Stocks Fall on Disappointing Economic Data

[Pirate Smile]

Stocks Fall on Disappointing Economic Data

11 minutes ago Business - AP


By MICHAEL J. MARTINEZ, AP Business Writer

NEW YORK - Wall Street extended its selloff Friday after industrial production figures pointed to a slowing economy and higher prices on imports fed investors' inflation worries. Disappointing earnings from IBM Corp. exacerbated the selling.

An already uneasy market was disappointed with the Federal Reserve's report that overall industrial production rose 0.3 percent in March, up from 0.2 percent in February. The Fed noted that much of the increase came from utility production due to a colder-than-average month, and other manufacturing activity declined for the first time in six months.

Meanwhile, the Labor Department's import pricing report, which showed the biggest monthly hike in prices in two years, confirmed investors' fears that higher oil prices were pushing overall prices higher — which may trigger inflation and sharper interest rate hikes from the Federal Reserve.

The negative impact of the economic data on Wall Street was bolstered by lower-than-expected profits from IBM. Strong earnings from General Electric Co. and Citigroup Inc. was overlooked.

http://story.news.yahoo.com/news?tmpl=story&cid=543&ncid=749&e=3&u=/ap/20050415/ap_on_bi_st_ma_re/wall_street

[WI_DEM]

1. Well Bozo Bush the chickens are finally coming home to roost

on the economy. I predict stagflation in 2006--and hopefully big Democratic gains in November of '06.

[yourout]

43. Silly you.....its Clintons fault.

The Repubs are never responsible for anything.

[cyclezealot]

2. I posted thread called "Economic Meltdown."

here at DU..couple days ago...Economic report about the plight of America with its forms of debt and industrial decline..
This is the start...worse soon to come...We disposed of our home, converted our money market IRA's to interest bearing accounts.and now to get our dollars into other currencies...pending our move overseas before another dollar plunge..we hope our plans are on track..
George's pigeon's are about to come home to roost and the Fat CEO's who plan to retire to Martinque better get their act together..
Think our timing is about right...In the last six months our IRA had plunged almost $5,000...Bon Voyage.
I think Kerry's lousy campaign and early quit in Ohio makes me think he really did not want to win...He knew about George's chickens..why should he inherit them..Let George and TOm Delay take the heat. We soon will need another Roosevelt. and I do not see one on the horizon..Dennis Kucinich will do..He knows adversity. and then the world will be proud of America again.

[paula777]

20. What currencies are you converting your US dollars to?

I have a 401k I want to do SOMETHING with before is plunges in value

edit - typo

[cyclezealot]

49. missed your reply earlier.

sorry...we are going to retire to the South of France...Euros..as is much of the Orient and the Gulf oil states...Saddam made this threat..I think this is a factor in bush's war..In fact up until this weeks poor stock performance , the dollar had gained a couple pennies...Think about starting with about 100K to make way for our housing purchase...If the dollar hits above 85 cents, we will be heading to the bank that very day.

[ewagner]

3. I hate to see this happening

I know Dubya's economic policies have been disasterous and that they cannot be sustatined but it's the middle class that will suffer....

Remember the movie The Carpetbaggers ? They talked about Cord (George Pepard's character)during the depression...he was so rich that he was "...above the depression..." Dubya and his friends are like that...they are ABOVE the coming economic crisis.

It's a pity...they are the ones who should suffer....

[cyclezealot]

4. I agree but..

If American's were dumb enough to buy snake oil , they get what they deserve..We blue people knew better and Blue people should legally inherit their assets , when we say..."We told you so.."

[PeaceProgProsp]

7. All boats are lifted by a rising tide.

And all boats are going to sink when the tide goes down (except for the yachts of the super wealthy, of course).

Unless you're super wealthy, "We told you so" is going to be cold comfort..

[cyclezealot]

10. The red people did it to us blue people

that is why we should inherit their assets. call it reparations.

[PeaceProgProsp]

11. What assets? They're going to suffer. We're going to suffer.

Nobody is better off.

Gloating about other people suffering is cold comfort. You're going to suffer too.

[cyclezealot]

12. Yes..But I hate stupidity.

Promise of tax cuts for the rich..are American's instincts that far off........actually, we predicted this..Luckily we are close to retirement age....yes, we could suffer..But since your First Amendment under Bush/Scalia is a dream...we gotta go..
We have liquified our assets....Hope our home equity is secure..Homes are cheap in Southern France...We are about outa here.
I predict Europe will weather future oil shocks much better than the US...Hope the country does not get too regressive . good luck...

[PeaceProgProsp]

13. Did you see how Dean says we shouldn't talk down to voters?

Rather than gloating, maybe time would be better spent trying to find clearer, simpler ways to state the truth.

It's not the red state voters who are stupid. It's Democrats who can't figure out how to state obvious truths in ways that everyone can understand who are stupid, if you ask me. (And by the way, we didn't even run in red states in 2004! How stupid is that? These red staters didn't hear ANY reason to vote for a Democrat last year.)

[cyclezealot]

14. We don't even debate issues.

On the campaign trail...Little is accomplished..Our idiotic elections are held at advertisment offices for tv spots at about $50,000 a minute. All brought to you by Wall Street...
Talk down to people..Can't even access them...
Our debates rigged sessions where formats allow only for certain issues to be aired...also, brought to you by private interests who pay for the TV time.
Nah..Democrats don't know how to wage an ad campaign..besides, hate is a better communicator over spot ads. a better zinger. sorry to be so cynical..But cynical is realistic..
the only way Americans will come to their senses is another depression when the ruling class will need someone to bail the out.

[PeaceProgProsp]

15. gloating about other people suffering (saying you deserve their assets)

is the sort of mentality that keeps the red states red.

Democrats won all their blue states this year, which was great. They lost a couple border states, which was bad. They didn't even bother trying to win south of the border. In the wake of that strategy are people like you who gloat about the suffering in the red states and call them stupid.

Stupid? We didn't even try to tell them that this would happen. We ignored them. We let the Republicans tell them that terror and values were the only things that mattered and we didn't even try to tell them the Republicans weren't telling them the truth.

[cyclezealot]

16. Should not have to tell them.

As some of our more alturistic founding fathers said..we would keep our republic only if we had an informed citizenry..
Our media stinks...An informed citizenry should know this...they are lazy in their being informed, well, crap happens. our media is against our values because they are owned by our masters.
our message is just unimportant to the national debate.. RUsh Limbaugh and O'Reilly will beat you every time.
besides ,pretty much now, even our votes are counted by private interests not accountable to the public. talk about a staked deck.

[PeaceProgProsp]

17. I have a feeling that in 2008 we will make argument to red staters

and we will win because they finally will learn why they should be voting Democratic.

That's what Clinton did: he competed in every state and gave everyone a reason to vote Democratic.

And maybe we shouldn't have to make the argument, but we'll learn that it's easier when you do make the argument. And I guess a sign of intelligence will be whether we apperciate the lesson.

[BillZBubb]

18. Sorry, but red staters on average are a stupid bunch.

You claim we didn't talk to them, we didn't campaign there. Well, I live in a red state. I talk to them all the time. Frankly, Democrats could talk until they are blue in the face and it wouldn't make a bit of difference. These people are that dumb. They are programmed by their religion, racism, and their biases to vote Repug no matter what the facts are. Facts don't matter. They are truly sheeple.

Somehow, I know enough to vote against Repugs at every opportunity. I didn't need Kerry to campaign here to figure that out. Why is that? How come I can do it, but the people you are an apologist for cannot?

Red staters will stay red until the Repug economy bites them really hard on the ass. Then they'll vote for a Dem to fix it up before going back to the Repugs. Bet on it.

[cyclezealot]

21. Fatalism needed?

Some here say we talk to them wrong.. Well. One should show interest in their own well being...A Repug issue...
the current Bankruptacy Bill...partianship should have nothing to do with it...It is their economic well being..
Not really that hard to stay informed...Can be...To be informed on the bankruptacy bill...JUST watch C Span...that easy..
Should be an uprising ...But no...
YOu show no interest in your well being you get what you get.
BUt, their will be a reaction to the Bankruptacy bill....when will we ever learn...I hope it will bite the Repugs in the azz...
Heard Rep. McDermott just say...Debate over the Bankruptacy bill in COngress this week....Repug. House RUles committee..NOT allow debate by denying amendment process.....House Rules Committee said no debate in US House...Old bill considered years ago, hence no need for debate.
Can't have debate in the COngres, how the hell we gonna have it in the body politic...If the public does get bit and learns their needed lessons, will those lessons hold. ?

[PeaceProgProsp]

31. I didn't say Dems talk to them wrong. I said they didn't talk at all.

We pulled out of Missouri when we were closing and we barely visited any other southern state unless it was for an overnight fundraiser.

[natrat]

22. i heard down at the fillin station next to the tastee freeze

that the democrats has been cavortin with the devil and homos

[BillZBubb]

35. Yep, I hear that all the time too.

I also hear the Dems are going to take away all the guns, put perverts in the courts, and let all the murderers and rapists go free. That and stop folks from a-prayin'.

We must go to the same Dairy Queen.

[Skittles]

40. I agree with you, amBushed

living in Texas that is exactly how I see it

[Barkley]

48. Write on amBushed!

I agree completely with your analysis.

I live in California and spend the summers in Cincinnati, where I was raised.

I am amazed at the mentality of people there. Its a mentality that you
accurately described in the message.

I would only add that the red-staters identified with Bush's
fake folksy persona.

[TheWatcher]

50. There is the matter of those Pesky Voting Machines

Owned by four PRIVATE CORPORATIONS, but hey, we're not supposed to discuss kooky things like that. :)

[Doctor_J]

23. How can we talk to the people?

the wingers own all the microphones :-(

[PeaceProgProsp]

30. Clinton won 5 southern states, so, "try campaigning in the south" might be

a good answer to that question.

Something like 40% of red staters will vote for just about any Democrat. To get the next 11% I say, run a candidate who is willing to campaign in the red states with a message that persuades red staters.

"It's the economy, stupid" seems to work.

[BillZBubb]

36. How many did Clinton get an absolute majority in?

It's the economy stupid didn't work in 2000 or 2004. Maybe if we ran a right wing third party candidate to siphon off votes, we could win in the South.

You won't persuade red staters to vote Democratic until they are crushed by the Repug economic mess. Then they'll vote Dem to clean it up, before going back to the Repugs.

[PeaceProgProsp]

37. Exit polls showed that without Perot he would have beaten

Bush by an even bigger margin.

We didn't run on the econony in 2000 or 2004.

[BillZBubb]

42. That's funny!

Exit polls showed Gore and Kerry winning too. Exit polls aren't worth spit.

[PeaceProgProsp]

45. Well, Clinton actually won in 92.

And more people who voted for Perot would have voted for him rather than Bush or wouldn't have voted at all.

[BillZBubb]

47. I beg to differ.

In the RED STATES, more people would have voted for Bush than Clinton without Perot. We are talking about the red states.

You are confusing numerous items here to make a point that isn't valid. First, Clinton didn't get close to a majority, even though he did win. Second, Perot voters would have gone primarily to Bush in the red states. Third, you are basing your position on national exit polls, not regional. Finally, exit polls as we have seen again and again are fatally flawed. We don't really know what would have happened without Perot in the race.

[Doctor_J]

38. that was before the ultra-right wing hate mongers took over

the entire radio dial and cable "news". The cable, radio, and newspaper coverage in 2000 and 2004 was nothing but free campaign ads for SMirk.

[PeaceProgProsp]

39. And I would score Bill 82% as articulator of progressive political values

So, throw in crappier media, and give me a Demcorat who scores 92% and I'm telling you, Democrats are going to win national elections.

We didn't even try to run in the south, so of course whatever the media tells you about Democrats is going to stick in places where we're not trying to argue a different version of reality. And we won all the solid blue states, and came close in Ohio which is run by Republicans, so the media clearly isn't holding us up there. The message works, when Democrats have a good one and work to sell it.

By the way, didn't Mondale win two states? How many did Dukakis win? Was the problem the media or was it the candidate/message? You admit that it's worse now since Clinton, so the media must have been even better for Dems when they did worse with Mondale and Dukakis. The problem is clearly the candidate and message, and not the media.

The media can be overcome with a great candidate and message. No amount of good media is gong to make up for a bad candidate and bad message, regardless of whether it's right wing or progressive.

[Strelnikov_]

5. But I Thought Rising Energy Prices Would Not Fuel Inflation?

Will Higher Oil Prices Fuel Inflation?
by Ronald R. Cooke

http://www.energybulletin.net/5330.html

A news story that compares the rising price of oil to the rate of inflation made the rounds of American media last month. Reporters, pundits and some economists repeated the parable without giving it much thought. The essential claim is that in 2005, higher oil prices will not drive up the rate of inflation as much as they did in the 1970s because oil consumption, as a percentage of GDP, has decreased by half since then. We have become much more efficient in our use of oil, claim the analysts, and therefore higher oil prices will only have a modest upward impact on inflation.

Rubbish.

[The_Casual_Observer]

24. Since energy prices aren't accounted for in the "core rate of inflation"

Theoretically gas could be $20/ gallon and inflation could be calculated as less than 1%.

I believe the core rate of inflation is now based on the cost of goods and services that are essentially outsourced to India and China and depressed crop prices.

[xchrom]

6. didn't you get the bush memo?

mission accomplished.

[On the Road]

8. The Market is Still Half Bullish

which is a good indication that the downtrend has a ways to go. After thrashing about for a few days, it's become orderly -- no whipsawing back and forth. That's another sign of a continuation.

I thought about closing out my large short position (USPIX) after Tuesday's end-of-day surge but thought better of it. I may actually make all that money back I lost last year.

Keep in mind, though, this is options expiration week when volatility increases and all bets are off. You could see a big move up or down after 2PM.

[dweller]

9. if we see 3 days straight triple digit losses

will the *moron claim another trifecta?

:shrug:

dp

[ProfessorGAC]

19. Well, Well, Well

Nobody in LBN or GD should be surprised. NOne of us believed in better economic conditions, and i have described the multivariate parameteres that PROVE we're right.

The econo-harlots have been WRONG, WRONG, WRONG, WRONG, WRONG!!!

There is NO economic recovery!!! Is that clear to everyone now?
The Professor

[mhr]

26. Unemployed 61 Months Now - You Are Absolutely Correct

Job growth coming out of the last recession, which ended in Nov 2001, has been the worst on record since the great depression.

Outsourcing, does not explain all of this dismal failure. A portion of it can be attributed to the poor economic performance of the US economy over the last four years.

[ProfessorGAC]

27. My Point, However, . . .

. . . is that the recession DID NOT end in November 2001. I quibble with the conventional definition of recession, because it presumes that anything that is NOT negative growth is counterrecessionary.

Growth should meet some statistical muster before it's consider "growth". Just not "sucking" does not make a good economy make.

The economists who are unwilling to challenge their Econ 101 assumptions are a big part of the problem.
The Professor

[mhr]

28. And I Agree Completely With Your Point

My personal experience is but one point of a proof that the recession did not end as stated.

However, we are stuck with the standard definitions of growth and recessions as a point of departure.

Professor, it would be good to see your thoughts on what metrics would be solid indicators of a recovering economy.

[ProfessorGAC]

32. I'll Send You A PM

It's somewhat dry and pedantic to post.
The Professor

[mhr]

34. Thanks Professor - I Look Forward To Reading It

eom

[llmart]

29. Agreed!

I've maintained that all along there was never any "recovery." It's recovery in the same sense of how we're winning the war on terror. It's all window dressing and propanda. If you have any common sense at all, you can see there was never any recovery.

[area51]

46. Exactly.

We've never recovered from Bush's recession.

[VegasWolf]

25. With Booze in charge, what does anyone expect? n/t

[NNN0LHI]

33. I just can't wait for mallet head Lou Dobbs...

...to tell me this is all the illegals fault tonight.

Don

[lovuian]

41. Disappointing!!! lets say Awful!!!

:nuke:

[Mountainman]

44. So how did Clinton manage to screw up the markets this time?

I couldn't have been anything those in charge in the government have been doing. They are repukes and we all know that they do everything right so it must have been due to something Clinton did in the 90's that is causing poor economic trends.

Poor Bush only inherited the problems Clinton left him more than 5 years ago and the problems that Clinton created were so monumental that nothing Bush could have done since then could overcome the mess Clinton left us in.

Do I have it right freeps?