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ozymandius Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-29-07 06:53 AM
Original message
STOCK MARKET WATCH, Tuesday May 29
Source: DU

Tuesday May 29, 2007

COUNTING THE DAYS
DAYS REMAINING IN THE * REGIME 601
LONG DAYS
DAYS SINCE DEMOCRACY DIED (12/12/00) 2337 DAYS
WHERE'S OSAMA BIN-LADEN? 2049 DAYS
DAYS SINCE ENRON COLLAPSE = 2010
Number of Enron Execs in handcuffs = 19
ENRON EXECS CONVICTED = 9
Enron execs conveniently deceased = 3
Other Arrests of Execs = 54



U.S. FUTURES & MARKETS INDICATORS
NASDAQ FUTURES-----------------------------S&P FUTURES





AT THE CLOSING BELL WHEN BUSH TOOK OFFICE on January 22, 2001
Dow - 10,578.24
Nasdaq - 2,757.91
S&P 500 - 1,342.90
Oil - $27.69/bbl
Gold - $266.70/oz.


AT THE CLOSING BELL ON May 25, 2007

Dow... 13,507.28 +66.15 (+0.49%)
Nasdaq... 2,557.19 +19.27 (+0.76%)
S&P 500... 1,515.73 +8.22 (+0.55%)
Gold future... 661.40 +2.00 (+0.30%)
30-Year Bond 5.01% UNCH (UNCH)
10-Yr Bond... 4.86% +0.00 (+0.08%)






GOLD, EURO, YEN, Loonie and Silver



PIEHOLE ALERT

Heads Up!
Preliminary info on appearances by Bush & Co. throughout the country. Details & links are added as they become available so check back. And if you know more, are organizing something, or would like to, contact actionpost@legitgov.org

For information on protests and other actions Citizens For Legitimate Government









Read more: DU
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ozymandius Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-29-07 06:58 AM
Response to Original message
1. Today's Market WrapUp
Bail Bonds
BY BRIAN PRETTI


Liquidity Is A Coward

With the near vertical movement in the equity market since last summer, the mainstream media these days is filled with commentary and debate related to stock prices, valuations, potential price targets, etc. You get the picture. But I think it’s very important not to forget what’s happening in the world of fixed income. As I’ve maintained for a good while now, it’s the credit cycle that’s the important driver of economic and financial market outcomes, hence, the fixed income markets demand ongoing attention. Moreover, probably the three strongest, or most popular, rationales for investment in domestic equities right now is liquidity, private equity demand, and ongoing M&A. Of course at their headwaters, each of these rationales for equity investment find their origins in the credit or fixed income markets.

What are the important items to watch as potential markers of change as we fly over the fixed income landscape? Near term it’s inter and intra market yield and credit spreads. Also very important is to keep an eye on the credit rating agencies, who I believe will ultimately be forced to lower ratings for many a CDO vehicle over the next six to twelve months due to realized losses in the land of mortgage credits. When this ultimately occurs, the mark to market process will not be fun by any means and will more than likely cause an institutional investor or two to start asking pointed questions. But we’re not quite there yet.

-cut-

The reason I bring this up is that it’s becoming more a good bet that any major financial market problems ahead have a very good chance of emanating from the credit markets. The credit markets are the locus of real economy and financial market support, and have been for a good while now. You know that the term "liquidity" is thrown around today as an underlying bullish rationale for so many things. Equity prices, bond prices, as well as yield and credit spreads, commodity prices, etc., all beneficiaries of liquidity, right? But in days gone by, "liquidity" had a much different meaning. In the world of yesterday, liquidity was actual cash. As a very quick divergence and example of perhaps a truer picture of the relationship between real liquidity and financial asset values, have a look at the chart below. This is M2 (money supply) as a percentage of total equity market value as of year-end 2006. This doesn't exactly scream existing liquidity is plentiful, now does it?

http://www.financialsense.com/Market/wrapup.htm
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UpInArms Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-29-07 07:00 AM
Response to Original message
2. dollar watch
http://quotes.ino.com/chart/?s=NYBOT_DX&v=i

Last trade 82.185 Change -0.198 (-0.24%)

Dollar Near 3-Month High as U.S. Consumer Confidence to Rebound

http://www.bloomberg.com/apps/news?pid=20601100&sid=a3XQQHvWXwxg&refer=germany

May 29 (Bloomberg) -- The dollar traded near a three-month high against the yen on speculation a U.S. report today will show consumer confidence rebounded from an eight-month low.

The U.S. currency was also near the highest in six weeks versus the euro as housing data prompted traders to reduce bets on a Federal Reserve interest-rate cut. The yen was supported briefly after Japan's jobless rate unexpectedly fell to a nine- year low and households increased spending for a fourth month.

``The bias is for a better-bid dollar if the data surprise on the upside, as it's been doing,'' said Sue Trinh, a currency strategist at RBC Capital Markets in Sydney. ``The risk for the yen is to the downside on weaker consumer spending, given the BOJ is expecting it to recover.''

<snip>

The dollar's advance may stall around 121.90 to 122 because of sell orders placed by Japanese exporters and options barriers, said Michiyoshi Kato, a senior vice president of currency sales in Tokyo at Mizuho Corporate Bank Ltd., a unit of Japan's second- largest lender by assets.

``There would be heavy defensive dollar selling before and at 122 today,'' said Kato. Options give holders the right to buy or sell a currency at a set price at a fixed future date.

...more...


Dollar: Traders Prepare For A Heavy-Hitting Calendar

http://www.dailyfx.com/story/bio1/US_Dollar__Traders_Prepare_For_1180382487891.html

The absence of liquidity state-side, as well as from Germany and the UK, kept the majors in extremely tight ranges through the whole of Monday. However, as the world turns and the major FX hubs come back on line, the market will be presented with more than enough fundamental data from the US economic calendar to make up for the shortened week. The dollar will be put back into the grinder on Tuesday with the Conference Board's consumer confidence survey for May. Taking their direction from the University of Michigan's report for the same month, economists expect tomorrow's confidence number to improve slightly to cross the wires at 105.0. Given the tame predictions, the indicator may not be the rally call that encourages bulls to drive the currency through resistance levels in its many pairings; but it certainly has meaning for its long-term strength. The consumer has single-handedly carried growth and inflation through the worst housing slump in 15 years, wavering factory activity and dried up business investment. Therefore, the potential energy this indicator holds for the markets is considerable - even if it does not translate into immediate price action. On the other hand, considering the aspects more pertinent to the American consumer this month, there is a real risk that the survey diverges considerably from expectations. Clearly in favor of the modest pickup the official consensus is calling for is the strong performance of the stock market. The Dow Jones Industrial Average has closed at numerous record highs over the past few weeks and the media has not missed one of them. Perhaps turning a little murkier, the labor market is expected to be a net contributor as well. Initial jobless claims over the past few weeks have marked four-month lows; though the lighter payroll numbers and deceleration in wage growth over the past few months should dampen the positive response. In clear contradiction to optimists will be the steady degradation of the housing market and record gasoline prices.

...more...
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mojavekid Donating Member (993 posts) Send PM | Profile | Ignore Tue May-29-07 12:33 PM
Response to Reply #2
15. Daily Pfennig 5/29/07: Existing Home Prices Fall Again!
http://www.kitcocasey.com/displayArticle.php?id=1408

Friday's currency action was null and void of any activity, the markets' participants had simply "gone fishing"! We saw some rotten Existing Home Sales data, but even that couldn't kickstart the trading. Yesterday's trading was short of a quorum, as the U.S., U.K., and Switzerland were all on holiday.

So, we head into this holiday-shortened week, and it should be a doozy! The calendar shows economic data, Central Bank meetings, and all sorts of other stuff going on this week, and not just here in the U.S., the fun will be spread throughout the world!

The highlights of the week in the U.S. will be the Personal Consumption data (PCE) due out Thursday, followed by the May Jobs Jamboree on Friday... Until then we'll see Consumer Confidence today for May, which is expected to gain... Oh, that's right... Gas is headed to $4 or maybe even $5 per gallon in some states, housing still hasn't found a bottom, the war continues, but we're confident, right? NOT! But these dolts that get the survey sure are happy as clams about the whole situation

more...
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ozymandius Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-29-07 07:02 AM
Response to Original message
3. Today's Report
10:00 AM Consumer Confidence May
Briefing Forecast 105.0
Market Expects 104.5
Prior 104.0

http://biz.yahoo.com/c/e.html
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mojavekid Donating Member (993 posts) Send PM | Profile | Ignore Tue May-29-07 10:54 AM
Response to Reply #3
12. Yahoo: Consumer confidence rebounds in May
Edited on Tue May-29-07 10:55 AM by mojavekid
http://news.yahoo.com/s/ap/20070529/ap_on_bi_go_ec_fi/economy

NEW YORK - Consumer confidence bounced back unexpectedly in May, despite higher gasoline prices that could raise shoppers' worries about inflation, a private research group said Tuesday.

The New York-based Conference Board said its Consumer Confidence Index rose to 108.0 in May, up from a revised 106.3 in April. Analysts had expected the reading to fall to 104.5. The May reading was the highest since March when the index was at 108.2

snip...

The report from the Conference Board was good news for the nation's retailers, which struggled through the worst same-store sales performance on record in April. Same-store sales are sales at stores opened at least a year and are considered a key indicator of a retailer's health.

Merchants' sales continue to be disappointing in May, fueling concerns that gasoline prices and the slumping housing market are eating away at spending.

more...

...and once again a Yahoo(AP)"news" piece where the headline does not jibe with the content...





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Egnever Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-29-07 11:48 AM
Response to Reply #12
13. This just defies belief
Gas is up, your house is worth less, inflation is far outpacing wages and confidence is up!

I just dont get this shell game anymore. I guess your average joe just cant wait to spend no matter what is going on in the real world. How in the world do they come by this number anyway?
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mojavekid Donating Member (993 posts) Send PM | Profile | Ignore Tue May-29-07 12:27 PM
Response to Reply #13
14. This piece by Jas Jain is one example;
Edited on Tue May-29-07 12:29 PM by mojavekid
(though Mr. Jain is not trying to obsfusticate...)

http://www.financialsense.com/fsu/editorials/jain/2007/0528.html


THE CALIFORNIA HOUSING REPORT
Details in the Data Show a Broad-based Price Decline


Headline: “C.A.R. reports sales decrease 27.8 percent in April, median price of a home in California at $597,640, up 6.2 percent from year ago.” Then we also read, “Throughout the state inventory levels have increased to their highest levels in recent years…”

Price increase in the climate of declining sales and rising inventory? Something doesn’t add up.

The report does provide some clue: “Although the median price of a home in California continues to rise, this reflects the fall-off in sales in the lower-priced markets of the state…” The phenomenon mentioned in the last sentence is noteworthy and the gain in the “median price” reported for the state, as well as in some counties, masks the reality of broad-based price declines if one wanted to know what is happening to the price of the same home compared to last year or the past two years.

AND HERE IT IS:

When it comes to any economic data series it is very important to keep in mind as to what is being measured and how. If ever there was truth in the adage – The Devil Is In the Details – what is happening to the home prices in California is a good substantiation of that. When things don’t add up it pays to look carefully. And I have.

I will endeavor to show that there are three factors that result in overstatement of the median price of resale homes because the characteristics of the median priced home are not the same as the median priced home sold a year, or two years, ago:

1. The size of the homes being sold recently is larger compared to those sold last year.

2. The area mixture of the homes sold recently is significantly different from those of the year ago whether we look within the state or within the counties where the median price shows YoY gains. The rapidly increasing gap between the Haves and Have-nots in the US shows up very clearly in the latest California home sales data.

3. The modernization (or home improvements in layman’s term) of the homes sold recently is significantly greater than that of year, or two years, ago.

more...



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ozymandius Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-29-07 07:05 AM
Response to Original message
4. Oil prices up slightly in Europe trading
VIENNA, Austria - Oil prices rose slightly amid slow trading Tuesday in the aftermath of a U.S. holiday, with hopes that the inauguration of a new president in OPEC member Nigeria would bring a measure of stability to the market.

Prices have eased since last Friday in the U.S. on news that a Nigerian oil workers' strike ended over the weekend. Monday there was no floor trade and no closing price in the U.S. because of the Memorial Day holiday.

Light, sweet crude for July delivery was at $64.59 barrel by noon in European electronic trading on the New York Mercantile Exchange. That was up 4 cents from Monday, when the contract traded down to $64.55 a barrel. Before the long weekend, U.S. crude oil climbed more than $1 to $65.20 Friday.

-cut-

Heating oil futures added just over a penny to $1.9220 a gallon (3.8 liters) on the Nymex, while natural gas prices were up 4 cents to $7.560 per 1,000 cubic feet.

http://news.yahoo.com/s/ap/oil_prices
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UpInArms Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-29-07 07:23 AM
Response to Original message
5. China says 2007 trade surplus to exceed $250 bln
http://news.yahoo.com/s/nm/20070529/bs_nm/china_economy_trade_dc

BEIJING (Reuters) - China's trade surplus will reach $250-300 billion in 2007, driven by the country's price competitiveness and strong external demand, the top economic planner said on Tuesday.

China's surplus hit a record $177.5 billion in 2006. In the first four months of this year the surplus totaled $63.3 billion, up 88 percent from a year earlier.

"The trade surplus is unlikely to shrink in the short term, and it may last for a long time during the industrialization process," the National Development and Reform Commission said in a statement on its Web site (www.ndrc.gov.cn).

<snip>

"It's hard for importing nations to find replacements for (Chinese) manufacturers. It will be impossible in the foreseeable future to shift orders away (from China) on a large scale," it said.

...more...
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ozymandius Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-29-07 07:52 AM
Response to Original message
6. CORRECTED- Ford eyes sale of Volvo cars, BMW interested:report
STOCKHOLM (Reuters) - Loss-making Ford Motor Co. is planning to sell Swedish car maker Volvo and German carmaker BMW could be a possible buyer, a Swedish newspaper said on Monday.

The Goteborgs Posten daily reported on its website that a source within Ford said BMW has been studying a possible purchase of Volvo.

The Financial Times also reported last Friday BMW was in informal talks to buy Volvo.

"We cannot comment on speculation, this is a question for our owner," said a spokeswoman for Volvo cars.

Ford bought Volvo in 1999 and it is now part of the U.S. company's Premier Automotive Group, including Jaguar and Land Rover.

http://news.moneycentral.msn.com/provider/providerarticle.aspx?feed=OBR&Date=20070529&ID=6964899
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ozymandius Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-29-07 07:54 AM
Response to Original message
7. Good morning everyone.
:donut: :donut: :donut:

It's a short day for me. I am taking my son on a short trip to see some old friends.

I'll check in this evening when we return.

Ozy :hi:
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mojavekid Donating Member (993 posts) Send PM | Profile | Ignore Tue May-29-07 04:21 PM
Response to Reply #7
20. Hello Ozy! - What a Great cartoon! I see this happening in L.A. soon...
Thanks for all you - and everyone do here on the SMW!

:toast:
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mojavekid Donating Member (993 posts) Send PM | Profile | Ignore Tue May-29-07 09:19 AM
Response to Original message
8. Bloomberg: Gold, Silver Futures Climb as Euro Strengthens Against Dollar
http://www.bloomberg.com/apps/news?pid=20601012&sid=aRklj_cDQNdw&refer=commodities

May 29 (Bloomberg) -- Gold and silver prices rose in New York after a gain in the value of the euro against the dollar boosted the appeal of the precious metals as alternative investments.

Gold generally moves in tandem with the euro, which gained on speculation that policy makers in the 13-nation region will increase interest rates this year. Before today, gold climbed 3.7 percent this year while the euro gained 1.9 percent against the dollar.

``The higher the euro goes, the better for gold,'' said Walter Otstott, a senior broker at Dallas Commodity Co. in Texas.

Gold futures for August delivery rose $4.60, or 0.7 percent, to $666 an ounce at 8:57 a.m. on the Comex division of the New York Mercantile Exchange.

Silver for July delivery climbed 13 cents, or 1 percent, to $13.13 an ounce. Before today, the metal had gained 0.5 percent this year. In 2006, the price gained 46 percent, while gold climbed 23 percent.

A futures contract is an obligation to buy or sell a commodity at a set price for delivery by a specific date.

end...
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mojavekid Donating Member (993 posts) Send PM | Profile | Ignore Tue May-29-07 02:17 PM
Response to Reply #8
17. Marketwatch: Gold futures close higher, but off the day's peak
http://www.marketwatch.com/News/Story/Story.aspx?guid=%7B8171206C%2D12F7%2D428B%2DAB50%2DBF25629185E5%7D&siteid=nbk

SAN FRANCISCO (MarketWatch) -- June gold climbed $1.90 to close at $657.20 an ounce Tuesday, though it was below the day's peak of $661.90. "Tuesday's attempted rally in gold was truncated midday, as the metal was held in check by steeply declining crude-oil prices and by continuing individual investor skittishness.," said Jon Nadler, an analyst at Kitco Bullion Dealers. "Traders and investors remained unsure that the worst of the declines has come to a halt." July silver gained 22.3 cents to close at $13.223 an ounce, but July copper closed nearly flat, down 0.05 cent at $3.32 a pound.

end...
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mojavekid Donating Member (993 posts) Send PM | Profile | Ignore Tue May-29-07 09:22 AM
Response to Original message
9. Marketwatch: U.S. home prices fall for first time since 1991
http://www.marketwatch.com/news/story/us-home-prices-fall-first/story.aspx?guid=%7B1403381F%2D45B8%2D4997%2D9606%2D0A98635B4280%7D&siteid=yhoof

A year ago, home prices were rising at an 11.5% pace.
The 10-city Case-Shiller price index fell 1.9% year-on-year through March, while the 20-city index dropped 1.4%.
All three Case-Shiller indexes show continued deterioration in home prices. Prices were falling or rising slower in most U.S. cities.
Thirteen of 20 cities have seen falling prices in the past year, led by Detroit (down 8.4%) and San Diego (down 6%). Home prices rose 10% in Seattle, 7.4% in Charlotte, N.C., and 7% in Portland, Ore.
The national decline "is reaffirmation of the pullback in the U.S. residential real estate market," said Robert Shiller, chief economist for MacroMarkets LLC, and co-inventor of the index
Prices in Phoenix and Las Vegas have fallen the most from their peak. After growing at a 49.3% pace in September 2005, home prices in Phoenix are now down 3% year-on-year. In Las Vegas, price gains went from 53.2% in September 2004 to negative 1.6% in March 2007.
Among other major cities tracked by the index, home prices are down 4.9% in Boston, down 4.8% in Washington, down 3% in Tampa, down 2.4% in Cleveland, and down 2.3% in San Francisco. Prices fell 2% in Denver, 1.9% in Minneapolis, 1.4% in Los Angeles, and 1.1% in New York.

more...
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TrogL Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-29-07 09:52 AM
Response to Original message
10. Loonie Watch
Highlights

Current:



30-day and 90-day vs.greenback:



30-day vs. Euro, Yen, UK Pound and Swiss Franc




Currency Comparison: http://members.shaw.ca/trogl/looniewatch.html

Detailed analysis: http://quotes.ino.com/exchanges/?r=CME_CD

Up-to-the-minute graph: http://quotes.ino.com/chart/?s=CME_CD.Y%24%24&v=s&w=5&t=l&a=1

Historical values http://www.x-rates.com/d/USD/CAD/data30.html

2007-04-30 Monday, April 30 0.903506 USD
2007-05-01 Tuesday, May 1 0.901876 USD
2007-05-02 Wednesday, May 2 0.901957 USD
2007-05-03 Thursday, May 3 0.903424 USD
2007-05-04 Friday, May 4 0.903424 USD
2007-05-07 Monday, May 7 0.907112 USD
2007-05-08 Tuesday, May 8 0.905141 USD
2007-05-09 Wednesday, May 9 0.903914 USD
2007-05-10 Thursday, May 10 0.903098 USD
2007-05-11 Friday, May 11 0.897989 USD
2007-05-14 Monday, May 14 0.903587 USD
2007-05-15 Tuesday, May 15 0.911079 USD
2007-05-16 Wednesday, May 16 0.906783 USD
2007-05-17 Thursday, May 17 0.911079 USD
2007-05-18 Friday, May 18 0.918864 USD
2007-05-21 Monday, May 21 0.921319 USD
2007-05-22 Tuesday, May 22 0.921319 USD (?)
2007-05-23 Wednesday, May 23 0.924556 USD
2007-05-24 Thursday, May 24 0.922424 USD
2007-05-25 Friday, May 25 0.926441 USD
2007-05-28 Monday, May 28 0.926441 USD (?)


Current values

Loonie:

Last trade 0.9325 Change +0.0062 (+0.67%)
Previous Close 0.9265 Open 0.9248
Low 0.9248High 0.9340


Other combinations:

AS.M07 AUSTRALIAN $/CANADIAN $ Jun (NYBOT) 0.88285 -0.0000440
AU.M07 AUSTRALIAN $/US$ Jun (NYBOT) 0.8180 -0.0011
EC.M07 EURO FX Jun (CME) 1.3500 +0.0038
RA.M07 EURO/AUSTRALIAN $ Jun (NYBOT) 1.6455 +0.0039
RP.M07.E EURO/BRITISH POUND Jun (CME) 0.67850 +0.00175
HY.M07 CANADIAN $/JAPANESE YEN Jun (NYBOT) 112.455 +0.795
GB.M07 EURO/BRITISH POUND Jun (NYBOT) 0.68075 -0.0007
EP.M07 EURO/CANADIAN $ Jun (NYBOT) 1.4551 +0.0022
RY.M07.E EURO/JAPANESE YEN Jun (CME) 163.84 +0.48
EJ.M07 EURO/JAPANESE YEN Jun (NYBOT) 163.85 +0.53
EU.M07 EURO/US$ (LARGE) Jun (NYBOT) 1.34615 +0.00160


Blather (from http://quotes.ino.com/exchanges/?r=CME_CD)

The June Canadian Dollar was lower overnight as it consolidates some of this month's rally but remains above last May's high crossing at .9200. Stochastics and the RSI are overbought but are neutral hinting that a short-term top might be in or is near. Closes below the 20-day moving average crossing at .9127 would confirm that a top has been posted. If June extends the rally off February's low, weekly resistance crossing at .9312 is the next upside target. Overnight action sets the stage for a lower opening in early-day session trading.

Analysis

Oh. My. God.

The blather is wrong. It took off like a rocket and so far no end in sight.

Nothing much on the morning drivein except a lot of discussion about nuclear energy. Alberta's talking about putting a reactor in to power oil sands extraction and reduce the emissions from its coal-burning energy grid. Khazakstan's got some sort of deal going. The French think they've got some ideas on extraction from used fuel. Canada's a world leader in nuclear technology (think Candu reactor) so any discussion on this front may look favourably on the loonie.

The only other news is that PEI elected a Liberal government.

Ford(?) might be selling their Volvo line to BMW (who might actually understand how to market it). I think they've got an assembly plant in Oshawa.

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TrogL Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-29-07 10:14 AM
Response to Reply #10
11. More Uranium news
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mojavekid Donating Member (993 posts) Send PM | Profile | Ignore Tue May-29-07 01:07 PM
Response to Original message
16. WaPo: A Highly Charged Relationship
http://www.washingtonpost.com/wp-dyn/content/article/2007/05/26/AR2007052600152.html?hpid=smartliving

Americans Can't Do Without Their Credit Cards, But the Card Companies Are Another Matter

Call it a love affair with a dark side.

Consumers today can't get enough of their credit cards, slapping them down with a passion to pay for everything from fast food to plane tickets at a rate of 10,000 transactions a second worldwide.

But while Americans love the convenience of plastic, they often hate the credit card issuer. Credit card complaints outstrip all other bank-related grievances filed with federal regulators in recent years.

The avalanche of gripes generally boils down to objections about a half-dozen practices, according to congressional staff and consumer groups. The complaints mostly center on what consumers see as unfairly high interest rates and penalty fees; confusing policies that constantly change, almost always in the lender's favor; and near-insurmountable hurdles to getting help when a consumer falls into trouble or when a company makes a billing mistake.

more...

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mojavekid Donating Member (993 posts) Send PM | Profile | Ignore Tue May-29-07 02:19 PM
Response to Original message
18. Reuters: Blue chips fall on China news, oil's slide
http://biz.yahoo.com/rb/070529/markets_stocks.html?.v=14

NEW YORK (Reuters) - Blue-chip stocks fell on Tuesday and the Nasdaq composite index pared earlier gains as China said it raised a stamp duty on stock trades in Chinese markets and a sharp drop in oil prices hurt shares of energy companies.

Traders said Beijing's attempt to cool its red-hot stock market may be seen as a sign that perhaps U.S. equities needed to consolidate after the market's recent rally on a wave of takeovers and share buybacks.

"The concern is that China may be acknowledging that their markets are overheated by the action they've taken today," said Michael James, senior trader at regional investment bank Wedbush Morgan in Los Angeles.

more...

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mojavekid Donating Member (993 posts) Send PM | Profile | Ignore Tue May-29-07 04:18 PM
Response to Original message
19. Ted Butler: May 29, Raptor Update Silver Commentary
http://www.investmentrarities.com/05-29-07.html

In last week’s article, The Raptors, I described how that term applied to the smaller commercials that seemed to be outmaneuvering the largest commercial traders which I dubbed the T. Rexs. I speculated that the T. Rex commercials looked increasingly trapped in their massive concentrated net short position, and how this might portend profoundly bullish implications for the silver market. My reasoning centered on this increased dealer competition as an indicator that the long-term manipulation in silver might be on its last legs.

As a result of the article, which I thought long and hard about before publishing, I anticipated the upcoming Commitment of Traders Report (COT) with some trepidation. That’s because if the recent decline in silver (and gold) prices indicated that the raptors were reducing their net long position on the sell-off, then my premise might be wrong, or at least ill-timed. In that case I would have egg on my face and some explaining to do. The COTs, thankfully, were not personally embarrassing. Instead, they confirmed the premise.

The latest COT, as of the close of business, May 22, indicated in the clearest terms to date, just how powerful a force the raptors have become. In both silver and gold, the raptors accounted for the lion’s share of the week’s large dealer net buying. While the biggest traders in gold and silver (both the 4 or less and 8 or less) still have sizable concentrated net short positions, the raptors have sizable net long positions. In fact, the raptors in silver moved to their largest net long position in history this past week – almost 14,000 contracts (70 million ounces).

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Roland99 Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-29-07 04:57 PM
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21. Limited Closing Numbers
Dow 13,521.34 14.06
Nasdaq 2,572.06 14.87
S&P 500 1,518.11 2.38
10 YR 4.88% 0.02
Oil $63.30 $-1.90
Gold $663.40 $2.00


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