2011 October

Rant of the Day – Whirlpool fires 5000 Employees

On behalf of citizens: Hey Mr. Obama, We need jobs! Mr. Bernanke you’re not helping either! The first headline I read this morning: Whirlpool to fire 5000 employees. Our economist John L. Chapman has been pleading for less costly regulation since coming aboard back in the summer.  This administration has a central ideology which, in practice, imparts .. read more

World population has reached 7 billion

According to Worldmeters.com, the world’s population reached 7 billion today. The site has some pretty neat counters that cover government expenditures, media and the environment. The global population is rising inexorably. The burgeoning middle class of Asia is no longer content to eat bucketfuls of rice and cabbage, with an occasional chicken’s foot as a treat. .. read more

On October 31st, 2011, posted in: Markets by

Contrarian Alert

Weeks like this make me go hmm.  The market rose through the 50 day moving average 2 weeks back.  This week it climbed decisively through the 200 day moving average.  On October 4th, the SPY had an intraday low of 107.43.  This past Thursday, it had an intraday high of 129.42; a bounce off the lows .. read more

Weekly Economic & Market Review

Is the great bear market of 2011 over? Stocks have risen relentlessly this month culminating with a giant 3% move last Thursday. The plan revealed that day to address the European debt crisis is the most often cited reason for the rally but the resilient performance of the US economy, as evidenced by the GDP .. read more

Weekly Chart Review

The S&P 500 is currently up 13.58% for the month. Treasury ETFs, which had been the winners for the year coming into the month, have sold off hard, especially the 20-year+ Treasury ETF (TLT), which is down 8.69% for the month.  The S&P 500 is up almost 20% from the low adding about 1,000 points .. read more

On October 30th, 2011, posted in: Markets by

Eurozone Debt, Money, Capital, and Naked Emperors

Thinking Things Over              October 28, 2011 Volume I, Number 15:  Eurozone Debt, Money, Capital, and Naked Emperors By John L. Chapman, Ph.D.                                                                                                                         Washington, D.C. In reviewing the details of the Greek bailout/Eurozone debt “deal” hammered out early Thursday morning alongside the Federal Reserve Board’s likely meeting agenda for next week, two books, written a century apart and .. read more

‘Tis The Season For Seasonal Obfuscation

The headline GDP number was apparently enough growth to completely erase all thoughts of any renewed recession.  However, most of us know that one quarter is not a trend and that the quarterly numbers are often statistically adjusted beyond something non-statistically meaningful. If we look at the headline numbers in sequence, it certainly seems that .. read more

On October 29th, 2011, posted in: Markets by

Economists put Regulatory Policy in Economic Cycle Conversation

The Alhambra Investment Team has been very vocal about our disappointment in current Fiscal Policy.  Ben Bernanke recently joined ranks, essentially saying the Fed has done what it needs to do and that legislators must get their collective acts together because they are causing major headwinds.  This has led to discussions at Alhambra on Nominal GDP .. read more