m. New York time, dropping 2.4 percent in four days.
Read the article here.
Comments »Americans’ Confidence in Television News Drops to New Low
WASHINGTON, D.C. — Americans’ confidence in television news is at a new low by one percentage point, with 21% of adults expressing a great deal or quite a lot of confidence in it. This marks a decline from 27% last year and from 46% when Gallup started tracking confidence in television news in 1993.
Read the article here.
Comments »Happy Birthday Nikola Tesla
Five Charts to Chomp On for Q2
“It’s early, but as we pointed out yesterday in our Q2 earnings preview, the background noise is starting to grow louder. With near record levels of negative pre-announcements post the financial crisis (most recently AMD and Cummins), we are shocked (shocked we tell you) that analysts could have got it so wrong. Expectations for Q2 2012 EPS Growth have dropped from a Viagra-based ‘its-always-better-two-quarters-out’ view inAugust 2011 of +11% to -1.8% today. What is not surprising is the hope-filled 14% S&P 500 EPS growth rate expected for Q4 2012!”
Comments »Italy Looks to Tap Euro Zone Aid
“(Reuters) – Italy said on Tuesday it may want to tap euro zone aid to ease its borrowing costs as finance ministers struggled to convince markets they are getting a grip on the bloc’s debt crisis, which a top European Central Banker said could escalate.
Prime Minister Mario Monti, who is under intense market pressure to shape up his economy and avoid being drawn into the center of the debt crisis, said Italy could be interested in tapping the euro zone’s rescue fund for bond support.
“It would be hazardous to say that Italy would never use (this mechanism),” he said after a meeting of European finance ministers in Brussels. “Italy may be interested.”
Comments »Coca-Cola Announces 2-for-1 Stock Split
$KO “shareowners approved a two-for-one stock split on Tuesday that will double the company’s common stock shares to 11.2 billion.”
Comments »NY Fed May Have Known About Libor Fixing in 2007
The Federal Reserve Bank of New York may have known as early as August 2007 that the setting of global benchmark interest rates was flawed.
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Igancio Ayestaran | Flickr | Getty Images
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Following an inquiry with British banking groupBarclays in the spring of 2008, it shared proposals for reform of the system with British authorities.
The role of the Fed is likely to raise questions about whether it and other authorities took enough action to address concerns they had about the way London Interbank Offered Rates, or Libor, ![[cnbc explains]](https://ibankcoin.com/news/wp-content/imagescaler/b095857bc35684a1ecf9bbc7c44ce936.gif){kind=small}
were set, or whether their struggle to keep the banking system afloat through the financial crisis meant the issue took a backseat.”
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The FBI Investigates Peregrine Financial
“The Federal Bureau of Investigation confirmed it was involved in investigating the circumstances surrounding a $200 million shortfall in customer accounts discovered at a Chicago-based futures broker.”
Comments »$JCP Sends Out a Few Hundred Pink Slips
$CMI WARNING CAUSES MARKET COLLAPSE
Cummins increases dividend; lowered FY12 revenue outlook and issues Q2 revs guidance below consensus (93.00 -2.74)
Co lowered its full-year revenue outlook for 2012 and now expects 2012 revenues to be in line with 2011 compared to previous guidance of an increase of 10 percent (consensus is for FY12 revs +10.0%). Based on preliminary results, and subject to normal quarterly financial statement closing procedures, second quarter revenues are expected to be ~$4.45 billion (vs $5.08 bln consensus). The Company does not provide quarterly revenue or earnings guidance… Co approved an increase quarterly cash dividend on common stock of 25 percent to 50 cents per share from 40 cents per share. “Order trends in the U.S. for trucks and power generation equipment have softened and demand in Brazil, China and India is not improving as we had previously expected. Our revenues have also been negatively impacted by the appreciation of the U.S. dollar against a number of currencies. We are making adjustments within our business to manage costs, while continuing to fund our critical growth programs and will continue to focus on execution and improving operating margins.”
Market Update
U.S. equities have decidedly turned negative into afternoon trade. Several downgrades and earnings warnings added to a nervous market looking for Europe’s woes to just go away. Despite news that Spain’s banks will get 130 billion Euros shortly, the markets decided that that may not be enough.
The S&P is trying to hold 1340 which is seemingly a crucial support level as of late.
[youtube://http://www.youtube.com/watch?v=EisXJSsULGM 450 300] Comments »Industry Breadth
Despite a Slowdown China is Growing Quick
“Two years after eclipsing Japan as the world’s second-largest economy, China stole the number-two spot on the Fortune 500 list of the biggest global companies from its Asian rival.
In its annual revenue rankings, Fortune magazine said that China overtook Japan for the first time, landing 73 companies on the list compared with Japan’s 68 companies.
Anglo-Dutch energy giant Royal Dutch Shell retook the top spot, knocking off US retail titan Wal-Mart from a two-year reign with 2011 revenues of $484.5 billion, up 28.1 percent from 2010.
The remaining members of the top 10 are, in descending order: ExxonMobil (US); Wal-Mart Stores (US); Britain’s BP; Chinese companies Sinopec Group, China National Petroleum and State Grid; Chevron (US); ConocoPhillips (US) and Japan’s Toyota Motor.
“Although the US still hosts the lion’s share of Global 500 corporations, no country has lost more companies during the last decade. There are 132 US-headquartered businesses on this year’s list, down from 197 a decade ago,” the US business magazine said.”
Comments »How Hard Is It To Get a Job in Europe ?
Well if you have to marry a Brazilian to get a job, then I’d say it is pretty bad….
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