-IMF to maintain US 2013 GDP growth forecast at 2.1% on fiscal cliff agreement according to IMF chief Lagarde
-Rajoy Caught Stuffing Debt Off book again..20 billion and counting
-USA Debt Ceiling could bind by Mid Feb
-Japan to buy ESM Debt To placate Europeans over Yen intervention
-EU unemployment hits new record of 11.8 pc in November
-Jack Lew to get Tap for UST Secretary. Hagel in Zionist Hot Seat for Defense. Bush family CIA Hack Brennan set to head USA CIA Goon/Torture/Murder/Death Squad
-German Exports fall -3.4 pc m/m and Imports -3.7 pc m/m in November
-Intel Unveils Smart Phone Processor, Lexington at CES
-USA Banks to pay 19 bn+ Mortgage Gate Bill and Get out of Jail for Free Card comes with it
-AIG Planning on Sue USA Taxpayers for ‘raw deal’
-Obama Set to Nominate Zionist Jack Lew for UST Secretary
-Gold Lures Japan’s Pension Funds as Abe Targets Inflation
-Boeing 787 electricals catch on fire again.
-Samsung Electronics reported a record high Q4 operating profit of 8.3 billion, rising 89% y/y.
-Alcoa Reports Fourth Quarter Income From Continuing Operations of $0.21 Per Share; Income of $0.06 Per Share Excluding Special Items
Company Ends 2012 in Strong Liquidity Position; Record Results in Mid and Downstream
Forecasting 7 Percent Growth in Global Aluminum Demand in 2013
4Q 2012 Highlights
- Income from continuing operations of $242 million, or $0.21 per share; excluding special items, income from continuing operations of $64 million, or $0.06 per share
- Revenue of $5.9 billion, up 1 percent sequentially, down 2 percent from 4Q 2011
- Cash from operations of $933 million, up $670 million from 3Q 2012
- Free cash flow of $535 million
- Strong liquidity with cash on hand of $1.9 billion
- Record low 24 days working capital
- Record results in Global Rolled Products, Engineered Products & Solutions
- Forecasting 7 percent growth in global aluminum demand in 2013
Full-Year 2012 Highlights
- Income from continuing operations of $191 million, or $0.18 per share; excluding special items, income from continuing operations of $262 million, or $0.24 per share
- Revenue of $23.7 billion, down 5 percent from 2011, on lower LME pricing
- Cash from operations of $1.5 billion
- Free cash flow of $236 million
- Debt-to-capital ratio 35 percent; Net debt-to-capital ratio 30 percent
- Debt of $8.8 billion; Net debt of $7 billion, lowest level since 2006
- Record results in Global Rolled Products, Engineered Products & Solutions
- 531,000 metric tons of smelting capacity taken offline to improve competitive position
FYI, the City of London is short this stock and projecting lower price on the LME for 2013. They missed their forecast for 2012 and will likely miss it this year as Europe is getting worse not better. Even the Greek govt, admitted in their press, the Greek great depression would continue through 2013 into 2014. China has clearly had a soft landing.
-USA markets drifted down from the opening. Earnings peeps from Cypress and others tossed cold water on the markets, along with continued Debt rhetoric from all involved with even Bill Gross suggesting, 10, 100 billion dollar coins be minted or something like that. All eyes are on the after- hours and Alcoa and traders are positioned for that into the close. CES is getting a lot of prominent press, deservedly so in the USA, although Samsung is stealing the show.
They have ripping off IP, rigging their currency and getting the USA to pay their defense bills down to a fine art form. The USA cant afford to run such a large trade surplus with them anymore and it is time to cut the Koreans off at the knees, simply as they don’t play fair. Not even very loyal buyers of USTs. I guess having the USA military there makes them super confident. We should sell Korea to China for all our debt with them and bar the trade doors due to the currency rigging and manufacturing importing. Especially in light of China saying their jobs export industry (you send your job to China) is targeted for 30 pc growth last night. Where would Samsung phones be without Google Software, the English crown firm.
All sectors struggled today, even gold shares despite a tepid bounce in gold. A lot of Bullion banks think the fix is in for them to short gold through Merkels election and they are piggy backing off of the BOJ/ECB moves in the gold market through their proxies and of course the FED/BOE who coordinate it all.
MARKETS – AT A GLANCE
4:08 p.m. EST 01/08/13Major Indexes(Roll over for charts)
4:08 p.m. EST 01/08/13Markets Diary
3:47 pm EST 01/08/13Most Active Stocks (Roll over for charts and headlines)
3:47 pm EST 01/08/13Decliners (Roll over for charts and headlines)
INTERNATIONAL MARKETS | See all International Data
4:07 p.m. EST 01/08/13Major World Indexes(Roll over for charts)
4:08 p.m. EST 01/08/13Major Currencies
4:08 p.m. EST 01/08/13Key Currency Cross Rates
- Inflation has performed very close to what the Fed views as consistent with its statutory mandate. Inflation has averaged 2.03 percent per year since 1992, and 1.90 percent since June 2009, compared to the Fed’s long-run goal of 2 percent average inflation. Temporary swings above and below that threshold have tended to even out over time, a substantial improvement over previous decades.
- Maintaining price stability is the Fed’s primary mission as the central bank. In contrast, real economic growth and labor market conditions are affected by many factors beyond the central bank’s control. The effects of monetary stimulus on real output and employment often are smaller than is widely thought.
- Several factors seem to be impeding a more rapid recovery from the Great Recession: (1) the residential inventory overhang; (2) the need to reallocate labor and other resources across sectors; (3) heightened consumer caution in the wake of the Great Recession; and (4) uncertainty, including over fiscal policy, that has caused businesses to delay investment and hiring decisions.
- It is reasonable to expect that gross domestic product will grow at an annual pace of 2 percent in 2013. This forecast is based on a number of factors: progress on federal budget issues; improvement in economic conditions in Europe; and gradual gains in consumer confidence.
-Massive Sabotage at Boeing?
Following up on a fire in a Japan Airlines Boeing 787 Dreamliner Monday, United Airlines found improperly installed wiring on one of its 787s, The Wall Street Journal reported Tuesday.Monday’s fire, at Boston Logan International Airport, has been linked to the battery of the auxiliary power unit, which provides power to start the engines and run systems when the engines are off.An unidentified “person familiar with the inspections” told The Journal that United found an improperly installed bundle of wires connecting to the APU battery.Improperly installed wiring would be troubling, as it could point to quality control issues. But it might well be less of a headache for Boeing than a design issue on its high-profile composite airliner.In a blog post Tuesday, aviation analyst Scott Hamilton wrote: “It’s too early to draw any conclusions about what this means for the 787 program. If this is a one-off incident that is quickly identified, then there is little if any impact. If this a systemic design issue, then that’s a different answer which depends on what the design issue might be.”Meanwhile, about 40 gallons of fuel spilled from another Japan Airlines 787 at Logan Airport on Tuesday. The airplane towed back to the gate and crews have contained the leak.
Read more: http://www.seattlepi.com/business/boeing/article/Faulty-wiring-reportedly-found-on-Boeing-787s-4175659.php#ixzz2HPz2etCk
Boeing has found sabotage at its plants in the past. The APU is Hamilton Sunstrand, a Connecticut firm that makes the APS5000. They were purchased by Goodyear Aerospace and are part of UTC now. Some of these units are made overseas in Europe although I remain unsure where the APS5000 is made, although I know the design team is in California. Still it is Boeings fault if it occurred at their factory and mechanic working for the Mossad/MI6/EU did not sabotage it. A fouled battery cabling job would have shown up on the warning lights in the Cabin. Batteries have typically only two cables plus sensor wires attached to them.
-Zionist Law firms pile on old allegations against SVM
It costs $2500 to make a false allegation via a lawsuit in the USA. Must be a HTO in the works. And Jews wonder why they are reviled the world over for their tribal behavior and lack of ethics and honesty? As Gilead Atzom pointed out in the over 14 million Jews (in actuality the world has over 100 million Jews) he only found fifty willing to stand against Israel’s racist and apartheid state. So Jews won’t reform their religion. Society must do it for them by boycotting their businesses and banks especially. Jewish power comes from Rohtschilds control of the banking/credit line and usury. Virtually all silver stocks are down and down hard at the short attack was launched in conjunction with the naked shorting attack on gold shares for the USA election year, now that torch is being carried by the ECB /ESM gang.
-Poverty grew by 7.2 pc in the USA. Congratulations Congress, CFR, BOE, Prince Charles, David Rockefeller and the MSM!!
Pawnshop revenue topped $15.5 billion in 2012, a 7.2% increase from the previous year
congrats to the MSM .. you infiltrated twitter and turned into your personal megaphone . exit intelligence enter stupidity
Twitter has really gone down hill. There is less and less useful market information to extract. Twitter is MSM now. And don’t try and ask any questions of a CB on twitter, as they will get you banned for life and threaten to XO as one did recently. Banksters truly are psychopaths.
-MARKETS – AT A GLANCE
Jes Staley, long-time ally of J.P. Morgan CEO James Dimon, is leaving to join an asset-management firm that profited on the “London Whale” trade that saddled J.P. Morgan with more than $6 billion in losses last year. WSJ
-US Mint Sells Nearly 4 Million Silver Eagles in 1 Day- An All Time Record!
-United Airlines found improperly installed wiring on one of its Boeing 787s, as operators of the new jet inspected their fleets after an electrical fire. The scrutiny intensified Tuesday when the 787 used for Japan Airlines’ return flight was forced to return to the airport gate because of a fuel leak. WSJ.
-Marc Faber on CNBC
He’s bullish on: Vietnamese, Japanese & Chinese equities.
At this moment, he’s not particularly bullish about anything.
He says he’s “deeply comfortable” about the current market environment and is concerned that the economic environment is extremely unstable throughout the globe.
He says the US Dollar could rally here. He’s also bullish on gold .
He views gold as an insurance policy.
The Euro is not a desirable currency to own.
The currency race to the bottom will continue.
-IMF staff call for stronger regulation of over-the-counter
derivatives’ clearing houses to make financial system safer
-Zionist Slavers of old and today..
-National Graphic Photo of the Year
While interesting, its extremely poorly done.
-Plastic Paper Displays
Demonstrated at CES. Might replace newsprint some day.
- Bill Gross thinks the $1 trillion coin is “unlikely,” but 100 $10 billion coins “could be done”
-Google Looking to control Global Fiber to home link?
Talk about copying Rockefellers monopoly.
-Weather Engineers Boast
Last year was the hottest on record for the continental United States, shattering the previous mark set in 1998 by a wide margin, the National Oceanic and Atmospheric Administration announced Tuesday. Washington Post
-Euribor Facing Bank Exodus on Rabobank Departure, EBF Says
-Supposedly another one of Cameron’s dogs is going to resign!! Ha, ha. Are the English going to get theirs at last?
-Gold just settled at 1662.20 after the FED meeting hoax. I was glad to catch that John Embry called it a ruse as well.
-If you are a gun owner at Bank of America…it’s time you left them
Alex Jones interview was a bit over the top, but fundamentally he destroyed Morgan by failing to let him control the interview and talk over him and make the main points. Jones was right the banksters do want your guns. Boycott BOA and the other international banks. Tell a friend. When guns are outlawed, only outlaws and banksters will have guns and other ‘chosen’ people like Feinstein, Boxer, Schumer, Reid, Bernanke, Greenspan, Shelby, Graham, Bill Gates, etc.
-Spain Plunders 90% Of Social Security Fund To Buy Its Own Debthttp://goo.gl/cmjLY
-LAS VEGAS — TV makers are trotting out sets with “Ultra HD” resolution at the International CES electronics trade show in Las Vegas this week. Few video cameras record at that resolution, which is four times higher than regular high definition. But Qualcomm, a leading maker of chips for cellphones, says it has a solution: With its chips, smartphones could be recording video in Ultra HD as early as this year.Paul Jacobs, the CEO of the San Diego-based chipmaker, revealed a lineup of new chips in a keynote speech Monday, ahead of the opening of the show.The topline model, the Snapdragon 800, has 75 percent more horsepower than Qualcomm’s old fastest model. That makes it fast enough to record and playback Ultra HD video, the company said. It doesn’t consume more power, so the battery life should be the same.Qualcomm is sending out samples of the new chips right now. It will ship them in volume in a few months, so they could show up in gadgets on store shelves this summer.The 800 chips are for premium phone models and tablets, much like Qualcomm’s current top-line chips are used in flagship phones like the LG Optimus G and HTC Droid DNA. Smartphone displays have been getting sharper and bigger, but Qualcomm doesn’t quite envision them having as many pixels as the new 84-inch and 110-inch ultra-high definition TV sets.The maximum resolution for a display with a Snapdragon 800 is slightly lower than Ultra. AP Wire
-Professor says Sandy Hook Shootings may have been staged or not happened at all.
The ZGR was probably the first source to doubt if anyone was executed but the mother and her son. So some ‘truth’ trickles out into the MSM.
-General who ordered Pat Tilman murdered(?) demands Gun Control
Gen Stanley McChrystal endorsed gun control on Morning Joe today. He was Pat Tilmans boss and likely had him executed.
- Sears Holdings Corp. is giving its Chairman and billionaire hedge fund investor Eddie Lampert an additional role as chief executive, but that may not change the reality of things for the retailer still struggling to recover lost demand.Sears made the announcement late Monday after it said its current CEO Lou D’Ambrosio, only in his post for about two years, is leaving at the end of the company’s fiscal year on Feb. 2 because of family health matters. Lampert’s ESL Investments is the majority shareholder of the Hoffman Estates, Ill.-based company. He personally owns about a one-fifth stake in the company. Sears traded down 5.6% to $40.50 even as the company’s fiscal fourth-quarter adjusted profit and holiday same-store sales turned out better than some analysts had expected.
-SF FEDs new line up
All the power is with the NY FED and with Bernanke. The head of the SF Fed is Yellen, a Zionist Jew, whose husband was integral in developing the algorithms for the gold and usdx rig.
This Zionist dirtbag , absolutely destroyed Sears.
-FED, Hawk Lacker is set to attack Gold in the last hour of the trading day.
-Cypress Semi is down 10% after warning its Q4 wouldn’t even get close to satisfying the consensus view, citing the “anemic macro environment.” Yum Brands cut its China outlook once again, to -6% from -4% prior. YUM is down nearly 5%. Kindred Healthcare is down nearly 6% after cutting its FY13 outlook. Aetna is down 2% on a disappointing initial look at its FY13 guidance. Acuity Brands missed both top- and bottom-line expectations in its Q1 report, warning that a lull in the nonresidential construction market impacted the firm. AYI is down more than 8%. It will be interesting to see what Alcoa has to say as Aluminum is such an important world wide commodity.
- Selected tech names are resisting the slide today thanks to some good news from Samsung Electronics plus plenty of announcements at CES. Overnight, Samsung reported a record high Q4 op profit of KRW8.8T that was up 89% y/y. Intel gave a sneak peak at its cable television killer and released new low-cost prod
-No coincidence the Cambridge/MI6 figured out how to hack a 787 computer control chip.
England is a much more likely source of sabotage than China and no one ‘expects’ such high treason. It is well known the Crown is directing GE to transfer key Jet technology to China to take Boeing down. Notice how quickly China was able to knock off the F22. They will attempt the same with the 787 I expect or the 737 Max.
-USA session Economic Release Summary
(IE) Ireland Nov Industrial Production M/M: -1.1 v 2.8% prior; Y/Y: -6.2 v -16.6% prior
(DE) Germany Nov Factory Orders M/M: -1.8% v -1.4%e; Y/Y: -1.0% v -0.4%e
(CL) Chile Dec CPI M/M: 0.0% v 0.1%e; Y/Y: 1.5% v 1.6%e; CPI Ex Perishables & Fuel M/M: 0.3% v 0.1%e – (PT) Portugal Nov Industrial Sales M/M: -5.2% v 7.5% prior; Y/Y: -5.9% v 0.4% prior
(US) Dec NFIB Small Business Optimism: 88.0 v 87.2e
(US) ICSC/GS weekly chain store sales w/e Jan 6th w/w: -4.2%; y/y: +4.0%
(US) Redbook Retail Sales w/e Jan 6th: 2.1% y/y prior; Jan MTD: -0.3% m/m prior
(MX) Mexico Dec Consumer Confidence: 99.0 v 95.6e
(US) Jan IBD/TIPP Economic Optimism: 46.5 v 46.5e
In Europe, after the weekend news of the European banks getting a four year reprieve, the Japanese stepped up to the plate and announced they would use their FX reserves to buy ESM bonds, a clear political move to keep the Europeans silent about their massive intervention in the Y/D and to a lesser extent Y/Euro$.
London was up to its usual tricks and floating a rumor that France had received advanced notice of a rating downgrade. A senior French treasury official denied the English rumor a couple of hours ago. The English float so many lies out of London every day, often using the FT, you can’t react to every rumor.
Rajoy was caught again pushing debt off book and clearly Spain is heading for a major Greek like crack up this year.
European bond auctions saw good coverage last night. I suppose like the USA FED kept gold under control for Obama’s election, the ECB will be working all out this year to keep gold under control until after Merkels election this fall as it facilitates smooth bond auctions. Still the desperate attempt by the FED to imply the USE is getting better, and stuff gold near a break out shows lies and trickery are their main weapons. Not widely reported was a move by Japanese pension funds into gold. That move won’t persist if the BOJ goes back to its sterilization and talk the Yen down mode, versus the big money print the BOJ did in December.
Eurostat reported a new record unemployment last night of 11.8 pc and went over 26 million unemployed for the first time. Laszlo Andor, the EU’s Employment Commissioner, warned the uneven impact of the crisis could create a rift.“A new divide is emerging between countries that seem trapped in a downward spiral of falling output, fast rising unemployment and eroding disposable incomes and those that have so far shown good or at least some resilience,” said a statement from Andor’s office.Last year “has been another very bad year for Europe in terms of unemployment and the deteriorating social situation,” said Andor. “It is unlikely that Europe will see much socio-economic improvement in 2013.”The single biggest increase in unemployment over the past year took place in Greece, where joblessness soared to 26 percent in September, up 7.1 percentage points over September 2011’s 18.9 percent. The highest overall rate in the EU was in Spain, where 26.6 percent of the workforce was jobless in November, up 3.6 percentage points over last year.By contrast, Austria posted the lowest unemployment rate in the EU, at 4.5 percent. The rate in Luxembourg was 5.1 percent, and the rate in Germany was 5.4 percent.
More importantly retail sales were .1 pc m/m in November and -2.6 pc y/y. Given Europe has on official inflation rate of 2-2.5 pc, this is the same as a 5 pc decline y/y in retail sales. Given Eurostats uses the same statistical artifcats as the FED/BOE to calculate EU inflation, the actual decline in EU retail sales is closer to 7.5 pc year /year, indicating the severe nature of the recession in Europe is now approximating the recession in the USA.
German Export/Import data and factory orders were dire in November, and failed to meet lowered expectations. So the recession is dragging down the German Panzer. No wonder Schauble wants to cut German government spending in 2014.
European officials after shooting their mouths off after the new year, remained blissfully silent today, perhaps kept silent by the horrid employment report and dismal retail sales numbers. Even perennial motor mouth Cameron kept his mouth more or less shut today. It is a rare day when he is not commanding Europe or the USA on what to do.
I was highlighted in yesterdays EU summary which disappeared as the site was hacked as it was being typed up, his constant agitation for war in Syria, and with the Argentina if necessary and his constant harping that America is not doing enough for England and Israel through the Tory paper , the DT. I noticed some of the articles I dug up disappeared after the web site was restored. In any event what I thought it was very hypocritical he said he would use his presidency of the G8 to crack down on global corporate ‘tax cheats’ like Starbucks and Amazon over the weekend, while neglecting the massive off-shore, drug laundry English banking system in the Caymans, Bahamas, etc. This from a man who spent $18k of taxpayers money on a two day wine tasting trip, and whose lush wife, Samcam, aka Lady Astor, lost her kid in the bar.
HSBC and the DT think their might be a collapse of the English pound this year, although it could be just the UK looking to copy Japan and devalue the Pound against the Euro and dollar. The UK has the worst economic fundamentals of the G20 and by far, if you look at total debt and their economy is based upon financial crime and piracy and the drop in North Sea oil production. And their 20 year housing bubble, and 30 year derivative bubble goes on, and on, although financial employment is down 35 % in the City.
I would not put it past the English to sabotage the Boeing jet as the fire broke out while the plane was at idle and on the ground. Boeing is in a serious position to bury Airbus and all that state money the UK and EU have thrown at their consortium through one subsidy or the next. Industrial spying and sabotage is far more common than the average person would know unless they were in business for themselves at one point. Let’s pray Boeing gets this straightened out ASAP. Far too much outsourcing was used in 787 and the evil English manufacture some of the key generators they have had problems with.
European markets drifted lower as the rubber gets ready to meet the road in the earnings’ season and the ECB is not likely to do much more directly with the ESM-ECB PPT and slush fund in control of the European stock and bond tape. I won’t be covering the Draghi speech live more than likely. I took some profit out of my DAX short but had been a heavy seller into the spike.
|Country: Index||Last||Change||% Chg|
|Stoxx Europe 50||2640.04||-1.16||-0.04|
|Stoxx Europe 600||286.25||-0.38||-0.13|
|Euro Stoxx 50||2691.45||-4.11||-0.15|
|Austria: ATX Index*||2481.13||-2.88||-0.12|
|Denmark: OMX Copenhagen 20*||517.98||4.13||0.80|
|Estonia: OMX Tallinn*||763.98||-1.87||-0.24|
|Finland: OMX Helsinki*||6050.56||-37.62||-0.62|
|France: CAC 40*||3705.88||1.24||0.03|
|Greece: Athens General*||980.52||11.09||1.14|
|Greece: DJ Greece TSM*||755.31||8.72||1.17|
|Greece: FTSE/ATHEX 20*||336.45||3.45||1.04|
|Iceland: OMX Iceland All-Share*||711.38||-4.05||-0.57|
|Ireland: ISEQ Overall *||3505.74||5.79||0.17|
|Italy: FTSE MIB*||16951.14||55.48||0.33|
|Latvia: OMX Riga*||405.85||2.48||0.61|
|Lithuania: OMX Vilnius*||366.43||-1.91||-0.52|
|Norway: OSE All-Share*||503.65||1.83||0.36|
|Portugal: PSI 20||5871.07||-13.19||-0.22|
|Russia: DJ Russia Titans*||6418.02||-78.74||-1.21|
|Spain: IBEX 35*||8453.00||34.00||0.40|
|Sweden: OMX Stockholm*||350.58||-1.21||-0.34|
|Switzerland: Swiss Market*||7074.52||25.22||0.36|
|UK: FTSE 100*||6053.63||-10.95||-0.18|
|UK: FTSE 250*||12635.01||-86.98||-0.68|
|UK: FTSE AIM All-Share*||725.27||1.34||0.19|
U.S. 10yr 1.88-0.02,1.17%
German 10y 1.49-0.03,1.88%
Italy 10yr 4.25-0.05, 1.12%
Spain 10yr 5.07-0.03, 0.55%
U.K. 10yr 2.03-0.05, 2.61%
-”Usury in Christendom: The Mortal Sin that Was and Now is Not.”, Michael Hoffman
Well worth watching. A reader emailed me this.
-Bank of America Corp is looking to sell collection rights on at least another $100 billion of mortgages in the wake of announcing a sale of about $300 billion of the assets on Monday, according to two sources familiar with the situation.The bank said Monday that it is selling $215 billion of collection rights to Nationstar Mortgage Holdings for $1.3 billion and another $93 billion of the assets to Walter Investment Management for $519 million.Reuters reported on Friday that the bank was looking to sell $300 billion of collection rights, known as mortgage servicing rights.The No. 2 U.S. bank by assets is among a number of banks looking to sell residential mortgage servicing rights as they have become increasingly costly and onerous to keep.The sources, who declined to be identified because they are not allowed to speak to the press, expect Bank of America to announce more MSR sales in the next several weeks.Bank of America spokesman Dan Frahm declined to comment on any specific transactions but said the bank has been selling mortgage servicing rights for years and that that approach remained part of the bank’s strategy.”By reducing the size of our portfolio, we improve customer service capacity and resolve legacy mortgage issues and reduce risk in our portfolio,” he said. Bank of America shares were down 1.4 percent at $11.92 on Tuesday morning. Reuters
-Alex Jones Schools English Fairy Peirs Morgan on the History of Gun Control
Pat Buchanan, Revolution will happen if Government tries to grab gun
Jewish Racist Michael Bloomberg (he denies he is a Zionist) has Coppers follow Jones
Court Filing: Cops Seized Prescription Meds Belonging to ‘Batman’ Shooter
- Solid gains in shares of Apple Inc. and Hewlett-Packard lifted the tech sector to modest gains early Tuesday. Apple AAPL -0.38% gained more than 1% to $529.89, while H-P HPQ -1.98% rose 1% to $15.35. Chip stocks also helped power early tech sector gains, with Advanced Micro Devices AMD -0.19% gaining 2% to $2.72 and Intel Corp. INTC +0.42% up 1% at $21.47. On the downside, shares of Facebook Inc.FB -1.43% were down a fraction at $29.40, while Juniper Networks JNPR -2.48% were behind 2% at $19.75. The Nasdaq Composite Index was up 2 points at 3,100. The Philadelphia Semiconductor Index SOX -0.93%rose a fraction. MW
-Citi said it expected the Bank of England to keep rates at 0.5pc until mid-2017.The Bank of England cut interest rates to 0.5pc in March 2009, the lowest since the central bank was founded in 1694.A possible eight years of low interest rates would be welcomed by borrowers but cause continuing difficulties for people who depend on interest on their savings.Citi cut its 2013 growth forecast for the British economy to 0.4pc from 0.8pc and said it expected growth to remain weak – at about 0.7pc – in 2014. Citi also predicted that the UK would lose its AAA rating this year.DT
-MARKETS – AT A GLANCE
11:34 a.m. EST 01/08/13Major Indexes
-State and local governments are in their best financial shape since the recession, giving them leeway to cushion the U.S. economy from federal budget cuts with spending and hiring of their own.After slashing their workforces by about half a million in the past five years, state and local authorities will add employees in 2013, said Mark Zandi, chief economist at Moody’s Analytics Inc. in West Chester, Pennsylvania. Their payrolls in the fourth quarter will be 220,000 larger than in the same period for 2012, he projects. BBN
This guy has a terrible forecasting record.
-MARKETS – AT A GLANCE
-Boeing Co 9:34 a.m.$ 75.45, -0.68 -0.89%
- 0932 Major Indexes
|DJ Total Stock Market||15203.03||-26.36||-0.17|
-0931 Major Indexes
|DJ Total Stock Market||15212.35||-17.04||-0.11|
-0930 USA Markets Open
|DJ Total Stock Market||15229.39||-46.62||-0.31|
-West Texas Intermediate futures advanced as much as 0.7 percent, the third consecutive daily increase. Refineries probably raised their average run rate last week by 0.2 percentage points to 90.6 percent, according to a Bloomberg survey ahead of an Energy Department report tomorrow. Economic confidence in the euro area increased more than economists forecast in December, data from the European Commission in Brussels showed today.“Oil has a moderate up-side bias due to improving market sentiment and a slow tightening of the supply-demand balance,” said Carsten Fritsch, an analyst at Commerzbank AG in Frankfurt, who predicts Brent will rise to $118 a barrel this quarter. “But tightening doesn’t mean the market is tight, just that the oversupply is shrinking.” Crude for February delivery advanced to as much as $93.80, its strongest since Jan. 2, and was up 40 cents at $93.59 a barrel in electronic trading on the New York Mercantile Exchange at 1:04 p.m. London time. The contract increased 10 cents to $93.19 yesterday, the highest settlement since Sept. 18.Brent for February settlement added 78 cents to $112.18 a barrel on the London-based ICE Futures Europe exchange. The European benchmark contract was at a premium of $18.66 to WTI. The difference shrank to $18.21 yesterday, the narrowest closing level since Sept. 24. BBN
GS trade, Short Gold, Long Oil on Doctored FED Minutes about ending easing early
-BBN Exposes Blankfein, as Shameless Liar and Financial Criminal
Sitting onstage in Washington’s Ronald Reagan Building in July, Lloyd C. Blankfein saidGoldman Sachs Group Inc. (GS) had stopped using its own money to make bets on the bank’s behalf. “We shut off that activity,” the chief executive officer told more than 400 people at a lunch organized by the Economic Club of Washington, D.C., slicing the air with his hand. The bank no longer had proprietary traders who “just put on risks that they wanted” and didn’t interact with clients, he said.That may come as a surprise to people working in a secretive Goldman Sachs group called Multi-Strategy Investing, or MSI. It wagers about $1 billion of the New York-based firm’s own funds on the stocks and bonds of companies, including a mortgage servicer and a cement producer, according to interviews with more than 20 people who worked for and with the group, some as recently as last year. The unit, headed by two 1999 Princeton University classmates, has no clients, the people said….
-Brazil’s hot, dry summer may lead to energy rationing. bbn
-USA Treasuries are off to their worst start to a year since 2009 as money managers prepared to bid at three sales of notes and bonds totaling $66 billion this week, starting with a $32 billion three-year debt auction today.U.S. government securities, little changed today, handed investors a 0.7 percent loss in 2013 as of yesterday, according to Bank of America Merrill Lynch indexes. It was the biggest decline for a first week since the Treasury was preparing to ramp up debt sales four years ago as it tried to snap a recession. Bonds slid after the Federal Reserve indicated it may stop its debt purchases in 2013 and as lawmakers averted the so- called fiscal cliff of spending cuts and tax increases. BBN
-Spanish Prime Minister Mariano Rajoy added more than 3 billion euros ($3.9 billion) to his debt load in the closing hours of 2012 with a New Year’s Eve order removing a cap on utilities’ government-guaranteed losses.The decision, announced in the official gazette, added to the snowballing power-tariff debt, which isn’t included in the public accounts. The shortfall exceeded 20 billion euros at year end, according to government filings. BBN
|US Cotton No.2||75.31||-0.41||-0.53%|
|US Coffee C||148.90||-0.05||-0.03%|
-Demand for palladium, last quarter’s best-performing precious metal, is exceeding supply for a second consecutive year as mine production stagnates while sales by automakers, the biggest buyers, reach record highs.Consumption will beat production by 511,000 ounces in 2013, or about what the car industry uses every seven weeks, Barclays Plc estimates. Morgan Stanley expects deficits to persist until at least 2017 and predicts a record annual price average in 2014. Palladium will average at least $770 an ounce in the fourth quarter, or 14 percent more than now, according to the three most-accurate forecasters tracked by Bloomberg Rankings over the past two years.The commodity is one of three supply shortages left among the 10 base and precious metals tracked by Barclays, along with tin and platinum. Palladium is still 40 percent below the record $1,125 reached in 2001. The slump spurred a 45 percent surge in buying by carmakers in the past five years and Morgan Stanley expects record autocatalyst demand in the next five. Hedge funds are now the most bullish on prices in at least three years. BBN
-ALBANY, N.Y. — The state government’s debt has topped $63.3 billion, with New York on track to approach its borrowing limit in early 2014, the comptroller’s office reported Monday.That debt burden, averaging $3,253 per resident, is almost three times the national median, according to the report. New York’s state-funded debt is second only to California’s $96.4 billion and 80 percent higher than New Jersey, which is third.New York paid $6.8 billion on its loans in 2011-12, though borrowing has continued to outpace payoffs. The $63.3 billion debt as of last March 31 was $1.6 billion higher than a year earlier.”At this point, 95 percent of the borrowing over the past 10 years has been without voter approval,” Comptroller Thomas DiNapoli said. Most came from public authorities, avoiding the general prohibition in the state constitution against issuing debt without the approval of voters and the Legislature. WSJ
-The U.S. government could exhaust its ability to meet all its financial obligations as early as Feb. 15, according to a new analysis by the Bipartisan Policy Center.The Center estimates a window from Feb. 15 to March 1 as the time that the“extraordinary measures” the Treasury Department is taking to stave off the debt limit may run out. Those measures, which involve a delay in the reinvestment of certain government funds, provide roughly $200 billion of maneuvering room.The Center’s analysis points toward the latter part of that two-week period as when such measures would be exhausted and the government would be forced to choose among which of its bills to pay. Because of the volume of bills scheduled to become due during that period, the window is unlikely to extend beyond March 1. CNBC
-London talk/rumor that French government has received a downgrade notice
|Futures Index||Value||% Change||Open||High||Low||Time|
|DJIA INDEX FUTURE Mar13||13,290.00||-0.13%||13,316.00||13,317.00||13,281.00||08:42:31|
|S&P 500 FUTURE Mar13||1,453.80||-0.14%||1,456.70||1,456.80||1,451.00||08:43:17|
|NASDAQ 100 FUTURE Mar13||2,717.75||0.00%||2,717.00||2,719.75||2,709.00||08:43:41|
-No one believes Roger Altman, which is why the FT gives him a voice
Roger Altman, the former deputy Treasury secretary, current chairman of Evercore Partners, and perhaps long-shot candidate to succeed Tim Geithner, penned an op-ed in the Financial Times arguing that, despite all appearances, Washington actually is fixing the debt crisis.He says D.C. is three-fourths of the way to the $4 trillion target set by Simpson-Bowles. First, there was the $1.1 trillion from the spending cap agreed in the summer of 2011; then, there was the $740 billion coming mostly from tax hikes agreed to at the beginning of 2013; and finally, there will be either $1.2 trillion of automatic spending cuts from the postponed sequester, or savings of roughly the same if the Republicans are to get their wish to match debt ceiling increases with spending cuts.“Yes, it is a halting process because that is the way big change occurs in America. And, yes, more reductions will eventually be required. But surprising progress is being made,” he writes. MW
-Deutsche Bank Tuesday cut its outlook on gold prices for this year and next, joining a growing line of banks who are turning increasingly cautious toward the precious metal’s price prospects.The bank reduced its average gold forecast for this year by 12.1% to $1,856 a troy ounce and its 2014 forecast by 5% to $1,900/oz.”From an investment perspective our conviction for continued structural strength in the gold market is being tested,” said Deutsche Bank analyst Daniel Brebner, noting that there are “legitimate arguments” for a turnaround in gold’s more than decade-long bull run.”Global investment demand for gold has moderated considerably over the past 18 months, largely a function of the apparent success of central bankers in mitigating the risks associated with excessive financial leverage within the Western economic system,” he said. “The strength in other more conventional assets, U.S. equities for example, as economic conditions appear to normalize has also resulted in less urgency for investors to buy unorthodox investment instruments such as gold.”In addition, there appears to be a growing conviction among many investors and analysts that the U.S. dollar is likely to strengthen over the longer term, said Mr. Brebner. Since gold is priced in dollars, a strong greenback makes the metal more expensive to other currency holders.”Finally we note that the U.S. Fed’s latest minutes suggest that there may be earlier-than-expected policy tightening,” he added.Quantitative easing by central banks such as the Federal Reserve has been a bastion of support for gold prices in recent years, reflecting the metal’s appeal as a hedge against currency weakness and inflation at times of high liquidity.Deutsche Bank also slashed its price outlook for silver. The bank cut its 2013 price outlook on the metal by 16.8% to $37/oz and its 2014 forecast by 5% to $38/oz.Several other banks have also reduced their gold outlooks in recent weeks, including Credit Suisse, HSBC, BNP Paribas and Goldman Sachs. MW
-Baker Hughes Inc. said its international rig count for December fell 1.1% from the prior month but rose 6.2% from a year ago to 1,253.The international offshore rig count for December was 299, versus 300 the prior month but unchanged from the year-ago period.The average U.S. rig count for December was 1,784, down from 1,809 in November and from 2,003 in December 2011. Meanwhile, the average Canadian rig count for December 2012 was 353, versus 384 the prior month and 429 in December 2011.The worldwide rig count for December was 3,390 compared with 3,460 in November and 3,612 in December 2011.Producers have largely been retreating from natural-gas drilling as the commodity’s prices languish near 10-year lows. Oil and gas companies have been shifting their production to oil-rich shale, unlocking the energy trapped in vast shale formations in the U.S. and elsewhere.Last month, Baker lowered its fourth-quarter outlook for revenue and margins in its North American operations amid lower-than-expected onshore activity and continued pressure-pumping price declines.Shares closed at $43.01 Monday and were inactive in recent premarket trading. The stock has dropped 16% in the past 12 months. MW
-African Barrick Gold -20% stake sale talks broke down with Chinese
- Solarworld +6% Germany wants talks related to renewable costs to be accelerated
- OECD’s Gurria: Europe economy expected to further contract going into 2014
- Ireland Debt Agency to raise new money by selling 2017 syndicated bond in near future; May seek to raise €2B in the offering
- UK CFOs believe that the risk of a “triple-dip” recession is declining – London Telegraph
- China top four banks saw Dec lending at approx CNY164B – Chinese press
- Japan BoJ member Shirai: Current policy commitment equivalent to inflation target; does not rule out reserve rate cut – financial press
-Europe Session Economic Release Summary
(AU) Australia Dec Foreign Reserves: A$47.3B v A$46.2B prior
(ZA) South Africa Dec Gross Reserves: $50.7B v $51.0Be; Net Reserves: $48.0B v $48.4B prior
(CH) Swiss Dec Unemployment Rate: 3.3% v 3.3%e; Unemployment Rate Seasonally Adj): 3.0% v 3.0%e
(DE) Germany Nov Current Account: €15.3B v €16.0Be; Trade Balance: €17.0B v €15.8Be; Imports M/M: -3.7% v 0.5%e; Exports M/M: -3.4% v -0.5%e
(FR) France Nov Trade Balance: -€4.3B v -€4.8Be
(HU) Hungary Nov Preliminary Industrial Production M/M: -0.1% v -3.8% prior; Y/Y: -6.9% v -3.5%e
(TR) Turkey Nov Industrial Production WDA M/M: +1.5% v -2.4% prior; Y/Y: +3.1% v -0.8% prior; Industrial Production NSA Y/Y: +11.3 v -5.7% prior
(EU) ECB: €105M borrowed in overnight loan facility vs. €127M prior; €244.5B parked in deposit facility vs. €252.6B prior
(NO) Norway Nov Credit Indicator Growth Y/Y: 7.1% v 6.9%e
(NO) Norway Nov Manufacturing Production M/M: -0.1% v +0.4%e; Y/Y: 2.4% v 2.7% prior
(NO) Norway Nov Industrial Production M/M: -3.6% v 4.8% prior; Y/Y: -3.5% v 2.5% prior
-(IT) Italy Nov Preliminary Unemployment Rate: 11.1% v 11.2%e; matches high since Jan 2004
(EU) Euro Zone Nov Retail Sales M/M: 0.1% v 0.3%e; Y/Y: -2.6% v -2.1%e
(EU) Euro Zone Nov Unemployment Rate: 11.8% v 11.8%e (fresh EMU record level)
(EU) Euro Zone Dec Business Climate Indicator: -1.12 v -1.09e; Final Consumer Confidence: -26.5 v -26.6e; Economic Confidence: 87.0 v 86.3e; Industrial Confidence: -14.4 v -14.5e; Services Confidence: -9.8 v -11.5e
(PT) Portugal Dec Consumer Confidence: -59.8 v -59.0 prior; Economic Climate Indicator: -4.4 v -4.3 prior
(IT) Bank of Italy Dec Balance-Sheet Aggregates: ECB funding to banks in Italy: €271.8B vs. €273.3B prior (5th straight monthly decline)
-(BE) Belgium Dec Unemployment Rate: 7.4% v 7.5% prior
|Stoxx Europe 600||287.20||0.57||0.20|
|France: CAC 40||3724.05||19.41||0.52|
|Italy: FTSE MIB||17008.59||112.93||0.67|
|Sweden: OMX Stockholm||352.09||0.30||0.09|
|UK: FTSE 100||6071.52||6.94||0.11|
Debenhams Plc (DEB) decreased 3.3 percent as the retailer cut its profit-margin forecast.Intesa Sanpaolo SpA (ISP) and Banca Monte dei Paschi di Siena SpA (BMPS) dropped after JPMorgan Chase & Co. cut its recommendations on the shares.
|Country: Index||Last||Change||% Chg|
|Stoxx Europe 50||2637.55||-3.65||-0.14|
|Stoxx Europe 600||286.11||-0.52||-0.18|
|Euro Stoxx 50||2687.99||-7.57||-0.28|
|Austria: ATX Index*||2484.01||0.96||0.04|
|Denmark: OMX Copenhagen 20||513.78||-0.07||-0.01|
|Estonia: OMX Tallinn||769.54||3.69||0.48|
|Finland: OMX Helsinki||6077.56||-10.62||-0.17|
|France: CAC 40||3696.59||-8.05||-0.22|
|Greece: Athens General*||969.43||5.24||0.54|
|Greece: DJ Greece TSM*||746.58||3.37||0.45|
|Greece: FTSE/ATHEX 20*||333.00||0.92||0.28|
|Iceland: OMX Iceland All-Share*||715.43||17.22||2.47|
|Ireland: ISEQ Overall||3499.95||2.52||0.07|
|Italy: FTSE MIB*||16895.66||-64.12||-0.38|
|Latvia: OMX Riga||403.37||0.01||0.00|
|Lithuania: OMX Vilnius||368.41||0.07||0.02|
|Norway: OSE All-Share||502.51||0.69||0.14|
|Portugal: PSI 20*||5884.26||5.48||0.09|
|Russia: DJ Russia Titans||6472.98||-23.78||-0.37|
|Spain: IBEX 35||8391.50||-27.50||-0.33|
|Sweden: OMX Stockholm||351.52||-0.27||-0.08|
|Switzerland: Swiss Market||7049.30||-9.62||-0.14|
|UK: FTSE 100||6056.42||-8.16||-0.13|
|UK: FTSE 250||12692.95||-29.04||-0.23|
|UK: FTSE AIM All-Share||724.35||0.42||0.06|
|Country: Index||Last||Change||% Chg|
|DJ Asia-Pacific TSM||1329.45||-8.78||-0.66|
|Australia: All Ordinaries*||4712.30||-25.80||-0.54|
|China: DJ CBN China 600*||20875.80||-25.94||-0.12|
|China: DJ Shanghai*||286.32||-0.59||-0.21|
|China: Shanghai Composite*||2276.07||-9.29||-0.41|
|China: Shenzhen Composite*||895.15||9.66||1.09|
|China: Shanghai 50*||1857.69||-22.57||-1.20|
|Hong Kong: Hang Seng||23112.10||-217.65||-0.93|
|India: BSE Sensex||19661.64||-29.78||-0.15|
|India: S&P CNX Nifty||5972.00||-16.40||-0.27|
|Indonesia: JSX Index||4397.28||4.90||0.11|
|Indonesia: JSX BISNIS 27||376.37||0.81||0.22|
|Indonesia: JSX Islamic||606.05||-1.06||-0.17|
|Indonesia: JSX LQ-45||752.20||1.54||0.21|
|Japan: DJ Japan TSM*||542.94||-5.85||-1.07|
|Japan: Nikkei Average*||10508.06||-90.95||-0.86|
|Japan: TOPIX Index*||871.88||-9.18||-1.04|
|Malaysia: DJ Malaysia TSM||3127.68||-11.84||-0.38|
|Malaysia: FTSE Bursa Malaysia KLCI||1686.83||-7.33||-0.43|
|New Zealand: NZX 50*||4090.37||5.53||0.14|
|S. Korea: KOSPI*||1997.94||-13.31||-0.66|
|S. Korea: KOSPI 50*||1725.31||-13.59||-0.78|
|S. Korea: KOSPI 100*||2001.18||-16.11||-0.80|
|S. Korea: KOSPI 200 Composite*||263.95||-2.02||-0.76|
|Singapore: FTSE Straits Times||3202.09||-16.17||-0.50|
-300 Europe Opens
German DAX 30 index down 0.3% to 7,709.45
French CAC 40 index down 0.3% to 3,695.11
FTSE 100 index down 0.1% to 6,056.40
Stoxx Europe 600 index down 0.1% to 286.15
German 10y 1.51-0.01, 0.57%
Italy 10y 4.31+0.01, -0.28%
Spain 10y 5.10+0.00, -0.04%
EUR/USD 1.3113 -0.0004 -0.03%
GBP/USD 1.6091 -0.0025 -0.16%
Gold 1650.25 +3.95 +0.24%
Silver 30.165 +0.083 +0.28%
-USA Apartments rents continue to rise as vacancies fall. WSJ-French Trade Balance (November, Euros) M/M -4334mln vs. Exp. -4800mln (Prev.4685mln, Rev. to 4710mln)
-Swiss Unemployment Rate (Dec) M/M 3.3% vs. Exp. 3.3% (Prev. 3.1%)
-German exports declined more than economists forecast in November as the sovereign debt crisis weighed on euro-area demand. Exports adjusted for working days and seasonal changes fell 3.4 percent from October, when they unexpectedly rose 0.2 percent, the Federal Statistics Office in Wiesbaden said today. That’s the steepest decline in more than a year. Economists had forecast a 0.5 percent drop, according to the median of 9 estimates in a Bloomberg News survey. Imports fell 3.7 percent from October.Weaker demand for its goods from the 17-nation euro region is hurting the German economy, which probably contracted markedly in the fourth quarter, the Bundesbank said last month. Still, euro-area investor confidence as measured by Sentix jumped to the highest level since 1 1/2 years in January as signs multiply that the region’s debt crisis may be beginning to ease. The trade balance widened to 17 billion euros ($22.3 billion) from 15.7 billion euros in October. The surplus in the current account, a measure of all trade including services, was 15.3 billion euros, up from 13.2 billion euros. BBN
- Walt Disney Co started an internal cost-cutting review several weeks ago that may include layoffs at its studio and other units, three people with knowledge of the effort told Reuters, in an early sign that big companies may not be finished tightening their belts.Disney, whose empire spans TV, film, merchandise and theme parks, is exploring cutbacks in jobs it no longer needs because of improvements in technology, one of the people said.It is also looking at redundant operations that could be eliminated following a string of major acquisitions over the past few years, said the person.The people did not want to be identified because Disney has not disclosed the internal review. Reuters
-AngloGold Ashanti Ltd. , South Africa’s largest gold mining company, said Tuesday that its chief executive Mark Cutifani will be leaving the company at the end of March to lead Anglo American PLC . AngloGold Ashanti was spun off from Anglo American in 1998. Its headquarters are in Johannesburg. Mr. Cutifani was appointed CEO of AngloGold in 2007 in a surprise move after leaving his position as chief operating officer of Canada-based Inco, which is now owned by Brazilian miner Vale SA (VALE).
-Futures are set to open down slight in Europe and the USA
|utures Index||Value||% Change||Open||High||Low||Time|
|DJIA INDEX FUTURE Mar13||13,284.00||-0.17%||13,316.00||13,316.00||13,284.00||02:00:40|
|S&P 500 FUTURE Mar13||1,452.00||-0.26%||1,456.40||1,456.80||1,451.80||02:05:49|
|NASDAQ 100 FUTURE Mar13||2,711.00||-0.25%||2,717.00||2,718.00||2,711.00||02:00:29|
|EURO STOXX 50 Mar13||2,679.00||-0.26%||2,680.00||2,681.00||2,676.00||02:02:04|
|FTSE 100 IDX FUT Mar13||6,012.00||-0.13%||6,029.00||6,031.50||6,011.50||02:01:30|
|DAX INDEX FUTURE Mar13||7,715.00||-0.22%||7,716.00||7,716.00||7,712.00||02:02:0|
-A group of 10 mortgage providers have agreed to pay a total of $8.5bn as compensation to end a US government-mandated review of housing crisis foreclosures.Bank of America Corp, Citigroup Inc, JPMorgan Case & Co, Wells Fargo & Co, MetLife Bank and five others will pay $3.3bn directly to eligible borrowers, and $5.2bn in loan modifications and forgiveness, regulators said.A total of 3.8 million people are eligible for payments under the deal announced by the Office of Comptroller of the Currency, a bank regulator, and the Federal Reserve. Those payments could range from a few hundred dollars to up to $125,000. The settlement is a response to charges of “robo-signing”: Big banks, swamped with thousands of foreclosure filings, allegedly used an automated system to sign off on foreclosures, rather than personally reviewing each case. Thousands of homeowners said they were wrongly evicted from their homes because of the practice.Separately, Bank of America agreed to pay $11.6bn to government-backed mortgage financier Fannie Mae to settle claims related to mortgages that soured during the housing crash.Many of those mortgages were originated by Countrywide Financial, which was the largest subprime mortgage lender in the United States. Bank of America acquired Countrywide in 2008.The agreements come as US banks are showing renewed signs of financial health, extending their recovery from the 2008 crisis.But critics say the deal allows the banks to escape responsibility for damages that could have cost them much more, perhaps hundreds of billions of dollars. USA Financial press/FED press wire
- Fitch: India may be Downgraded in the next 12-24 months
-HSBC economists expect AUD to face more headwinds in 2013 than in 2012 – The Australian
- China Finance Ministry researcher Jia Kang: 2013 fiscal deficit could be around 2.2% of GDP v 1.5% in 2012. China top four banks saw Dec lending at approx CNY164B . China Ministry of Commerce: Aims to grow of outsourcing industry by 30% per year through 2015 .According to PricewaterhouseCoopers, China’s IPO market in 2013 may see an increase of up to 40% in funds thanks to govt stimulus measures.China National Bureau of Stats (NBS): China iron ore inventory in the first week of Jan was 74.74M MT, first w/w increase in 10 weeks. - Shanghai Daily, China Dail
- (KR) South Korea Fin Min Bahk: Exports likely to improve in 2013 – Korean press
- RBNZ may do more to calm housing markets – New Zealand press
- Japan PM Abe: To compile stimulus package on Friday, 11th Jan . JGB: (JP) Japan FY12/13 Govt bond issuances expected to reach ¥50T. Japan think tank forecasts Japan FY13/14 GDP likely to rise about 2%; Proposed govt stimulus to lift Q1 GDP by 0.3-0.7% .) Fitch: Will not change Japan sovereign rating based on LDP campaign pledges. -Japan business lobby (Keidanren) head Yonekura: Sees USD/JPY in ¥75-90 range this year; Current level of ¥88 is acceptable – Nikkei News.Yomiuri News, Nikkei News, Kyodo News
- British Chambers of Commerce (BCC): UK economy showing broad improvement in business sentiment in Q4 (lies)
- GLD: SPDR Gold Trust ETF daily holdings fall by 1.4 tons to 1,340.7 tons
-Samsung Electronics : Reports prelim Q4 Op profit KRW8.8T (+88.8% y/y) v KRW8.5Te; Rev KRW56.0T (+18.4% y/y) v KRW56.4Te
Asia stocks slid for a 2nd day ahead of the unofficial kickoff of USA earnings with an update from Alcoa.
A rebounding yen weighed on Japanese exporters and traders pondered possible monetary action from global central banks later this week . Japan’s Nikkei 225 fell 0.83%. Japanese exporters were among the leading decliners due to a rebounding yen. The Japanese press reported that the BOJ-government accord would set shared goals of job stability, 2% inflation target but would not set any hard deadlines on inflation. Yen weakness reemerged after Finmin Aso said Japan will be using its FX reserves to purchase ESM bonds starting today, as USD/JPY pair rose back to ¥87.70 level. Aso also called for a joint policy statement with BOJ to enhance policy coordination. Separately, PM Abe called for MOF to compile a stimulus package by this Friday. Japan’s economic stimulus policy draft indicated the cabinet will continue to monitor FX markets, look to speed up reconstruction efforts related to earthquake, facilitate growth by encouraging R&D investment in renewable energy, and provide support for SMEs. It remains to be seen if with Japanese industry (Toyota, Nissan, etc) expressing satisfaction with the present Y/D ratio if the BOJ will continue to not sterilize the QE, like they did last month, or if they will revert back to sterilization like the FED is doing currently. Unfortunately Japanese monetary aggregates are only released monthly, whereas the FED releases them weekly.
In China Hong Kong’s Hang Seng fell 0.68 % while stocks on mainland China were weak as well with the Shanghai Composite lower by 0.32 %. Chinese economists rolled out their forecast for more robust economy of 8 pc growth on Monday to the NYSE. Justin Yifu Lin, a former World Bank chief economist and senior vice-president, predicted China would see its gross domestic product expand by 8 percent to 8.5 percent in 2013. The country is likely to maintain similarly rapid growth over in the next 5 to 10 years, he said.Even with the best economic models as measurement, Lin said, the Chinese economy is like a glass that’s half-full or half-empty, depending on how it’s viewed.His GDP forecast was based on China’s quest for growth driven by consumption of the growing middle class as well as expected acceleration from the comparatively slow growth of 2012.Among the challenges China faces, according to Lin, are income disparity and corruption, which combined could produce social tensions, and the need to exert discipline in tackling these problems.The influential economist said the new Chinese leadership understands these and other challenges. The 18th National Party Congress in November sent “positive signals” in that regard.”China will try to do this kind of marginal reform,” Lin said. “You have to be patient. It may not be as rapid as you hope. But China is very close to a well-functioning market economy.”He also called growth in China a “win-win” for itself and the United States, because the latter can help boost employment by increasing exports to the Asian nation.Wang Jianye, chief economist at the Export-Import Bank of China who took part in Monday’s forum at the NYSE, said predictions of an economic “hard landing” for China in 2012 were exaggerated. ”China’s domestic market is growing rapidly, and this will remain a key driver for the country to maintain its economic growth,” Wang said. “While domestic investment has and will generate economic growth in coming years, China’s stable fiscal policy will also help the country’s stable growth.”
South Korea’s Kospi fell 0.62 % despite a stronger-than-expected profit update from industrial conglomerate Samsung.
Australia’s ASX Index was off -.57 % following a weaker-than-expected trade balance report. Australia’s trade balance fell more-than-expected last month. ABS said that Australia’s trade balance fell to a seasonally adjusted -2.64B, from -2.44B in the preceding month whose figure was revised down from -2.09B. The silver lining in the report were strong exports to China (up about 5%) as well as a 15% rise in iron ore shipments. Economists also downplayed the report, noting this was an outdated datapoint for November that would be reversed in December when higher prices of iron ore are taken into account.
Traders are positioning for the looming debt ceiling debate in the U.S as well as the earning season, and the European Central bank meeting on the 10 th. During the last debt ceiling brawl , Standard & Poor’s stripped the U.S. of its AAA credit rating. In recent weeks, traders have speculated that another credit downgrade, likely Moodys, could be in the offing for the U.S. if politicians do not move swiftly to raise the debt ceiling and deal with the deficit spending in the intermediate to long term. The U.S. currently has a credit rating of AA+ from S&P.
The USA political theater is becoming the theater of the Absurd, as Danny Glover, the communist, one-world-order, Hollywood actor started a position to draft Paul Krugman as the next UST secretary, and Paul Krugman proposed, along with others of lesser lights, minting a 1 trillion dollar face value platinum coin to get around the current debt ceiling. I’ve been avoiding wasting peoples time on this ludicrous idea, but it will be the beginning of the End of the dollar if they do that, or if Obama asserts he has the right to raise the debt ceiling without consulting Congress. Krugman sort of self nominated himself and his fan club from Hollywood is doing the rest. In less controversial choices Obama selected, Chuck Hagel, the highly respected Vietnam war veteran to be his next Secretary of Defense. He is being opposed by the small Anglo-Zionist and LGBT lobbies. John Brennan, a career, CIA hack , and Bush family protege, was nominated for Director of the CIA. He’s been a part of the CIA corruption, since it entered its new black operation phase following its miserable failure in Vietnam.
In the backwaters of the world were saner politicians sometimes prevail, New Zealand’s NZSE 50 was up fractionally while Singapore’s Straits Times Index lost 0.18.
|Country: Index||Last||Change||% Chg|
|DJ Asia-Pacific TSM||1329.39||-8.84||-0.66|
|Australia: All Ordinaries*||4712.30||-25.80||-0.54|
|China: DJ CBN China 600||20792.39||-109.35||-0.52|
|China: DJ Shanghai||285.09||-1.82||-0.63|
|China: Shanghai Composite||2278.05||-7.32||-0.32|
|China: Shenzhen Composite||896.90||11.41||1.29|
|China: Shanghai 50||1859.00||-21.27||-1.13|
|Hong Kong: Hang Seng||23171.31||-158.44||-0.68|
|India: BSE Sensex||19661.46||-29.96||-0.15|
|India: S&P CNX Nifty||5975.10||-13.30||-0.22|
|Indonesia: JSX Index||4407.20||14.82||0.34|
|Indonesia: JSX BISNIS 27||377.38||1.82||0.48|
|Indonesia: JSX Islamic||608.54||1.42||0.23|
|Indonesia: JSX LQ-45||754.12||3.46||0.46|
|Japan: DJ Japan TSM*||542.95||-5.84||-1.06|
|Japan: Nikkei Average||10511.55||-87.46||-0.83|
|Japan: TOPIX Index||871.88||-9.18||-1.04|
|Malaysia: DJ Malaysia TSM||3130.80||-8.72||-0.28|
|Malaysia: FTSE Bursa Malaysia KLCI||1688.59||-5.57||-0.33|
|New Zealand: NZX 50*||4090.37||5.53||0.14|
|S. Korea: KOSPI||1998.73||-12.52||-0.62|
|S. Korea: KOSPI 50||1726.76||-12.14||-0.70|
|S. Korea: KOSPI 100||2002.51||-14.78||-0.73|
|S. Korea: KOSPI 200 Composite||264.13||-1.84||-0.69|
|Singapore: FTSE Straits Times||3212.40||-5.86||-0.18|
|US Cotton No.2||75.41||-0.27||-0.36%|
|US Coffee C||148.95||+2.15||+1.46%|
Japan 10yr 0.84-0.01. 0.72%
U.S. 10yr 1.89-0.01, 0.64%
-Asia Session Economic Release Summary
- (AU) AUSTRALIA NOV TRADE BALANCE (A$): -2.64B V -2.30BE (biggest deficit since Mar 2008)
- (AU) AUSTRALIA DEC AIG PERFORMANCE OF CONSTRUCTION INDEX: 38.8 V 37.0 PRIOR (10-month high)
- (UK) UK DEC BRC SALES LFL Y/Y: 0.3% V 0.5%E
-After Hours, USA Session
AET: Guides FY13 EPS at least $5.40 v $5.52e; Rev growth seen at about +9% (implies $38.7B based on 2012 forecast v $39.0Be); -0.4% afterhours
HLS: Raises FY12 guidance to $1.53-1.55 v $1.54e (guided $1.49-1.53 prior) – filing; -0.4% afterhours
YUM: Guides FY12 EPS $3.24 v $3.26e (prior guidance was “at least $3.24″); Cuts Q4 China guidance – filing; -5.1% afterhours
-USA Session 1/7, Economic Release Summary
- (IE) Ireland Nov Retail Sales Volume M/M: -1.1% v +1.7% prior; Y/Y: -0.5 v +3.0% prior
- (ZA) South Africa Dec Electricity Production Y/Y: -0.6% v -1.9% prior; Electricity Consumption Y/Y: -1.7 v -3.9% prior
- (CL) Chile Nov Economic Activity Index M/M: 1.3% v 0.4%e; Y/Y: 5.5% v 5.2%e
- (CL) Chile Dec Trade Balance:$1.5B v $0.2Be; Total Exports: $7.7B v $6.7B prior; Total Imports: $6.2B v $6.1B prior
- (CL) Chile Dec Copper Exports: $4.7B v $3.9B prior
- (RO) Romania Central Bank leaves Interest Rate unchanged at 5.25%; as expected
- (BR) Brazil Nov Vehicle Production: 259.4K v 301.7K prior; Vehicle Sales: 359.4K v 311.8K prior; Vehicle Exports: 41.2K v 36.5K prior
- (PL) Poland Dec Official Reserves: €108.9B v €107.5B prior
- (CA) Canada Dec Ivey Purchasing Managers Index (Seasonally Adj: 52.8 v 47.5 prior; PMI Unadj: 43.1 v 46.2 prior
-USA Close (*) 1/7
|DJ Total Stock Market*||15229.39||-46.62||-0.31|
|02:00||EUR||German Trade Balance||15.0B||15.2B|
|02:45||EUR||French Trade Balance||-4.7B||-4.7B|
|04:00||EUR||Italian Monthly Unemployment Rate||11.2%||11.1%|
|04:00||NOK||Norway Manufacturing Production (MoM)||0.50%||-0.30%|
|05:00||EUR||Business and Consumer Survey||86.3||85.7|
|05:00||EUR||Retail Sales (MoM)||0.3%||-1.2%|
|06:00||EUR||German Factory Orders (MoM)||-1.4%||3.9%|
|07:30||BRL||Brazilian Auto Sales (MoM)||-8.70%|
|07:30||USD||NFIB Small Business Optimism||87.2||87.5|
|09:00||MXN||Mexican Consumer Confidence||93.70||94.20|
|10:00||USD||IBD/TIPP Economic Optimism||46.3||45.1|
|11:30||USD||4-Week Bill Auction||0.075%|
|11:30||USD||52-Week Bill Auction||0.160%|
|13:00||USD||3-Year Note Auction||0.327%|
|16:30||USD||API Weekly Crude Stock||-0.25M||-12.03M|
|16:30||USD||API Weekly Gasoline Stock||2.25M||3.32M|
|16:45||NZD||Building Consents (MoM)||-1.5%|
|18:00||KRW||South Korean Unemployment Rate||3.0%||3.0%|
|19:00||AUD||HIA New Home Sales (MoM)||3.4%|
|19:01||GBP||BRC Shop Price Index (YoY)||1.5%|
|19:30||AUD||Retail Sales (MoM)||0.4%||0.0%|
-Secret Goldman Team Sidesteps Volcker After Blankfein Vow
-European leaders (clowns/crooks) hail breakthrough in debt crisis
-Rajoy Stealth Order Adds to Off-Balance Sheet Debt: Euro Credit
-In Japan a painfully Slow Cleanup -Fukushima
-Euro-Area Unemployment Rate Rises to Record 11.8% Amid Recession
-London Quantitative Hedge Funds Report Second Year of Losses
-Japan to Buy European Debt With Currency Reserves to Weaken Yen
-Best of CES
-Waitrose boss: Britons should brace themselves for ‘massive’ food price hikes
-Sterling crisis looms as UK current account deficit balloons
-Sterling faces destructive ‘triple cocktail’ in 2013 – HSBC
-THE RESET: Obama, GOP drawing battle lines
A brief recap of present status
-New York Times Supports Austerity Harshness
-Flu -Shot may increase the likelihood of flu-associated disease and pneumonia
-Pakistan Seen Needing IMF Bailout as Rupee Drops Before Vote
-AIG Planning on Suing USA Taxpayers
Rather than go after the City of London , where all this CDS fraud took place, the Zionist that own it elect to bite the hands of the USA taxpayers instead. Silver rigger Greenberg leading charge
-China Throws Gillard Lifeline as Iron Ore Revives
-German Exports Dropped More Than Forecast in November
-Republicans Ready Anti- 1 trillion dollar coin bill
-Intel bets big on thin PCs and phones at Las Vegas show
-Obama Said Close to Choosing Lew for Treasury Secretary
-Galaxy phones power Samsung to record $8.3 billion profit
-Boehner: We’re fine with defense cuts
-Gold Lures Japan’s Pension Funds as Abe Targets Inflation
-Boeing 787 Dreamliner Fire Probed, Blaze Adds to Setbacks