Tuesday, December 14, 2010

DailyMarkets.com - 10 Signs That Confidence In U.S. Treasuries Is Dying

DailyMarkets.com - 10 Signs That Confidence In U.S. Treasuries Is Dying


10 Signs That Confidence In U.S. Treasuries Is Dying

Posted: 14 Dec 2010 03:35 AM PST

Selling government debt is a gigantic confidence game.  For decades, investors all over the globe have gobbled up massive amounts of U.S. debt at incredibly low interest rates because they believed that it was a certainly that they would be paid back and be able to make a little bit of profit on top of it.  Unfortunately, things have changed.  Confidence is U.S. Treasuries is dying, and if confidence in U.S. government debt completely collapses at some point we could literally be … [visit site to read more] or compare Best Credit Cards and Best CD Rates


Stocks To Watch On Tuesday: Boeing, AIG, Yahoo, Infineon

Posted: 14 Dec 2010 03:22 AM PST

UK Banks – Moody’s says outlook for UK banking system remains negative. (RTRS)

UK

Bunzl – Co.'s overall trading is consistent with expectations, and revenue growth for this year is expected to be between 3% and 4% due to underlying revenue growth. Also acquisitions continue to be a key component of co.'s growth strategy. (RTR)

Whitbread – Co.'s Premier Inn like for like occupancy for the year to data increased to 80.0%, and Costa has maintained its excellent performance … [visit site to read more] or compare Best Credit Cards and Best CD Rates


Stock Trading Plan For Tuesday: NFLX, CELG, GLD, VRX

Posted: 14 Dec 2010 03:04 AM PST

The mid and small cap indices have reached nose bleed levels and the NASDAQ has gone up for 9 straight days. Many of the leading growth plays have also gotten extremely stretched and are lining up for the possibility of an ugly correction. We are still seeing this market as very bullish over the intermediate term but all moves must come to an end and they end much worse the further stretched they get. We are just saying be very cautious here.

The action on Monday was different than … [visit site to read more] or compare Best Credit Cards and Best CD Rates


Why America’s Two Economies Continue To Drift Apart, And What Washington Isn’t Doing About It

Posted: 13 Dec 2010 11:30 PM PST

America's two economies are getting wider apart.
The Big Money economy is booming. According to a new Commerce Department report, third-quarter profits of American businesses rose at an annual record-breaking $1.659 trillion – besting even the boom year of 2006 (in nominal dollars). Profits have soared for seven consecutive quarters now, matching or beating their fastest pace in history.
Executive pay is linked to profits, so top pay is soaring as well.
Higher profits are also translating … [visit site to read more] or compare Best Credit Cards and Best CD Rates


Momentum Stock: Wabco Holdings, Inc.

Posted: 13 Dec 2010 11:05 PM PST

Wabco Holdings, Inc. (NYSE:WBC) recently jumped to a new multi-year high after reporting strong Q3 results in late October that included a 42% earnings surprise. With a bullish next-year growth projection of 31% and attractive valuation, this Zacks #1 rank stock isn’t putting the brakes on momentum.
Company Description
Wabco Holdings, Inc. develops, manufactures and sells braking systems for commercial vehicles worldwide. The company was founded in 1869 and has a market cap of $3.48 billion.
Wabco … [visit site to read more] or compare Best Credit Cards and Best CD Rates


Aggressive Growth Stock: Limited Brands Inc

Posted: 13 Dec 2010 11:05 PM PST

Limited Brands (NYSE:LTD) continues to report fantastic same-store sales figures, leaving analysts no choice but to raise estimates.
This Zacks #1 Rank (Strong Buy) is also trading with great valuations, in addition to strong growth rates.
Company Description
Limited Brands operates about 2,700 stores in the U.S. and another 700 international locations. Notable brands include Victoria’s Secret, Bath & Body Works and La Senza.
November Sales
On Dec 2 Limited Brands reported a 10% increase in … [visit site to read more] or compare Best Credit Cards and Best CD Rates


Bear Of The Day: China Fire & Security (CFSG)

Posted: 13 Dec 2010 11:05 PM PST

China Fire & Security (NASDAQ:CFSG) has been recognized as the largest player in the design and installation of fire safety systems in China. Its leading position in the industry has enabled the company to win 60-70% of bids in the iron and steel industry.
However, its dependence on the iron and steel industry might slow the execution process of the projects, hampering its profitability. China Fire’s second quarter earnings per share plunged to $0.20, missing the Zacks Estimate of … [visit site to read more] or compare Best Credit Cards and Best CD Rates


Bull Of The Day: Family Dollar Stores (FDO)

Posted: 13 Dec 2010 11:05 PM PST

Family Dollar’s (NYSE:FDO) strategic initiatives to improve merchandising and store operations have helped grow the top and bottom lines. The company’s point-of-sale technology and store realignment initiatives are helping to drive traffic.
There is tremendous opportunity to increase gross margin by renewed effort on its store brand portfolio. These initiatives helped the company to post healthy fourth-quarter 2010 results. Management now expects growth of 8% to 10% in net sales and an increase of … [visit site to read more] or compare Best Credit Cards and Best CD Rates


Growth & Income Stock: Ituran Location & Control Ltd.

Posted: 13 Dec 2010 11:05 PM PST

By the end of 2011, all new vehicles in Brazil will be required to have a GPS-based tracking system installed. This may not be good news for car thieves in São Paulo, but Ituran Location & Control Ltd. (NASDAQ:ITRN) sees huge market potential.
The company provides location-based services, primarily consisting of stolen vehicle recovery and tracking services, in addition to wireless communications products. The company operates in Israel (51% of revenue), Brazil (37%), Argentina (9%), and the … [visit site to read more] or compare Best Credit Cards and Best CD Rates


Gold Makes Record Run

Posted: 13 Dec 2010 09:44 PM PST

INCIDENT: On 7 December, gold hit an all-time high above US$1,425 per ounce (London morning fix), after having risen from under $300 per ounce at the beginning of the millennium and from just over $700 per ounce only a little over two years ago (all figures in current dollars).

SIGNIFICANCE: While the recent spike in the price of gold has already been somewhat redressed, new drivers in the market suggest increasing demand for the precious metal.

BACKGROUND:  The price of … [visit site to read more] or compare Best Credit Cards and Best CD Rates


Stock Market & ETF News Roundup: VIX, SPY, IWM, GLD

Posted: 13 Dec 2010 09:09 PM PST

Major indexes were mixed Monday with the NASDAQ and Russell 2000 (IWM) falling and the S&P 500 (SPY) rising slightly.

Big morning news was that China wasn't raising interest rates and at home long bonds (TLT) rallied by 0.38%.

Gold (GLD) was up along with the energy complex.

The markets remain overbought and complacency is high with the VIX at 17 and change, approaching the levels of last April just before the spring/summer selloff.  Breadth today was weak … [visit site to read more] or compare Best Credit Cards and Best CD Rates


Is The Dow Headed For 11,000?

Posted: 13 Dec 2010 09:06 PM PST

The Dow Jones Industrial Average ($DJI) reached new yearly highs today, topping out at 11,480.03. However, the index may have put in a temporary top, as we could see a short term reversal ahead. Here's why..

Resistance

The Dow has run into major, two-month resistance between 10,450 and 10,480. The first test of this zone occurred in November, which promtly led to a sharp sell-off back to the 11,000 support level.

So far, the index has held beneath resistance for about a week … [visit site to read more] or compare Best Credit Cards and Best CD Rates


Crude Rises As OPEC Leaves Quota Unchanged, Gold Moves Over $1400 Despite Elevated Yields

Posted: 13 Dec 2010 08:51 PM PST

Commodities – Energy
Crude Rises as OPEC Leaves Quota Unchanged
Crude Oil (WTI) – $88.24 // $0.37 // 0.42%
Commentary: Crude oil rose $0.82, or 0.93%, to settle at $88.61 on Monday. U.S. equity markets advanced to yet another 2-year high and copper hit a record high, as investors and traders become increasingly bullish on the global economy. In this context, it is only a matter of time before WTI moves well into the $90's, in our view.
As we said yesterday, China refrained from raising … [visit site to read more] or compare Best Credit Cards and Best CD Rates


A Bitter Coffee Divorce: Kraft V. Starbucks

Posted: 13 Dec 2010 08:33 PM PST

When a corporate partnership deal turns sour, it has every bit of the drama as a high profile Hollywood celebrity divorce. The verbal clashes between Starbucks (NASDAQ:SBUX) and Kraft (NYSE:KFT) have been escalating over the past month or so. Then, after a failed private resolution (Starbucks offered Kraft $750 million in August), on Monday Dec. 6, Kraft took the fight to court seeking an injunction to stop Starbucks from unwinding a 12-year partnership.

Kraft has distributed Starbucks bagged … [visit site to read more] or compare Best Credit Cards and Best CD Rates


A Review Of Smarter Than The Street: Invest And Make Money In Any Market And Interview With Gary Kaminsky

Posted: 13 Dec 2010 08:25 PM PST

In an attempt to demystify the 'sausage making on wall street' and provide all investors with the tools to make money in any market, Gary Kaminsky takes readers of 'Smarter Than the Street: Invest and Make Money in Any Market' through 216 pages of his 20 odd year career as a money manager at Neuberger Berman. As a member of Team K, Gary along with his father, brother and several other members routinely outperformed the market and grew their assets under management from approximately $2 … [visit site to read more] or compare Best Credit Cards and Best CD Rates


Wide Awake During Heart Surgery Saves Costs

Posted: 13 Dec 2010 07:30 PM PST

WSJ — In Bangalore a heart operation performed with a patient wide awake can keep costs down and speed up recovery.

HT: … [visit site to read more] or compare Best Credit Cards and Best CD Rates


U.S. Oil And Gas Reserves Increased Significantly In 2009 And N. Dakota Set Another Oil Record In Oct.

Posted: 13 Dec 2010 05:19 PM PST

From the summary of the EIA report released last month on U.S. crude oil and natural gas reserves for 2009:

“Domestic proved reserves of oil and natural gas increased significantly in 2009. U.S. natural gas proved reserves increased by 11 percent in 2009 to 284 trillion cubic feet. This is their highest level since 1971, despite an approximate one-third decline in the prices used to assess economic viability for 2009 reserves as compared to the prices used in 2008. U.S. crude oil plus lease … [visit site to read more] or compare Best Credit Cards and Best CD Rates


Large Cap Or Small, The Argument Continues

Posted: 13 Dec 2010 04:22 PM PST

It seems that the final few weeks of the year are always the time that financial commentators look at the relative performance of large and small cap stocks and conclude that this is the year that large will finally outperform small. At around this time last year, in “Large or Small, That Is The Question?” of December 7, 2009, I commented about a NYTimes article in which Mark Hulbert quoted a report of Jeremy Grantham’s in which they concluded that:
“…the performance gap between the weak … [visit site to read more] or compare Best Credit Cards and Best CD Rates


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