Recent comments by Rajesh

Don't touch my junk, Yogi!

Generally, I love people. It's only the ones I meet and have to deal with that I hate.

lawyerliz wrote:

how the economy works.

Nobody knows how the economy works but everyone has an opinion on how it should work. They only call it a class war when we fight back

T minus twelve months and counting...

Hu Knows
China's October factory growth unexpectedly hits five-month low: official PMI
| Reuters

China's factory activity unexpectedly fell to a five-month low in October as firms fought slowing orders and rising costs in the cooling economy, reinforcing views that the country's growth outlook is hazy at best.

The official Purchasing Managers' Index (PMI) eased to 50.8 in October from September's 51.1, the National Bureau of Statistics said on Saturday, but above the 50-point level that separates growth from contraction on a monthly basis.

Analysts polled by Reuters had forecast a reading of 51.2.

Underscoring the challenges facing the world's second-largest economy, the PMI showed foreign and domestic demand slipped to five- and six-month lows, respectively, with overseas orders shrinking slightly on a monthly basis.

"There remains downward pressure on the economy, and monetary policy will remain easy," economists at China International Capital Corp said in a note to clients after the data.

Noting that inventory levels of unsold goods rose last month even as factories cut output levels and drew down on stocks of raw materials, the investment bank argued that the economy still faced tepid demand.

Rule #3: Seatbelts

Outsider wrote:

I meant KCoop, but very few get my humor.

I got it but I forgot to laugh.

Laughing out loud
There, I just remembered.

Outsider wrote:

I wonder if they factored that in.

I think they were looking for an eight year high, but they'll keep trying.

Yen slammed by BoJ easing, falls to near-seven year low
| Reuters

In addition to the BoJ's decision to expand its already massive monetary stimulus plan, an announcement by the country's government pension fund that it would increase its holdings of foreign and domestic shares added to yen selling.

Japan is aiming to reverse decades of deflation and subpar growth.

While some easing by Japan's central bank had been expected, most investors thought any action was months away as Governor Haruhiko Kuroda had voiced optimism over the Japanese economic outlook even after soft economic data.

The dollar rose as much as 3 percent to 112.47 yen JPY=, its highest level since Dec. 31, 2007. In late New York trade it was up 2.77 percent at 112.22 yen, for its best day since April 2013. For the week, the dollar is up 3.77 percent versus the yen.

"If the yen keeps weakening, watch for formal political appeals to stabilize the yen's value from non-exporting, small and medium-sized enterprises and from power utilities whose nuclear capacity is still offline," analysts at Eurasia Group wrote clients on Friday.

120 Yen to the Dollar is just around the corner.

josap wrote:

I busted butt all day long at work - and didn't accomplish a damn thing.

What a coincidence. I didn't accomplish anything today either. But then I didn't try very hard.

Lobbyist Ben Dover wrote:

Is it time for the retail investor to lever up and buy in?

You missed the entry point for In glod we trust .

Is investment in things we don't want or need really all that?

Hu Knows
China growth to slow to 5 percent over next year or so: London consultancy

China’s economic growth will slow sharply to 5 percent over the next year or so rather than close to 7 percent suggested by forecasts based on official statistics, according to a new indicator of growth momentum published by Fathom, a London-based consultancy.

“Before he became premier, Li Keqiang had described GDP figures as unreliable. He suggested some alternative indicators to gauge the true health of the overall economy,” wrote Yiannis Koutelidakis and Laura Eaton, analysts at Fathom.

“We have taken him at his word and put together our own China Momentum Indicator (CMI). It does not look good. It has dropped sharply, suggesting that growth is heading towards 5 percent over the next year or so. Indeed, it may already be there.”

dilbert dogbert wrote:

Why do people waste time on this kind of chicken feed spending and ignore or call for massively greater wasteful military spending?

Because Congress has explicitly approved the massively greater wasteful military spending.

Does the forecast assume 3%, 4%, 5% or 6% mortgage rates?

The BOJ thinks Japanese interest rates are too high! Godzilla!!
Japan's central bank shocks markets with more easing as inflation slows
| Reuters

"We decided to expand the quantitative and qualitative easing to ensure the early achievement of our price target," Kuroda told a news conference, reaffirming the BOJ's goal of pushing consumer price inflation to 2 percent next year.

"Now is a critical moment for Japan to emerge from deflation. Today's step shows our unwavering determination to end deflation."

Kuroda said the BOJ's easing was unrelated to major portfolio changes by the Government Pension Investment Fund (GPIF) also announced on Friday, but the effect of the day's two major decisions means that the central bank will step up its buying of Japanese government bonds, offsetting the giant pension fund's increased sales of them.

The BOJ's move stands in marked contrast with the Federal Reserve, which on Wednesday ended its own "quantitative easing," judging that the U.S. economy had recovered enough to dispense with the emergency flood of cash into its financial system.

In a rare split decision, the BOJ's board voted 5-4 to accelerate purchases of Japanese government bonds so that its holdings increase at an annual pace of 80 trillion yen ($723.4 billion), up by 30 trillion yen.

Low Inflation Means Societe Generale Eyes Gold at $1,000 - Bloomberg

Societe Generale SA’s Michael Haigh says the chances are increasing that gold will drop to $1,000 an ounce as the cost of oil tumbles.

“The oil-price shock is adding more ammunition to the downward pressure on gold,” Haigh, who correctly forecast gold’s 2013 rout, said in an interview in New York. Cheaper energy “means lower inflation and adds to the bearish gold story,” he said yesterday.

Bullion erased its gains for the year yesterday after the government reported that the U.S. grew at a faster pace than analysts forecast in the third quarter. A stronger economy is validating optimism that prompted the Federal Reserve to say this week that it will stop buying debt, further diminishing the appeal of precious metals as an inflation hedge.

Crude oil tumbled 23 percent since the end of June through yesterday, touching a two-year low this week. The fuel’s slump into a bear market is “going to have an effect on the cost of production of other commodities, which means downward pressure on costs, which is a good thing,” Haigh said. “The U.S. growth story is the other headwind” for bullion, he said.

I'll take the under but not this year.

Efforts to replace Fed hawks Plosser, Fisher pick up speed
| Reuters

The Philadelphia Fed said on Thursday it had hired executive search firm Korn Ferry to find a successor to Plosser, 66, who will retire on March 1 after more than eight years at the helm. A committee of Philadelphia Fed directors working with Korn Ferry will consider "a diverse group of candidates from inside and outside" the Fed, it said.

Fisher, 65, will retire by April after about a decade as the Dallas Fed's president.

Last month, Fisher told Reuters he assembled an advisory committee to search for his successor consisting of three former chairmen of the Dallas Fed – Hunt Oil's Ray Hunt, who hired Fisher in 2005; Southwest Airlines co-founder and former CEO Herb Kelleher; and Jim Hackett, former CEO of Andarko Petroleum. The Dallas Fed's current board chair, Mike Ullman, and its vice chair, Renu Khator, are also on the committee.

Plosser and Fisher, both members of the Fed's policy-making committee this year, have been strident advocates of ratcheting down the central bank's extraordinary stimulus in the post-financial crisis era.

Outsider wrote:

Am I the only one who really doesn't care what the CEO of Apple's relationship status is?

Steve Jobs is dead, man. Let it go.

vtcodger wrote:

maybe it IS Haute Volta.

Yes, the country was formerly known as Upper Volta, not that anyone knows where that is either.

BBC News - Burkina Faso parliament set ablaze

Protesters angry at plans to allow Burkina Faso's President Blaise Compaore to extend his 27-year-rule have set fire to parliament.

Correspondents say the city hall and ruling party headquarters are also in flames.

A huge crowd is surging towards the presidential palace and the main airport has been shut.

MPs have suspended a vote on changing the constitution to allow Mr Compaore to stand for re-election next year.

Hu Knows Im Lovin It!
China Property Prices May Drop Up to 10% This Year, SouFun Says - Bloomberg

China property prices may decline as much as 10 percent this year and the slump may extend into 2015, according to SouFun Holdings Ltd.

“Chinese property prices are seeing an adjustment after the rapid increase in the past two years,” Vincent Mo, founder of China’s biggest real-estate information website, said in a Bloomberg Television interview with Haslinda Amin in Singapore yesterday. “Prices should stabilize by the middle of next year.”

China’s new-home prices fell in all but one city monitored by the government last month from August, the most since January 2011 when the way the date is compiled changed, as the easing of property curbs failed to stem a market downturn amid tight credit. Home sales slumped 11 percent in the first nine months, prompting the central bank to ease mortgage restrictions Sept. 30.

SouFun (SFUN)’s American depositary receipts have dropped 45 percent.

“As long as China’s economy expands, the correction will be temporary,” Mo said. “The property market will probably have another hot cycle in one to two years.”

It's contained!

Rickkk wrote:


We don't allow none of that here.

Market surprised by FOMC doing exactly what everyone expected it to.

Venezuelan Bonds Rally Most in Five Years on Devaluation Wagers - Bloomberg

Maduro’s economic team has presented a series of proposals to be enacted from Jan. 1, including devaluation and an increase in the price of gasoline, Caracas-based consultancy Ecoanalitica wrote in an e-mail to clients. Foreign exchange would be concentrated into a single fund managed by the central bank and PDVSA and other some other oil exporters would be allowed to use the Sicad II market, Ecoanalitica wrote.

“From what we understand it’s a proposal,” Asdrubal Oliveros, the director of Ecoanalitica in Caracas, said today in an e-mail. “These measures need the approval of President Maduro and there is no guarantee that he fully accepts them.”

Using the Internet to deny science or oppose globalization is amusing.

Mortgage rates are headed to 5 percent. But don’t blame the Fed. - The Washington Post

The Mortgage Bankers Association expects the average rate on a 30-year, fixed rate mortgage to rise slowly to 5.1 percent by the end of 2015 -- a full percentage point higher than where it was last week -- as the U.S. economy grows and the job market improves. (Generally, strong economic performance pushes mortgage rates up.) If not for the economic and political turmoil that's erupted in other parts of the world, the forecasts for mortgage rates would probably be even higher.

"In our forecast, we're assuming that the global issues remain at a simmer," said Michael Fratantoni, the MBA's chief economist. "If they were to come to a full boil, rates would stay lower for longer."

Whether that would make a huge difference in the housing market going forward is unclear. The low mortgage rates of the past year have not helped pry home buyers off the sidelines. Last week, the number of people applying for a home loan fell to their lowest level since February, the MBA reported Wednesday. “The job market is far more important than rates when it comes to home buying,” Fratantoni said.

I'll take the under, way under.

Im shocked, shocked to find that gambling is going on in here!
U.S. prosecutors reopen probes against several big banks: NYT
| Reuters

U.S. prosecutors are reopening investigations into big banks on suspicion they may have violated agreements under which the institutions settled prior cases against them, The New York Times reported, citing lawyers briefed with the matter.

With the settlements, the banks avoided criminal prosecution and instead paid fines and implemented reforms. Among the banks named in the report were Standard Chartered Plc (STAN.L) and Bank of Tokyo-Mitsubishi UFJ [MTFGTU.UL].

In its Dealbook column, the newspaper said prosecutors in Washington and New York reopened an investigation into Standard Chartered that in 2012 settled allegations it funneled billions of dollars for Iran and other nations blacklisted by the United States.

"The prosecutors are questioning whether Standard Chartered, which has a large operation in New York, failed to disclose the extent of its wrongdoing to the government, imperiling the bank’s earlier settlement," the newspaper said.

New York's banking regulator has also reopened a 2013 settlement with the Bank of Tokyo-Mitsubishi UFJ [MTFGTU.UL] over allegations that the bank's New York branch did business with Iran, it reported, saying the bank is suspected of downplaying the scope of its wrongdoing.

The regulator "is negotiating a new settlement deal with the bank that, if finalized, would involve a penalty larger than the $250 million it paid last year."

Consulting firm PricewaterhouseCoopers, which advised the Japanese bank on the case, has also come under investigation, according to lawyers, the report said.

Standard Chartered Plc, PricewaterhouseCoopers and Bank of Tokyo-Mitsubishi UFJ could not be reached out for comment outside the regular working hours.

KarmaPolice wrote:

Are you a middle child as well?

Yes, I'm a middle child as well as the youngest.

What sane person would go to a Bill Clinton speech? Even I'm not that crazy.

We have to fight Ebola over there or it will come over here?

Kraft Foods' profit falls as price hikes hit sales
| Reuters

Kraft Foods Group Inc (KRFT.O) said quarterly profit fell nearly 11 percent as price hikes, designed to offset higher commodity costs, hit demand for some of its popular cheese and meat products.

The company's net income fell to $446 million, or 74 cents per share, in the third quarter ended Sept. 27 from $500 million, or 83 cents per share, a year earlier.

Revenue edged up 0.1 percent to $4.40 billion.

ResistanceIsFeudal wrote:

Do you think they could get that past the insurance and big pharma lobbies?

They would be the first ones to cash in on it so no problem.

It's about time Congress pass a Declaration of War against disease.

Dunta-dunta Jump the shark Dunta Jump the shark
Owl Creek Said to Seek Group to Accelerate Argentine Debt - Bloomberg

Owl Creek, a New York-based hedge fund with $3.9 billion of assets, is also in talks with law firm Kirkland & Ellis LLP to find interested investors who hold dollar-denominated securities due 2038, said the people, who asked not to be identified because the talks are private. The group would need to hold at least 25 percent of the $5.4 billion of debt to accelerate after they officially fall into default Oct. 30, when a 30-day grace period expires, according to the bond contracts.

In an August presentation for its Argentina Recovery Fund, Owl Creek said accelerating the so-called par bonds -- which trade at about 54 cents on the dollar -- may provide investors with a gross return of 100 percent in a subsequent restructuring. The company said that could take place as soon as January, when Argentina may negotiate with a separate group of investors who won a lawsuit to block payments on the nation’s overseas debt until bonds from its previous default in 2001 are paid in full.

The bonds “have the right to accelerate and have their principal immediately payable in full,” Owl Creek’s presentation said. “This would lead to a seat in settlement negotiations in January, likely resulting in an exchange into new bonds which trade closer to par.”

Rob Dawg wrote:

Art I, Sec 9.

Transcript of the Constitution of the United States - Official Text 

Section. 9.

The Migration or Importation of such Persons as any of the States now existing shall think proper to admit, shall not be prohibited by the Congress prior to the Year one thousand eight hundred and eight, but a Tax or duty may be imposed on such Importation, not exceeding ten dollars for each Person.

The Privilege of the Writ of Habeas Corpus shall not be suspended, unless when in Cases of Rebellion or Invasion the public Safety may require it.

No Bill of Attainder or ex post facto Law shall be passed.

No Capitation, or other direct, Tax shall be laid, unless in Proportion to the Census or enumeration herein before directed to be taken.

No Tax or Duty shall be laid on Articles exported from any State.

No Preference shall be given by any Regulation of Commerce or Revenue to the Ports of one State over those of another: nor shall Vessels bound to, or from, one State, be obliged to enter, clear, or pay Duties in another.

No Money shall be drawn from the Treasury, but in Consequence of Appropriations made by Law; and a regular Statement and Account of the Receipts and Expenditures of all public Money shall be published from time to time.

No Title of Nobility shall be granted by the United States: And no Person holding any Office of Profit or Trust under them, shall, without the Consent of the Congress, accept of any present, Emolument, Office, or Title, of any kind whatever, from any King, Prince, or foreign State.

Which invasion are we talking about?

Cinco-X wrote:

There are provisions in the US Constitution to suspend some rights temporarily if needed to ensure public safety.


You can get Ebola from robo callers?

New handyman clerk at Lowe's is a robot

Lowe's, one of the biggest retail hardware and DIY stores in the U.S., unveiled on Tuesday its first in-store robot clerk: OSHbot.

The company is setting the roughly 5-feet-tall autonomous robot loose on unsuspecting consumers sometime soon in its San Jose, California-based Orchard Supply Store, a chain that's owned by Lowe's.

Developed by Fellow Robots, in partnership with Lowe's own Innovation Labs, OSHbot is to have a map of the store and obstacle avoidance abilities to make its way through the aisles. It will feature a large, 19.5-inch touchscreen on the front and be able to use speech recognition to communicate in English and, soon, a number of other languages, including Spanish. There's another even larger screen on the back of OSHbot, which appears to be primarily a place to run advertisements and in-store promotions.

sum luk wrote:

nobody (important) really lost last time

I'm sure the GM bondholders feel that way.

dilbert dogbert wrote:

The shuttle was a political decision driven by the question of what to do with the infrastructure, supply chains and talent developed during the Moon Landing race.

The shuttle was a political decision driven by the question of what to do with the infrastructure, supply chains and talent developed during the Moon Landing race. how to pay off the family in Utah for helping get Nixon elected.

Its different this time
The equity cult alive and kicking, despite deflation threat
| Reuters

The "equity risk" premium - how much more stocks are expected to return than bonds - is more than 7 percent in the euro zone and UK, and 10 percent in Japan. Even the lower U.S. premium of 6 percent, which suggests Wall Street is starting to look a little expensive, still offers a decent return.

Even those who think these risk premia are too low say there are reasons why it may be different this time, the main one being that the returns offered by bonds and cash are simply too low.

"Investors have no option but to accept higher risk if they wish to meet their future income requirements," said Keith Wade, strategist at fund management giant Schroders in London.

Wade also reckons that equity markets, much like bonds post-crisis, essentially now have the back of global policymakers, who will do all they can to support the economic recovery and prevent renewed financial market distress and volatility.

As Rupert Murdoch might say, "When life hands you Ebola, make Ebola hysteria."

Bubblisimo Gerkinov wrote:

The hysteria over Ebola in the first world is ridiculous imo.

The hysteria over Ebola in the first world is ridiculous imo well planned.

Antares explodes moments after launch | Spaceflight Now

2123 GMT (6:23 p.m. EDT)
Contingency operations are in effect. Damage appears contained to the launch pad itself.

2122 GMT (6:22 p.m. EDT)

2122 GMT (6:22 p.m. EDT)
LIFTOFF of the Antares rocket with the "Deke Slayton" Cygnus cargo craft, resupplying the International Space Station with provisions and experiments.

Damn Klingon agents!

Bubblisimo Gerkinov wrote:

The clowns with dildos don't seem so bad now.

I still hate Congress.

Former Idealist wrote:

Because it's hopeless.

Ten Facts You May Not Know About The Federal Budget - Blog - Senate Budget Committee

8) We’re spending less than the bipartisan Bowles-Simpson commission called for, but we’re also generating a lot less revenue.

In 2010, the Bowles-Simpson commission called for federal spending to total 21.4 percent of GDP by 2014. In fact spending in 2014 was just 20.4 percent of GDP, one percentage point lower than the commission called for. Bowles-Simpson called for revenue to be 18.8 percent of GDP in 2014, but it was actually 17.6 percent of GDP.

U.S. Fed awards $219 billion of term deposits
| Reuters

The Federal Reserve awarded $219.114 billion of seven-day term deposits to banks, a record amount, at a test auction held on Monday, it said in a statement on Tuesday.

The U.S. central bank allotted them to 69 banks which will receive an interest rate of 0.26 percent.

This compared with the $171.86 billion in deposits awarded a week earlier to 66 banks which received an interest rate of 0.26 percent.

The Fed has ramped up testing of its term deposit facility after the 2008 financial crisis to help policymakers drain cash from the banking system when they decide to tighten monetary policy.

On Sept. 4, the Fed said it plans to conduct a series of eight seven-day TDF operations starting in October. These tests will have an early withdrawal feature in which banks can enter into the TDF and pull the money out before the maturity date if they pay a charge.

In the first four operations, there is a $20 billion cap per bank and the interest rate paid on the deposit is set at 0.26 percent. The next four operations, the interest rate paid will rise "in small steps" but it will not go above 0.30 percent.