Morning Journal-Capricious government bullying

Economics
This Week’s Data

The International Council of Shopping Centers reported weekly sales of major retailers down 1.7% versus the prior week but up 1.5% versus the comparable period last year; Redbook Research reported month to date retail chain store sales down 0.5% versus the similar timeframe lat month but up 1.1% on a year over year basis.

The May Case Shiller home price index rose 0.9% versus expectations of +0.5%.
http://www.calculatedriskblog.com/2012/07/case-shiller-house-prices-increased-22.html

The July Chicago PMI came in at 53.7 versus estimates of 52.5 and June’s reading of 52.9.
http://www.calculatedriskblog.com/2012/07/misc-chicago-pmi-increases-slightly.html

The July Conference Board’s consumer confidence index was reported at 65.9 versus forecasts of 61.5 and June’s 62.0.
http://advisorperspectives.com/dshort/updates/Conference-Board-Consumer-Confidence-Index.php

Weekly mortgage applications rose a meager 0.2% while purchase applications declined 2.0%.
http://www.calculatedriskblog.com/2012/08/mba-refinance-activity-highest-in-three.html

The ADP private payroll report showed an increase in jobs but less than anticipated:
http://www.calculatedriskblog.com/2012/08/adp-private-employment-increased-163000.html


Other

Obama’s GDP growth projections versus private industry (short):
http://gregmankiw.blogspot.com/2012/07/the-presidents-rosy-scenario.html

Global food inflation is on the rise (medium):
http://pragcap.com/global-food-inflation-is-on-the-rise

Is a turn in the credit cycle coming? (short):
http://www.zerohedge.com/news/picturing-turn-credit-cycle

Europe’s unemployment rate soars (short):
http://www.zerohedge.com/news/europes-second-scariest-chart

Meanwhile, its June PMI shrank to 44.0 from 45.1.

Politics

Domestic

The ravages of political correctness (medium):
http://www.ocregister.com/opinion/mayor-365812-menino-gay.html

Our government’s capricious bullying (medium):
http://www.jewishworldreview.com/cols/will072912.php3

A quote from Milton Friedman (short):
http://cafehayek.com/2012/07/quotation-of-the-day-364.html

News on Stocks in Our Portfolios

More quarterly earnings per share reports:

Reported Expected

Ecolabs $.72 $.72
Oneok .69 .70

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.