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Feb 8, 2010

MarketWatch: Finance Daily, February,08,2010

Personal Finance Daily
FEBRUARY 08, 2010

Monday's Personal Finance stories

By MarketWatch

Don't miss these top stories:

Cisco Systems Inc., Wells Fargo & Co. and Dollar General Corp. are among the companies who have announced significant hiring plans for 2010 -- "significant" as in planning to hire hundreds or thousands of new employees. That's good news, and economists say that and other signs point to an increasingly stable job market. Still, "stable" is not the same as "growing," and at this point it will take years to reabsorb the 8.4 million people thrown out of work since the start of the recession.

If you're on the job hunt, your résumé is of primary importance right now. You want to stand out from the pack, but with so many others in the same boat -- more than six job seekers per opening -- that's a tough proposition. Career counselors say one important strategy is to make sure to send your résumé to the right places. That is, don't spend your days on the computer, blanketing the world with emails. Instead, figure out the companies that could use your specific talents, and write a résumé that focuses on each of those company's specific needs. Then contact the person at that firm most suited to read your résumé.

Career counselor Andrea Kay told me in a recent telephone interview that job seekers often tell her they have no control over their situation. She says that's not entirely true. Talking with people -- yes, the dreaded networking -- is key, and can help overcome those feelings of powerlessness.

"People think the most direct route to a job is to send out a résumé. It seems logical. It does get there, maybe, but you're competing with thousands of other resumes," Kay said. "People hire people they know, they like, they trust."

But how to become one of those trusted people? By getting referred or by having a conversation with someone at the company. Job seekers should spend their time meeting and talking with people, according to Kay. "Start digging around," she said. "People will love to help you if you ask the right questions. You say to people that you know, 'I am trying to get into the XYZ Company, just to have a conversation. Do you know anybody there, can you refer me to somebody there?'"

Of course, you'll still need to present a resume. Read our story for tips on making it sing. Here's just one: Don't use the phrase "win-win."

-- Andrea Coombes , Personal Finance editor

First aid for your résumé

These are desperate times for many job seekers. But you can avoid desperate-looking and time-wasting measures when it comes to putting together and marketing your résumé.
See Andrea Coombes' Ways & Means.

More job seekers quit

More Americans are saying "I quit," and they don't even have jobs. The unemployed are dropping out of the job hunt in greater numbers, as Charlie Turner reports.
 Listen to Audio Report.

Jobs take priority in Washington this week

Job creation will be job No. 1 in Washington this week, with a bipartisan meeting at the White House on tap, in addition to possible movement in the Senate on a jobs bill and a handful of congressional hearings dealing with employment and the economy.
See Capitol Report.

Signs of life in job market? Maybe

Cisco (CSCO) says it plans to hire 2,000 to 3,000 people. Wells Fargo (WFC) will hire 1,400 brokers. Dollar General (DG) is creating about 5,000 new jobs. CarMax Inc. (KMX) has 600 store positions available. Are these the signs of a job market on the rebound? A very cautious maybe.
See Andrea Coombes' Ways & Means.


2009 Porsche Boxster S

Freezing early-morning temperatures that were well below the norm and then some snow are not the ideal conditions to test a Boxster convertible.
See Auto Review.


Your February tax to-do list

The news is full of Bush tax cuts ready to expire, estate taxes that have not been extended and President Barack Obama's myriad tax proposals. What's a poor, benighted taxpayer to do? It's easy: Focus on February.
See TaxWatch.


Let the home savings flow

Homeowners looking to go "green" may think that means installing pricey solar panels or wind turbines. But new, efficient showers, faucets and toilets can save thousands of gallons of water a year -- and the cost savings add up. Amy Hoak reports.
 Watch Video Report.


Five global hot spots investors should avoid ... at least for now

International investing looked so easy last year, but now strategists say there are clear risks even in some of those "can't-go-wrong" markets.
See Weekend Investor.

Big brokers cut commissions to draw ETF assets, trading

Online brokers are fighting hard for a greater share of the fast-growing exchange-traded fund business, and investors stand to benefit from lower costs.
See ETF Investing.

ETF revolution takes new ground

The evolution of exchange-traded funds took a giant step forward this week, but most investors missed it. Soon, however, it may be hard to ignore.
See Chuck Jaffe.

Higher taxes lead to opportunities in muni bonds

After suffering steep losses in 2008, the municipal-bond market saw a rebound in 2009. Bob DiMella, portfolio manager of Mainstay tax-free bond fund, tells Dow Jones Newswires reporter Shelly Banjo about the opportunities and risks for investors in 2010.
 Watch Video Report.

Protecting yourself from the giant new deficit

For every dollar in debt that Americans have paid off since they started cleansing their balance sheets in mid-2008, the U.S. government has borrowed more than $7. All the hard work by consumers to replenish their piggy banks may be for naught if big government-budget deficits play havoc with the economy.
See full story.

Where will the markets go next?

A year ago, investors were dealing with heavy losses from the most brutal stock-market sell-offs in years. The last thing they expected was a ferocious bull market. And yet, shares soon began to soar -- climbing more than 50%.
See full story.

Will we ever again trust Wall Street?

For many investors, the market's turbulence hasn't just destroyed wealth. It has shattered their faith in the financial system itself.
See full story.

The final frontier: Investing in Ghana

Like travel brochures promising unspoiled destinations, Wall Street makes even the most volatile markets seem alluring.
See full story.

Interpreting the wash-sale rule

I've held shares of Netgear Inc. (NTGR) for a few years in my regular, taxable account. I would like to sell enough shares to cover my annual contribution to my Roth individual retirement account, and then immediately repurchase the shares in my Roth IRA.
See full story.

Testing times for the mutual-fund industry in India

Indian fund managers are a worried a lot these days, as a series of regulatory measures -- some old, and some very recent -- are weighing strongly on asset growth even while promising to support the domestic mutual fund industry in the long run.
See Shikhar Balwani's This Week in India.


Bank failures to keep rising in 2010, despite GDP rebound

The continuing fallout from bad loans made in good years means even more U.S. banks will fail in 2010 than 2009, despite a recovering economy.
See full story.

Economy is recovering, Geithner, Paulson, Greenspan agree

The U.S. economy was front and center on the talk shows Sunday, with administration officials past and present expressing guarded confidence that it's in a recovery mode.
See full story.

Obama recommits to health-care reform, rallies Democrats

President Obama criticized Republicans Saturday as a do-nothing party and recommitted his administration to health-insurance reform.
See full story.


Liquor-store privatization could be a boon for biz booze

With their finances on the rocks, states that control the sale of liquor to the public are looking at handing the job to private enterprise, a move that could raise revenue, streamline government and prove a boon to the spirits industry.
See full story.

NYT: Breaking News Alerts

Breaking News Alert
The New York Times
Mon, February 08, 2010 -- 4:03 PM ET

Dow Industrials Post First Close Below 10,000 Since Nov. 4

Stocks fell broadly on Wall Street on Monday on concerns
about government debt in Europe, and the Dow Jones industrial
average closed below the 10,000 mark for the first time since
Nov. 4.

The Dow industrials were down 103.69 points, or 1 percent, at
9,908.54 at the closing bell. The Standard & Poor's 500-stock
index and the Nasdaq were also lower for the day.

Shares of financial firms posted the largest losses amid
worries that they could be hurt by huge deficits in countries
like Greece, Spain, and Portugal.

Read More:

BBC E-mail: Ex-Merrill boss takes over at CIT

** Ex-Merrill boss takes over at CIT **
The former chief executive of Merrill Lynch, John Thain, was at the heart of the bonus row - now he has a new job as boss of US lender CIT.
< >

** BBC Daily E-mail **
Choose the news and sport headlines you want - when you want them, all
in one daily e-mail
< >

Forbes . Com : Ken Fisher Newsletter February 08, 2010

Recovery, Part Two
01.21.2010, 17:40:00 EST
Ken Fisher 

Don't succumb to the pessimism of disbelief.
The second year after a bear market is a fine time to own stocks. 

Good News 01.15.2010, 16:10:00 EST
Ken Fisher 

This should be a great time to own stocks.
 But we forget long-term lessons and think about the recent past. 

In Pictures: Five Fisher Buys For 2010 01.14.2010, 10:30:00 EST
Ken Fisher 

Fisher thinks 2010 will be another good year for stocks.
Here are five of his best bets. 

A Grateful Dead Year 12.31.2009, 22:40:00 EST
Ken Fisher 

2009 was a textbook case of how stock markets are supposed to react
 to big bear markets and recessions. 

NFA : NFA permanently bars Colorado firm CFS Capital Management LLC and sanctions its principals

For Immediate ReleaseFor More Information Contact:
Larry Dyekman (312) 781-1372,
Karen Wuertz (312) 781-1335,

NFA permanently bars Colorado firm CFS Capital Management LLC and sanctions its principals
February 8, Chicago - National Futures Association (NFA) has accepted CFS Capital Management LLC's (CFS) settlement offer to permanently withdraw from NFA membership. CFS is a Commodity Trading Advisor located in Lakewood, Colorado. Andrew G. Elrod, a principal of CFS, was also ordered to permanently withdraw from NFA membership with no findings that he committed the allegations as charged in an NFA Complaint. Brian G. Elrod, president of CFS and a listed principal, was barred from NFA membership for a period of five years. The Decision, issued by an NFA Hearing Panel, is based on the Complaint filed in June 2009 and a settlement offer submitted by CFS, Andrew Elrod and Brian Elrod.
The Panel found that CFS and Brian Elrod misused customer funds, submitted false and misleading material to NFA and failed to supervise the firm's futures and foreign currency exchange (forex) operations. Additionally, the Panel found that CFS and Brian Elrod used fraudulent and misleading promotional material and that CFS failed to follow the terms of the firm's disclosure document and management agreement.
Brian Elrod must also pay a fine of $30,000 in the event he reapplies for NFA membership after the five-year bar.
The complete text of the Complaint and Decision can be found on NFA's website (
NFA is the premier independent provider of innovative and efficient regulatory programs that safeguard the integrity of the futures markets.

NFA : In separate actions, NFA permanently bars futures firms in Puerto Rico and California

For Immediate Release For More Information Contact:
Larry Dyekman (312) 781-1372,
Karen Wuertz (312) 781-1335,

In separate actions, NFA permanently bars futures firms in Puerto Rico and California
February 8, Chicago - National Futures Association (NFA) has permanently barred from NFA membership ACJ Capital, Inc. (ACJ) and its principal, Angel F. Collazo. ACJ is a Commodity Trading Advisor located in San Juan, Puerto Rico. The Decision, issued by NFA's Business Conduct Committee, is based on an NFA Complaint filed in November 2009.
The Committee found that ACJ and Collazo provided false information to customers about the performance of their accounts by providing fictitious account statements which showed significant equity, when in fact, most, if not all of their equity was lost. The Committee also found that ACJ and Collazo failed to observe high standards and equitable principles of trade in the conduct of their foreign currency exchange (forex) business. ACJ and Collazo did not file an Answer to the Complaint nor did they respond to it in any way. The complete text of the Complaint and Decision can be found on NFA's website (
In a separate action, NFA permanently barred Michael Williams from NFA membership. Williams is a sole proprietor Commodity Trading Advisor and Commodity Pool Operator located in Woodland Hills, California. The Decision, issued by NFA's Business Conduct Committee, is based on an NFA Complaint filed in December 2009.
The Committee found that Williams failed to cooperate promptly and fully with NFA. Williams neither filed an Answer to the Complaint nor otherwise responded to it in any way. The complete text of the Complaint and Decision can also be found on NFA's website.
ACJ, Collazo and Williams may appeal the Committee's Decisions to NFA's Appeals Committee.
NFA is the premier independent provider of innovative and efficient regulatory programs that safeguard the integrity of the futures markets.

Forbes: Intelligent Investing: February 08, 2010

Intelligent Investing with Steve Forbes


Intelligent Investing Panel
When You Get Lululemons, Make Lemonade
Typical sporting goods providers are being given a run for their money.
With Alexandra Zendrian
Intelligent Investing
Lou Dobbs: Let The Free Market Prevail
''Mr. Independent'' believes any financial reform should first honor the principles of limited government and free markets.
With Steve Forbes

Video: Intelligent Investing With Steve Forbes

Intelligent Investing With Steve Forbes
Lou Dobbs: Too Big To Fail Is Nonsense
Radio host Lou Dobbs wants a return of Glass Steagall and says "too big to fail" is nonsense.


My Alerts

February 8, 2010 Compiled: 4:44 AM


The latest bump in the E.U.'s Emission Trading System came last month, when swindlers used faked e-mail messages to obtain access codes for individual accounts.

Mineweb: Top stories, Monday, 08 Feb 2010

TOP STORIES | Monday , 08 Feb 2010                                                     

Grupo Mexico predicts growth in copper and other metals, reversing upward inventories trends

With the re-acquisition of U.S. copper miner Asarco, Grupo Mexico claims it is now the world's top company in terms of copper reserves.    Monday , 08 Feb 2010

Silver stocks smashed and bloodied

It's seems to be a case of "who blinks first" in this USD 25bn equities subsector, where the king of volatility resides.    Friday , 05 Feb 2010

New mining development critical to Nunavut economic growth

This past weekend's meeting of the G7 Finance Ministers in Iqaluit, Nunavut, brought renewed global attention to the critical need for mining dollars to stimulate the economy of Canada's newest territory.    Monday , 08 Feb 2010

China and U.S. heading for a cold war? What impact on gold?

Some observers feel that China may be looking to retaliate over recent U.S. political statements and moves and a recent Chinese poll suggests it and the U.S. may be moving towards a ‘cold war'. Such political uncertainties could have a positive impact on the gold price.    Sunday , 07 Feb 2010

Is the double dip upon us? Markets, gold and commodities plunge

The latest falls in the markets and gold and commodity prices are raising the fear factor among investors as worries about a double dip recession resurface.    Friday , 05 Feb 2010

The recent sell-off in gold could mean the correction is nearly complete.

And, as the price of gold approaches the $1,000 we could see some renewed interest by central banks    Monday , 08 Feb 2010

More positive results on copper-gold project for high-flyer Sandfire

More high copper and gold values reported at Sandfire's De Grussa prospect have given the company's shares another boost as maiden resource announcement imminent.    Monday , 08 Feb 2010

Mongolian PM confirms Tavan Tolgoi decision

Sukhbaatariin Batbold says the decision not to auction the stake in the massive coal project will mean the country will get a greater return on the asset    Monday , 08 Feb 2010

Xstrata announces a 41% drop in profits

But the group reinstated its dividend on the back of a bullish outlook for metal prices    Monday , 08 Feb 2010

BHP names new Iron ore chief

In the second major management reshuffle of a big miner in a week, the group announced that Chris Campbell is the new president of the group's iron ore business    Monday , 08 Feb 2010

Harmony Q2 earnings up on higher gold price

The gold miner says it is looking for growth opportunities but cautions that the rand price of gold is likely to be flat for the next 12 months    Monday , 08 Feb 2010

The hunt is on for a new chairman at the London Metal Exchange

Donald Brydon is leaving to look after other business interests and, analysts maintain the replacement is unlikely to come from a metals background    Friday , 05 Feb 2010

Exxaro (and other) iron ore wannabes

65 listed iron ore development companies twist like devils to get to the front of a global pack    Friday , 05 Feb 2010

Thoughts on Indaba - upbeat atmosphere before the gold price drop

The annual Mining Indaba is now over and it was much more upbeat than that of last year, but the survivors will have to face the big drop in the markets as they return to their desks.    Friday , 05 Feb 2010

Weekend Top Story: Intelligent gold from a smart company

Once again, Gold Fields sets a tough standard for the gold quarterlies reporting season.    Friday , 05 Feb 2010

The New York Times Business

Business, Feruary,8,2010

  European Central Bank in a Squeeze
As alarm about Greek debt increases, a weakness of the European monetary union has been exposed: its lack of a strong political arm.

Asia Sails Smoothly Through Debt Waters
The Asian financial crisis of 1997 led many countries to be more conservative about borrowing and spending than Western nations.

Toyota Is Expected to Add 2010 Prius to Recalls
The decision to recall at least 311,000 2010 Prius cars will be announced early this week, adding to the automaker’s woes after recalls of other models.

MOney Morning, February 8,2010

February 8, 2010

This market manipulation is legal - for now

Most investors recognize that the markets are manipulated... But don’t understand to what degree. Fact is, the next 1,000-point down day has practically been scripted and assigned a date. Knowing how this works can produce some outrageous gains - legally. At least for now. Renowned analyst Jon Markman has the details here.

Sponsored content

U.S. Joins Global Parade of Countries Plagued by Debt Bomb
By Jon D. Markman, Contributing Writer, Money Morning

The most important fundamental development of the week was not any of a slew of economic reports at all but the new federal budget proposal released by the White House. And it was a doozy: The Obama Administration proposed to spend $3.8 trillion, with $1.6 trillion on the equivalent of the national credit card.

Investors did not overtly seem to mind today, but they will. It is almost mind-numbing to think we've gone from the surplus that President Clinton left President Bush to the trillion-dollar hole we're in now. There is nothing good about the scenario of bone-crushing debt, as we have seen repeatedly throughout the world recently in places like Dubai, Greece, the United Kingdom and Japan. The fact that the U.S. dollar has managed to hold its own despite representing a country deeply in hock is only testament to the weakness of every other major developed-world government.

It's ironic in fact that plenty of emerging-market countries are managing their books far better than the United States and Europe. They include Chile, Azerbaijan, Angola, Ukraine and Romania -- all with debt at less than 15% of national GDP, while we are knocking on 60%!


Markman on...
- As Washington Turns on Wall Street, Investors Should Expect a Rough Stretch for Financial Stocks

- If China Sneezes, Wall Street Will Catch A Cold

Eight Ways to Profit From the World’s Biggest Spending Boom
By Larry D. Spears, Contributing Writer, Money Morning

Back in the 1970s, environmentalists feared we were going to "blacktop the Earth." It's not likely that will ever happen. However, governments around the world do have plans to pave a good portion of it in the decade to come. And they also plan to build bridges, power plants, water systems, and to develop other infrastructure projects that will bolster the global recovery and meet the needs of an increasingly modern global population.

What's more, the projected pace of new infrastructure spending is accelerating, meaning there's still plenty of time for new investors to climb aboard - and profit from - the trend.

Just a year ago, an analysis by CIBC World Markets (NYSE: CM) predicted worldwide government spending on public works projects would total $35 trillion over the next 20 years. By the middle of 2009, a number of analysts - reviewing projected demands in the commodity and raw materials markets - had raised that forecast to $40 trillion, with nearly $4 trillion of that coming in 2010 and 2011 alone.

And most recently, a report issued by analysts from Credit Suisse Group AG (NYSE ADR: CS) cited predictions by the Organization for Economic Co-operation and Development (OECD) that total new spending over the next 20 years could skyrocket to $71 trillion. The report called infrastructure "the backbone of the world economy."


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Buy, Sell or Hold: Paychex Inc. Offers a Chance to Profit From the Paradigm Shift in Employment
By Horacio R. Marquez, Contributing Editor, Money Morning

The U.S. labor picture may not be clear, but investors can profit by acquiring shares of Paychex Inc. (Nasdaq: PAYX) to take advantage of the new employment paradigm.

As the former head of credit and analysis for ADP Capital Management, the investment arm of Automatic Data Processing (Nasdaq: ADP), I know the outsourced payroll industry from the inside out. ADP - a company in which I have kept the stock I received - is the leader in the payroll sector. It focuses on the larger and more stable companies in the United States.

Today, taking into account the latest employment dynamics, and the massive change in the structural characteristics of the U.S. economy, we are going to focus on an ADP competitor - Paychex Inc.

Read full article...