Tuesday, July 16, 2013 – No Inflation Except if You Drive

No Inflation Except if You Drive by Sinclair Noe DOW – 32 = 15,451SPX – 6 = 1676NAS – 8 = 359810 YR YLD – .02 = 2.53%OIL – .55 = 105.77GOLD + 8.30 = 1292.50SILV + .08 = 21.11 Start with the big economic report of the day; the Consumer Price Index, or CPI, which measures inflation at the retail level, increased 0.5% in June. A 6.3 percent surge in gasoline prices accounted for about two thirds of the increase. In the 12 months through June, the CPI advanced 1.8 percent. Stripping out energy and food, consumer prices increased 0.2 percent for a second straight month. That took the increase over the past 12 months to 1.6 percent, the smallest rise since June 2011. No real inflation except for energy prices. A separate report from the Fed showed output at the nation’s factories, mines and utilities rose 0.3 percent in June after a flat reading in May. Another report showed confidence among single-family home builders at a 7-1/2 year high in July, with expectations of stronger sales and buyer traffic. In earnings news, Coca Cola reported earnings of $2.6 billion, down from $2.7 billion a year ago. They tried to blame the shortfall on bad weather but I think people are cutting back on drinking soda. Goldman Sachs posted second quarter net income of $1.9 billion compared with $962 million, in the period a year earlier. So, profits are up 100 percent. How is that possible, especially considering the …


Tuesday, April 16, 2013 – Love That Dirty Water

Love That Dirty Water by Sinclair Noe DOW + 157 = 14,756SPX + 22 = 1574NAS + 48 = 326410 YR YLD + .02 = 1.72%OIL + .20 = 89.90GOLD + 16.70 = 1370.30SILV + .65 = 23.44 If home is where the heart is, then Boston is everybody’s hometown today. No significant developments to report. The death toll stands at 3, with 176 people reported as injured, some in very critical condition. Officials now say it was just two bombs; yesterday, there was speculation there were more. There is no indication that the bombing was part of a broader plot. We still don’t know if it was one evil lunatic or a group of evil lunatics. We don’t know if it was done by someone from this country or elsewhere. There have been no arrests, and it is a very intensive ongoing investigation. We should not speculate on some things. What we do know is that people responded by running toward the blast to help the victims. We do know that the medical personnel and others responded heroically. And we do know that the good, decent, and heroic people outnumber the evil lunatics; always have, always will. Total housing starts in March were up 46.7% from the March 2012 pace, although some of that increase was due to a surge in multi-family starts in March. Single family starts were up 28.7%. Even with this significant increase, housing starts are still very low. The consumer price index decreased 0.2% in March, led …