STOCK MARKET WATCH, Thursday May 17

[UpInArms]

Source: DU

STOCK MARKET WATCH, Thursday 17th May

COUNTING THE DAYS
DAYS REMAINING IN THE * REGIME 613 LONG DAYS
DAYS SINCE DEMOCRACY DIED (12/12/00) 2328 DAYS
WHERE'S OSAMA BIN-LADEN? 2038 DAYS
DAYS SINCE ENRON COLLAPSE = 1998
Number of Enron Execs in handcuffs = 19
ENRON EXECS CONVICTED = 3
Other Arrests of Execs = 54

U.S. FUTURES & MARKETS INDICATORS
NASDAQ FUTURES-----------------------------S&P FUTURES


AT THE CLOSING BELL WHEN BUSH TOOK OFFICE on January 22, 2001
Dow - 10,578.24
Nasdaq - 2,757.91
S&P 500 - 1,342.90
Oil - $27.69/bbl
Gold - $554.80/oz.

AT THE CLOSING BELL ON May 16, 2007

DJIA 13,487.53 +103.69 +0.77%
Nasdaq 2,547.42 +22.13 +0.88%
S&P 500 1,514.14 +12.95 +0.86%
Dow Util 533.54 +3.64 +0.69%
NYSE 9,825.43 +60.70 +0.62%
AMEX 2,259.73 +9.34 +0.42%
Russell 2000 820.20 +6.02 +0.74%
Semcond 497.53 -0.55 -0.11%
Gold future 661.50 -13.00 -1.93%
30-Year Bond 4.87% -0.01 -0.20%
10-Year Bond 4.71% -0.00 -0.08%





GOLD, EURO, YEN, Dollars and Loonie



PIEHOLE ALERT

Heads Up!
Preliminary info on appearances by Bush & Co. throughout the country. Details & links are added as they become available so check back. And if you know more, are organizing something, or would like to, contact [e-mail]

For information on protests and other actions

(UIA - just filling in for Ozy!)

Read more: DU

[UpInArms]

1. Today's Market WrapUp by Chris Puplava

Evidence is piling in weekly that the economy is clearly slowing as the effects of the housing recession are being felt by the consumer through diminished spending growth with businesses responding accordingly.

Chain Store Sales

One of the big news stories last week was a large drop in chain store sales by 2.4% in April compared to last year’s levels, the largest drop on record dating all the way back to 1970. Although some of the weakness was attributed to a shift in Easter sales, the trend speaks for itself with no declines of more than 1% occurring since 1986.

Figure 1


Source: Moody’s Economy.com

Proof that housing is contributing to the slowdown in the economy can be seen in furniture chain store sales that tumbled 18.1% compared to last year’s levels, continuing its negative trend of eleven consecutive year-over-year (YOY) monthly declines.

A new development that is not encouraging and may provide support for consumer retrenchment argument was the 10.1% YOY decline seen in apparel chain store sales, the largest decline since April of 2002 (-11.6%).

Weak consumer spending led to only 3.2% growth in total sales, the second weakest growth rate on record dating back to 1987, with the weakest growth rate coming in September of 2002 (2.6%).

The developments in consumer spending mentioned above clearly spell a retrenchment in consumer spending as the housing recession and resetting mortgage payments cut into consumer wallets, with businesses taking their cue from the consumer.

...more...

[UpInArms]

2. Today's Reports:

May 17 8:30 AM
Initial Claims 05/12
Briefing.com anticipates 315K
Market anticipates 310K
Last report 297K

May 17 10:00 AM
Leading Indicators Apr
Briefing.com anticipates -0.2%
Market anticipates 0.0%
Last report 0.1%

May 17 12:00 PM
Philadelphia Fed May
Briefing.com anticipates 3.0
Market anticipates 4.0
Last report 0.2

[UpInArms]

5. Initial Claims @ 293,000

01. U.S. continuing jobless claims down 78,000 to 2.47 mln
8:30 AM ET, May 17, 2007 - 33 seconds ago

02. U.S. 4-week avg. jobless claims at lowest level in a year
8:30 AM ET, May 17, 2007 - 33 seconds ago

03. U.S. 4-week avg. jobless claims down 12,000 to 305,500
8:30 AM ET, May 17, 2007 - 33 seconds ago

04. U.S. weekly jobless claims at lowest level since early Jan.
8:30 AM ET, May 17, 2007 - 33 seconds ago

05. U.S. weekly initial jobless claims down 5,000 to 293,000
8:30 AM ET, May 17, 2007 - 33 seconds ago

[Roland99]

9. What the...???

Can't wait to hear the explanation for that dramatic change.

[Nimrod2005]

13. What dramatic change? down only 5000

[Roland99]

15. Oh, nevermind me. See what happens when I skip my morning Diet Coke for water?

:D :D

[Nimrod2005]

16. Ok, but try coffee

:)

[Roland99]

17. I did once ... once.

BLECH!!

[UpInArms]

3. dollar watch

http://quotes.ino.com/chart/?s=NYBOT_DX&v=i

Last trade 82.166 Change -0.046 (-0.06%)

Dollar Hits 3 Month High Against Yen: What is Behind the Move?

http://www.dailyfx.com/story/bio1/Dollar_Hits_3_Month_High_1179348321433.html

The US dollar performed extraordinarily well today, with no currency escaping its strength. The press is crediting the move to the stronger housing starts, but with the rally coming 2.5 hours after the data release, this remains questionable. Instead, what is probably not a coincidence is the fact that the Dow Jones Industrial Average began to erase all of its earlier gains around the same time that the dollar started moving higher. Currency pairs like EUR/JPY, AUD/JPY and NZD/JPY also began breaking down within minutes of the dollar’s move. The strength of the dollar has been so prevalent that USD/JPY is moving in a completely opposite direction as the other yen crosses. A warning of possible interest rate hikes by a Japanese minister was the trigger for Euro and Aussie selling, which probably filtered into the majors since the Bank of Japan is set to announce their monetary policy decision this evening (more in Japanese Yen commentary). The housing starts number is strong, especially considering that the market was looking for unambiguously bearish housing numbers. Yet the 2.5 percent rise in housing starts, does not offset the fact that building permits saw the slowest pace of growth in 10 years. Housing starts are the number of residential projects that have begun construction while building permits are the number of applications filed for new construction. Therefore building permits represent a far better reflection of where the housing market is headed going forward. In a growing market, permits should be higher than housing starts, but in this case, it is not. Even though the dollar has rallied strongly today, the housing market may not be out of the woods. It is far too early to tell since both building permits and yesterday’s NAHB index of builder confidence sank to decade lows. The one unambiguously positive piece of dollar news was industrial production, which increased by 0.7 percent last month. As we have said often, the weakness of the US dollar has been extremely beneficial for the manufacturing sector. We expect this to continue with tomorrow’s Philadelphia Fed index.

...more...

GBP/JPY - A Significant Top In Place?

http://www.dailyfx.com/story/special_report/special_reports/Has_the_GBPJPY_Put_In_1179348186484.html

The Elliott Wave count, a weekly bearish engulfing pattern, and a break of a weekly low all point to the GBPJPY plummeting soon. If the pair rolls over, how low will it go? No trade is a sure thing of course, so where can we limit risk? We address this and more in the top/bottom setup of the week.



...more...

[UpInArms]

4. Bank of England chief criticises Greenspan

http://news.yahoo.com/s/afp/20070516/bs_afp/britainuseconomy

LONDON (AFP) - Bank of England governor Mervyn King on Wednesday made a veiled criticism of former Federal Reserve chairman Alan Greenspan for airing views on the US economy at odds with his successor.

Asked at a London press conference what he thought of Greenspan's behaviour, King said he was pleased his own predecessor Eddie George was not offering his opinion of the BoE's Monetary Policy Committee.

King added that he has no intention of providing media commentary on his own successor's performance.

"I'm very grateful to Eddie George that he hasn't been in the newspapers and on the radio all the time commenting on what the Committee is doing," King said at the conference arranged to discuss the BoE's latest inflation forecast.

...more...

[UpInArms]

6. g'morning everyone!

:donut::donut::donut::donut::donut::donut::donut:

I'm not sure where Ozy is, but I'll bet he'll be back soon :D

I have to get myself off to work, but I'll check in later :hi:

[Nimrod2005]

12. Good day....

[Ghost Dog]

22. Many thanks, UiA.

Just back from a little work + lots of lunch, myself. And will be out again soon.

Has anyone yet PM'ed Ozy?

[texpatriot2004]

7. K & R nm

[Demeter]

8. Query: What Happens To The Markets When Impeachment Starts?

I think this possibility has just become a certainty!

[Roland99]

10. Will Comey be this admin's Lewinski?

[Nimrod2005]

14. Tweety has been talking about it the last 2 days

[AnneD]

20. Morning Marketeers.....

:and lurkers. Good to see you Nimrod....
Good question, How will the market react if impeachment proceedings start. Let's examine markets recent behaviour for some clues.

The market has been rejoicing with any bad news that affects the middle class. Layoffs in most sectors-market cheers, store and car sales drop-blame it on the weather- market cheers, gas and food prices go up-fed declare inflation in check- market cheers and oil stocks go through the roof.

I don't think the market will be affected by impeachment, but it will cause more than one person to leave with their ill gotten gain and they may think twice before they start up those shady businesses.

Frankly, the wheel has been set in motion and something like that will be a pebble on the road. It won't accelerate what will happen and any benefits will be minimal in the short run.

I think the market will be more affected by the Feds getting off their arses and raising rates more than anything else-but that is just my thoughts on the subject. I think it will cause the market to temporarily go down until they realize that we do have inflation and folks usually put their money in stocks to keep up with inflation.

We are in uncharted economic waters with just a faint outline of the shore behind us (the Great Crash). We have a few folks who remember how to navigate by the stars (survived the Depression), but most use maps based on a few fact and lots of conjecture (the methods of calculating unemployment, no M3, etc).

To paraphrase a Chinese saying...we are living in interesting times.

Happy hunting and watch out for the bears.

[Roland99]

11. U.S. stock futures slip after Wednesday's rally

http://www.marketwatch.com/News/Story/Story.aspx?column=Indications

U.S. stock futures slipped back on Thursday after the previous session's rally, with markets possibly consolidating gains amid expectations for a quiet day of economic news and a lack of surprises in Hewlett Packard's quarterly report.

S&P 500 futures fell 1.3 points at 1,516.70 and Nasdaq 100 futures fell 1.5 points at 1,899.75. Dow industrial futures declined 18 points.

...

Thursday's economic docket includes weekly jobless claims, which fell to its lowest level since early January. Also on deck is the Conference Board's leading economic indicators for April, and at noon Eastern, the Philadelphia Fed index for May.

Just as the market opens, Federal Reserve Chairman Ben Bernanke will be speaking in Chicago at a conference on bank structure and competition.

[Roland99]

18. 10:54am - In the red. Chopper Ben says subprime won't effect economy. Leading indicators say other.

DJIA 13,471.12 -16.41 -0.12%
Nasdaq 2,540.90 -6.52 -0.26%
S&P 500 1,511.62 -2.52 -0.17%
Dow Util 530.38 -3.16 -0.59%
NYSE 9,800.13 -25.30 -0.26%
AMEX 2,253.75 -5.98 -0.26%
Russell 2000 815.01 -5.19 -0.63%
Semcond 494.24 -3.28 -0.66%
Gold future 658.10 -3.40 -0.51%
30-Year Bond 4.91% +0.03 +0.70%
10-Year Bond 4.75% +0.04 +0.81%


Bernanke sees limited impact from subprime
Fed looking at new rules, but favors market forces to fix problems
http://www.marketwatch.com/news/story/feds-bernanke-sees-limited-impact/story.aspx?guid=%7BE7E75A8C%2D0A89%2D49B7%2D87DB%2DA365A101BBD6%7D

The slowdown in the housing market probably has further to run, but it won't have a significant impact on the rest of the economy, Federal Reserve Chairman Ben Bernanke said Thursday.

U.S. leading indicators point to slower growth
April index falls 0.5%, but March is revised much higher
http://www.marketwatch.com/news/story/leading-economic-indicators-point-slower/story.aspx?guid=%7BC909BCFE%2DF5DA%2D466D%2D8D4D%2D4E49DB9AB02E%7D&dist=

The U.S. index of leading economic indicators fell a worse-than-expected 0.5% in April, pointing to slower growth this summer, the Conference Board said Thursday.

"With the industrial core of the economy already slow and housing mired in a continued slump, there are some signs that these weaknesses may be beginning to soften both consumer spending and hiring this summer," said Ken Goldstein, an economist for the research group.

"The data may be pointing to slower economic conditions this summer," Goldstein said.
Economists had expected the index to fall 0.2%, according to a survey conducted by MarketWatch.

[TrogL]

19. Loonie Watch

Highlights

Current:



30-day and 90-day vs.greenback:



30-day vs. Euro, Yen, UK Pound and Swiss Franc




Currency Comparison: http://members.shaw.ca/trogl/looniewatch.html

Detailed analysis: http://quotes.ino.com/exchanges/?r=CME_CD

Up-to-the-minute graph: http://quotes.ino.com/chart/?s=CME_CD.H06&v=s

Historical values http://www.x-rates.com/d/USD/CAD/data30.html

2007-04-16 Monday, April 16 0.884251 USD
2007-04-17 Tuesday, April 17 0.885504 USD
2007-04-18 Wednesday, April 18 0.885897 USD
2007-04-19 Thursday, April 19 0.886054 USD
2007-04-20 Friday, April 20 0.89071 USD
2007-04-23 Monday, April 23 0.890869 USD
2007-04-24 Tuesday, April 24 0.890631 USD
2007-04-25 Wednesday, April 25 0.897183 USD
2007-04-26 Thursday, April 26 0.892698 USD
2007-04-27 Friday, April 27 0.8967 USD
2007-04-30 Monday, April 30 0.903506 USD
2007-05-01 Tuesday, May 1 0.901876 USD
2007-05-02 Wednesday, May 2 0.901957 USD
2007-05-03 Thursday, May 3 0.903424 USD
2007-05-04 Friday, May 4 0.903424 USD
2007-05-07 Monday, May 7 0.907112 USD
2007-05-08 Tuesday, May 8 0.905141 USD
2007-05-09 Wednesday, May 9 0.903914 USD
2007-05-10 Thursday, May 10 0.903098 USD
2007-05-11 Friday, May 11 0.897989 USD
2007-05-14 Monday, May 14 0.903587 USD
2007-05-15 Tuesday, May 15 0.911079 USD
2007-05-16 Wednesday, May 16 0.906783 USD


Current values

Last trade 0.9117 Change +0.0048 (+0.53%)
Previous Close 0.9068 Open 0.9102
Low 0.9085 High 0.9127


Blather (from http://quotes.ino.com/exchanges/?r=CME_CD)

The June Canadian Dollar was higher overnight as it consolidates some of Wednesday's decline. Stochastics and the RSI are bullish signaling that sideways to higher prices are possible near-term. If June extends the rally off February's low, last May's high crossing at .9200 is the next upside target. Closes below the reaction low crossing at .8962 are needed to confirm that a top has been posted. Overnight action sets the stage for a higher opening in early-day session trading.


Analysis

So for I think this another day of the greenback going in the toilet rather than the loonie doing anything specific. I do notice above the greenback gaining against the Euro. People may be reacting to France's new Conservative Prime Minister's blather, sending the Euro down, but that's pure speculation on my part.

[Ghost Dog]

40. Actually, although I come from the (not too hard) left (in the European sense),

And I have been observing France closely from here (where I am now) just over the border in Cataluña (Barcelona); I think M. Sarkozy, as long as he behaves himself, is the right choice for France.

[AnneD]

21. Houston Valero refinery is off line

Valero's Houston refinery will be off line until sometime next week because of boiler and steam system problems, the company said Wednesday.

All of the plant's 64,000 barrels per day of gasoline and 44,000 barrels per day of distillate production is off line because of the problem. Distillate includes diesel fuel and heating oil.

"We are working diligently to fix the problem and expect to have production back to normal early next week," the company said in a statement.

Also Wednesday, ConocoPhillips said a leak on a sulfur recovery unit at its Sweeny refinery in Brazoria County led to a shutdown of that equipment. The company would not reveal how much production has been cut back because of it.

http://www.chron.com/disp/story.mpl/business/4811353.html

Boy, do I feel like I won the lottery, I gassed up yesterday at 2.79 at a Valero station. I went on GasBuddy to get that good price and it was one of the last stations with that price. All were up knocking at $3.00 level. I will be driving long drives to Richmond to work so that will be gone soon enough. I may soon be rethinking that prn job-fuel costs will not be offset by wages.

[Roland99]

29. Notice the lack of any backup systems at any of these refineries?

And the need to shutdown entirely for yearly maintenance that has ALWAYS been going on but has NEVER affected gas prices like this until the last 2 years?

FUCKERS!!!! :mad:

[Eugene]

36. Oil surges to $70 on U.S. gasoline concerns

Source: Reuters

Oil surges to $70 on U.S. gasoline concerns
Thu May 17, 2007 2:51PM EDT

By Matthew Robinson

NEW YORK (Reuters) - Oil surged $2 to a fresh 8-month high of $70
a barrel on Thursday as U.S. refinery breakdowns choked gasoline
supplies in the world's top consumer just ahead of peak summer
demand.

London Brent crude gained $2.03 to $70.00 a barrel at 1818 GMT
for the first time since September 1. U.S. crude rose $2.07 to
$64.62 per barrel.

Oil prices jumped after news of a glitch at Murphy Oil's Meraux,
Louisiana, refinery and the shutdown of a gasoline pipeline in the
U.S. Northeast. Both were expected to be repaired later Thursday,
but the problems added to a string of refinery outages that has
sapped U.S. gasoline supplies ahead of the summer driving season.

-snip-

http://www.reuters.com/article/hotStocksNews/idUSSP9097320070517

[Ghost Dog]

23. BOJ Fukui: could raise rates even if CPI falling

http://yahoo.reuters.com/news/articlehybrid.aspx?storyID=urn:newsml:reuters.com:20070517:MTFH09860_2007-05-17_07-40-06_TKU002833&type=comktNews&rpc=44

TOKYO, May 17 (Reuters) - Bank of Japan (BOJ) Governor Toshihiko Fukui said on Thursday the central bank could raise interest rates even if consumer prices were still falling, but could do so only after confirming a future upward trend in prices.

He added that it would be wrong to think the BOJ was determined to lift interest rates even as consumer prices were declining.

"We will adjust interest rates gradually based on the pace of improvement in the economy and prices," Fukui told a news conference.

Earlier in the day, the central bank left monetary policy unchanged, keeping the overnight call rate at 0.50 percent as widely expected by financial markets.

It also kept its assessment of the economy unchanged in a monthly report, saying it was expanding moderately.

Government data showed gross domestic product, the broadest measure of the economy, expanded 0.6 percent in January-March from the previous quarter, against a consensus forecast for a 0.7 percent rise. It grew an annualised 2.4 percent.

[Ghost Dog]

24. Japan Economic Growth Slows to 2.4 Pct.

http://asia.news.yahoo.com/070517/ap/d8p60cfg0.html

Japanese economic growth slowed to a 2.4 percent pace in the first quarter as businesses cut back on investment amid worries about a slowdown in the United States, Japan's biggest export market.

But economists agreed that Japan's overall growth was still healthy and seemed to be stabilizing. The gross domestic product figures, released Thursday by the government, also came after an unusually strong October-December quarter, when the economy surged ahead at a 5 percent annual pace.

"It is a mistake to interpret it as poor figures being a sign of a new trend," said Richard Jerram, chief economist for Macquarie Securities in Tokyo. "Growth seems to be stabilizing at a solid healthy rate, without major fluctuations in either direction."

Economists said figures would likely discourage any immediate interest rate hike, but would not derail the Bank of Japan from pursuing future increases.

Just hours after the figures were released, the central bank said after a regularly scheduled policy meeting that it was keeping its benchmark rate at 0.5 percent.

"The headline figures today are consistent with the BOJ argument that overall growth is healthy," said Masamichi Adachi, senior economist with JP Morgan Securities in Tokyo. He forecasts the next hike in August to 0.75 percent.

/...

[Ghost Dog]

25. LEAD: Tokyo stocks end slightly lower, early gains erased on profit-taking

http://asia.news.yahoo.com/070517/kyodo/d8p601c00.html
(Kyodo) _ (EDS: ADDING INFO)

Tokyo stocks ended slightly lower Thursday, wiping away earlier gains as investors stepped up selling in late trading after seeing declines in markets for start-up companies.

The 225-issue Nikkei Stock Average fell 30.40 points, or 0.17 percent, to 17,498.60. The broader Topix index of all First Section issues on the Tokyo Stock Exchange was down 4.62 points, or 0.27 percent, to 1,707.27.

After advancing more than 100 points at one point in the morning session, the Nikkei steadily lost ground in afternoon trading. The index had lost all of its morning gains by mid-afternoon and finished Thursday's session in negative territory.

"Investors rushed to take profits after they saw the index's upside was limited and start-up markets, such as the Jasdaq, were falling," said Yutaka Shiraki, senior equity strategist at Mitsubishi UFJ Securities Co.

Early in the morning session, investors purchased stocks on upbeat U.S. shares and the firm dollar following Japan's gross domestic product data for the January-March quarter, released shortly before the start of trading, brokers said.

/...

[Ghost Dog]

26. Asian Stocks Rise on Sony Forecast; Macquarie Bank Advances

http://www.bloomberg.com/apps/news?pid=20601080&sid=aKJUhCQOSlTU&refer=asia

May 17 (Bloomberg) -- Asian stocks rose for the first time in three days, led by consumer electronics companies after Sony Corp. forecast record profit and Hewlett-Packard Co. said sales will top $100 billion for the first time.

Sony climbed the most in a month while rival liquid-crystal display television maker Sharp Corp. had its biggest jump in 11 months. Venture Corp., a Singapore-based supplier to Hewlett- Packard, posted its largest gain in two weeks.

``We've turned positive on technology,'' said Teo Chon Kiat, who helps manage about $8 billion at DBS Asset Management Ltd. in Singapore. ``The sector could start to perform, driven by demand going into the fourth quarter and the depletion of inventory.''

Japanese benchmarks fell, led by Sumitomo Mitsui Financial Group Inc. on expectation banks will say profits decreased. Australia's Macquarie Bank Ltd. surged the most in 19 months amid speculation it's preparing for more takeover bids after abandoning plans to revive an offer for Qantas Airways Ltd.

The Morgan Stanley Capital International Asia-Pacific Index gained 0.1 percent to 148.44 at 3:58 p.m. in Tokyo, with a measure of technology shares the second-biggest contributor to the advance.

Japan's Topix index slipped 0.3 percent while the Nikkei 225 Stock Average lost 0.2 percent. The only other benchmarks to drop were in Thailand, Pakistan and Sri Lanka. Indonesia's stock market is closed today for a holiday.

South Korea's Hyundai Steel Co. rose after Arcelor Mittal, the world's biggest steelmaker, said first-quarter profit jumped 41 percent.

/...

[Ghost Dog]

27. Spanish rally helps lift European equities

http://mwprices.ft.com/custom/ft2-com/html-story.asp?pulse=true&siteid=ft&dist=ft&guid=%7B70e76349%2D07f8%2D4f30%2D921a%2D3a39da95ea70%7D

Strong corporate earnings and merger speculation helped lift European equities yesterday (<-- * I thi nk that should read: "today"), despite some downside pressure from banks. Trade was light, however, with markets in Scandinavia, Switzerland and Austria closed for Ascension Day. The FTSE Eurofirst 300 climbed 0.2 per cent to 1,584.66, Frankfurt’s Xetra Dax added 0.2 per cent to 7,499.5 and the CAC 40 in Paris rose 0.2 per cent to 6,027. Spain’s equity market was one of the most active, and the benchmark Ibex 35 climbed 0.3 per cent to 14,968.2. Merger talk was behind much of the gains. Iberdrola rose 2.4 per cent to €41.12 amid rumours construction group ACS was poised to sell its holding in Union Fenosa to fund an increase in its 13 per cent stake in the Bilbao-based power company. Goldman Sachs raised its target price on Iberdrola from €40 to €42 saying the company was a plausible takeover candidate. ACS added 2.2 per cent to €47.04.

[Ghost Dog]

28. European stocks end higher as oil producers rally

http://investing.reuters.co.uk/news/articleinvesting.aspx?type=eurMktRpt&storyID=2007-05-17T154812Z_01_L17249071_RTRIDST_0_MARKETS-EUROPE-STOCKS-URGENT.XML

LONDON, May 17 (Reuters) - European shares ended a touch higher on Thursday, boosted by oil stocks as crude rose and takeover talk circulated, while miners helped cap gains as copper prices sank.

The pan-European FTSEurofirst 300 index <.FTEU3> rose 0.2 percent to 1,584.7 points, with activity restricted by holidays in the Nordic markets, Austria and Switzerland.

Around Europe, London's FTSE 100 index .FTSE gained 0.3 percent, Frankfurt's DAX <.GDAXI> rose 0.2 percent and Paris's CAC 40 <.FCHI> added 0.2 percent.

A 1.8 percent rise in crude oil futures <LCOc1> made oil stocks the best-performing sector within the broader European markets, with BP (BP.L: Quote, Profile , Research) up 2.4 percent, while Total (TOTF.PA: Quote, Profile , Research) added 1.8 percent and Repsol (REP.MC: Quote, Profile , Research) added 2.2 percent.

Royal Dutch Shell (RDSa.L: Quote, Profile , Research) jumped 3 percent as traders said it could be the subject of a heavyweight tie-up, possibly with BP. Both companies declined to comment.

Mining stocks languished, with BHP Billiton (BLT.L: Quote, Profile , Research) down 2.2 percent and Rio Tinto (RIO.L: Quote, Profile , Research) 2 percent lower as copper prices dropped.

[Roland99]

30. 2:10pm - No sense being TOO greedy, eh? (oh, and thank you, UIA, for the thread!)

DJIA 13,467.62 -19.91 -0.15%
Nasdaq 2,541.26 -6.16 -0.24%
S&P 500 1,512.63 -1.51 -0.10%
Dow Util 529.47 -4.07 -0.76%
NYSE 9,817.31 -8.12 -0.08%
AMEX 2,264.39 +4.66 +0.21%
Russell 2000 816.15 -4.05 -0.49%
Semcond 493.78 -3.75 -0.75%
Gold future 657.20 -4.30 -0.65%
30-Year Bond 4.92% +0.04 +0.86%
10-Year Bond 4.76% +0.05 +1.06%

[Roland99]

31. Off-Topic update...

My brother-in-law is going home from the hospital today!

:woohoo:

[mojavekid]

32. Daily Pfennig 5/17/07: Another Dollar Mini-Rally...

http://www.kitcocasey.com/displayArticle.php?id=1390

Well... Another mini-rally in the dollar yesterday, that was kickstarted by the Housing Starts surprise, (never mind that Building Permits hit an 11-year low), and then a very strong Industrial Production number that really was pulled like a rabbit out of a hat! Industrial Production in the U.S. increased 0.7% in April, above the experts forecast, which called for a 0.3% gain. Production in March was downwardly revised to show a 0.3% drop (previous: -0.2%). So... Overall, the two-month result in Industrial Production was a nice figure of .4%... Not bad... Not exceptionally good, either.

One of my fave pieces of data, Capacity Utilization rate increased to 81.6% from the downwardly revised 81.2% rate in March (previous 81.4%). This has been one of the rare occasions in recent times that both Industrial Production and Capacity Utilization indicate some stronger Manufacturing going on... I'm from Missouri, so I'm going to have to be shown... But surprise, nonetheless!

So... The dollar rallied on these reports, and the currencies all had to suffer through a day of dollar strength... No currency went unscathed, except the manipulated Chinese renminbi. The dollar strength also carried over to the precious metals, where gold lost $13 on the day... So... Throw in the towel, raise the white flag, the party's over, right?

more...

[mojavekid]

33. Mogambo Guru: Trapped in a Government Spending Spree

http://www.kitco.com/ind/Daughty/may172007.html

"I deftly add the $3.7 trillion in spending by the federal government plus the $1.3 trillion by the state governments, and after a few tries I triumphantly announce that we are looking at a cool $5 trillion or more per year! Wow!"

My excuse is that I was driven insane by the incessant noise from the sensitive Mogambo Economic Seismograph System (MESS), the recording pens noisily clicking and clacking, all the time clicking and clacking, clicking and clacking as they bang back and forth, erratically scrawling and scratching a frantic graph of financial desperation and doom across that rolling strip of graph paper.

That said, I admit that cleaning a bunch of loaded and cocked weapons is not the smartest thing I've ever done, but (in my own defense) probably the most optimal in terms of preparedness, which is so important that the pithy phrase "Be prepared" is the motto of the Boy Scouts.

plenty more....

[Roland99]

37. "Primary Dealer 'repo' positions are up an astounding $533bn y-t-d, or 45% annualized"

:wow:

[mojavekid]

34. Jim Willie: False Housing: Gold Headwind

http://www.kitco.com/ind/Willie/may172007.html

The newest deceptions are with jobs and housing. Each is much worse than reported. The housing decline might be as much as 15% worse than reported, which leads to much bigger job loss than is reported. Most of the home construction job loss is under the table, to people not on state jobless insurance programs, and to immigrant workers paid in cash. Both fall through the statistical cracks in those home frames and plywood floors underlayments. A quick preface on the two biggest corrupted statistics first, since of paramount importance. The US Federal Reserve will likely respond to more rapid job loss, and to more rapid home sector erosion decline. When they do, expect an official rate cut sequence to resemble that of 2001. As in, sharp & sudden. The signals surround us, that the major powers are in the process of permitting the USDollar to fall.

Premeditated doctored and falsified economic statistics are the laughing stock of the USGovt reporting system. The are the tarnish on a once respected emblem. The two most important chronically corrupted pulse measures for the USEconomy are the Gross Domestic Product (GDP) on the economic growth, and the Consumer Price Index (CPI) on the price inflation. The GDP is lifted improperly by 4% to 5% in order to conceal the ongoing fight with a recession since the 2000 stock bust. The enabling device is a ridiculously low price inflation figure which might be wrong by 7% to 8%. Most reported growth is merely improperly adjusted price inflation. Be sure that the practical benefit from suppressing the CPI is to keep Social Security payments down, along with federal pensions related to agency workers, military retirees, and those who used to sit on judge benches. The direct market motive is to sell USTreasury Bonds and other debt securities, while painting a picture of fiscal health for a nation far more sickly than official statistics reveal. Lying has become an institutional feature of US government, if not corporate life.

more...

[mojavekid]

35. Axel Merk: Strong dollar in U.S. interest

http://www.kitcocasey.com/displayArticle.php?id=1389

It seems that in order to qualify for the job, U.S. Treasury Secretaries must be able to recite ‘A strong dollar is in the interest of the United States’ anytime and anywhere. Robert Rubin, Treasury Secretary during the second half of the 1990s, was highly credible when he said it. However, when Secretary John Snow uttered the same words, the ritual had been diluted to providing the appropriate sound bite to the media. Hank Paulson, successor to Snow and current Treasury Secretary, is a straight talker, but knows that his job comes with what amounts to a marketing responsibility. In the meantime, investors are at a loss what the U.S. policy towards a dollar truly is; there seems to be a disconnect between what ought to be in U.S. interest, and what current policies promote.

Abby Joseph Cohen, chief investment strategist at Goldman Sachs, who may be best known for her perpetual appetite at increasing price targets for U.S. markets, called the weak U.S. dollar the “icing on the cake”; she was referring to the potential positive effect on stock valuations given that foreign earnings translate into higher earnings for U.S. companies conducting business abroad.

Congress would like to pressure the Chinese to allow their currency to appreciate, i.e. to weaken the U.S. dollar versus the Chinese yuan. If the Chinese were to oblige, it would almost certainly increase the cost of goods we import from China; and because the Chinese recycle a lot of their dollar holdings into U.S. Treasuries, any move on behalf of the Chinese to reduce their dollar holdings would put upward pressure on U.S. interest rates (because of the inverse relationship between bond prices and interest rates).

more...

[Roland99]

38. Closing Numbers - A breather ... or a portend?

DJIA 13,476.72 -10.81 -0.08%
Nasdaq 2,539.38 -8.04 -0.32%
S&P 500 1,512.75 -1.39 -0.09%
Dow Util 529.95 -3.59 -0.67%
NYSE 9,818.98 -6.45 -0.07%
AMEX 2,266.77 +7.04 +0.31%
Russell 2000 815.64 -4.56 -0.56%
Semcond 492.30 -5.23 -1.05%
Gold future 657.20 -4.30 -0.65%
30-Year Bond 4.91% +0.04 +0.80%
10-Year Bond 4.76% +0.05 +1.02%

[Truthseeker013]

39. The rich are richer...

What else should matter to them?

[Eugene]

41. Ex-Ahold executive sentenced to 7 years in prison

Source: Reuters

Ex-Ahold executive sentenced to 7 years in prison
Thu May 17, 2007 2:44PM EDT

By Martha Graybow

NEW YORK (Reuters) - A former marketing executive of Ahold NV's
U.S.-based food distribution unit was sentenced to seven years in
prison by a federal judge on Thursday for his role in an $800 million
accounting fraud.

Mark Kaiser, who worked at the Dutch food retailer's U.S. Foodservice
division, was convicted in November 2006 of participating in a scheme
to create fake rebates from vendors to boost the company's profits
and earn bonuses.

U.S. District Judge Thomas Griesa in Manhattan imposed a sentence
slightly above federal sentencing guidelines, which called for a
prison term in a range of 5 years and three months to 6-1/2 years.

-snip-

The government said last September that it would not prosecute
Ahold for any role in the accounting fraud. The company has entered
into a $1.1 billion settlement with investors.


http://www.reuters.com/article/domesticNews/idUSN1739986420070517