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Aug 30, 2010

MarketWatch : Special Financial Services: Paul Farrell :- Seven Lean Years : No Recovery Till 2016. August 30th., 2010

Paul B. Farrell: Seven lean years: No recovery till 2016
By Paul B. Farrell MarketWatch

Summer of recovery? Dead. How dead? Remember Genesis? The Seven Lean Years? Add seven years to the handoff from Bush to Obama in early 2009 and you get no recovery till 2016. 

David Weidner's Writing on the Wall: Glenn Beck and me

By David Weidner MarketWatch

Glenn Beck welcomed me with a big hello and a goofy grin. I liked him immediately. 

By Therese Poletti MarketWatch

Last week, Hewlett-Packard Co. made headlines again, this time for its bidding war for 3Par, writes Therese Poletti. 

GATA: THE GATA DISPATCH : Now GATA can be quoted, can central banks de asked?

Now that GATA can be quoted, can central banks be asked?

6:06p ET Monday, August 30, 2010
Dear Friend of GATA and Gold:
For years GATA banged on the door of the Financial Times, including a meeting in London with the newspaper's commodities reporter a year and a half ago, trying to get some attention for the international central bank gold price suppression scheme. The clamor went without result until this weekend, when the FT published a long story about gold by the paper's personal finance reporter, Ellen Kelleher, which was also in large part about GATA's work. The interview with GATA Chairman Bill Murphy that was cited in the story took place more than three months ago, indicating perhaps the sensitivity of the issue to this organ of the financial establishment.
Of course GATA is grateful for the FT story, for a few reasons:
-- It called GATA and the gold price suppression scheme to the attention of a large and influential audience, though perhaps much of the most influential part of that audience already had its own suspicions about the gold market.
-- It showed that GATA has some respectable and important support, citing the British investment banker Adam Fleming, U.S. Rep. Ron Paul, and market analyst Paul Mylchreest.
-- It disparaged the gold dishoarding begun by the British government in 1999, at the bottom of the gold market.
-- It raised doubt about the competence of the government agencies in charge of the international financial system.
-- And it was able to find only the weakest criticism of GATA's work, quoting Martin Murenbeeld of Dundee Wealth Economics: "'It's bunk. ... It's a massive conceit on the part of gold people to think that gold is so important that the Federal Reserve and the president of the United States are out there manipulating the gold price.
Of course to GATA this is not a "massive conceit" at all but a close examination of public record, which is exactly what technical analysts like Murenbeeld arrogantly refuse to undertake. For starters, at least four chairmen of the Federal Reserve Board have publicly implicated the Fed in the gold price suppression scheme:
Before ridiculing gold price suppression as "bunk" and a "massive conceit," did Murenbeeld ever try to put any critical questions about gold policy to the Fed, the Treasury Department, or other central banks? Has Murenbeeld ever gotten and published a clear denial of their surreptitious involvement in the gold market? Has he reviewed all central bank correspondence and other communication with investment banks in regard to the gold market, like the communication the Fed insists on keeping secret as GATA sues the Fed in U.S. District Court for the District of Columbia under the Freedom of Information Act? Has Murenbeeld seen the gold swap agreements the Fed acknowledges having with foreign banks, agreements the Fed says are "properly withheld" from the public?
Of course not. Just as in establishment journalism, in technical analysis of the gold market, seeking answers from the primary sources just isn't done. Despite citing GATA so prominently, the FT's weekend story about gold didn't go to the primary sources either -- not once. This is still considered bad manners. But it's more than that with technical analysts like Murenbeeld. For going to the primary sources risks exposing their work, their entire careers, as meaningless. The "massive conceit" is actually technical analysis of manipulated markets.
As KAM LP fund manager Michael Kreiger wrote Friday in his essay "The Elites Have Lost the Right to Rule," posted at Zero Hedge (, "... the markets are a hologram put in front of you by the magicians at the Fed." That is, more than the gold market is an illusion, surreptitious central bank market intervention having become so pervasive over the last few years.
Your secretary/treasurer put it this way at GATA's Washington conference in April 2008 (
"One market intervention encourages another and another and increases the political pressure to keep intervening to benefit special interests rather than the general interest -- to benefit especially the financial interests, the banking and investment banking industries. These interventions, subsidies to special interests, increasingly are needed to prevent the previous imbalances from imploding. And so we have come to an era of daily market interventions by central banks -- so much so that the main purpose of central banking now is to prevent ordinary markets from happening at all."
A year and a half ago and again this year GATA presented the Financial Times with its complete file of public record documenting the gold price suppression scheme:
As far as GATA knows, this file is yet to be quoted from or presented to central bankers by respectable journalistic publications seeking an explanation. But the weekend's FT story is a first step. Perhaps in time journalists for other publications or even the FT itself will try demanding answers from the primary source, the way it used to be done in journalism. If GATA now can be at least mentioned even in the Financial Times, real journalism can't be far away -- along with the end of the gold price suppression scheme.
CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.

* * *

Join GATA here:
Toronto Resource Investment Conference
Saturday-Sunday, September 25-26, 2010
Metro Toronto Convention Center, Toronto, Ontario, Canada

The Silver Summit
Thursday-Friday, October 21-22, 2010
Davenport Hotel, Spokane, Washington

New Orleans Investment Conference
Wednesday-Saturday, October 27-30, 2010
Hilton New Orleans Riverside Hotel

* * *
Support GATA by purchasing a colorful GATA T-shirt:
Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009:
Or a video disc of GATA's 2005 Gold Rush 21 conference in the Yukon:
* * *
Help keep GATA going
GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at:
To contribute to GATA, please visit:

CNBC : Maria Bartiromo's Investor Brief:The Most Important Catalyst : This Week On The Street. August 30th., 2010

This Week On The Street

  • The unemployment rate will be released on Friday. It held at 9.5 percent last month. Keep an eye on how many jobs the private sector added in August. ADP releases its own employment report on Wednesday.
  • The Conference Board issues the latest Consumer Confidence Index on Tuesday. The last reading was the lowest in five months.
  • Housing will again be in the news. The S&P Case-Shiller Home Price Index comes out Tuesday and Pending Home Sales on Thursday.


MarketWatch: Personal Finance Daily: The push for a mortgage rate that starts with '3'. August 30th., 2010


Personal Finance Daily
AUGUST 30, 2010

Monday's Personal Finance stories

By MarketWatch

Don't miss these top stories:
Can you afford the monthly payment on a 15-year mortgage loan on your house? A growing number of homeowners say they can, and they're refinancing into 15-year mortgages at a rapid pace.

The benefit is you get a significantly lower interest rate and it accrues over a shorter time period. The drawback? You're locked into higher monthly costs. Still, if your current interest rate on a 30-year mortgage is high enough, the difference in monthly payment may not be much, given that 15-year rates average less than 4% now.

Read Amy Hoak's Home Economics column for more on what you need to consider before buying into a 15-year loan term. Also, read about large U.S. companies' plans for salary hikes next year (they'll be higher than this year -- maybe), and read about small-business owners' growing worries about the future.

A 15-year term sure is enticing, as is a loan with a rate that starts with the number "3." But it's not in my family's personal-finance cards at the moment, so we'll stick with our plan of making one extra loan payment a year.

-- Andrea Coombes , Personal Finance editor

A 15-year mortgage isn't for everyone

A growing number of homeowners are choosing to pay down their mortgages at a faster rate -- even if it means a substantial jump in their monthly payments.
See Amy Hoak's Home Economics on a 15-year mortgage isn't for everyone.


Salaries and wages are rising, but not by much

After two years of holding back on salary raises, U.S. employers say they plan bigger increases of workers' wages in 2011 -- but those plans could change if the economy continues to falter.
See story on salaries and wages are rising, but not by much.


Small-business hiring slows; owners' outlook worsens

Small businesses in the U.S. saw net employment gains in August, but their hiring pace slowed from earlier this year, and small-business owners' outlook for the economy worsened significantly from July to August, according to two surveys released Monday.
See story on small-business hiring slows; owners' outlook worsens.


Commentary: Painfully slow comeback for consumers

American consumers may say they are depressed about the economy, but they haven't stopped spending entirely. For all the gnashing of teeth about a double-dip recession, July's data on individual incomes and spending don't show a collapse in the consumer sector, as many have feared.
See MarketWatch First Take on painfully slow comeback for consumers.

Savings rate inches lower in July, U.S. data show

The savings rate for U.S. households fell in July to the lowest level in three months as spending outpaced income, the Commerce Department estimated Monday.
See story on savings rate inches lower in July, U.S. data show.

The new consumer bureau: a to-do list

There is a new regulator in town. Will it make a real difference? The newly established Consumer Financial Protection Bureau has a wide-ranging mandate and broad powers for investigating and regulating things like checking accounts, credit cards, and education and home loans.
See story on the new consumer bureau: a to-do list.


How to game Social Security

Hey, retirees: Looking for a way to bring in more money? Give back all the Social Security checks you have received so far. But you had better do it fast, since this loophole could soon close.
See story on how to game Social Security.


When gas mileage counts, these 10 cars deliver

It has been far too long since the last comprehensive look at cars that offer good gas mileage and looks for those concerned about bypassing the local gas station.
See story on when gas mileage counts, these 10 cars deliver.


Target-date fund proposals miss the mark

The Securities and Exchange Commission gave the public about two months to comment on proposed rules designed to give people a better understanding of target-date funds.
See story on target-date fund proposals miss the mark.

These small tech stocks are ripe for takeovers

Hewlett-Packard is offering almost $2 billion to buy a small data-management provider and could pony up even more; Intel is paying close to $8 billion for a leading security software maker.
See story on these small tech stocks are ripe for takeovers.

Merger-arbitrage ETF banks on M&A pickup

An exchange-traded fund that specializes in merger-arbitrage has received a lukewarm reception in the market, but a burst of deal activity may invite some investors to take a closer look.
See story on merger-arbitrage ETF banks on M&A pickup.

Hedge-fund managers get more bearish on equities

Hedge-fund managers have become more bearish on equities because they're concerned about slowing economic growth, according to results of a recent survey released Monday by TrimTabs Investment Research and BarclayHedge.
See story on hedge-fund managers get more bearish on equities.

Where to find shelter if deflation takes hold

Amid growing worries about deflation, or a sustained period of falling prices, some analysts recommend that investors buy bonds, which can do better in that kind of dangerous environment.
See story on where to find shelter if deflation takes hold.


Jackson Hole dispute: Does economy need more medicine?

The U.S. economy is looking sick and the doctors are bickering about what, if anything, to do.
See story on Jackson Hole dispute: Does economy need more medicine?

NYT : Afternoon Business NEWS | Update: New York Rebounds From Slump, but Unevenly. August 30th., 2010


Genzyme Rejects $18.5 Billion Offer by Sanofi

The biotechnology company said the offer of $69 a share, disclosed on Sunday, undervalued the company.

BlackBerry Gets a 2-Month Reprieve in India

The government said it would study and test a proposal by the BlackBerry maker for two months as it tries to settle a dispute over corporate e-mail.

Investors on Wall Street Find Little Reason to Buy

Traders cautiously began a week that will culminate Friday with Washington's report on the August job market.

Intel to Buy Infineon Wireless Unit for $1.4 Billion

Intel's announcement on Monday came less than two weeks after saying that it would acquire McAfee.

China to Job-Seeking C.E.O.'s: Come Work for China

China's government ran an enormous help-wanted advertisement on Monday seeking professional managers for some of its biggest state-controlled companies.

CNBC EVENING BRIEF:Major Hedge Funds Cutting Bank of America for Citigroup.August 30th., 2010


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RTTNews: Evening Market Wrap: Persisting Economic Uncertainty Sinks Stocks To Open Week - U.S. Commentary . August 30th., 2010

Evening Market Wrap Mon Aug 30 17:01 2010 


Aug 30, 2010 Persisting Economic Uncertainty Sinks Stocks To Open Week - U.S. Commentary Stocks suffered a drubbing to open the week on Monday, as continued uncertainty regarding the direction of the economy ahead of this week's August employment report prompted risk aversion. The major averages offset a majority of Friday's rally, pulling back down towards last week's more than one-month closing lows. Full Article

Economic News

Aug 30, 2010 Personal Spending Shows Moderate Increase In July Personal spending increased by a little more than expected in the month of July, according to a report released by the Commerce Department on Monday, with the report also showing a modest increase in personal income that came in line with economist estimates. Full Article
Aug 30, 2010 Economists Mixed On Monetary Policy Preferences While a majority of economists agree with the Federal Reserve's current stance on monetary policy, a survey conducted by the National Association for Business Economics showed that economists are more divided over what monetary posture they prefer over the next 12 months. Full Article

Corporate News

Aug 30, 2010 HP Board Approves Additional $10 Bln For Stock BuybackHewlett-Packard Co.(HPQ) said Monday that its board of directors has approved the authorization of an additional $10 billion for share repurchases. The company plans to buy back at least $3 billion worth of its shares in the fiscal fourth quarter at current price levels. Following the announcement, the company's shares are up almost 3%, near $39 per share, in the pre-market trading. Full Article


Aug 30, 2010 Genzyme Snubs Sanofi-Aventis' Acquisition OfferBiopharmaceutical firm Genzyme Corp. (GENZ) Monday confirmed the receipt of an unsolicited, non-binding proposal from French drug giant Sanofi-Aventis SA (SNY) to acquire all the outstanding shares of Genzyme for $69 per share in cash. The company stated that its board of directors met last night and unanimously affirmed its previous rejection of Sanofi's proposal. Full Article
Aug 30, 2010 Intel To Buy Infineon's Wireless Solutions Unit For $1.4 Bln CashChip makers Intel Corp. (INTC) and Germany-based Infineon Technologies AG (IFNNF.PK, IFX) have entered into a definitive agreement to transfer Infineon's Wireless Solutions business to Intel for about $1.4 billion in cash. The deal is expected to close in the first quarter of 2011. Full Article
Aug 30, 2010 3M Agrees To Acquire Cogent For About $943 Mln Cash Diversified technology company 3M Co. (MMM) agreed Monday to acquire Cogent, Inc. (COGT) for $10.50 per share in a deal worth $943 million. The transaction, which will expand 3M's ability to provide biometric security solutions, is expected to close in the fourth quarter. Full Article

Political News

Aug 30, 2010 Poll Shows Most Think Palin Would Not Be An Effective President While former Alaska Governor Sarah Palin has proven to be somewhat effective in helping certain candidates to victory in recent primary elections, the results of a 60 Minutes/Vanity Fair Poll released Monday show that most Americans do not think she would be an effective president. Full Article
Aug 30, 2010 Obama Calls On Senate GOP To Drop "Blockade" Of Small Business BillPresident Barack Obama Monday renewed his calls for swift Senate action on a bill aimed at boosting the prospects for small businesses around the country. The bill, which would create a $30 billion fund to help banks increase lending to small businesses as well as provide $12 billion in tax breaks, has been stalled in the Senate by Republicans. "This bill has been languishing in the Senate for months, held up by a partisan minority that won't even allow it to go to a vote," he said. Full Article

FINANCIAL & FOREX INFO : REUTERS :Daily Investors Update. August 30th., 2010

                            FINANCIAL & FOREX INFO


Stocks end lower on economic worries
Genzyme rejects Sanofi offer as long battle looms
Obama, advisers discussed more steps on economy
Consumer spending gain strongest in 4 months
BlackBerry maker wins reprieve on India shutdown
BHP denies any plans to divest Potash Corp assets
HP expands stock buyback program by $10 billion
Fed's Kohn to become academic after leaving post
Intel buys Infineon unit and expands wireless offer
Folksy Warren is symbol in debate over Wall Street

FOX BUSINESS. bREAKING BUSINESS NEWS: Dow Slides 141 Points. August 30th 2010.


Trader 052410 276
Monday Malaise for MarketsThe Dow shed 141 points as jitters ahead of this week's flood of economic data overshadowed another flurry of M&A action.

Obama: We're Working on It

President Obama said he and his economic advisers are mulling tax cuts and other measures in an effort generate job growth. | WATCH

Mayo: Citi Can't Be Trusted

Securities analyst Mike Mayo ramped up his bitter battle with Citigroup's management.

Why Values Matter in the New Economy

In uncertain times, you must rely on your values as your most reliable compass.
Market Snapshot
Index Last Change %Change  
DJIA 10,009.73 -141.22 1.39% Hilighted
Nasdaq 2,119.97 -33.66 1.56%  
S&P 500 1,048.92 -15.67 1.47%  
FOX 50 760.21 -9.60 1.25%  
DIJA Chart

The Washington Post : Afternoon Edition Highlights: Most Read Articles. August 30th., 2010

Most Viewed Articles on

1) After Washington rally, Glenn Beck assails Obama's religion

Conservative commentator Glenn Beck voiced sharper criticism of President Obama's religious beliefs on Sunday than he and other speakers offered from the podium of the rally Beck organized at the Lincoln Memorial a day earlier.

2) 'Mad Men' wins the Emmy for best drama 'Glee' takes home two awards

AMC's Madison Avenue saga takes television drama award for the third year in a row, while ABC's "Modern Family" wins best comedy series.

3) Can Obama play offense?

Obama has left himself weak defenses against a tide of economic melancholy.

4) Many interns paying a price for unpaid experience

Each year, thousands of college students descend on Washington for unpaid internships. It can be a nerve-racking process: sending out r?sum?s, trying to make contacts, interviewing again and again. Increasingly, many of them are finding an alternative: paying thousands of dollars to a placement company for a guaranteed spot.

5) Environmental groups face their future in climate-change debate

On Thursday, some of the country's most respected environmental groups - in the midst of their biggest political fight in two decades - sent a group of activists to Milwaukee with a message.

6) Why the recovery lags

Consumers are the crux of the matter.

7) Behind in polls, Fenty urges more scrutiny of Gray

Mayor Adrian M. Fenty (D) said Sunday he's "the underdog" in his reelection campaign against D.C. Council Chairman Vincent C. Gray but that he can still win the Sept. 14 Democratic primary.

8) A daunting children's divide

Various figures denote vexing social problems. They include 10,000 (the number of new baby boomers eligible for Social Security and Medicare every day), 10.2 percent (what the unemployment rate would be if 1.2 million discouraged workers had not recently stopped looking for jobs), $9.9 trillion (the...

9) Washington Redskins going the distance in final preseason game

With a new head coach, general manager and quarterback, the players atop the Redskins' depth chart have come a long way since last season.

10) Indiana's Ellsworth, onetime Democratic star, now a symbol of party's struggles

INDIANAPOLIS - When Brad Ellsworth won his U.S. House seat in Indiana four years ago, he was hailed by Democrats as the future of their party: a telegenic former sheriff with moderate instincts and an ability to appeal to a diverse electorate.

MarketWatch Special Financial Services: Canadian Stocks Rise on Mining Financials


Canadian Markets: Canadian markets rise on mining, financials

By Wallace Witkowski MarketWatch

The mining and financial sectors show strength as the loonie slips against the U.S. dollar. 

FOX BUSINESS : Breaking Business News: City Can't be Trusted. August 30th., 2010


Citi Logo Stop Light
Mayo: Citi Can't Be Trusted Securities analyst Mike Mayo ramped up his increasingly bitter battle with the management of Citigroup


Watch: LIVE

LIVE  Wall Street rallied on the Fed chief's comments, but were there substantial holes in his policy speech?

M&A Action Fails to Lift Markets

Stocks lost ground, giving back a chunk of Friday's triple-digit gains, as Wall Street struggled to rally.

Oil Dips Below $75 a Barrel

After a three-day rally, oil prices fell on increased hurricane activity and economic worries.

Brace for it: The Taxes Are Coming

As things stand today, all U.S. taxpayers are facing a bigger federal tax bill next year. | WATCH

RTTNews : Morning Market Briefing: Futures Pointing To Modestly Lower Open For Stocks - U.S. Commentary . August 30th., 2010

Morning Market Briefing Mon Aug 30 09:01 2010 


Aug 30, 2010 Futures Pointing To Modestly Lower Open For Stocks - U.S. Commentary Stocks are on pace for a modestly lower open on Monday, as traders remain cautious about continued headwinds to the economic recovery while digesting a more sizable than expected pickup in consumer spending. More action on the merger and acquisitions front has also garnered market attention in the early going. Full Article

Economic News

Aug 30, 2010 Personal Spending Rises Slightly More Than Expected In July Personal spending increased by a little more than expected in the month of July, according to a report released by the Commerce Department on Monday, with the report also showing a modest increase in personal income that came in line with economist estimates. Full Article
Aug 30, 2010 U.K. House Prices Continue To Fall House prices in England and Wales dropped at the fastest pace in 16 months in August, figures showed on Monday. The fall was due to supply continuing to outstrip demand. Full Article
Aug 30, 2010 Bank Of Japan Eases Policy Further; Expands Lending Program The Bank of Japan announced an expansion to its low-interest lending program after an extraordinary policy board meeting on Monday, as it bids to stem the rise in the yen. At the same time, the bank also maintained its key interest rate at near-zero. Full Article
Aug 30, 2010 Singapore Unveils Extra Measures To Cool Property Market The Singapore government on Monday tightened property lending to maintain a stable and sustainable property market so that prices move in line with economic fundamentals. Full Article
Aug 30, 2010 Policy Support May Assuage Economic GriefNegative news flow continues to trickle in from all quarters, lending credence to claims by doomsday prophets that a double-dip is in the offing. Full Article
Aug 30, 2010 Eurozone Economic Confidence Strengthens Further In August Eurozone economic confidence continued to strengthen in August with the corresponding index rising to a level last seen in early 2008. Full Article

Corporate News

Aug 30, 2010 3M to buy Cogent for $943 mlnMonday, 3M Co. (MMM) agreed to buy Cogent Inc. (COGT) for about $943 million, or $10.50 a share. The price represents about 18% above Friday's closing price. 3M estimates the purchase to be dilutive to its earnings in the first 12 months of completion of the transaction. Full Article
Aug 30, 2010 Intel to buy Infineon's wireless unit for $1.4 bln cashMonday, Intel Corp. (INTC) and Infineon Technologies AG (IFX) agreed to transfer Infineon's Wireless Solutions business to Intel for about $1.4 billion in cash. The companies expect the deal to close in the first quarter of 2011. Full Article
Aug 30, 2010 POSCO to buy 68% Daewoo stake for US$2.8 bln - reportsMonday, POSCO (PKX) agreed to buy a 68% stake in Daewoo International Corp. for about US$2.83 billion to expand its sales network and gain raw materials, said media reports. POSCO said it intends to expand operations in countries including India and Indonesia. Full Article
Aug 30, 2010 Genzyme rejects Sanofi-Aventis $18.5 bln all-cash bidMonday, Genzyme Corp.'s (GENZ) board affirmed its previous rejection of unsolicited proposal by Sanofi-Aventis (SNY), which offered to by Genzyme for $18.5 billion in cash. Genzyme stated that the non-binding offer provided no new information and no improvement in price. Sunday, Sanofi-Aventis had offered to buy Genzyme at $69 per share. Full Article
Aug 30, 2010 HP wins US air force supply contract valued about $800 mlnMonday, Hewlett-Packard Co. (HPQ) said the U.S. Air Force has selected it for a five-year purchase contract worth up to $800 million. Under the terms of the new Client Computing/Servers Blanket Purchase Agreement, HP will provide the USAF with a wide array of computers, including workstations, mobile workstations, thin clients and performance displays. Separately, the company announced that its board of directors approved the authorization of an additional $10 billion for share repurchases. Full Article
Aug 30, 2010 Schwab to buy Windward Investment Management in $150 mln stock, cash dealMonday, The Charles Schwab Corp. (SCHW) said it agreed to acquire Windward Investment Management, Inc. for $150 million in stock and cash. The company expects the deal deal to close during the fourth quarter. Full Article

REUTERS : Business Today : Stock futures flat after M&A flurry as investors cautious. August 30th., 2010