STOCK MARKET WATCH, Friday, May 6, 2011

[Pale Blue Dot]

Source: du

STOCK MARKET WATCH, Friday, May 6, 2011

AT THE CLOSING BELL ON May 5, 2011

Dow 12,584.17 -139.41 (-1.11%)
Nasdaq 2,814.72 -13.51 (-0.48%)
S&P 500 1,335.10 -12.22 (-0.92%)
10-Yr Bond... 3.16 +0.00 (+0.10%)
30-Year Bond 4.27 +0.01 (+0.24%)

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Market Conditions During Trading Hours

Euro, Yen, Loonie, Silver and Gold

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Bush Administration Officials Convicted = 2
Names: David Safavian, James Fondren
Dishonorable Mention: former House majority leader, Tom DeLay

Bush Administration Officials Charged = 1
Name(s): Richard Lopez Razo

Financial Sector Officials Convicted since 1/20/09 = 11

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This thread contains opinions and observations. Individuals may post their experiences, inferences and opinions on this thread. However, it should not be construed as advice. It is unethical (and probably illegal) for financial recommendations to be given here.

Read more: du

[Pale Blue Dot]

1. Today's "Unexpected" and "Surprising" Reports

May 06 08:30 Nonfarm Payrolls Apr 175K 185K 216K
May 06 08:30 Nonfarm Private Payrolls Apr 200K 200K 230K
May 06 08:30 Unemployment Rate Apr 8.9% 8.8% 8.8%
May 06 08:30 Hourly Earnings Apr 0.1% 0.2% 0.0%
May 06 08:30 Average Workweek Apr 34.3 34.3 34.3
May 06 15:00 Consumer Credit Mar $5.0B $4.9B $7.6B

Read more: http://www.briefing.com/Investor/Public/Calendars/EconomicCalendar.htm#ixzz1LZKvBq64

[xchrom]

13. Oil, world stocks fall on U.S. growth concerns

http://www.reuters.com/article/2011/05/06/us-markets-global-idUSTRE71H0EB20110506

(Reuters) - Oil prices and world stocks fell further on Friday ahead of a key U.S. nonfarm payrolls report that could fuel concerns over global growth that have soured investor appetite for riskier assets.

Silver headed south again after a small pullback earlier from a record one-day plunge overnight, when investors scaled back risky positions in a broad-based selloff of commodities as concerns snowballed about a hitch in the U.S. economic recovery and a slowdown in China.

As gold retained its safe-haven status, rising nearly one percent, one fund manager said commodities could be in for further near-term declines as latecomers to the rally unwind their long positions.

U.S. crude futures fell by as much as $5 to $94.80 a barrel after their second largest single-day loss in the previous session due to a washout of overstretched long positions arising from unrest in North Africa and the Middle East, traders said.

[xchrom]

57. GLOBAL MARKETS-World stocks trim losses after U.S. jobs data

http://uk.reuters.com/article/2011/05/06/markets-global-idUKLDE7451B520110506

May 6 (Reuters) - World stocks pared losses and oil prices rose briefly on Friday after U.S. data showed jobs growth accelerated in April in the world's biggest economy.

A total of 244,000 jobs were added, U.S. non-farm payrolls data showed, above the 186,000 expected in a Reuters poll. However, the unemployment rate rose to 9 percent from 8.8 percent where analysts expected the rate to remain steady.

[Warpy]

93. I read late last night that oil futures were being dumped quickly worldwide

so that "ssssss" you all woke up to this morning would seem to be the air escaping from one particular bubble.

I won't believe it until and unless the prices fall to a more reasonable $70 or so.

[Pale Blue Dot]

45. Payrolls coming in way above "expected". Unemployment rate back up to 9.0%

More mixed messages. Still, my prediction is for a lot of crowing and for commodity prices to resume their upward trajectory.

[DemReadingDU]

47. unemployment rose to 9% because some people resumed looking for work

5/6/11 Employers added more than 200,000 jobs in April for the third straight month, the biggest hiring spree in five years. But the unemployment rate rose to 9 percent in part because some people resumed looking for work.

The Labor Department says the economy added 244,000 jobs last month. Private employers shrugged off high gas prices and created 268,000 jobs -- the most since February 2006.

more...
http://finance.yahoo.com/news/Economy-adds-244k-jobs-rate-apf-3274000399.html?x=0&sec=topStories&pos=main&asset=&ccode=


and yesterday, I read that there was less hiring because the gas prices were too high
:eyes:


edit to add article

5/5/11
“We have found that higher gas prices can lead to a slowdown in the pace of hiring,” said Daniel Silver, an economist at JPMorgan Chase.

more...
http://www.miamiherald.com/2011/05/05/2203258/high-gas-prices-may-be-prompting.html

[Pale Blue Dot]

48. Oil shot up $2/barrel right after the report was released. nt

[xchrom]

49. US STOCKS SNAPSHOT-Futures add to gains after payrolls

http://www.reuters.com/article/2011/05/06/markets-stocks-payrolls-idUSWEN286020110506

May 6 (Reuters) - U.S. stock index futures added to their gains on Friday following a better-than-expected read on the labor market.

According to the closely watched non-farm payrolls report from the U.S. Labor Department, 244,000 jobs were added in April, far more than had been anticipated. However, the unemployment rate rose to 9 percent from 8.8 percent where analysts expected the rate to remain steady.

[xchrom]

50. Job gains largest in 11 months, but jobless rate up

http://www.reuters.com/article/2011/05/06/us-usa-economy-jobs-idUSTRE7452AW20110506

(Reuters) - U.S. employment increased more than expected in April as private companies created jobs at the fast pace in five years, pointing to underlying strength in the economy, even though the jobless rate rose to 9.0 percent.

Nonfarm payrolls rose 244,000 last month, the most in 11 months, the Labor Department said on Friday. The private sector accounted for all of the job gains last month, with payrolls rising 268,000, the largest rise since February 2006.

The gain in overall payrolls, above economist' expectations for a 186,000 increase, was supportive of views the economic recovery would regain speed this quarter after stumbling in the first three months of the year on high commodity prices.

Data for the previous two months was revised to show 46,000 more jobs were added.

[AnneD]

61. Wait until...

the education numbers start coming in. They will be giving a 45 day notice soon to City of Houston workers.

I still would not get all worked up about this rosy scenario.

[xchrom]

71. +1

[Fuddnik]

72. It's starting here now.

Pinellas County (Clearwater, St. Pete) announced 1,000- 1,100 cuts last night. Hillsborough (Tampa) and Pasco up next. Not to mention, Sarasota and Manatee Counties.

You're looking at a potential 5,000 teacher cuts just in this area. But, all that will change once Rick Scott gets his corporate tax cuts through.

[AnneD]

87. Here is some news for you.....

the Mexican American community is trying get an organization going in Arizona to combat the Tea Party and encourage more Hispanic voting on a regular basis. They are calling it the Tequila Party. I know you are a vodka man but I thought you might switch allegiances.:evilgrin:

[Fuddnik]

96. Well, yesterday was Cinco de Margarito Day!

Or as I call it, Mexican St. Patricks Day.

I mixed up a potent pitcher. The wife had one and a half drinks, and passed out on the couch. :beer: :beer: :beer: :beer:

[Demeter]

108. You Reprobate! Intoxicating Helpless Innocents!

[AnneD]

109. How do you think Texas won....

their independence at the Battle of San Jacinto. The Texans attacked during siesta. Santa Anna got caught with his pants down and the army was passed out. I don't think tequila was involved but legend has it that Santa Anna was involved with the 'Yellow Rose' of Texas.

[Demeter]

107. My Sister Says: SHe'll Drink to that!

[Pale Blue Dot]

82. BLS Jobs Report: Nonfarm Payroll Headline Number Looks Good, Beneath the Surface, Awful

At that pace of hiring, the unemployment number would ordinarily drop, but not fast.

Instead, the unemployment rate ticked up. The reason is beneath the surface, employment fell by 190,000 according to the Household Survey.

According to the Household Survey, the number of unemployed rose by 205,000. Another 131,000 dropped out of the labor force or the unemployment rate would have been even higher.

Which survey to believe?

It is hard to say on one month's data. However, during a recovery the household survey is supposed to lead. Moreover, the household survey is more consistent with three recent reports.

http://globaleconomicanalysis.blogspot.com/2011/05/bls-jobs-report-nonfarm-payroll.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+MishsGlobalEconomicTrendAnalysis+%28Mish%27s+Global+Economic+Trend+Analysis%29&utm_content=Netvibes

[Demeter]

85. I'd hate to consider from WHERE exactly they pulled these convenient numbers

Date ET Release For Actual Briefing.com Consensus Prior Revised From

May 06 08:30 Nonfarm Payrolls Apr 244K 175K 185K 221K 216K

May 06 08:30 Nonfarm Private Payrolls Apr 268K 200K 200K 231K 230K

May 06 08:30 Unemployment Rate Apr 9.0% 8.9% 8.8% 8.8%

May 06 08:30 Hourly Earnings Apr 0.1% 0.1% 0.2% 0.2% 0.0%

May 06 08:30 Average Workweek Apr 34.3 34.3 34.3 34.3

May 06 15:00 Consumer Credit Mar $5.0B $4.9B $7.6B

Read more: http://www.briefing.com/Investor/Public/Calendars/EconomicCalendar.htm#ixzz1LarQNTyR

[Fuddnik]

97. Maybe they found them on Bin Ladens computer.

Hidden away in the porn file.

[tclambert]

102. How the reports are produced (news to me):

"The employment report is actually two separate reports which are the results of two separate surveys. The household survey is a survey of roughly 60,000 households. This survey produces the unemployment rate. The establishment survey is a survey of 375,000 businesses. This survey produces the nonfarm payrolls, average workweek, and average hourly earnings figures, to name a few."

Read more: http://www.briefing.com/Investor/Public/Calendars/EconomicReleases/employ.htm#ixzz1LbV3Ykzi
___________________________________

In this day and age, we still get these numbers from survey samples? I thought some government computer was tracking the actual numbers, all of them.

So the household survey samples 60,000 households out of about 100 million. That's less than one tenth of one percent 0.1%. My calculator says 0.06%.

The establishment survey samples 375,000 businesses out of I know not how many. I would guess, though, that there are fewer businesses than households. Let's say there are 10 million. That's 3.75%, way higher than the sample percentage in the household survey, but still a pretty low number.

If they are calculating all their totals based on these small samples, then how big are the error bars? Why doesn't the report include that + or - figure scientists like to use? C'mon, margin of error 4%? 5%? 20%? Give me a clue.

[Pale Blue Dot]

2. Oil sinks below $96 ahead of US jobs report

SINGAPORE – Oil prices sank below $96 a barrel Friday in Asia, extending a sharp drop from the previous session amid investor concern a weak U.S. jobs market may undermine demand for crude.

Benchmark crude for June delivery was down $3.86 at $95.94 a barrel at late afternoon Singapore time in electronic trading on the New York Mercantile Exchange. In London, Brent crude for June delivery was down $3.79 to $107.01 a barrel on the ICE Futures exchange.

The contract plunged $9.44 to settle at $99.80 on Thursday — the biggest one-day percentage decline since April, 2009 — because of signs U.S. economic growth is slowing. The Labor Department said that first-time claims for unemployment benefits rose to 474,000 last week, the highest level in eight months.

Investors will be closely watching the government's non-farm payroll numbers scheduled to be released later Friday. Economists forecast that employers added 185,000 workers in April and the unemployment rate is expected to remain unchanged at 8.8 percent.

http://news.yahoo.com/s/ap/oil_prices

Funny thing - the prices at my favorite gas station actually went up a penny overnight.

[xchrom]

7. When a sell-off is good news

http://www.economist.com/blogs/buttonwood/2011/05/commodities

THE sharp sell-off in commodity prices yesterday seems to be continuing this morning (May 6th). It raises a whole set of questions, particularly as equities have sold off in tandem.

Surely a sharp fall in the oil price ought to be good news? The surge in petrol prices has acted as a tax increase on western consumers, and this fall will relieve some of the pressure on their wallets. Ole Hansen of Saxo Bank says the sell-off began when the first quarter GDP numbers from the US were weaker-than-expected; yesterday's higher-than-expected weekly jobless claims exacerbated the trend. However, one of the main bullish arguments for commodities was that emerging market demand was now driving prices; that was why prices had rebounded so quickly even though the developed world recovery was still pretty weak. There is no evidence, as yet, that the Chinese economy is faltering.

Given those fundamentals, the case for arguing that commodity prices have been driven to excess by speculators looks rather stronger. Silver is a case in point. Its strength owes nothing to fundamentals and a lot to investors seizing upon it as a "poor man's gold"; in one recent session, the silver ETF saw more trading volume than its S&P 500 equivalent. Silver's headlong rise looked very bubble-like and the Chicago futures exchange has increased margin requirements sharply; as Mr Hansen puts it, traders had the choice of putting up more cash or taking profits. They have clearly done the latter. (This just shows what can be done by the authorities to pop bubbles if they wish; if only lower loan-to-value regulations had been imposed in the US housing market.)



:shrug: i have no idea and take this with a grain of salt.

[Pale Blue Dot]

9. "arguing that commodity prices have been driven to excess by speculators looks rather stronger."

Yeah, no kidding. :grr:

[hamerfan]

12. This!

"the case for arguing that commodity prices have been driven to excess by speculators looks rather stronger"
Thanks for the link, xchrom!
:yourock:

[Demeter]

16. Good find!

[DemReadingDU]

22. commodity prices have been driven to excess by speculators

No kidding! But there are many that can't see this has been happening.

[xchrom]

10. Oil below $109, extending deep drop

http://www.reuters.com/article/2011/05/06/us-markets-oil-idUSTRE7446BH20110506

(Reuters) - Oil prices fell on Friday, extending a 10 percent crash the previous day as fears about global economic recovery pushed investors to unwind commodities positions.

"The big drop yesterday has scared the bulls, so now only bears are left," said Thorbjoern Bak Jensen, an analyst at Global Risk Management.

"The instinct is to liquidate. Even if you are a bull, you need to have deep pockets to ride this out," said one Singapore-based trader.

Brent crude shed just over $5 in the early hours of trade but recovered as the dollar dropped, trading around $1.98 lower at $108.82 a barrel at 6:13 a.m. ET.

[Demeter]

11. Not Funny; It's Par for the Course

But there's NO speculation in commodities, no sir!

I refuse to think that Obama's "investigation" into oil price speculation triggered the oil drop...because if it were so, nothing else would be dropping, AND gas pump prices would have fallen off.

It wasn't a triple witching hour, or something, was it?

Maybe everyone decided to sell everything and go away in May? That seems irrational, but it's possible....

Or maybe the long-anticipated crash of Reality and Denial is finally taking place in a market near you....all markets...

[DemReadingDU]

27. 5/5/11 Karl Denninger's opinion yesterday

5/5/11 "But It's All Money Printing!"
"Cheap money" - that is, unlimited leverage - will drive markets higher. For a while. It creates speculative manias. It creates the feeling of wealth. It creates a "high", much like an addictive drug.

But it is not wealth. It is not prosperity. And it is not sustainable.
more...
http://market-ticker.org/akcs-www?post=185534

[Demeter]

38. He has a way with words!

"The real economy, on the other hand, continues to suck. Gas prices have reached the point of demand destruction. It's $3.96 for regular here today, although I'm sure with oil off $9 it'll come in over the next few days."

I've heard more than one person say a trip was canceled due to gas prices, and it's not even Memorial Day.

[Loge23]

19. Down $ 0.02 in Miami overnight (eom)

[Roland99]

64. Hovering just under $100/bbl right now. Jobs report saving the freefall

[Fuddnik]

73. More margin calls will start it again.

Propaganda is one thing. Your bottom line is reality.

[Roland99]

81. It's pushing over $101 now. Dollar up agains the Euro, too.

yay for speculation/manipulation!

[Demeter]

86. Thank God for Reality

It's designed for those without grandiose imaginations...

[Pale Blue Dot]

3. U.S. Stock-Index Futures Gain; Benchmark S&P 500 May Pare Weekly Decline

U.S. stock-index futures advanced, indicating the Standard & Poor’s 500 Index will trim the biggest weekly drop since November.

Contracts on the S&P 500 expiring in June climbed 0.3 percent to 1,339.6 at 10:18 a.m. in London.

http://www.bloomberg.com/news/2011-05-06/u-s-stock-index-futures-gain-benchmark-s-p-500-may-pare-weekly-decline.html

[Pale Blue Dot]

4. Commodities Slide for Fifth Day as Oil, Silver Drop; U.S. Futures Advance

Commodities tumbled for a fifth day, led by oil and silver, on concern economic growth is faltering. U.S. stock index futures rose, indicating the Standard & Poor’s 500 Index may gain for the first time in five days.

The S&P GSCI index of 24 commodities fell 1.2 percent at 6:50 a.m. in London, bringing this week’s decline to 11 percent, as oil lost 1.8 percent in New York and silver sank 4 percent. S&P 500 index futures gained 0.3 percent, and the Stoxx Europe 600 Index advanced 0.2 percent. The five-year Treasury note yield rose one basis point, while the yen weakened against all but two of its 16 most-traded counterparts.

An unexpected increase in U.S. jobless claims yesterday, swelling energy inventories and a strengthening dollar are spurring investors to scale back bets that drove up the S&P GSCI index by more than 20 percent this year through the end of last week. American payrolls probably cooled in April as companies curbed spending, economists said before the Labor Department releases figures today.

“The broader question in markets is how deep the risk correction will be,” Kit Juckes, London-based head of foreign- exchange research Societe Generale SA, wrote in a report today. “The mood remains edgy and a shock in payrolls, in either direction, could trigger weakness in equities and equity-related currencies. It’s been a long one-way trend and a one-day correction would be very surprising.”

http://www.bloomberg.com/news/2011-05-06/asian-stocks-drop-after-biggest-slump-in-commodities-since-2009-yen-falls.html

I have a feeling that IF the unemployment numbers come in worse than expected, this could be a very bad day on Wall Street. If they come in better than expected, everything could rocket right back up again.

[Pale Blue Dot]

5. Commodities Tank

We’ve been sayin’ the commodities runup and the fixation on inflation looked like a rerun of spring 2008: a liquidity-fueled hunt for inflation hedges when the deflationary undertow was stronger. That observation is now looking to be accurate.

But what may prove different this time is the speed of the reversal. With investors acting as if Uncle Ben would ever and always protect their backs, markets moved into the widely discussed “risk on-risk off” trade, a degree of investment synchronization never before seen. All correlations moving to one historically was the sign of a market downdraft, not speculative froth. And as we are seeing, that means the correlation will likely be similarly high in what would normally be a reversal, and that in turn increases the odds that it can amplify quickly into something more serious.

The only way to stem this unhealthy pattern of cross market connection is structural measures, meaning measures to reduce the tight coupling of financial markets which allows developments in one market to propagate quickly to seemingly not so closely related markets. But we are a long way away from seeing the authorities consider, much the less act, to stem the free flow of capital, which has long been depicted as virtuous. The work of Carmen Reinhart and Kenneth Rogoff on financial crises shows the reverse, that high levels of international capital flows are strongly correlated with larger and more severe implosions. But we may have to test the current system to destruction before we can develop the will to fix it.

It’s premature to call this anything other than a sharp correction. Recall in February 2007 that a plunge in Chinese stock markets produced two weeks of jangled nerves and roiled markets, and May 2010, the first serious dose of Euromarket sovereign debt worries, was no party either, yet the markets appeared to shrug those events off. But the underlying financial system has been patched up with duct tape and baling wire, and the thorniest issues, namely, undercapitalized banks and global imbalances (both China-US and within the Eurozone) remain unaddressed. The “It’s not a global financial crisis” sounds awfully reminiscent of “subprime is contained.” It was until it wasn’t.

http://www.nakedcapitalism.com/2011/05/commodities-tank.html

[Demeter]

15. "test to destruction"

The Kid does that to everything in the house...hang onto your hats, it's gonna be a bumpy ride.

Yves has such a way with words. the coupling of the markets is that "water sloshing in the bathtub" effect....

[Demeter]

88. And the Withdrawal of Margin Is like Pulling the Plug

and watching the liquidity drain out of the world economy....

Tough luck, Bernanke. Better luck next time...oh, that's right, you won't get a next time...

[xchrom]

59. Still betting on falling gold? Experts say WHY NOT

http://www.moneycontrol.com/news/commodities/still-bettingfalling-gold-experts-say-why-not_541172.html

Despite heavy buying on the auspicious day of Akshaya Tritiya, both gold and silver tumbled on weak global cues. Silver nose-dived by Rs 6,000 to Rs 53,200 per kg and gold plummeted by Rs 225 to Rs 22,120 per 10 grams.

So is it advisable to bet on both, or, in fact, either of the precious metals today? Gnanasekar T of Comtrendz says why not. "Gold will end today's trade close to Rs 21,400-21,800 per 10 grams." He sees the current correction as a healthy one and says the rally is likely to continue on surging inflation and an intact Fed policy. "The metal may touch Rs 23,500-24,000 by this year end," he added.

However, Alex Mathew, head of research at Geojit BNP Paribas Financial Services expects another 2-3% correction in gold prices.

[xchrom]

63. Silver a bubble? Experts say it lacks essentials for spike

http://www.moneycontrol.com/news/commodities/silverbubble-experts-say-it-lacks-essentials-for-spike_541077.html

ilver has tumbled down post a huge sharp increase in the margins. With the ongoing fall, in an exclusive interview with CNBC-TV18, experts Rajini Panicker of MF Global Commodities India and Tarang Bhanushali of IIFL analyse on whether the silver story was only a bubble.

Panicker says that silver lacks the basic fundamentals to sustain a huge hike. She says silver will hold support at "around USD 31 a tri ounce to USD 32 tri ounce, which is about Rs 46,000 in the Indian market." However, she says it may see a rebound if broader fundamentals, like interest rates, soverign debt crises and middle-east tension bring in money into precious metals.

Comeback cues: Expert sees silver hikes return by year-end

Bhanushali stays a net buyer at current levels with a two day perspective. However, he says, "investors with a medium-term view should expect a bounce to around USD 36 levels and then s/he can go short keeping a target of USD 31 per ounce."

[tclambert]

100. Her name is Panicker? Seriously?

A woman named Panicker gets quoted in a story about a commodities bubble, and you didn't make this up?

[xchrom]

104. i'm clever -- but not that clever. nt

[tclambert]

101. I don't know about the other commodities, but I called the silver bubble.

Let me just add, "Ta-da!"

[Pale Blue Dot]

6. Restaurants Lift Prices as Inflation Hawks See Fed Behind Curve

Dining out will cost more this year as U.S. restaurants take advantage of the nearly two-year long expansion to boost prices on food and drinks.

Higher-priced menus reflect growing confidence by eateries that consumers can afford to pay more to eat out. Restaurants are emboldened in part by the success of U.S. airlines, which have raised fares almost 10 percent since a year ago, according to Dean Maki, chief U.S. economist at Barclays Capital in New York.

“The fact that the airline industry was able to pass along cost increases signals that the pricing environment has become somewhat more favorable than it was during the heart of the recession,” Maki said. “It’s more likely restaurants will be able to pass along price increases now relative to the last few years.”

Higher food and fuel costs are spurring menu changes, which are reflected in the food-services category of the personal- consumption-expenditures price index. Purchased meals and beverages, which make up about 6 percent of core PCE, rose nearly 2 percent in March from a year ago, the biggest increase since November 2009, according to data from the Bureau of Economic Analysis in Washington.

http://www.bloomberg.com/news/2011-05-06/restaurants-raising-prices-in-trend-inflation-hawks-cite-to-criticize-fed.html

[Pale Blue Dot]

8. Closings canceled on some bank-owned homes after court rules against MERS

Local Realtors say title companies are canceling closings on some bank-owned homes after a recent Michigan Court of Appeals decision made it more risky to insure them.

Late last month, the court ruled the Mortgage Electronic Registration System lacks authority to foreclose by advertisement in Michigan. The system is an electronic record-keeper of mortgages.

Foreclosures on two homeowners in Grandville and Jackson are on hold because of the ruling. The ruling could also impact thousands of foreclosures that have already been sold to other buyers, industry experts say.

Raymond DeBates, president of Colonial Title in St. Clair Shores, said that he has not had to cancel any closings yet, but he has put some files aside and is waiting for underwriters to indicate whether the deals can close or not.

http://www.freep.com/article/20110505/BUSINESS04/105050469/Closings-canceled-some-bank-owned-homes-after-court-rules-against-MERS

[Demeter]

17. Good Show!

It is fortunate that our little condo didn't get tied up in MERS---when all the nasty was going on, we were a co-op and "not eligible" for such chicanery.

[xchrom]

14. asia: Japan closely watching forex after yen regains steam

http://www.reuters.com/article/2011/05/06/businesspro-us-japan-economy-noda-idUSTRE74510W20110506

(Reuters) - Japan warned on Friday it was closely watching currency markets but stopped short of using stronger language threatening action, a sign the yen's rise to a seven-week high has not alarmed policymakers enough to consider intervening in the market.

Despite the yen's brief rise near levels hit just before the G7 currency intervention on March 18, many analysts suspect intervention by Japanese authorities, let alone joint G7 action, is less likely now with the yen's ascent more moderate than back then, when the dollar tumbled 3 yen in a single day.

Finance Minister Yoshihiko Noda said on Friday he will closely watch movements in foreign exchange and financial commodity markets.

When asked whether Tokyo will discuss the yen's sharp rise with G7 counterparts, he would not comment directly and said: "At this point we will carefully watch (market moves)."

[xchrom]

37. Nikkei falls on commodities rout, eyes on US jobs

http://uk.reuters.com/article/2011/05/06/markets-japan-stocks-idUKL3E7G60NL20110506

TOKYO, May 6 (Reuters) - Japan's Nikkei average fell 1.5
percent on Friday as a rout in oil and commodity prices
pummelled resource stocks and sent the yen higher, hurting
shares of exporters, while caution ahead of U.S. jobs data
prompted profit-taking.

The Nikkei suffered its biggest daily percentage loss since
April 12 after gaining 4.6 percent over the previous three
trading sessions.

A surge in weekly claims for U.S. jobless benefits helped
trigger selling after the benchmark index closed on Monday above
the 10,000 mark for the first time since the March 11
earthquake. Japanese financial markets were closed between
Tuesday to Thursday for public holidays.

"Sharp falls in commodities prices and the yen's firmness
prompted selling. Investors saw today as a good opportunity to
square off some positions ahead of more corporate earnings next
week," Nagayuki Yamagishi, a strategist at Mitsubishi UFJ Morgan
Stanley Securities.

[xchrom]

52. China says it will discuss currency in Washington

http://hosted.ap.org/dynamic/stories/A/AS_CHINA_US?SITE=AP&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2011-05-06-07-11-56

BEIJING (AP) -- China is ready to discuss its currency controls at talks in Washington next week, a Chinese official said Friday, but he gave no sign Beijing will act on U.S. pressure to speed the rise of its yuan.

U.S. officials say they plan to raise currency at annual talks Monday and Tuesday and also press Beijing to open its market for financial services. American officials say the yuan is undervalued, swelling China's trade surplus and hurting foreign competitors at a time when the United States and other countries are trying to create jobs.

Currency policy is a "sovereign right" but Beijing is ready to "intensify communications" with Washington, said a deputy Chinese finance minister, Zhu Guangyao, at a news conference.

Zhu gave no indication Beijing might speed up the yuan's rise, which U.S. Treasury Secretary Timothy Geithner said in a speech this week is too slow. The yuan, which is also known as the renminbi, has gained about 5 percent against the dollar since Beijing promised more flexibility last June, but American manufacturers and others say it still is undervalued by up to 40 percent.

[xchrom]

53. China auto market cools as GM sales fall in April

http://hosted.ap.org/dynamic/stories/A/AS_CHINA_GM?SITE=AP&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2011-05-06-06-16-39

SHANGHAI (AP) -- General Motors Co. and its joint ventures sold 203,367 vehicles in China in April, down nearly 5 percent from a year earlier as growth cools in the world's largest auto market.

GM said Friday that sales by its flagship venture Shanghai GM rose 7.4 percent to 96,219 vehicles in April. That rise was offset, however, by slowing sales growth for its other China operations. GM and its ventures sold 213,115 vehicles in China in April 2010.

China's auto market, which overtook the U.S. in 2009, is still growing, with sales up 32 percent last year to over 18 million vehicles. Overall sales are forecast to rise more than 10 percent this year, topping 20 million vehicles.

Official vehicle sales for April are due next week. In the first quarter of the year sales rose just 8 percent, suggesting that global automakers looking for a shortcut to faster growth will find the going a bit harder this year.

[xchrom]

54. Buffett-backed BYD moves ahead with China IPO

http://hosted.ap.org/dynamic/stories/A/AS_CHINA_BYD_AUTO_IPO?SITE=AP&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2011-05-06-07-13-57

SHANGHAI (AP) -- Chinese car and battery maker BYD Co. is awaiting approval from China's stock regulators for a share offering on the Shenzhen Stock Exchange aimed at raising cash for a major expansion.

The China Securities Regulatory Commission is due to review the application on Monday. BYD did not give any timetable for its initial public offering in the prospectus seen Friday on the CSRC's website.

MidAmerican Energy, a subsidiary of billionaire investor Warren Buffett's Berkshire Hathaway, has a 9.9 percent stake in BYD, which has been investing heavily in expanding its auto production capacity despite a 33 percent drop in its profit last year.

BYD has not specified the price for its planned listing of 79 million shares, or 3.4 percent of its enlarged capital, in Shenzhen, the country's smaller, second market. The company, whose shares are also listed in Hong Kong, had postponed the mainland Chinese IPO last year, awaiting a better market environment.

[xchrom]

58. Asia Fuel Oil-Taiwan Formosa sells May fuel oil at lower price

http://www.reuters.com/article/2011/05/06/fueloil-formosa-tender-idUSL3E7G61GT20110506

May 6 (Reuters) - Taiwan's Formosa Petrochemical has sold 55,000 tonnes of May-loading fuel oil at slightly weaker price levels, amid a weakening market weighed down by high Western arbitrage arrivals, traders said on Friday.

A 40,000-tonne high-sulphur, high-density lot and a 15,000-tonne low 3-15-centistoke (cst) pyrolysis fuel oil (PFO) cargo, for May 15-17 loading from Mailiao, were both sold to Singapore trader Kuo Oil at a discount of around $27.00 and a premium of $100-$101.00 a tonne, respectively, to Singapore spot quotes on free-on-board (FOB) basis.

Formosa last sold a late April-loading 40,000-tonne high sulphur fuel oil parcel to Kuo Oil as well, at a discount of $31.00-$32.00 a tonne to Singapore spot quotes, FOB.

[xchrom]

67. Japan's monetary base leaps 23.9% in April

http://news.xinhuanet.com/english2010/business/2011-05/06/c_13861580.htm

OKYO, May 6 (Xinhua) -- The monetary base in Japan shot up 23. 9 percent in April from a year earlier, rising for the 32nd consecutive month from a 16.9 percent annual increase logged in the previous month, the Bank of Japan (BOJ) said in a report on Friday.

The average daily balance of the monetary base stood at 121.893 trillion yen (1.51 trillion U.S. dollars), compared to 112.7432 trillion yen booked a month earlier, the central bank said.

The BOJ has ensured that since the March 11 twin disasters that devastated regions in the east and northeast of Japan there is enough liquidity in money markets to so that banks and other financial institutions can continue lending not just to the public, but also to each other.

[Demeter]

90. Makes Uncle Ben Look Like a Piker

[xchrom]

68. Chinese shares finish lower on weak regional markets

http://news.xinhuanet.com/english2010/china/2011-05/06/c_13862268.htm

BEIJING, May 6 (Xinhua) -- Chinese shares closed lower Friday, tracking weak regional markets and overnight losses on Wall Street.

The benchmark Shanghai Composite Index dropped 8.52 points, or 0.3 percent, to 2,863.89. The Shenzhen Component Index inched down 0.15 percent, or 18.38 points, to finish at 12,067.61.

Combined turnover rose to 174.8 billion yuan (26.89 billion U.S. dollars) from 158.41 billion yuan on the previous trading day.

Gainers outnumbered losers by 523 to 342 in Shanghai and 781 to 388 in Shenzhen.

[xchrom]

69. China's yuan strengthens against USD on Friday

http://news.xinhuanet.com/english2010/china/2011-05/06/c_13861786.htm

BEIJING, May 6 (Xinhua) -- The value of Chinese currency Renminbi (RMB), or the yuan, gained 22 basis points against the U.S. dollar on Friday.

The central parity of yuan was set at 6.5003 per U.S. dollar on Friday, compared with 6.5025 on Thursday, according to the China Foreign Exchange Trade System.

The yuan hit a record high of 6.4990 per U.S. dollar on April 29.

[xchrom]

77. Hyundai-Kia Grabs Record Market Share in U.S.

http://english.chosun.com/site/data/html_dir/2011/05/06/2011050600755.html

Hyundai-Kia Automotive Group posted record sales in the U.S. last month with its market share exceeding 9 percent for the first time. The group said Wednesday it sold 108,828 vehicles there in April, accounting for 9.4 percent of the market, up 0.9 percentage point from March. It outpaced Nissan to rank 6th in the U.S., which saw total sales of 1.16 million vehicles in April.

Mainly thanks to a sharp rise in local production, Hyundai Motor America's sales surged 40 percent on-year to 61,754 vehicles in April, and Kia Motors America's 57 percent. Models manufactured at the carmakers' U.S. plants, such as the Sonata, Elantra and Sorento R, pushed up the market share.

Meanwhile, the imported car market in Korea continued to see brisk sales. The number of foreign vehicles sold here totaled 8,204 in April, up 13.8 percent on-year although lower than the 20.3 percent in March when the figure surpassed a record 10,000.

[xchrom]

78. S.Korean Accused of Doing Business with N.Korean Hackers

http://english.chosun.com/site/data/html_dir/2011/05/06/2011050600827.html

Police are investigating charges that South Korean netizens profited from an online game hacking program they bought from North Korean hackers via ethnic Korean brokers in China. According to the Seoul Central District Prosecutors' Office, a 49-year-old man identified by his surname Im paid a large sum of money to a North Korean hacker unit believed to be based in Shenyang, China via an ethnic Korean broker and asked them to develop a hacking program for the online game "Lineage."

The program Im requested was apparently a so-called "auto program" that automatically hunts and kills monsters in the game and accrues items such as special weaponry or game money. Prosecutors seized Im's e-mail records and confirmed that he received the program from the ethnic Korean broker.

[Demeter]

18. AIG quarterly net income drops 85%/Insurer to cover cost of Treasury selling its stake, estimated at

Insurer to cover cost of Treasury selling its stake, estimated at $385M

http://www.marketwatch.com/story/aig-quarterly-net-income-drops-85-2011-05-05?siteid=YAHOOB

American International Group Inc. reported an 85% drop in quarterly net income late Thursday as the government-owned insurer absorbed more than $1 billion in losses from catastrophes like the March 11 earthquake and tsunami in Japan. Shares of AIG slipped 0.9% at $30.50 in after-hours trading. The stock is down about 36% so far this year.

First-quarter net income attributable to AIG was $269 million, compared with $1.8 billion a year earlier, the company said. On a per-share basis, AIG reported a net loss of 35 cents, versus a profit of $2.66 a share in the first quarter of 2010.

The insurer said it had to deduct more than $800 million from net income per share because of accounting rules. More than half of that was related AIG’s recent recapitalization, in which the Treasury Department got lots of common stock in return for preferred shares. The other part — $385 million — represents AIG’s agreement to cover the future cost of the Treasury’s sales of the common stock it is now holding.

First-quarter operating income, which excludes net realized investment gains and losses and several other items, came in at $2.03 billion, or $1.30 a share. That was up from $637 million, or 95 cents a share, in the year-ago period.

[Demeter]

43. Natural disasters take their toll on AIG

AIG’s first-quarter profit slumped 85 per cent as losses from natural disasters offset gains that the insurer booked on securities and other assets

Read more >>
http://link.ft.com/r/9ULF66/BM2GJD/VTVRG/IYMO9I/EWA1K2/FW/t?a1=2011&a2=5&a3=6

[Demeter]

20. I'm With Wally On This

[xchrom]

21. Boeing holds up 747-8 line for a month as work backs up

http://seattletimes.nwsource.com/html/businesstechnology/2014974777_boeing06.html

Boeing will stop moving planes forward on its 747-8 jet production line in Everett for a month so mechanics can catch up on a backlog of thousands of unfinished jobs that are choking the line.

Boeing said the temporary halt won't affect the first delivery of a freighter model of the jumbo jet to Cargolux, scheduled for summer.

Spokesman Jim Proulx said the company is "evaluating the effect on the delivery schedule" for subsequent airplanes and keeping customers informed.

Elizabeth Lund, 747-8 vice president and program manager, sent a note to employees Thursday afternoon, telling them the production line will freeze in place from May 6 through June 7. The planes won't move from their positions so they can be worked on.

[xchrom]

23. Gigwalk pays iPhone users to snap photos, verify addresses and other odd jobs

http://latimesblogs.latimes.com/technology/2011/05/gigwalk-hires-iphone-users-to-snap-photos-verify-locations-and-other-small-jobs.html

Gigwalk is looking to pay iPhone users to explore their cities, snap photos, verify locations and report back what they've found.

"There are millions of people out there in the world with smartphones in their pockets," said Ariel Seidman, Gigwalk's co-founder and chief executive. "They're consuming content, but we'd like to make people participants in a sort of mobile workforce. And that's what we do, we offer up small gigs that you can do on your way home from work, or before dinner with friends. And you can earn a little money in the process."

The whole process works by way of an iPhone app. Once a user downloads the Gigwalk app, fills out a short application to register themselves as a "gigwalker" and is approved, they are then able to view and choose odd jobs in their local area.

The listings all feature tasks that allow someone to user their phone to collect information and report it back to the company posting the gig within the Gigwalk app.

[Demeter]

24. Carlyle faces questions over China investments

Carlyle, the US private equity group, is facing questions over its investments in two Chinese companies that have been accused of fraud and suspended from trading on stock exchanges in Hong Kong and New York.

The scrutiny comes at an unwelcome time for Carlyle, as the manager of some $106bn in funds seeks to burnish its reputation ahead of a planned initial public offering.

Read more >>
http://link.ft.com/r/9ULF66/EW78HN/1O51V/BM01CK/3OTIJB/MQ/t?a1=2011&a2=5&a3=5

[xchrom]

34. questions? -- how about the guillotine? nt

[Demeter]

36. It was Other People's Money

Now if it had been Chinese investors....

[Demeter]

25. RE: today's cartoon

The proper question for the soldier to ask is: "Why do I listen to this idiot?"

Rush is very popular with the armed forces, I've been told.

[xchrom]

26. europe: Recovery fears crimp FTSE as US jobs data looms

http://uk.reuters.com/article/2011/05/06/markets-britain-stocks-idUKLDE74513X20110506

LONDON, May 6 (Reuters) - Global growth concerns ahead of non-farm payroll data in the U.S. kept Britain's FTSE 100 in negative territory by midday on Friday, with energy stocks leading the fallers as oil continued its descent.

The FTSE 100 .FTSE was down 18.75 points, or 0.3 percent, at 5,901.23 by 1057 GMT.

Investors watched nervously as London's blue chip index tested mid-April lows of 5,858.32.

"People are looking for negative catalysts and looking at the non-farm payrolls if it disappoints we could see a fall of over 100 points," said Joe Rundle, head of trading at ETX Capital.

[xchrom]

29. Coalition to stick to economic plan - Alexander

http://uk.reuters.com/article/2011/05/06/uk-britain-vote-coalition-minister-idUKTRE7450QC20110506

(Reuters) - Danny Alexander on Friday said the government must stick to a four-year austerity programme despite his Liberal Democrat party's poor showing in local elections.

"The task for the whole coalition is to carry on, to stick to the task, to deliver on the plans that were set out, particularly to deliver on the plan for the economy," he told Sky News.

[Demeter]

30. It Seems EVERYONE talks about US employment

but NOBODY does anything about it...including the government.

[xchrom]

35. +1

[xchrom]

31. UK Stocks -- Factors to watch on Friday May 6

http://uk.reuters.com/article/2011/05/06/markets-britain-factors-idUKLDE69007720110506

May 6 (Reuters) - Britain's FTSE 100 .FTSE is seen opening 4 to 10 points lower on Friday, with investors nervously awaiting non-farm payrolls data from the United States after a sharp sell-off in the previous two sessions.

The blue-chip index is seen falling as much as 0.2 percent, according to financial bookmakers, after it slid 1.1 percent to 5,919.98 points in the previous session, bringing its losses to 2.5 percent for the week so far.

A sharp sell-off in commodities has led to big falls in miners and energy stocks, but metal prices and crude prices have stabilised as investors look to see if the U.S. employment data may revive a sense that the global economy is recovering fast.

The median consensus view for non-farm payrolls due for release at 1230 GMT is that 186,000 jobs will have been created in April, but analysts said that investors were positioning themselves for a lower number, so if it matches expectations there could be a bounce in equities.

[xchrom]

39. European shares slip ahead of U.S. payrolls data

http://uk.reuters.com/article/2011/05/06/markets-europe-stocks-idUKLDE7450NQ20110506

LONDON, May 6 (Reuters) - European shares dipped on Friday morning as caution prevailed ahead of a U.S. payrolls report which could point to a slowing of momentum in the world's largest economy.

Traders looked to square positions and reduce exposure to risk ahead of the non-farm payrolls data and the weekend, giving a boost to defensive stocks in the STOXX Europe 600 healthcare .SXDP and food sector .SX3P which rose 0.6 and 0.4 percent to limit falls in the wider market.

By 0836 GMT, the pan-European FTSEurofirst 300 .FTEU3 index of top shares was down 0.2 percent at 1,129.36 points, on track to fall for the fourth straight session.

The payrolls report at 1230 GMT is expected to show employers added 186,000 jobs in April, with private jobs up 200,000.

[xchrom]

79. U.S. jobs data boosts European shares

http://www.reuters.com/article/2011/05/06/markets-europe-stocks-idUSLDE7451I120110506

LONDON, May 6 (Reuters) - European shares gained on Friday on global recovery hopes after U.S. nonfarm payroll data rose more than expected and commodity stocks featured among the top performers.

By 1311 GMT, the pan-European FTSEurofirst 300 .FTEU3 index of top shares was up 1 percent at 1,143.04 points after being as low as 1,125.21 and following sharp falls in the previous sessions on growth concerns.

Volume was 69.7 percent of its 90-day average.

Investor confidence improved after nonfarm payrolls rose 244,000, which was above economist expectations and supported the view economic recovery would regain momentum this quarter.

[Demeter]

28. Republicans split over Medicare plan

Republicans in the House of Representatives have splintered over plans to reform Medicare, the healthcare programme for the elderly, entering new budget talks in apparent disarray

Read more >>
http://link.ft.com/r/ZE9K33/YHUSUF/9MEOW/40TR4O/WLF47Z/YT/t?a1=2011&a2=5&a3=6

CONFUSION TO THE ENEMIES OF THE PEOPLE!

[Demeter]

32. Medvedev expected to target capital flight

Russia has failed to improve its investment climate, a top aide says, as the president draws up economic reform plans on which to base a possible re-election bid

Read more >>
http://link.ft.com/r/ZE9K33/YHUSUF/9MEOW/40TR4O/QFE2OM/YT/t?a1=2011&a2=5&a3=6

MR. GEITHNER, MR. BERNANKE, MR. OBAMA: PICK UP THE WHITE COURTESY PHONE...

[Demeter]

33. Brazilian imports of US ethanol soar

US exports of ethanol to Brazil have soared during the past year as the real’s rise against the dollar and the high price of sugar have undermined the competitiveness of Brazil’s domestically produced biofuel

Read more >>
http://link.ft.com/r/ZE9K33/YHUSUF/9MEOW/40TR4O/IY5B1X/YT/t?a1=2011&a2=5&a3=6

WE ARE TURNING FOOD INTO FUEL AND EXPORTING IT? THERE'S SOMETHING VERY WRONG HERE...

[AnneD]

70. ITA.....

:wtf:

[xchrom]

40. Deloitte sees millionaire growth hitting $202tn by 2020

http://www.arabianbusiness.com/deloitte-sees-millionaire-growth-hitting-202tn-by-2020-398254.html

The total wealth of millionaires in 25 major economies could more than double to $202 trillion over the next decade, according to a new report from the Deloitte Centre for Financial Services.

The study, which does not include the Middle East, shows the United States and Europe will continue to have the greatest concentrations of wealth, even as emerging markets narrow the gap.

Among emerging markets, Deloitte said it expects China to continue to be the driving force in the growth of millionaire wealth, followed by Brazil and Russia.

Of the 25 countries examined in this study, China and South Korea will join the top 10 countries in terms of the total number of millionaires by 2020.

[Demeter]

41. GM profit gains driven by stake disposals

General Motors gave a sobering assessment of its performance, despite more than trebling first-quarter net earnings to $3.2bn

Read more >>
http://link.ft.com/r/9ULF66/BM2GJD/VTVRG/IYMO9I/M9KOJM/FW/t?a1=2011&a2=5&a3=6

[Demeter]

42. Goldman chief to face questions on his future

When Lloyd Blankfein faces Goldman Sachs shareholders at the annual meeting on Friday, he will be hit by a barrage of familiar questions - including whether it will be his last appearance as executive chairman

Read more >>
http://link.ft.com/r/9ULF66/BM2GJD/VTVRG/IYMO9I/UUJMLE/FW/t?a1=2011&a2=5&a3=6

ANYONE WHO COMES AFTER WILL BE BETTER?

[Demeter]

44. Visa lifts profits 24% on higher spending

Consumer spending boosts the US payment processor, which reported earnings of $881m in the second quarter and introduced a new $1bn stock repurchase plan

Read more >>
http://link.ft.com/r/9ULF66/BM2GJD/VTVRG/IYMO9I/9ZOFMT/FW/t?a1=2011&a2=5&a3=6

[xchrom]

46. middle east: Tamweel sees quarterly profits up four-fold as provisions fall

http://www.arabianbusiness.com/tamweel-sees-quarterly-profits-up-four-fold-as-provisions-fall-398074.html

Islamic mortgage provider Tamweel posted a jump in first quarter net profits to $7.4m, more than the company made in the whole of 2010.

The company, which is majority owned by Dubai Islamic Bank, also confirmed it would resume trading on May 10 after a two-year hiatus.

Tamweel's quarterly results built on the $7.1m profits recorded in 2010, a swing away from the company’s $14.8m loss posted during 2009.

First-quarter profits amounted to a little over four times the results posted in the same quarter last year, the company said in a statement to Dubai bourse on Thursday.

[xchrom]

51. AP IMPACT: CEO pay exceeds pre-recession level

http://hosted.ap.org/dynamic/stories/U/US_CEO_PAY?SITE=AP&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2011-05-06-08-36-42

NEW YORK (AP) -- In the boardroom, it's as if the Great Recession never happened.

CEOs at the nation's largest companies were paid better last year than they were in 2007, when the economy was booming, the stock market set a record high and unemployment was roughly half what it is today.

The typical pay package for the head of a company in the Standard & Poor's 500 was $9 million in 2010, according to an analysis by The Associated Press using data provided by Equilar, an executive compensation research firm. That was 24 percent higher than a year earlier, reversing two years of declines.

Executives were showered with more pay of all types - salaries, bonuses, stock, options and perks. The biggest gains came in cash bonuses: Two-thirds of executives got a bigger one than they had in 2009, some more than three times as big.

[xchrom]

55. One Million Apply for 62,000 Jobs…with McDonald’s

http://www.allgov.com/Top_Stories/ViewNews/One_Million_Apply_for_62000_Jobs__with_McDonalds_110506

There has been so much talk in Washington and in the news about the national debt, terrorism, wars and healthcare that one might think these are the issues that most concern Americans in 2011. But opinion polls consistently show that none of these issues is as important to most Americans as the Big Issue: unemployment and the economy.

An unusually vivid example occurred on April 19, which McDonald’s declared National Hiring Day, encouraging people across the country to apply for a job.

The world’s biggest restaurant chain reported that it received one million applicants for open positions, which resulted in 62,000 people gaining employment. Another 900,000 plus were turned down.

[xchrom]

56. Majority of States Challenge Mandatory Health Care as Unconstitutional

http://www.allgov.com/Top_Stories/ViewNews/Majority_of_States_Challenge_Mandatory_Health_Care_as_Unconstitutional_110506

A little more than half of the nation’s states have joined together to challenge the federal healthcare reform law, arguing that the legislation’s core requirement for all Americans to carry health insurance, known as the health insurance mandate, is unconstitutional.

Attorneys general from 26 states have filed a motion in the Atlanta-based 11th Circuit Court of Appeals to uphold a lower court ruling that found Congress and President Barack Obama overstepped their federal authority in creating the insurance mandate.

To date, judicial decisions regarding the healthcare law have fallen along partisan lines: three Democratic-appointed judges have upheld it; and two Republican-selected judges have ruled against it. Legal experts say the matter may go all the way to the U.S. Supreme Court, which could find itself split on the topic.

[xchrom]

60. india: Market holds ground: Is it best to offload stocks now?

http://www.moneycontrol.com/news/market-outlook/market-holds-ground-is-it-best-to-offload-stocks-now_541182.html

The Indian market was due for a pullback and it couldn't have come at a better time on an auspicious occasion like Akshaya Tritiya. It was a classic pullback led by rate sensitives like autos and banks which were wacked out of shape by the bears this week.

The Sensex ended at 18518.81, up 308.23 points or 1.69% and the Nifty closed at 5551.45, up 91.60 points or 1.68%. The breadth of the market was also encouraging. About 1674 shares advanced, 1178 shares declined, and 783 shares remain unchanged.

[xchrom]

62. Gold down despite heavy buying on Akshaya Tritiya

http://www.moneycontrol.com/news/commodities/gold-down-despite-heavy-buyingakshaya-tritiya_541170.html

Even as buying activity remained high on the auspicious day of 'Akshaya Tritiya', both the precious metals tumbled today on weak global cues. Silver nose-dived by Rs 6,000 to Rs 53,200 per kg and gold plummeted by Rs 225 to Rs 22,120 per 10 grams.

Retail customers resorted to active gold buying to mark the day of Akshaya Triitya, considered to be an auspicious occasion in Hindu mythology to make token purchases.

[xchrom]

74. What Is Akshaya Tritiya?

http://blogs.wsj.com/indiarealtime/2011/05/06/what-is-akshaya-tritiya/?mod=mktw

Depending on whom you’re consulting, Akshaya Tritiya, which falls on Friday this year, is the day the Hindu goddess of food was born (there’s a reason many Indian restaurants are called Annapurna after her), the beginning of the period of eternity that Hindus call the Age of Truth (in case you’re wondering, apparently we’re in the Age of Strife now), or the birthday of an incarnation of the god Vishnu, the preserver.

The first word—Akshaya—means “that which never diminishes.” The second word—derived from the Sanskrit root for “three”—specifies when in the lunar calendar it falls.

It has also become the focus of a major marketing initiative by the World Gold Council in recent years.

“It’s part of a strategy to deseasonalize the demand for gold,” said Vasudha Jha, India spokeswoman for the gold mining industry body, the World Gold Council, which works with sellers to encourage gold demand. “It’s a huge marketing opportunity to really support our partners…the belief is that if you buy, what you buy on Akshaya Tritiya can never get destroyed.

[xchrom]

75. SKS Shares Sink Ahead of Results

http://blogs.wsj.com/indiarealtime/2011/05/06/sks-shares-sink-ahead-of-results/

SKS Microfinance Ltd., which launched one of India’s most high-profile initial public offerings of 2010, is struggling to hold value ahead of its quarterly results announcement.

The company’s share price tumbled nearly 20% Friday to close at a new low of 331 rupees ($7.40) – down almost 70% from its mid-August listing price of 1,085 rupees – after investment bank J. P. Morgan said SKS Microfinance may need more capital and its business model had weakened due to regulatory changes.

As India’s largest microfinance institution, SKS Microfinance garnered huge attention for its IPO. The 17 million share offer was subscribed nearly 14 times and investors included George Soros’s Quantum (M) Ltd., Sequoia Capital, venture capitalist Vinod Khosla and Infosys Ltd. founder N.R. Narayana Murthy.

But the company has been plagued with problems ever since.

[xchrom]

76. Do Politicians Have the Guts to Raise Fuel Prices?

http://blogs.wsj.com/indiarealtime/2011/05/06/do-politicians-have-the-guts-to-raise-fuel-prices/

It doesn’t take a genius to see that India’s current policy of massively subsidizing fuel prices is unsustainable, particularly with global crude oil prices now topping $100, and that the current path could dampen the nation’s economic growth, widen its budget deficit, and make India less energy secure over time.

And yet, New Delhi doesn’t seem to have the political guts to pass on the costs of rising prices to consumers by raising prices at the pump. The stakes are only getting higher and prominent voices in the government are starting to acknowledge the obvious, that India can’t keep all its promises – to its own population and the world – if it stays on this course.

No less than the economic adviser to Prime Minister Manmohan Singh told Dow Jones Newswires Thursday that ballooning subsidies for oil will make it tough for India to meet its deficit target of 4.6% for the fiscal year ending in March, down from 5.1% in the previous year. He also revised one half percentage point downward the nation’s estimate of GDP growth to 8.5%, a sign that all is not well in the Indian economic engine.

Deepak Mahurkar, associate director of the oil and gas practice at PricewaterhouseCoopers in India, said there are discordant voices in the Indian establishment about how to proceed on oil prices, with elected officials finding it politically difficult to raise prices, even though various elements of the bureaucracy increasingly see the writing on the wall.

[Roland99]

65. Before the opening bell - Party time!

DJIA INDEX 12,671.00 +101.00
S&P 500 1,346.10 +11.10
NASDAQ 100 2,402.00 +23.00

[xchrom]

66. Cisco Shakeup: Speed And Time For Margins

http://blogs.forbes.com/quentinhardy/2011/05/05/cisco-shakeup-speed-and-time-for-margins/

Cisco is going back to the core. It’s going to find some other people there, though.

Cisco just announced (the release is here) it is “streamlining” sales, services and engineering to focus more intensely on routing, switching, and services; collaboration; data center virtualization and cloud; video; and architectures for business transformation.

There was no word on how this will affect corporate headcount. There are, however, rumors about steep cutbacks coming in the contractor side – those non-employee employees companies may have inside for years, but can hire and fire with a lot less visibility.

Both moves sense, given the eroding margins and difficulty in the consumer market Cisco has faced. Chief executive John Chambers indicated moves like this after Cisco’s last (disappointing) quarter ,when he said, “Internally we will further prioritize and realign resources (for) a higher level of accountability…we believe we need to execute better,” adding , “this last remark is primarily for the Cisco family.”

[Roland99]

80. Horse racing industry stuck at a slow trot

http://www.marketwatch.com/story/horse-racing-industry-stuck-at-a-slow-trot-2011-05-06

(link to audio on page)


Headed off to the beach tomorrow but will watch the Kentucky Derby in my Dad's condo so at least I'll be able to see it. Was going to have a big party planned in the new house but my Dad changed his dates he was headed to his timeshare. Next year maybe... :)

[Demeter]

91. Luck, Roland!

Got any favorites?

[Roland99]

95. Well, now that I'm practically in DisneyWorld's backyard....

I'd have to say Animal Kingdom. :)
But, he's only run on the dirt once...he's a turf horse so that's kinda iffy.


Nehro has a bad PP (no one's ever won from 19)


Stay Thirsty is in a good PP as well as the favorite, Dialed In.


I haven't yet looked up the Dosage Index for the entries but, honestly, that's been kinda out the window the last few years.


Pulling a name from a hat probably has a decent shot this year! :)

[DemReadingDU]

83. ZeroHedge - Breaking: Greece Threatens To Leave Eurozone, Reintroduce Own Currency

5/6/11 Breaking: Greece Threatens To Leave Eurozone, Reintroduce Own Currency

# GREECE THREATENS TO LEAVE EURO AREA, GERMANY'S DER SPIEGEL SAYS
# FINANCE MINISTER FROM EUROZONE AND EU COMMISSION HOLDINGS CRISIS MEETING TODAY IN LUXEMBOURG
# MEETING AGENDA INCLUDES POSSIBLE NEAR-TERM DEBT RESTRUCTURING FOR GREECE
# EUROGROUP CHAIRMAN JUNCKER "TOTALLY DENIES" MEETING TO BE HELD TODAY TO DISCUSS GREECE

* And cue panic and furious denials:

# French finance ministry official cannot neither confirm or deny Spiegel report of emergency Eurozone meeting
# Austrian Finance Minister spokesman says Eurozone breakup "absolutely unthinkable"
# German government source says theres no plan for Greece to leave the Eurozone

http://www.zerohedge.com/article/breaking-greece-threatens-leave-eurozone-reintroduce-own-currency


edit to add
5/6/11 Athens Mulls Plans for New Currency
Greece Considers Exit from Euro Zone
The debt crisis in Greece has taken on a dramatic new twist. Sources with information about the government's actions have informed SPIEGEL ONLINE that Athens is considering withdrawing from the euro zone. The common currency area's finance ministers and representatives of the European Commission are holding a secret crisis meeting in Luxembourg on Friday night.
more...
http://www.spiegel.de/international/europe/0,1518,761201,00.html

[xchrom]

84. +1

[AnneD]

89. Now if ....

Ireland can tell these banksters to bite it.......:dilemma:

[Demeter]

92. Where there's smoke

there may be a wildfire.

This would be interesting, and NOT affect us. That would be a nice change....

[Roland99]

94. Oil declines 2.6% to settle at $97.18 a barrel

[Festivito]

98. Debt: 05/04/2011 14,333,813,490,636.00 (UP 2,021,049,738.28) (Wed, UP a little.)

(OVER the old debt limit of 14.294-trillion dollars by 40-billion dollars. Good day.)
Oh, what a silly fun fight.
(Debt under Obama seems to jump up big then drop slowly maybe up a little and down a little for days--repeat.)
= Held by the Public + Intragovernmental(FICA)
= 9,698,384,234,058.33 + 4,635,429,256,577.71
UP 80,372,925.23 + UP 1,940,676,813.05

Source: Debt to the penny:
http://www.treasurydirect.gov/NP/BPDLogin?application=np

THINKING IN BILLIONS: Think 3 or 4 dollars per billion in a 312-Million person America.
If every American, man, woman and child puts in $3.21 THAT'S 1B$, and $3,205.81 makes 1T$.
A family of three: Mom, Dad, Child: $9.62, ABOUT TEN BUCKS for a 1B$ federal program.
I hope that is clear. However, I'd suggest using $3 per 1B$ to underestimate it.
Use $4 per 1B$ to overestimate the cost when thinking: Is the federal program worth it?
Aid to Dependant Children: 2B$/yr =$8/yr(a movie a year) Family of 3: $24/yr(an hour of bowling)

PERSONALIZED DEBT:
Every 12 seconds we net gain another American, so at the end of the workday of the report, there should be 311,933,792 people in America.
http://www.census.gov/population/www/popclockus.html ON 10/04/2010 04:37 -> 310,403,677
Currently, each of these Americans owe $45,951.46.
A family of three owes $137,854.38. (And that is IN ADDITION to their mortgage.)

ANALYSIS:
There were 22 reports in the last 30 days.
The average for the last 22 reports is 4,085,542,109.98.
The average for the last 30 days would be 2,996,064,213.98.

There were 252 reports in 365 days of FY2007 averaging 1.99B$ per report, 1.37B$/day.
There were 253 reports in 366 days of FY2008 averaging 4.02B$ per report, 2.78B$/day.
There were 75 reports in 112 days of GWB's part of FY2009 averaging 8.03B$ per report, 5.38B$/day.
There were 174 reports in 253 days of Obama's part of FY2009 averaging 7.33B$ per report, 5.07B$/day so far.
There were 249 reports in 365 days of FY2009 averaging 7.57B$ per report, 5.16B$/day.
There were 251 reports in 365 days of FY2010 averaging 6.58B$ per report, 4.53B$/day.
There were 147 reports in 216 days of FY2011 averaging 5.25B$ per report, 3.57B$/day.
Above line should be okay

PROJECTION:
There are 627 days remaining in this Obama 1st term.
By that time the debt could be between 15.2 and 17.6T$.
It could be higher. It could be lower.

HISTORICAL:
President's term begins and ends on Jan 20.
(Guess who might want to hide the Reagan Bush years. Jan 20 data is missing before 1993.)
01/20/1993 _4,188,092,107,183.60 WJC Inaugural
01/22/2001 _5,728,195,796,181.57 WJC (UP 1,540,103,688,997.97)
01/20/2009 10,626,877,048,913.08 GWB (UP 4,898,681,252,731.43)
05/04/2011 14,333,813,490,636.04 BHO (UP 3,706,936,441,722.96 so far since Obama took office.)

FISCAL YEAR DEBT CHANGE, Sep 30 prior year to Sep 30 named year:
(One "* " for each 40B$ reached)
FY1994 +0,281,261,026,873.94 ------------* * * * * * * WJC
FY1995 +0,281,232,990,696.07 ------------* * * * * * * WJC
FY1996 +0,250,828,038,426.34 ------------* * * * * * WJC
FY1997 +0,188,335,072,261.61 ------------* * * * WJC
FY1998 +0,113,046,997,500.28 ------------* * WJC
FY1999 +0,130,077,892,735.81 ------------* * * WJC
FY2000 +0,017,907,308,253.43 ------------WJC
FY2001 +0,133,285,202,313.20 ------------* * * C&B
01-WJC +0,053,598,528,417.78 ------------* WJC 31% of FY, 40% of FY-Debt
01-GWB +0,079,686,673,895.42 ------------* GWB 69% of FY, 60% of FY-Debt
FY2002 +0,420,772,553,397.10 ------------* * * * * * * * * * GWB
FY2003 +0,554,995,097,146.46 ------------* * * * * * * * * * * * * GWB
FY2004 +0,595,821,633,586.70 ------------* * * * * * * * * * * * * * GWB
FY2005 +0,553,656,965,393.18 ------------* * * * * * * * * * * * * GWB
FY2006 +0,574,264,237,491.73 ------------* * * * * * * * * * * * * * GWB
FY2007 +0,500,679,473,047.25 ------------* * * * * * * * * * * * GWB
FY2008 +1,017,071,524,649.92 ------------* * * * * * * * * * * * * * * * * * * * * * * * * GWB
FY2009 +1,885,104,106,599.30 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * B&O
09GWB +0,602,152,152,000.60 ------------* * * * * * * * * * * * * * * GWB 31% of FY, 32% of FY-Debt
09-BHO +1,282,951,954,598.70 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO 69% of FY, 68% of FY-Debt
FY2010 +1,651,794,027,380.00 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO
FY2011 +0,772,190,459,744.30 ------------* * * * * * * * * * * * * * * * * * * BHO
Endof11 +1,304,858,878,734.58 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO

LAST FIFTEEN REPORTS OF ADDITIONS TO PUBLIC DEBT(NOT FICA):
04/14/2011 +004,827,508,513.07 ------------*********
04/15/2011 +021,566,615,397.70 ------------**********
04/18/2011 +000,320,133,441.47 ------------******** Mon
04/19/2011 +000,498,845,624.51 ------------********
04/20/2011 +000,031,154,878.79 ------------*******
04/21/2011 -029,604,944,039.31 -
04/22/2011 +000,169,463,975.78 ------------********
04/25/2011 +000,297,069,525.13 ------------******** Mon
04/26/2011 +000,207,526,568.97 ------------********
04/27/2011 -002,332,483,455.54 --
04/28/2011 -007,710,203,842.40 --
04/29/2011 +013,870,888,452.00 ------------**********
05/02/2011 +043,070,259,587.79 ------------********** Mon
05/03/2011 +000,283,435,714.90 ------------********
05/04/2011 +000,080,372,925.23 ------------*******

45,575,643,268.09 Total of 15 above reports.

Heavy borrowing seems to start after 09/18/2008 while Bush was in power JUST BEFORE fiscal year end.
Bush admin borrowed $962,245,245,654.01 in those last 124 days in office crossing two fiscal years.
$360,093,093,653.42 in last 12 days of FY2008, and $602,152,152,000.59 in subsequent 112 days before leaving office.

For a prettier and more explanatory view of our nation's debt:
http://www.brillig.com/debt_clock
http://www.usdebtclock.org/
DUer primer on National debt

(Debt to the penny keeps changing. Stuff is missing. Best to keep our own history.) LAST REPORT:
http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=102&topic_id=4839948&mesg_id=4839973

[Festivito]

99. Debt: 05/05/2011 14,321,667,187,751.50 (DOWN 12,146,302,884.49) (Thu, DOWN a lot.)

(OVER the old debt limit of 14.294-trillion dollars by 28-billion dollars. Good day.)
13 minutes to get a salad and water out of McDonald's. Sheesh.
(Debt under Obama seems to jump up big then drop slowly maybe up a little and down a little for days--repeat.)
= Held by the Public + Intragovernmental(FICA)
= 9,680,662,997,068.88 + 4,641,004,190,682.67
DOWN 17,721,236,989.45 + UP 5,574,934,104.96

Source: Debt to the penny:
http://www.treasurydirect.gov/NP/BPDLogin?application=np

THINKING IN BILLIONS: Think 3 or 4 dollars per billion in a 312-Million person America.
If every American, man, woman and child puts in $3.21 THAT'S 1B$, and $3,205.73 makes 1T$.
A family of three: Mom, Dad, Child: $9.62, ABOUT TEN BUCKS for a 1B$ federal program.
I hope that is clear. However, I'd suggest using $3 per 1B$ to underestimate it.
Use $4 per 1B$ to overestimate the cost when thinking: Is the federal program worth it?
Aid to Dependant Children: 2B$/yr =$8/yr(a movie a year) Family of 3: $24/yr(an hour of bowling)

PERSONALIZED DEBT:
Every 12 seconds we net gain another American, so at the end of the workday of the report, there should be 311,940,992 people in America.
http://www.census.gov/population/www/popclockus.html ON 10/04/2010 04:37 -> 310,403,677
Currently, each of these Americans owe $45,911.46.
A family of three owes $137,734.39. (And that is IN ADDITION to their mortgage.)

ANALYSIS:
There were 22 reports in the last 30 days.
The average for the last 22 reports is 2,705,578,402.44.
The average for the last 30 days would be 1,984,090,828.45.

There were 252 reports in 365 days of FY2007 averaging 1.99B$ per report, 1.37B$/day.
There were 253 reports in 366 days of FY2008 averaging 4.02B$ per report, 2.78B$/day.
There were 75 reports in 112 days of GWB's part of FY2009 averaging 8.03B$ per report, 5.38B$/day.
There were 174 reports in 253 days of Obama's part of FY2009 averaging 7.33B$ per report, 5.07B$/day so far.
There were 249 reports in 365 days of FY2009 averaging 7.57B$ per report, 5.16B$/day.
There were 251 reports in 365 days of FY2010 averaging 6.58B$ per report, 4.53B$/day.
There were 148 reports in 217 days of FY2011 averaging 5.14B$ per report, 3.50B$/day.
Above line should be okay

PROJECTION:
There are 626 days remaining in this Obama 1st term.
By that time the debt could be between 15.2 and 17.6T$.
It could be higher. It could be lower.

HISTORICAL:
President's term begins and ends on Jan 20.
(Guess who might want to hide the Reagan Bush years. Jan 20 data is missing before 1993.)
01/20/1993 _4,188,092,107,183.60 WJC Inaugural
01/22/2001 _5,728,195,796,181.57 WJC (UP 1,540,103,688,997.97)
01/20/2009 10,626,877,048,913.08 GWB (UP 4,898,681,252,731.43)
05/05/2011 14,321,667,187,751.55 BHO (UP 3,694,790,138,838.47 so far since Obama took office.)

FISCAL YEAR DEBT CHANGE, Sep 30 prior year to Sep 30 named year:
(One "* " for each 40B$ reached)
FY1994 +0,281,261,026,873.94 ------------* * * * * * * WJC
FY1995 +0,281,232,990,696.07 ------------* * * * * * * WJC
FY1996 +0,250,828,038,426.34 ------------* * * * * * WJC
FY1997 +0,188,335,072,261.61 ------------* * * * WJC
FY1998 +0,113,046,997,500.28 ------------* * WJC
FY1999 +0,130,077,892,735.81 ------------* * * WJC
FY2000 +0,017,907,308,253.43 ------------WJC
FY2001 +0,133,285,202,313.20 ------------* * * C&B
01-WJC +0,053,598,528,417.78 ------------* WJC 31% of FY, 40% of FY-Debt
01-GWB +0,079,686,673,895.42 ------------* GWB 69% of FY, 60% of FY-Debt
FY2002 +0,420,772,553,397.10 ------------* * * * * * * * * * GWB
FY2003 +0,554,995,097,146.46 ------------* * * * * * * * * * * * * GWB
FY2004 +0,595,821,633,586.70 ------------* * * * * * * * * * * * * * GWB
FY2005 +0,553,656,965,393.18 ------------* * * * * * * * * * * * * GWB
FY2006 +0,574,264,237,491.73 ------------* * * * * * * * * * * * * * GWB
FY2007 +0,500,679,473,047.25 ------------* * * * * * * * * * * * GWB
FY2008 +1,017,071,524,649.92 ------------* * * * * * * * * * * * * * * * * * * * * * * * * GWB
FY2009 +1,885,104,106,599.30 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * B&O
09GWB +0,602,152,152,000.60 ------------* * * * * * * * * * * * * * * GWB 31% of FY, 32% of FY-Debt
09-BHO +1,282,951,954,598.70 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO 69% of FY, 68% of FY-Debt
FY2010 +1,651,794,027,380.00 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO
FY2011 +0,760,044,156,859.80 ------------* * * * * * * * * * * * * * * * * * * BHO
Endof11 +1,278,415,286,884.00 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO

LAST FIFTEEN REPORTS OF ADDITIONS TO PUBLIC DEBT(NOT FICA):
04/15/2011 +021,566,615,397.70 ------------**********
04/18/2011 +000,320,133,441.47 ------------******** Mon
04/19/2011 +000,498,845,624.51 ------------********
04/20/2011 +000,031,154,878.79 ------------*******
04/21/2011 -029,604,944,039.31 -
04/22/2011 +000,169,463,975.78 ------------********
04/25/2011 +000,297,069,525.13 ------------******** Mon
04/26/2011 +000,207,526,568.97 ------------********
04/27/2011 -002,332,483,455.54 --
04/28/2011 -007,710,203,842.40 --
04/29/2011 +013,870,888,452.00 ------------**********
05/02/2011 +043,070,259,587.79 ------------********** Mon
05/03/2011 +000,283,435,714.90 ------------********
05/04/2011 +000,080,372,925.23 ------------*******
05/05/2011 -017,721,236,989.45 -

23,026,897,765.57 Total of 15 above reports.

Heavy borrowing seems to start after 09/18/2008 while Bush was in power JUST BEFORE fiscal year end.
Bush admin borrowed $962,245,245,654.01 in those last 124 days in office crossing two fiscal years.
$360,093,093,653.42 in last 12 days of FY2008, and $602,152,152,000.59 in subsequent 112 days before leaving office.

For a prettier and more explanatory view of our nation's debt:
http://www.brillig.com/debt_clock
http://www.usdebtclock.org/
DUer primer on National debt

(Debt to the penny keeps changing. Stuff is missing. Best to keep our own history.) LAST REPORT:
http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=102&topic_id=4841587&mesg_id=4842314

[xchrom]

103. Stocks ride jobs hopes to gains, end week down 1%

http://www.marketwatch.com/story/stocks-ride-jobs-hopes-to-gains-end-week-down-1-2011-05-06?dist=afterbell

SAN FRANCISCO (MarketWatch) -- U.S. stocks ended Friday's session with moderate gains, retreating from highs reached after a report showed a surprise burst in jobs growth. Clipping the day's gains, concerns about Europe's financial stability returned on a report Greece may consider leaving the European Monetary Union, and oil stocks cooled their advance.

[hamerfan]

105. "a report showed a surprise burst"

How totally frikkin' unexpected! :sarcasm:

[xchrom]

106. 'surprise' is the hallmark of our age. Nt