Morning Journal-More on the natural gas renaissance

Economics

This Week’s Data

The International Council of Shopping Centers reported weekly sales of major retailers up 0.8% 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 0.1% versus the similar timeframe last month but up 2.7% on a year over year basis.

The February Case Shiller home price index rose 0.2% versus expectations of a 0.1% increase.
http://www.calculatedriskblog.com/2012/04/case-shiller-house-prices-fall-to-new.html

March new home sales were below estimates; but was offset by a big February upward revision. The net effect was a 4.7% advance.
http://www.calculatedriskblog.com/2012/04/new-home-sales-in-march-at-328000.html

April consumer confidence came in at 69.2 versus forecasts of 70.2.
http://scottgrannis.blogspot.com/2012/04/confidence-is-up-but-still-extremely.html

The April Richmond Fed manufacturing index was reported at 14.0 versus expectations of 8.0.

Weekly mortgage applications fell 3.8%, though purchase applications rose 2.7%.

March durable goods orders plunged 4.2% versus estimates of a 1.5% fall; ex transportation, orders were off 1.1% versus forecasts of a 0.4% advance.

Other

The renaissance that will be wrought by cheap natural gas (short):
http://mjperry.blogspot.com/2012/04/coming-us-shale-based-boom.html

The latest ASA staffing index (short):
http://mjperry.blogspot.com/2012/04/asa-staffing-index-highest-since-2008.html

The interest rate risk for banks (medium):
http://www.nakedcapitalism.com/2012/04/the-hidden-bank-time-bomb-interest-rate-risk.html

G10 macro data is deteriorating (short):
http://www.zerohedge.com/news/g-10-macro-data-plunges-worst-six-months-turns-negative

US China trade as an economic indicator (short):
http://advisorperspectives.com/dshort/guest/Craig-Eyermann-120424-US-China-Trade.php

Politics

Domestic

We all better hope life does not become ‘fair’ (medium):
http://www.realclearmarkets.com/articles/2012/04/24/president_obama_better_hope_life_never_becomes_fair_99634.html
News on Stocks in Our Portfolios

More quarterly earnings per share reports:

Reported Expected

T Rowe Price $.75 $.78
Sigma Aldrich .99 .99
Illinois Tool Works .97 .95
CH Robinson .65 .65
Total System Services .30 .30
Caterpillar 2.37 2.15
Boeing 1.22 .95
General Dynamics 1.57 1.69
Praxair 1.38 1.36

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.