An interesting article in today's Wall Street Journal talks about the costs of possible countrywide health coverage without focusing on what Americans really want and need.
United Healthcare offers our family low co-pays for doctor's visits, even of specialists, hospital coverage and drugs, and covers catastrophic health insurance, without coverage for teeth or eye-care or cosmetic surgeries. Usually, it's fine.
But what if we do someday have huge expenses? We would want to have them covered.
How efficient can a country be where a third of the population cannot afford basic coverage? By now, it should be clear that there are huge personal and business tragedies that should have been prevented. Costly emergency visits, mortgage defaults and personal bankruptcy and business failures are often caused by out-of-control health care expenses in America. This reduces the attractiveness of the country inside and outside.
Preventive health care is a good idea with incentives for keeping in shape still to be dreamed up. If physician business tax costs are lowered and insurance agent costs are close to eliminated, health care should return to doctors with simplification and computerization of medical care where possible to cut costs.
We would all like to be able to choose doctors according to our own preferences (usually determined by their competence, personality, availability when needed and location). But who wants medical insurance agents meddling inside of that relationship?
At the present time some doctors over-prescribe expensive procedures that could have been prevented by having advice from a better doctor. Patients are better off being protected from those procedures, and health care costs could be reduced as well.
Efficiencies in the health care field could be internationalized by constantly checking the experiences of other countries that have been successful in satisfying their populations while lowering rates of sickness, long hospital stays and death.
Making appropriate health care readily available, and protecting the sickest and their families makes good political sense, and should help the bottom line of American businesses, governments, schools and non-profits.
Incentivized peer accountability for the most expensive procedures (prior to taking money from patients) and inexpensive coverage would go far to alleviate patient stress. Health care efficiency should eventually translate to monetary cost advantages for all Americans.
The article above accentuates the negatives without emphasizing the obvious, that all Americans deserve good health care. How much longer can America ignore it?
Monday, December 29, 2008
Parent conference overhaul: New York Times article review
http://www.nytimes.com/2008/12/28/education/28conferences.html
As the article cited above points out, there are parent-teacher conferences conducted nowadays that run contrary to American society, and perhaps adds to the unpopularity of schooling in general.
Can you remember....?
the tradition of parents perched in pint-size chairs, listening intently as a teacher delivers a 15-minute soliloquy on their child’s academic progress, or lack thereof
Yes, most American parents have endured the indignity of perching on baby-sized chairs while enduring demeaning lectures by teachers. I know I endured many and my daughter eventually got into an Ivy League University. She can't have been as bad as they made her out to be, year after year after year. I was horrified at what felt like verbal abuse to me, and what was expected of me to accept, that my mother had not ever had to accept in Canada (the litany of horrors my child had done were listed by this panel of teachers). It just stunned and ultimately disgusted me, that teachers could get away with this verbal abuse to parents. We were talking about a good child here, weren't we? If teachers were perfect, I could understand.
Their criticisms turn teachers into very unattractive, unkind, arrogant individuals. They get very practiced at making parents feel inadequate and ineffective. I always try to turn the criticisms to discussions with more general themes. I was sorry my daughter had to be taught by some of them. And this at a private school we were paying a lot of money for my daughter to attend!
American school systems are obviously foreign to all foreign-born parents, not just immigrants (as many foreigners come here legally and educated, and not poor). What is expected of parents is obviously going to be different than what they experienced growing up in a different country at a different era, and at private vs. public schools.
There is a lot of American education that should be corrected. If Americans could only be humble enough to look at other countries and see what successes they have had with their elementary educational systems, they might learn what could work better here to improve their own teaching practices. Not happening any time soon though. As I said, these teachers are too arrogant.
To teachers and the administrators who organize parent conferences, my question is: how can parents be expected to warmly embrace an educational system that does not concentrate on improving teacher education, and that does not even keep up with successful international educational practices?
And now children are going to have to endure this tirade of personal abuse with parents as well? Sounds even worse to me. How is this an improvement that the concurrent babysitting of children and weekend and evening appointments at parent conferences, personal kindness and less invective on the part of teachers along with suggested plans of action, and translation services when necessary would not provide? Also, adult-sized chairs and less offense would be welcome.
As the article cited above points out, there are parent-teacher conferences conducted nowadays that run contrary to American society, and perhaps adds to the unpopularity of schooling in general.
Can you remember....?
the tradition of parents perched in pint-size chairs, listening intently as a teacher delivers a 15-minute soliloquy on their child’s academic progress, or lack thereof
Yes, most American parents have endured the indignity of perching on baby-sized chairs while enduring demeaning lectures by teachers. I know I endured many and my daughter eventually got into an Ivy League University. She can't have been as bad as they made her out to be, year after year after year. I was horrified at what felt like verbal abuse to me, and what was expected of me to accept, that my mother had not ever had to accept in Canada (the litany of horrors my child had done were listed by this panel of teachers). It just stunned and ultimately disgusted me, that teachers could get away with this verbal abuse to parents. We were talking about a good child here, weren't we? If teachers were perfect, I could understand.
Their criticisms turn teachers into very unattractive, unkind, arrogant individuals. They get very practiced at making parents feel inadequate and ineffective. I always try to turn the criticisms to discussions with more general themes. I was sorry my daughter had to be taught by some of them. And this at a private school we were paying a lot of money for my daughter to attend!
American school systems are obviously foreign to all foreign-born parents, not just immigrants (as many foreigners come here legally and educated, and not poor). What is expected of parents is obviously going to be different than what they experienced growing up in a different country at a different era, and at private vs. public schools.
There is a lot of American education that should be corrected. If Americans could only be humble enough to look at other countries and see what successes they have had with their elementary educational systems, they might learn what could work better here to improve their own teaching practices. Not happening any time soon though. As I said, these teachers are too arrogant.
To teachers and the administrators who organize parent conferences, my question is: how can parents be expected to warmly embrace an educational system that does not concentrate on improving teacher education, and that does not even keep up with successful international educational practices?
And now children are going to have to endure this tirade of personal abuse with parents as well? Sounds even worse to me. How is this an improvement that the concurrent babysitting of children and weekend and evening appointments at parent conferences, personal kindness and less invective on the part of teachers along with suggested plans of action, and translation services when necessary would not provide? Also, adult-sized chairs and less offense would be welcome.
Saturday, December 27, 2008
"Slumdog Millionaire" movie review
This is a very original movie. Americans aren't normally shown this quality of a movie set in India, and it is exceptionally well-done. I think Indians should be proud of this movie and the way it portrays the country and shows its scenery and slices of socioeconomic strata.
It takes awhile for the Slumdog story to get into its stride, and some scenes are off-putting. There are many very imaginative scenes; orphans and orphanages in modern India (makes me wonder if there are any like this now), Muslims on a rampage setting fires, and little boys standing atop moving trains and even hanging on the side and jumping on and off them. There are scenes of beggar children and main actor Dev Patel's interrogation really go far beyond what audiences here usually see. The child actors appear to be expected to do far more than American movies usually show children doing.
There are very many changes of scenery over many years. The changing face of the city, presumably of Mumbai, the filthiness of slums, the masses of passengers at trains stations are brought up close, raw and believable, but at the same time not overdone. It's well worth watching through to the end, and even through the credits. The music and settings are very strong features. The story ends happily for the main character and it leaves you satisfied that goodness is rewarded, even if some of the bad guys appear to go unpunished.
I am surprised at how riveting and strong the entire movie is. The entire packed audience sat still and spellbound throughout, mesmerized by the glowing and effective performances and skilful editing and direction. I felt a range of emotions, happy, sad, angry at injustices, sympathetic to the poor, and it made me laugh as well. There is also an unexpected blend of romance and action, considering that the movie features a popular television show, the corrupt Indian version of "Who Wants to Be a Millionaire".
Okay, this may sound naive, but why aren't human rights groups and lawyers busier in India? If this movie is any indication, they have a lot of work to do.
I think if any movie this year is going to get awards for originality and photography, Slumdog Millionaire would be a good pick.
It takes awhile for the Slumdog story to get into its stride, and some scenes are off-putting. There are many very imaginative scenes; orphans and orphanages in modern India (makes me wonder if there are any like this now), Muslims on a rampage setting fires, and little boys standing atop moving trains and even hanging on the side and jumping on and off them. There are scenes of beggar children and main actor Dev Patel's interrogation really go far beyond what audiences here usually see. The child actors appear to be expected to do far more than American movies usually show children doing.
There are very many changes of scenery over many years. The changing face of the city, presumably of Mumbai, the filthiness of slums, the masses of passengers at trains stations are brought up close, raw and believable, but at the same time not overdone. It's well worth watching through to the end, and even through the credits. The music and settings are very strong features. The story ends happily for the main character and it leaves you satisfied that goodness is rewarded, even if some of the bad guys appear to go unpunished.
I am surprised at how riveting and strong the entire movie is. The entire packed audience sat still and spellbound throughout, mesmerized by the glowing and effective performances and skilful editing and direction. I felt a range of emotions, happy, sad, angry at injustices, sympathetic to the poor, and it made me laugh as well. There is also an unexpected blend of romance and action, considering that the movie features a popular television show, the corrupt Indian version of "Who Wants to Be a Millionaire".
Okay, this may sound naive, but why aren't human rights groups and lawyers busier in India? If this movie is any indication, they have a lot of work to do.
I think if any movie this year is going to get awards for originality and photography, Slumdog Millionaire would be a good pick.
Sudoku: accuracy, accuracy, accuracy
Sudoku is a game to help fight flawed thinking.
A while ago I tried Sudoku and started at the hard puzzles but gave it up, having passed it off as a child's game. Mistake! How to play Sudoku? If you start at the easy puzzles and learn the skills first, the reward is that it's fun! It is important and useful to exercise your mind and make it more flexible. This is a game where you are rewarded for correcting your thinking and for being right!
Accuracy is most important in Sudoku, or else you must backtrack, erase and start again. (How would I know?)
To find a Sudoku game, try googling. Search for "easy sudoku" at Google Images to print out free puzzles. There are lots of inexpensive Sudoku books to buy at bookstores and grocery checkouts with graduated puzzles.
Here are some secret steps to successful Sudoku, the R(epeats)-L(ine)-B(ox) system (it's all a blur). These steps are interchangeable. It's easiest to start with the first, then the second and third, constantly going back and doing more of step one.
1. Repeats. With pencil, eraser and puzzle in hand, first check lines in the big box for repeated numbers and fill in the third line. If there is, say, a "seven" on the first and third line, and only one spot to fill in the middle box, then it's a "seven". You need to go around and check every line, left to right (or right to left), and top to bottom (or bottom to top).
2. Line. After you have finished filling in these numbers, see if you can finish an entire line since you might have only about 2-4 boxes to fill in, and a number cannot repeat. Again, you need to check every direction.
3. Box. You can finish any one of the nine boxes within the big box when you have just a few spots left blank, as each box cannot repeat a number inside of it.
Just keep going very carefully. To win, each move must be a defendable mathematical certainty. You should be able to finish it without needing to check the answer. If you're stuck, get an easier, winnable puzzle, one you can finish. Finally, you will have successfully finished a complete Sudoku puzzle. It's guaranteed to give you a feeling of accomplishment and achievement and it's fun! Finishing a puzzle perfectly is the goal. Increasing speed is even better.
Congratulations!
Hope you have fun playing. Happy Sudoku!
Special thanks to Amy Seymour.
A while ago I tried Sudoku and started at the hard puzzles but gave it up, having passed it off as a child's game. Mistake! How to play Sudoku? If you start at the easy puzzles and learn the skills first, the reward is that it's fun! It is important and useful to exercise your mind and make it more flexible. This is a game where you are rewarded for correcting your thinking and for being right!
Accuracy is most important in Sudoku, or else you must backtrack, erase and start again. (How would I know?)
To find a Sudoku game, try googling. Search for "easy sudoku" at Google Images to print out free puzzles. There are lots of inexpensive Sudoku books to buy at bookstores and grocery checkouts with graduated puzzles.
Here are some secret steps to successful Sudoku, the R(epeats)-L(ine)-B(ox) system (it's all a blur). These steps are interchangeable. It's easiest to start with the first, then the second and third, constantly going back and doing more of step one.
1. Repeats. With pencil, eraser and puzzle in hand, first check lines in the big box for repeated numbers and fill in the third line. If there is, say, a "seven" on the first and third line, and only one spot to fill in the middle box, then it's a "seven". You need to go around and check every line, left to right (or right to left), and top to bottom (or bottom to top).
2. Line. After you have finished filling in these numbers, see if you can finish an entire line since you might have only about 2-4 boxes to fill in, and a number cannot repeat. Again, you need to check every direction.
3. Box. You can finish any one of the nine boxes within the big box when you have just a few spots left blank, as each box cannot repeat a number inside of it.
Just keep going very carefully. To win, each move must be a defendable mathematical certainty. You should be able to finish it without needing to check the answer. If you're stuck, get an easier, winnable puzzle, one you can finish. Finally, you will have successfully finished a complete Sudoku puzzle. It's guaranteed to give you a feeling of accomplishment and achievement and it's fun! Finishing a puzzle perfectly is the goal. Increasing speed is even better.
Congratulations!
Hope you have fun playing. Happy Sudoku!
Special thanks to Amy Seymour.
Wednesday, December 24, 2008
Merry Christmas and Happy New Year
MERRY CHRISTMAS and A HAPPY NEW YEAR
Best Wishes for a Prosperous 2009
Here's a photo of three of us in front of the Sea Diamond, in Athens, Greece (a week later she sank).
http://en.wikipedia.org/wiki/Sea_Diamond
Best Wishes for a Prosperous 2009
Here's a photo of three of us in front of the Sea Diamond, in Athens, Greece (a week later she sank).
http://en.wikipedia.org/wiki/Sea_Diamond
 |
| From Drop Box |
Sunday, December 21, 2008
A winning week for mutual funds - Dec 21, 2008
The last week for mutual funds has been better than we have had for awhile here in the U.S. The last few months have been dreadful, in a huge, historically significant way.
Here are some up funds for the week. Who would have thought that results would fall so far, so fast?
Maybe gold is regaining some lustre. Gold funds had a great week, FSAGX (Fidelity Select Gold) +6.7% (1 wk) -27.3% (YTD) +19.7 (3yr total)) but YTD is not good, and VGPMX (Vanguard Precious Metals) 5.5% for a week is good, but YTD (-58.6) and 3 yr (-22.7) are poor. Longer term, this fund has made money for many.
Vanguard's REIT Admiral Fund VGSLX is up 8.2% for the week although it is down -38.2% YTD and -30.1% the last three years.
The other funds up over three years I found in Barron's are Treasury funds, stable but boring. They would cause me to search for a higher return in a rising market. Now they look like steady growers.
From Fidelity (in %):
FGMNX:GNMA////////// 0.5 (1 wk)///6.9 (YTD)///19.3 (3yr)
FGOVX:GovtInc/////// 1.7 (1 wk)///11.3 (YTD)///24.7 (3 yr)
FSTGX:Int Gov/////// 1.1 (1 wk)///10.2 (YTD)///23.4 (3 yr)
From Vanguard:
VFIIX:GNMAAdml////// 0.6 (1 wk)///7.2 (YTD)///20.4 (3 yr)
VFITX:ITTsry//////// 2.3 (1 wk)///14.0(YTD)///29.9 (3 yr)
VUSTX:LTTsry//////// 5.8 (1 wk)///24.5(YTD)///40.1 (3 yr)
VFISX:STFed Adml//// 0.5 (1 wk)///6.8 (YTD)///20.1 (3 yr)
This year has been especially harsh on everything from real estate to stocks and commodities. No news there, but the ideal money management stance is still somewhere between day trading and storing the money. The money has to have time and a place to grow. It takes money to make money. Returns may vary but there is always somewhere to make money. It is important to note that stock funds have had higher returns overall for the last 100+ years, especially if bought low and sold high.
Here are some up funds for the week. Who would have thought that results would fall so far, so fast?
Maybe gold is regaining some lustre. Gold funds had a great week, FSAGX (Fidelity Select Gold) +6.7% (1 wk) -27.3% (YTD) +19.7 (3yr total)) but YTD is not good, and VGPMX (Vanguard Precious Metals) 5.5% for a week is good, but YTD (-58.6) and 3 yr (-22.7) are poor. Longer term, this fund has made money for many.
Vanguard's REIT Admiral Fund VGSLX is up 8.2% for the week although it is down -38.2% YTD and -30.1% the last three years.
The other funds up over three years I found in Barron's are Treasury funds, stable but boring. They would cause me to search for a higher return in a rising market. Now they look like steady growers.
From Fidelity (in %):
FGMNX:GNMA////////// 0.5 (1 wk)///6.9 (YTD)///19.3 (3yr)
FGOVX:GovtInc/////// 1.7 (1 wk)///11.3 (YTD)///24.7 (3 yr)
FSTGX:Int Gov/////// 1.1 (1 wk)///10.2 (YTD)///23.4 (3 yr)
From Vanguard:
VFIIX:GNMAAdml////// 0.6 (1 wk)///7.2 (YTD)///20.4 (3 yr)
VFITX:ITTsry//////// 2.3 (1 wk)///14.0(YTD)///29.9 (3 yr)
VUSTX:LTTsry//////// 5.8 (1 wk)///24.5(YTD)///40.1 (3 yr)
VFISX:STFed Adml//// 0.5 (1 wk)///6.8 (YTD)///20.1 (3 yr)
This year has been especially harsh on everything from real estate to stocks and commodities. No news there, but the ideal money management stance is still somewhere between day trading and storing the money. The money has to have time and a place to grow. It takes money to make money. Returns may vary but there is always somewhere to make money. It is important to note that stock funds have had higher returns overall for the last 100+ years, especially if bought low and sold high.
Current winning stocks
Looking at free stock screeners today, they give different year-to-date and one-year charts, almost the same span of time now. I usually look at several, and today the MSN list has more of the winning stocks, but I can only really decide that I like the look of the charts for:
EBS, Emergent BioSolutions, the vaccine maker, and
AIPC, the American Italian Pasta Company.
Of course, there are many more companies farther down the list that have charts not included here quickly heading up, and some at the top of the MSN list that peaked earlier in the year and are down significantly from previous highs that I cannot recommend. I may list them at another time. Again, buyer beware. There are many components in a buy decision, but for me the chart tends to be the final deciding factor. I just can't buy anything based on good fundamentals, hoping the price will go up, if the stock price isn't going up. There could be too many things I don't know that will soon be reflected in a stock price that is heading down.
EBS, Emergent BioSolutions, the vaccine maker, and
AIPC, the American Italian Pasta Company.
Of course, there are many more companies farther down the list that have charts not included here quickly heading up, and some at the top of the MSN list that peaked earlier in the year and are down significantly from previous highs that I cannot recommend. I may list them at another time. Again, buyer beware. There are many components in a buy decision, but for me the chart tends to be the final deciding factor. I just can't buy anything based on good fundamentals, hoping the price will go up, if the stock price isn't going up. There could be too many things I don't know that will soon be reflected in a stock price that is heading down.
Thursday, December 18, 2008
My philosophy of the American school admissions process
Let's turn to university and school admissions, as there is an interesting article on current admission philosophies in today's New York Times:
http://questions.blogs.nytimes.com/2008/12/17/qa-college-admissions/?hp
Many years ago, I worked in admission offices at two universities and learned completely different practices at both, at the University of Oxford (for graduate students) and at The Ohio State University (both grads and undergrads), I can say with some authority that the students with the best marks in the hardest courses have an advantage, regardless of where they went to school. It's safe to say, but true.
My daughter was featured in an article in a competing national newspaper a few years ago about getting into university. Parents tend to be very hungry for current admission updates. There is a never-ending stream of mystery surrounding the process and most parents have valid questions about admission into the most selective universities in the United States.
With all the money involved, it's little wonder parents usually get involved to the point of obsession in America. They want to know how much it's all going to cost, how long it will take and where their children will be accepted, and they want to know now. But the system is so complex, and there are so many choices, that the application process and subsequent wait can be extremely stressful for students as well as parents. The process leads to a senior year of high school usually fraught with tension within families, as parents sometimes constantly question students for news. Students can keep parents aware so that they can be helpful, and not meddlesome or nosy, and clear the air in between application deadlines.
There is this sense that school admission is a judgment of parenting effectiveness and the way it reflects on parents and will reflect on them where the children attend school and university. In my view, where the student can get into at the secondary level does not show their ability as much as it is a practical decision made by the school for reasons only they know. Student admission decision-making is a private process and my understanding is universities cannot be legally faulted if they don't accept a student.
Some of the time where someone goes to school is a reflection of the money that parents can free up for education. In some families, there is a philosophy that no amount is too much to pay for education while in others no more than absolutely necessary should be spent on education and that education is not the best investment of their finances. For the latter students, financial aid is of paramount importance if private and continuing education is desired.
There was an interesting special show on CNBC television yesterday evening about the Harvard Business School, exploring the admission process for an M.B.A degree, the education students receive and whether the education is important today. I thought it was an excellent try and exceptionally well researched with many interviews of alumni, students and faculty about this secretive process.
I can just say from experience that while reading applications can be quite interesting, the repetitiveness of applications can be rather monotonous. It is definitely stressful keeping all those students applications together and remembering them, and then making correct decisions.
http://questions.blogs.nytimes.com/2008/12/17/qa-college-admissions/?hp
Many years ago, I worked in admission offices at two universities and learned completely different practices at both, at the University of Oxford (for graduate students) and at The Ohio State University (both grads and undergrads), I can say with some authority that the students with the best marks in the hardest courses have an advantage, regardless of where they went to school. It's safe to say, but true.
My daughter was featured in an article in a competing national newspaper a few years ago about getting into university. Parents tend to be very hungry for current admission updates. There is a never-ending stream of mystery surrounding the process and most parents have valid questions about admission into the most selective universities in the United States.
With all the money involved, it's little wonder parents usually get involved to the point of obsession in America. They want to know how much it's all going to cost, how long it will take and where their children will be accepted, and they want to know now. But the system is so complex, and there are so many choices, that the application process and subsequent wait can be extremely stressful for students as well as parents. The process leads to a senior year of high school usually fraught with tension within families, as parents sometimes constantly question students for news. Students can keep parents aware so that they can be helpful, and not meddlesome or nosy, and clear the air in between application deadlines.
There is this sense that school admission is a judgment of parenting effectiveness and the way it reflects on parents and will reflect on them where the children attend school and university. In my view, where the student can get into at the secondary level does not show their ability as much as it is a practical decision made by the school for reasons only they know. Student admission decision-making is a private process and my understanding is universities cannot be legally faulted if they don't accept a student.
Some of the time where someone goes to school is a reflection of the money that parents can free up for education. In some families, there is a philosophy that no amount is too much to pay for education while in others no more than absolutely necessary should be spent on education and that education is not the best investment of their finances. For the latter students, financial aid is of paramount importance if private and continuing education is desired.
There was an interesting special show on CNBC television yesterday evening about the Harvard Business School, exploring the admission process for an M.B.A degree, the education students receive and whether the education is important today. I thought it was an excellent try and exceptionally well researched with many interviews of alumni, students and faculty about this secretive process.
I can just say from experience that while reading applications can be quite interesting, the repetitiveness of applications can be rather monotonous. It is definitely stressful keeping all those students applications together and remembering them, and then making correct decisions.
Tuesday, December 16, 2008
Could this be it for interest rates for a long time?
An exciting session ended on the upside today in the American stock markets after the Federal Reserve announced that it is lowering interest rates to the range of 0% to 0.25%. What's next, negative interest rates?
Dow -------- 8,924.14-----+359.61 ----- 4.20%
S&P 500 ------ 913.18 ------ +44.61 ---- 5.14%
Nasdaq -----1,589.89 ----- +81.55----- 5.41%
All of these real estate ETFs rose impressively today:
RWR +13.34% DJ Wilshire REIT ETF. RWR (NYSE ARCA) $40.19 Change:+4.73
ICF +10.66% iShares Cohen & Steers Realty Maj. (ETF) (NYSE) 43.92 +4.23
VNQ +10.21% Vanguard REIT ETF (NYSE) 36.28 +3.36
IYR +12.18% iShares Dow Jones US Real Estate (ETF) (NYSE) 37.58 +4.08
Some Direxion funds are up incredibly since Dec 12, 2008:
1. DXHLX +1600%
2. DXQLX +700%
3. DXDLX +500%
4. DXZLX +500%
5. DXSLX +450%
The first, at least, is rumored to be a "reverse split". These Direxion funds aren't "buy and hold" funds. There is a "buyer beware" article from Morningstar warning against these funds here:
http://news.morningstar.com/articlenet/article.aspx?id=264847
But with all these spectacular gains today, investors begin to make up for previous cliff-drops.
In a comment dated Thursday, December 25, 2008 1:53:00 PM EST, here is what a commenter adds about Direxion Funds, with my gratitude:
Anonymous said...
Please be aware that eight (8) Direxion Funds will be undergoing a reverse split the weekend of December 12, 2008. The ratios are shown below.
December 12, 2008, will be the last date of the pre-“reverse split” price and December 15, 2008, will be the first day reporting the post-“reverse split” price. Share balances will be adjusted downward at the same ratio the NAV
is increased.
Here is the table of ratios:
FUND TICKER CUSIP SHARE RATIO*
Small Cap Bull 2.5x Fund DXRLX 254939838 1:2
Developed Markets Bull 2x Fund DXDLX 254939614 1:5
Emerging Markets Bull 2x Fund DXELX 254939630 1:5
S&P 500 Bull 2.5x Fund DXSLX 254939705 1:5
NASDAQ-100 Bull 2.5x Fund DXQLX 254939200 1:7
Latin America Bull 2x Fund DXZLX 254939507 1:5
China Bull 2x Fund DXHLX 254939515 1:12
Commodity Bull 2x Fund DXCLX 254939655 1:3
*The ratio of 1:x means that you will get 1 (one) post-“reverse split” share for x pre-“reverse split” shares. The NAV will go up by the same ratio.
EXAMPLE:
At the close of business on December 12, 2008, you own 15,000.000 shares of the Direxion Latin America Bull 2x Fund at an NAV of $4.30 per share. Your
account’s total Net Asset Value is $64,500.00.
At the open of business on December 15, 2008, you will own 3,000.000
shares of the same fund at an NAV of $21.50 per share. Your account’s total Net Asset Value will be $64,500.00.
If you have any questions, please contact us at 800-851-0511 between the hours of 9 AM and 6 PM Eastern Time, Monday through Friday.
Dow -------- 8,924.14-----+359.61 ----- 4.20%
S&P 500 ------ 913.18 ------ +44.61 ---- 5.14%
Nasdaq -----1,589.89 ----- +81.55----- 5.41%
All of these real estate ETFs rose impressively today:
RWR +13.34% DJ Wilshire REIT ETF. RWR (NYSE ARCA) $40.19 Change:+4.73
ICF +10.66% iShares Cohen & Steers Realty Maj. (ETF) (NYSE) 43.92 +4.23
VNQ +10.21% Vanguard REIT ETF (NYSE) 36.28 +3.36
IYR +12.18% iShares Dow Jones US Real Estate (ETF) (NYSE) 37.58 +4.08
Some Direxion funds are up incredibly since Dec 12, 2008:
1. DXHLX +1600%
2. DXQLX +700%
3. DXDLX +500%
4. DXZLX +500%
5. DXSLX +450%
The first, at least, is rumored to be a "reverse split". These Direxion funds aren't "buy and hold" funds. There is a "buyer beware" article from Morningstar warning against these funds here:
http://news.morningstar.com/articlenet/article.aspx?id=264847
But with all these spectacular gains today, investors begin to make up for previous cliff-drops.
In a comment dated Thursday, December 25, 2008 1:53:00 PM EST, here is what a commenter adds about Direxion Funds, with my gratitude:
Anonymous said...
Please be aware that eight (8) Direxion Funds will be undergoing a reverse split the weekend of December 12, 2008. The ratios are shown below.
December 12, 2008, will be the last date of the pre-“reverse split” price and December 15, 2008, will be the first day reporting the post-“reverse split” price. Share balances will be adjusted downward at the same ratio the NAV
is increased.
Here is the table of ratios:
FUND TICKER CUSIP SHARE RATIO*
Small Cap Bull 2.5x Fund DXRLX 254939838 1:2
Developed Markets Bull 2x Fund DXDLX 254939614 1:5
Emerging Markets Bull 2x Fund DXELX 254939630 1:5
S&P 500 Bull 2.5x Fund DXSLX 254939705 1:5
NASDAQ-100 Bull 2.5x Fund DXQLX 254939200 1:7
Latin America Bull 2x Fund DXZLX 254939507 1:5
China Bull 2x Fund DXHLX 254939515 1:12
Commodity Bull 2x Fund DXCLX 254939655 1:3
*The ratio of 1:x means that you will get 1 (one) post-“reverse split” share for x pre-“reverse split” shares. The NAV will go up by the same ratio.
EXAMPLE:
At the close of business on December 12, 2008, you own 15,000.000 shares of the Direxion Latin America Bull 2x Fund at an NAV of $4.30 per share. Your
account’s total Net Asset Value is $64,500.00.
At the open of business on December 15, 2008, you will own 3,000.000
shares of the same fund at an NAV of $21.50 per share. Your account’s total Net Asset Value will be $64,500.00.
If you have any questions, please contact us at 800-851-0511 between the hours of 9 AM and 6 PM Eastern Time, Monday through Friday.
Friday, December 12, 2008
Auto Nation anecdote
Sorry, I didn't get an "American" car.
Here is my story of our latest car purchase. Actually, we leased it because lease rates are low and I like to turn them in and not have to resell.
It is not as though we have not ever bought cars. We always used to do so and have bought many, but it seemed to me that after a few misadventures with car ownership, why not just try leasing for a change, as an experiment. We have since happily been doing so for the last 12 years and have had better service and even better cars (that did not come with problems, like broken windows) than when we bought them. Sure, we don't own them, but that is about the only problem we have had with the experience. We just use them and turn them in. We hear it is now very mainstream.
Since my lease finished a year ago, buying my Mercedes ML 350 instead of turning it in was one possibility. Then, I renewed it for a fifth year. Recently, the price to buy it would have been $15,000 and that is about the norm for a five year old Mercedes ML350. It had been new with everything I wanted in it and less than ten miles on the odometer when I got it. I had delayed turning it in with nearly 60,000 miles on it because of not being sure about the future and what I might want, and because Paul had leased an Acura MDX in the meantime, and Amy a Jeep Liberty. None of us drives that much, we fly, and we just want cars that don't give us any trouble.
I test-drove an Acura RDX, because I like Acuras and the dealer and dealership, already having had a Legend, but decided that the suspension was not as strong as I wanted. Noticed paving in streets I hadn't noticed while driving the Mercedes.
I also tried the Lexus 350 as well as the Mercedes ML350, and Jeep Laredo (thinking it would be a cheaper alternative). There was a friendly saleswoman at the Jeep dealership to their credit. The Jeep itself was nice, but it came out costing as much as the Lexus to rent, which was only $40 less per month than the Mercedes, all with the same up front cost of $2500.
Having had Mercedes Benz SUVs for nine years, and really loving them, also liking the dealer and dealership, I was worried about trying something different, maybe straying to something I might not be happy with in the long run. I considered buying it, too, but the cost came out to almost the same amount as leasing over the next 42 months.
Since "life is short" and "variety is the spice of life" I decided to test-drive the Lexus. To my surprise, at the Lexus dealership, there was a female saleswoman when I asked for one. Carol said she had been at Lexus for a year. It made me feel more comfortable taking a test drive with a woman. I relaxed more, and finally chose the Lexus 350.
As the papers were signed, I met many wonderful Lexus employees, including Mike, employed to show new car owners (and leasers) how to use the rather complicated electronics in the car. My Mercedes didn't have a navigation system, automatic trunk-opener, automatic headlights and automatic windshield wipers. My portable TomTom GPS was doing a superlative job helping me navigate the Mercedes, but kept dropping off the windshield.
Now, a few weeks later, I like the Lexus a lot. I especially like the automatic features. Only the trunk-opener and navigation system would have been part of the Mercedes competitor. As for the automatic headlights and windshield wipers that speed up and slow down, I do really like them and wonder if they are the wave of the future, the way automatic transmissions squashed manual transmissions in years past. The special feature called "ECT snow" very effectively clamps the car to the road and feels safe rounding corners in wet conditions. The Lexus 350 is not as heavy an SUV as the Mercedes and a little wider, and I am still wondering how it will work six months or a year down the road.
I did feel mildly disloyal not getting the American car, the Jeep Laredo, not a top-of-the-line Jeep. I cannot sugarcoat it. At least I looked at it. Many American cars are doing huge business abroad.
Acura cars are assembled in Canada, Mercedes are assembled here in America. Car salespersons have told me to consider the country of a car's origin as of paramount importance, specifically if it's the United States, to support our country. In the end it came down to style, price, features and availability. The fact that Lexus came from Japan fully loaded was actually minimally important on my list of priorities.
Not sure where American car manufacturers, parts makers and dealers are going, now that the auto bailout failed last night in Washington, but not many people my age or younger are interested in buying American cars. Buicks, Pontiacs, Cadillacs and so on and so forth need to find more buyers here, and fast, despite falling behind international competitors.
Here is my story of our latest car purchase. Actually, we leased it because lease rates are low and I like to turn them in and not have to resell.
It is not as though we have not ever bought cars. We always used to do so and have bought many, but it seemed to me that after a few misadventures with car ownership, why not just try leasing for a change, as an experiment. We have since happily been doing so for the last 12 years and have had better service and even better cars (that did not come with problems, like broken windows) than when we bought them. Sure, we don't own them, but that is about the only problem we have had with the experience. We just use them and turn them in. We hear it is now very mainstream.
Since my lease finished a year ago, buying my Mercedes ML 350 instead of turning it in was one possibility. Then, I renewed it for a fifth year. Recently, the price to buy it would have been $15,000 and that is about the norm for a five year old Mercedes ML350. It had been new with everything I wanted in it and less than ten miles on the odometer when I got it. I had delayed turning it in with nearly 60,000 miles on it because of not being sure about the future and what I might want, and because Paul had leased an Acura MDX in the meantime, and Amy a Jeep Liberty. None of us drives that much, we fly, and we just want cars that don't give us any trouble.
I test-drove an Acura RDX, because I like Acuras and the dealer and dealership, already having had a Legend, but decided that the suspension was not as strong as I wanted. Noticed paving in streets I hadn't noticed while driving the Mercedes.
I also tried the Lexus 350 as well as the Mercedes ML350, and Jeep Laredo (thinking it would be a cheaper alternative). There was a friendly saleswoman at the Jeep dealership to their credit. The Jeep itself was nice, but it came out costing as much as the Lexus to rent, which was only $40 less per month than the Mercedes, all with the same up front cost of $2500.
Having had Mercedes Benz SUVs for nine years, and really loving them, also liking the dealer and dealership, I was worried about trying something different, maybe straying to something I might not be happy with in the long run. I considered buying it, too, but the cost came out to almost the same amount as leasing over the next 42 months.
Since "life is short" and "variety is the spice of life" I decided to test-drive the Lexus. To my surprise, at the Lexus dealership, there was a female saleswoman when I asked for one. Carol said she had been at Lexus for a year. It made me feel more comfortable taking a test drive with a woman. I relaxed more, and finally chose the Lexus 350.
As the papers were signed, I met many wonderful Lexus employees, including Mike, employed to show new car owners (and leasers) how to use the rather complicated electronics in the car. My Mercedes didn't have a navigation system, automatic trunk-opener, automatic headlights and automatic windshield wipers. My portable TomTom GPS was doing a superlative job helping me navigate the Mercedes, but kept dropping off the windshield.
Now, a few weeks later, I like the Lexus a lot. I especially like the automatic features. Only the trunk-opener and navigation system would have been part of the Mercedes competitor. As for the automatic headlights and windshield wipers that speed up and slow down, I do really like them and wonder if they are the wave of the future, the way automatic transmissions squashed manual transmissions in years past. The special feature called "ECT snow" very effectively clamps the car to the road and feels safe rounding corners in wet conditions. The Lexus 350 is not as heavy an SUV as the Mercedes and a little wider, and I am still wondering how it will work six months or a year down the road.
I did feel mildly disloyal not getting the American car, the Jeep Laredo, not a top-of-the-line Jeep. I cannot sugarcoat it. At least I looked at it. Many American cars are doing huge business abroad.
Acura cars are assembled in Canada, Mercedes are assembled here in America. Car salespersons have told me to consider the country of a car's origin as of paramount importance, specifically if it's the United States, to support our country. In the end it came down to style, price, features and availability. The fact that Lexus came from Japan fully loaded was actually minimally important on my list of priorities.
Not sure where American car manufacturers, parts makers and dealers are going, now that the auto bailout failed last night in Washington, but not many people my age or younger are interested in buying American cars. Buicks, Pontiacs, Cadillacs and so on and so forth need to find more buyers here, and fast, despite falling behind international competitors.
Wednesday, December 10, 2008
While waiting for President-Elect Obama to save America
It's an unusually balmy December day here in New Jersey, and Meredith Whitney of Oppenheimer, on CNBC, said this morning that 80% of the securitizations (money) that used to fund mortgages is not currently being used. Is this really true? Is it any wonder the housing market is not working? She also thinks house prices have 20%+ further to fall.
Also, she says that credit card advances have become a mainstream form of backup income to millions of Americans. Since credit card companies are now reining in such advance loans, it follows that incomes have become even more important to consumers across the country. When unemployment rises to projected future levels, where will money come from for millions of Americans?
CNBC also interviewed Abu Dhabi's "Taqa" Manager, Peter Barker-Homek. They are investing in (bailing out) some American infrastructure businesses in New Jersey that would take in-country funding, despite earlier American governmental intervention in the takeover of American ports by a Middle East company. Here's an article excerpt:
Sovereign Wealth Funds Briefing - Categorized | Alternative Investments, Investment, Market
Taqa to raise investment portfolio
Posted on 29 October 2008
From Business24-7.ae: The Abu Dhabi National Energy Company (Taqa), a semi-sovereign wealth fund controlled by the government, is pushing ahead with ambitious plans to lift its investment portfolio by nearly $39 billion (Dh143.24bn) within four years, its chief executive has said.
Peter Barker-Homek said the company is in control of a massive portfolio worth nearly $21bn and the next investment strategy would focus on the Middle East, India, Pakistan, North Africa, Europe and North America
http://www.opalesque.com/SWF_Briefing/?p=1297
The new American government can't obtain funding fast enough from the sound of it.
Also, she says that credit card advances have become a mainstream form of backup income to millions of Americans. Since credit card companies are now reining in such advance loans, it follows that incomes have become even more important to consumers across the country. When unemployment rises to projected future levels, where will money come from for millions of Americans?
CNBC also interviewed Abu Dhabi's "Taqa" Manager, Peter Barker-Homek. They are investing in (bailing out) some American infrastructure businesses in New Jersey that would take in-country funding, despite earlier American governmental intervention in the takeover of American ports by a Middle East company. Here's an article excerpt:
Sovereign Wealth Funds Briefing - Categorized | Alternative Investments, Investment, Market
Taqa to raise investment portfolio
Posted on 29 October 2008
From Business24-7.ae: The Abu Dhabi National Energy Company (Taqa), a semi-sovereign wealth fund controlled by the government, is pushing ahead with ambitious plans to lift its investment portfolio by nearly $39 billion (Dh143.24bn) within four years, its chief executive has said.
Peter Barker-Homek said the company is in control of a massive portfolio worth nearly $21bn and the next investment strategy would focus on the Middle East, India, Pakistan, North Africa, Europe and North America
http://www.opalesque.com/SWF_Briefing/?p=1297
The new American government can't obtain funding fast enough from the sound of it.
Monday, December 8, 2008
An oversold market in my view
Tim Knight, in this evening's Slope of Hope blog entry, thinks the market is still going to go down and he is usually right about that. Here is his latest projection:
* Long-Term (earlyish 2009 forward) - mega-bearish
* Medium-Term (next couple of months) - bullish
* Short-Term (minutes/hours/day or two) - bearish
Looks like it is wise to be wary short-term and keep vigilant. But surely, buying up stocks that look amazingly cheap can't be that bad a strategy. I call most stocks oversold at this point. I don't agree with him and hope he will have to change his long-term tune. Then again, I could be wrong. Stock prices could stay flat for some time, I suppose, but I hope not. One of us is going to be correct, and it will be me.
* Long-Term (earlyish 2009 forward) - mega-bearish
* Medium-Term (next couple of months) - bullish
* Short-Term (minutes/hours/day or two) - bearish
Looks like it is wise to be wary short-term and keep vigilant. But surely, buying up stocks that look amazingly cheap can't be that bad a strategy. I call most stocks oversold at this point. I don't agree with him and hope he will have to change his long-term tune. Then again, I could be wrong. Stock prices could stay flat for some time, I suppose, but I hope not. One of us is going to be correct, and it will be me.
Some stocks to watch for the upside, finally!
Mon Dec 8 2008
Dow 8,934.18 +298.76 (3.46%)
S&P 500 909.70 +33.63 (3.84%)
Nasdaq 1,571.74 +62.43 (4.14%)
10y bond 2.74% +0.01 (0.37%)
A good up day for the stock market today. President-Elect Obama's promise of the largest infrastructure initiative since American highways were first created boosted morale with investors.
EBS is a stock to have invested in at the beginning of the year as the anthrax vaccine maker has gone up fourfold this year. I have been watching it lately with wonder. What a rare stock! It would not have attracted much attention last year, but this year it is showing its superstar status. Shows the sorry state of the economy if a vaccine maker is a big winner, wouldn't you say?
An article worth reading in Forbes likes EBS for the long term, and lists (with reasons) four other possible winners for the long run:
(2) PETS - PetMed Express, the nation's largest pet pharmacy
(3) BER - W.R.Berkley, a Connecticut-based niche area insurer
(4) APOL - Apollo Group, online education
(5) LPHI - Life Partners Holdings, secondary life insurance
http://www.forbes.com/2008/12/05/apollo-petmed-emergent-pf-ii-in_jr_1205guruscreen_inl.html?partner=yahootix
Dow 8,934.18 +298.76 (3.46%)
S&P 500 909.70 +33.63 (3.84%)
Nasdaq 1,571.74 +62.43 (4.14%)
10y bond 2.74% +0.01 (0.37%)
A good up day for the stock market today. President-Elect Obama's promise of the largest infrastructure initiative since American highways were first created boosted morale with investors.
EBS is a stock to have invested in at the beginning of the year as the anthrax vaccine maker has gone up fourfold this year. I have been watching it lately with wonder. What a rare stock! It would not have attracted much attention last year, but this year it is showing its superstar status. Shows the sorry state of the economy if a vaccine maker is a big winner, wouldn't you say?
An article worth reading in Forbes likes EBS for the long term, and lists (with reasons) four other possible winners for the long run:
(2) PETS - PetMed Express, the nation's largest pet pharmacy
(3) BER - W.R.Berkley, a Connecticut-based niche area insurer
(4) APOL - Apollo Group, online education
(5) LPHI - Life Partners Holdings, secondary life insurance
http://www.forbes.com/2008/12/05/apollo-petmed-emergent-pf-ii-in_jr_1205guruscreen_inl.html?partner=yahootix
Friday, December 5, 2008
It's All Good
I heard a blogger interviewed on radio today saying that there aren't enough bloggers in America today. (Actually, I missed most of the interview!).
I haven't met any others, that I know of. It's probably true.
The radio interviewer had just made fun of "bloggers", with a Palinesque derision. Yes, Sarah Palin, who called bloggers “kids in pajamas sitting in the basement of their parents’ homes”. It didn't surprise me the man sounded defensive. (I do wish NPR could be more nonpartisan).
Most bloggers stop after a few entries. The time invested and the surprisingly hard, solitary work it is for ephemeral return could factor into it.
It might surprise those unfamiliar with blogging to know that most bloggers' immediate family members don't often, if ever, read their blogs. It follows, then, that bloggers don't get much encouragement. They also get paid less than mathematicians, like most hard scientists, another group whose writings tend to be unread by their own families. The point is, it's a wonder of the world that there are any bloggers at all.
On the other hand, it is fun to get your own views out there, and sometimes, you know that extremely intelligent and educated readers in places far, far away have read your entries for a long time. Maybe they are quietly reposing alone with candlelight and a sleeping pet. Perhaps they just want to rest for a few minutes on a sunny, breezy mountaintop with a view and an internet connection. Somehow that makes it all worthwhile.
I haven't met any others, that I know of. It's probably true.
The radio interviewer had just made fun of "bloggers", with a Palinesque derision. Yes, Sarah Palin, who called bloggers “kids in pajamas sitting in the basement of their parents’ homes”. It didn't surprise me the man sounded defensive. (I do wish NPR could be more nonpartisan).
Most bloggers stop after a few entries. The time invested and the surprisingly hard, solitary work it is for ephemeral return could factor into it.
It might surprise those unfamiliar with blogging to know that most bloggers' immediate family members don't often, if ever, read their blogs. It follows, then, that bloggers don't get much encouragement. They also get paid less than mathematicians, like most hard scientists, another group whose writings tend to be unread by their own families. The point is, it's a wonder of the world that there are any bloggers at all.
On the other hand, it is fun to get your own views out there, and sometimes, you know that extremely intelligent and educated readers in places far, far away have read your entries for a long time. Maybe they are quietly reposing alone with candlelight and a sleeping pet. Perhaps they just want to rest for a few minutes on a sunny, breezy mountaintop with a view and an internet connection. Somehow that makes it all worthwhile.
Thursday, December 4, 2008
Why the end of day selling?
More end of day selling happened today.
Why?
Maria Bartiromo and Dylan Ratigan again were asking that question on CNBC.
End of day distributions by hedge-funds was one explanation. The new rule that specialists have started to use in the last month to sell in the last thirty minutes was another explanation.
NEW YORK, Oct 24 (Reuters) - The New York Stock Exchange said on Friday it will implement rules next week that will stop trading floor specialists from seeing orders before the public.
Whatever the explanation, the result remains that the stock market day is ending down again.
The specialists -- who will now be called Designated Market Makers (DMMs) -- traditionally use their advanced look at orders to find an appropriate trading partner, thereby calming volatile markets.
In a statement, NYSE said the DMMs still must maintain the orderly trading of stocks 'in periods of significant imbalances.'
SEC will also test a program that rewards market makers who take the other side of incoming orders, providing liquidity in volatile markets.
Not sure if the article above clarifies or makes the issue more complex.
Why?
Maria Bartiromo and Dylan Ratigan again were asking that question on CNBC.
End of day distributions by hedge-funds was one explanation. The new rule that specialists have started to use in the last month to sell in the last thirty minutes was another explanation.
NEW YORK, Oct 24 (Reuters) - The New York Stock Exchange said on Friday it will implement rules next week that will stop trading floor specialists from seeing orders before the public.
Whatever the explanation, the result remains that the stock market day is ending down again.
The specialists -- who will now be called Designated Market Makers (DMMs) -- traditionally use their advanced look at orders to find an appropriate trading partner, thereby calming volatile markets.
In a statement, NYSE said the DMMs still must maintain the orderly trading of stocks 'in periods of significant imbalances.'
SEC will also test a program that rewards market makers who take the other side of incoming orders, providing liquidity in volatile markets.
Not sure if the article above clarifies or makes the issue more complex.
Wednesday, December 3, 2008
The Beige Book Summary - December 3, 2008
Here is a summary of today's Beige Book published eight times per year by the Federal Reserve Board. The Beige Book is divided into sections: Consumer Spending and Tourism, Services, Manufacturing, Real Estate and Construction, Spending and Finance, Agriculture and Natural Resources, Labor Markets and Prices. The Beige Book also analyzes all Districts of the country in detail.
It was hard to find the bright, positive spots, but here they are:
1. Wage and price pressures are easing.
Wage pressures were largely subdued. District reports characterized price pressures as easing in light of some decreases in retail prices and declines in input prices, particularly energy, fuel, and many raw materials and food products...In San Francisco, the region's few open positions have been attracting large numbers of applicants, thereby alleviating upward wage pressures.
2.Discount stores reported stronger sales volumes than department stores.
3. Kansas City noted in increase in demand for used cars.
4. Lower gasoline prices are helping some ski businesses... reservations at a ski resort in the Richmond District were somewhat stronger for the Thanksgiving and Christmas holidays, and some tourism businesses in the Minneapolis District were cautiously optimistic for the winter season in part due to lower gasoline prices.
5. Lower gas prices are also, in general, helping stabilize retail inventories. Inventory levels were relatively stable, as many stores anticipated the recent slowdown in sales.
6. In general services demand is deteriorating, with exceptions. Boston reported mixed conditions for information technology services, ranging from declines of 10 percent to gains of 25 percent. Minneapolis and Dallas reported growing demand for bankruptcy services, and Richmond noted that telecommunications and CPA firms were facing strong demand.
7. Boston, Chicago, St. Louis and San Francisco showed increased demand for aerospace manufacturers and St. Louis, Dallas and San Francisco reported increases in food processing.
8. Most of the real estate news is gloomy, with the more bullish news that there is relatively stronger demand for lower- and middle-priced "starter homes."
So there it is, wage and price pressures are easing or leveling off. Discount and dollar stores and food processors and CPA firms are getting business. Lower gas prices are helping all around.
At least there is a little encouraging news.
http://www.federalreserve.gov/FOMC/BeigeBook/2008/20081203/default.htm
It was hard to find the bright, positive spots, but here they are:
1. Wage and price pressures are easing.
Wage pressures were largely subdued. District reports characterized price pressures as easing in light of some decreases in retail prices and declines in input prices, particularly energy, fuel, and many raw materials and food products...In San Francisco, the region's few open positions have been attracting large numbers of applicants, thereby alleviating upward wage pressures.
2.Discount stores reported stronger sales volumes than department stores.
3. Kansas City noted in increase in demand for used cars.
4. Lower gasoline prices are helping some ski businesses... reservations at a ski resort in the Richmond District were somewhat stronger for the Thanksgiving and Christmas holidays, and some tourism businesses in the Minneapolis District were cautiously optimistic for the winter season in part due to lower gasoline prices.
5. Lower gas prices are also, in general, helping stabilize retail inventories. Inventory levels were relatively stable, as many stores anticipated the recent slowdown in sales.
6. In general services demand is deteriorating, with exceptions. Boston reported mixed conditions for information technology services, ranging from declines of 10 percent to gains of 25 percent. Minneapolis and Dallas reported growing demand for bankruptcy services, and Richmond noted that telecommunications and CPA firms were facing strong demand.
7. Boston, Chicago, St. Louis and San Francisco showed increased demand for aerospace manufacturers and St. Louis, Dallas and San Francisco reported increases in food processing.
8. Most of the real estate news is gloomy, with the more bullish news that there is relatively stronger demand for lower- and middle-priced "starter homes."
So there it is, wage and price pressures are easing or leveling off. Discount and dollar stores and food processors and CPA firms are getting business. Lower gas prices are helping all around.
At least there is a little encouraging news.
http://www.federalreserve.gov/FOMC/BeigeBook/2008/20081203/default.htm
Who knew where the stock market would end the day?
While there is some encouraging news, watching the stock market still feels like being in a boat on a sea with huge swells.
Today's market was down 200 points at first and then ended up over 2%, almost +200 points on the Dow, another 400 point move. The big drama continues to be the volatility of the market.
Wed Dec 03 2008 18:01:11 GMT-0500 (Eastern Standard Time) - Markets Closed
Dow 8,591.69 +172.60 (2.05%)
S&P 500 870.74 +21.93 (2.58%)
Nasdaq 1,492.38 +42.58 (2.94%)
10y bond 2.65% -0.07 (-2.57%)
It's true the market went up today in spite of weakening figures in the Beige Book. There was a lot of buzz on CNBC about the fact that mortgage filings and refinancings, which were even a higher number, were up a lot last week as a sign that the mortgage market might finally be turning around. Today, this helped bank stocks:
IYF-iShares Dow Jones US Financial (ETF) (NYSE) 42.79 +2.11 (5.19%) Dec 3 4:00pm ET
and homebuilder stocks:
XHB-SPDR HOMEBUILDERS ETF 11.99 0.94 8.51% 03:59 PM EST on 12/03/2008).
The Governor of New Jersey and the Governor of Pennsylvania are trying hard to stop foreclosures, the key to turning the housing market around, and announced various initiatives that are now in place to help give people time for the next eighteen months or so. Have to pity those who have just filed. But it's a start.
This shaky, dizzying and nauseating market has me sympathizing with my temporarily under-the-weather daughter. It almost feels like seasickness.
Here's a link to an article about Governor Corzine's bill to help homeowners:
http://www.nj.com/news/index.ssf/2008/12/corzine_signs_bill_to_help_hom.html
Today's market was down 200 points at first and then ended up over 2%, almost +200 points on the Dow, another 400 point move. The big drama continues to be the volatility of the market.
Wed Dec 03 2008 18:01:11 GMT-0500 (Eastern Standard Time) - Markets Closed
Dow 8,591.69 +172.60 (2.05%)
S&P 500 870.74 +21.93 (2.58%)
Nasdaq 1,492.38 +42.58 (2.94%)
10y bond 2.65% -0.07 (-2.57%)
It's true the market went up today in spite of weakening figures in the Beige Book. There was a lot of buzz on CNBC about the fact that mortgage filings and refinancings, which were even a higher number, were up a lot last week as a sign that the mortgage market might finally be turning around. Today, this helped bank stocks:
IYF-iShares Dow Jones US Financial (ETF) (NYSE) 42.79 +2.11 (5.19%) Dec 3 4:00pm ET
and homebuilder stocks:
XHB-SPDR HOMEBUILDERS ETF 11.99 0.94 8.51% 03:59 PM EST on 12/03/2008).
The Governor of New Jersey and the Governor of Pennsylvania are trying hard to stop foreclosures, the key to turning the housing market around, and announced various initiatives that are now in place to help give people time for the next eighteen months or so. Have to pity those who have just filed. But it's a start.
This shaky, dizzying and nauseating market has me sympathizing with my temporarily under-the-weather daughter. It almost feels like seasickness.
Here's a link to an article about Governor Corzine's bill to help homeowners:
http://www.nj.com/news/index.ssf/2008/12/corzine_signs_bill_to_help_hom.html
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