Morning Journal--Why our deficits are different

News on Stocks in Our Portfolios

Earnings reports:

Reported Expected

LLTC $.47 $.50
GPC .97 .94
JNJ 1.24 1.21
KO 1.03 1.02
GWW 2.51 2.34

Economics

This Week’s Data

The International Council of Shopping Centers reported weekly sales of major retailers up 0.1% versus the prior week and up 3.6% versus the comparable period a year ago; Redbook Research reported month to date retail chain store sales down 0.6% versus the similar period a month ago but up 4.6% on a year over year basis.


Weekly mortgage applications fell 14.9% while purchase applications dropped 8,8%. While they look bad, they were negatively impacted by the Columbus Day holiday.
http://www.calculatedriskblog.com/2011/10/mba-mortgage-purchase-application-index_19.html

The September consumer price index was up 0.3%, in line with forecasts; core CPI was up 0.1% versus expectations of up 02.%.

September housing starts soared 15.2% versus estimates of a 4.9% increase; building permits declined 4.9% versus an anticipated decrease of 2.0%.
http://www.calculatedriskblog.com/2011/10/housing-starts-increased-in-september.html

Other

More shenanigans from the banksters. Little wonder the average American hates the banks and hates the collusion between them and Washington (medium):
http://www.nakedcapitalism.com/2011/10/bank-of-america-deathwatch-moves-risky-derivatives-from-holding-company-to-taxpayer-backstopped-depositors.html

This is a great discussion on the US versus the EU monetary systems and why our deficits are different from Greek, Irish, Spanish, etc, etc, etc deficits (medium and today’s must read):
http://pragcap.com/debunking-ron-pauls-talking-points

More on inflation (short):
http://scottgrannis.blogspot.com/2011/10/producer-inflation-continues-to.html

Politics

Domestic

My favorite liberal comments on Obama’s new campaign for His jobs bill (short):
http://dailycaller.com/2011/10/18/doubling-down-on-scorn/

The unworkability of Obamacare (medium);
http://www.nationalreview.com/articles/280402/obamacare-s-great-unraveling-rich-lowry

Barry Ridholtz on Occupy Wall Street (medium and another important read):
http://www.washingtonpost.com/business/economy/occupy-wall-street-needs-to-occupy-congress-and-lobbyists/2011/10/14/gIQAap0DsL_story.html