Thursday, February 02, 2012

Morning Journal-Alook inside the CBO


Economics

This Week’s Data


The January Institute for Supply Management manufacturing index was reported at 54.1 versus expectations of 54.5 and December’s reading of 53.9.
http://scottgrannis.blogspot.com/2012/02/another-decent-manufacturing-report.html

December construction spending rose 1.5% versus estimates of a 0.5% increase.
http://scottgrannis.blogspot.com/2012/02/construction-begins-to-recover.html

January auto sales were strong.

Weekly jobless claims declined 10,000 versus forecasts of a 2,000 decrease.
http://www.calculatedriskblog.com/2012/02/weekly-initial-unemployment-claims.html

Fourth quarter nonfarm productivity rose 0.7% versus expectations of up0.6%; unit labor costs increased 1.2% versus estimates of up 0.4%.


Other

US manufacturing in 2011 (short):
http://mjperry.blogspot.com/2012/01/based-on-profits-manufacturing-is-alive.html

A contrarian view of the potential decline in the deficit/GDP ratio (medium):
http://pragcap.com/cbo-budget-deficit-to-drop-markedly-threatens-economic-stability

Rumors are that most of the MF Global money has been traced down. I can’t wait to see where it landed (short):
http://www.ritholtz.com/blog/2012/02/found-mfglobal-monies/

Politics

Domestic


A look inside the congressional budget office (medium):
http://www.zerohedge.com/news/cbo-merely-another-manipulated-front-wall-street-dictate-washington-policy

US government debt continues to spike (medium):
http://www.zerohedge.com/news/us-adds-120-billion-debt-debt-ceiling-hike-friday-310-billion-more-deck-next-two-months

News on Stocks in Our Portfolios

More earnings per share reports:

Reported Expected

Franklin Resources $2.20 $2.09
Qualcomm .97 .90
CME Group 3.55 3.72
Marathon Oil .78 .85



Steve Cook received his education in investments from Harvard, where he earned an MBA, New York University, where he did post graduate work in economics and financial analysis and the CFA Institute, where he earned the Chartered Financial Analysts designation in 1973. His 40 years of investment experience includes institutional portfolio management at Scudder, Stevens and Clark and Bear Stearns. Steve's goal at Strategic Stock Investments is to help other investors build wealth and benefit from the investing lessons he learned the hard way.