If I had the cash in the banks, and they were frozen as they are now, I would prepay anything that I coukld via checking and get as much on hand (Future supplies, prepaid bills for ongoing expenses) as possible. Then when they open back up, all of the checks would quickly drain the Checking and savings accounts via overdraft protection and potentially leave not much in there, hopefully less than 100K.
The net would be much lower bank balances and credits in many vendor accounts, fundamentally making for vendors your bank (Sans interest which is 0 today anyway).
I wonder if that is what is driving some of the economic growth today ? Moving to another country / bank just leaves you further exposed for future issues which will arise anyway in the other PIIGS / other small countries.
Salesforce.com (CRM -0.6%) will grow its annual sales from $3B in 2013 to $8B in 2016, thinks FBR, which notes Microsoft and Oracle are the only software companies to have ever shown a similar growth trajectory. The firm sees both Salesforce's flagship Sales Cloud solution and a slew of newer products (I, II, III) fueling a 25%-30% CAGR over the next 4 years, and sees its market cap eventually rising to $50B from a current $22B. [View news story]
I agree and with Corporate budgets being what they will in the new year those projections are going to miss by a mile.
Trying to stay off the "front page," Bank of America (BAC) nixes plans for new checking-account fees set to ht about 10M customers by year's end. These customers - small balances, don't take out loans - cost the bank roughly $200/year. Back of envelope: That's $2B in losses vs. total income of $5.4B over the last 4 quarters. "Our strategy is to give our customers reasons to do more business with us," says co-COO David Darnell. [View news story]
The questions is:
Should the govt dictate business decisions (Yes if socialist/communist/fa... otherwise no) ? Their analysis is what it is. nobody has the right to determine another person/entities profitability any more than other freedoms.
We get so sidetracked with who has the right to do what discussions and who has a right to what ? not a productive discussion in either case.
One More:
Why look at the boring bank and oil company profits. If you want to see gouging based on profitability you need look no furtther than the educational system and Many of the tech names (AAPL anyone ?). The banks are small potatoes compared to the prior mentioned. Have the bank stocks gone up almost threefold. Do they have double digit prices over the last decade and with Govt subsidies (i.e college costs). The answer is obviously no to both.
How about Berkshire Hathaway and Costco. They not only take in very strong earning but have played the tax avoidance game to perfection (i.e. See the latest Costco move to borrow heavily to pay out dividends).
More on the fiscal cliff talks: The President's opening bid - delivered this afternoon by Tim Geithner - calls for a $1.6T tax increase, a $50B economic-stimulus program, and delivering to the WH the power to raise the federal debt limit without congressional approval. It's a "step backward," says Mitch McConnell. It sounds more like what it's described as: An opening bid. [View news story]
No hope. I say let the Sequestration begin. I really hope that they all just stop negotiating and let this thing get going at year end.
More on The Sequester: The talks are about replacing the $100B in spending cuts set to take place in January with a smaller package of targeted cuts and tax hikes, according to sources. The move would put off any big decisions until mid-2013 (wonderful). The White House and congressional leaders are set to begin negotiations today. [View news story]
If the Republicans go for this they will get voted out. How they even have the guts to have those discussion is beyond me.
If they are just going to be democrat light then we do not need them. Lets get to hell quickly versus a prolonged malaise.
Let the sequestration begin ! it is the best and possibly only solution.
California has opened the world’s second-largest auction for permits to release greenhouse gases, the first test of a program that aims to reduce emissions while raising billions of dollars for the state. The auctions are expected to generate $1B in the first year, and $2.8B-$11B/year by 2015. [View news story]
California is already so expensive that I can't imagine why anyone would live there (Unless you need a Gov't handout).
If people cared about Greenhouse gases they wouldn't allow the emissions. This is just a money grab.
This won't work unless the whole world does it. One state little difference, they will just build all new stuff somewhere else.
S&P warns about "hot money" in the high-yield bond ETF sector (HYG, JNK), saying the ease with which investors can buy and sell creates "new and risky dynamics" in that area of fixed income. Not so fast, writes Brendan Conway, pointing out S&P is just operating on a hunch. Moody's earlier attempt at laying blame on JNK for volatile action fell flat. [View news story]
Being early doesn't mean that they are wrong. How many times have we seen these early calls that just come home to roost at inopportune times.
Sprint (S) says it isn't planning any immediate takeover of Clearwire (CLWR), tabling any talk of a deal for at least 6-8 months until the Softbank deal closes. Shares of Clearwire jumped 16% today on speculation of an imminent takeover, and have skyrocketed 78% over the last two trading days the previous week. Despite the fervor, a deal between the two is speculative at best. S doesn’t need to own CLWR because it already has access to its spectrum, and its very expensive to boot. [View news story]
Yeah, and that is why 80+ million shares have traded, because they are all not knowledgeable of the final expected outcome.
Tax regimes matter and the U.K.'s efforts at improving its competitiveness are paying off, with at least 20 multinationals putting together plans to relocate headquarters to the country. The U.S. is the largest source of those planning a move despite IRS efforts to make it harder for firms to change their domicile. [View news story]
IRS trying to stop them from moving. Ayn Rand would be giving us the big "I told you so" right now !
"The Fed will destroy the world," writes SocGen professional bear Albert Edwards (channeling Marc Faber). The man who in 2005 labeled Alan Greenspan "an economic war criminal" thinks Bernanke's policies will prove even more ruinous. Lowering his equity weighting to the minimum possible - 30% - he says the last time he did such was May 2008. [View news story]
The above said, his underlying premise is correct. The fed is gambling and large with little upside scenario's. The gains are already baked in and going forward is pay back time.
Sign of the times: Struggling to earn adequate returns, Japan's Teachers' Mutual Aid Co-operative Society (AUM $7.6B) plans to move some of its assets into REITs, hedge funds, and overseas bonds. "We need to have a certain level of return no matter how the market condition is," says a fund GM Toru Higuchi. Mr. Market, however, is unconcerned with the fund's needs. [View news story]
What a fool ! He should look at how he will handle the possible loss that comes with increased risk and see how that compares to inadequate returns.
The overpromising of benefits will lead this lamb to slaughter !
More on New Home Sales: The months' supply of houses fell to 4.6 from 4.8 last month and 6.7 a year ago. The average selling price fell 1.4% M/M to $263,200. [View news story]
I was being sarcastic (Sorry). My thought was that if the inventory is falling then the prices should be rising as well, unless I am missing something.
That would be in a world where Real Estate was in a normal market and truly recovering.
Salesforce.com (CRM): FQ2 EPS of $0.42 beats by $0.03. Revenue of $731.6M (+34% Y/Y) beats by $3.3M. Expects FQ3 revenue of $773M-$777M and EPS of $0.31-$0.32 vs. consensus of $771.3M and $0.34. Expects FY13 (ends Jan. '13) revenue of $3.025B-$3.035B and EPS of $1.48-$1.51 vs. consensus of $3.02B and $1.49. Shares -2.6% AH. (PR) [View news story]
Salesforce.com (CRM): FQ2 EPS of $0.42 beats by $0.03. Revenue of $731.6M (+34% Y/Y) beats by $3.3M. Expects FQ3 revenue of $773M-$777M and EPS of $0.31-$0.32 vs. consensus of $771.3M and $0.34. Expects FY13 (ends Jan. '13) revenue of $3.025B-$3.035B and EPS of $1.48-$1.51 vs. consensus of $3.02B and $1.49. Shares -2.6% AH. (PR) [View news story]
I agree. This companies books are a Ponzi and I would never buy their stock just because of their manner of reporting numbers. Wait until the first hiccup !
Cyprus Is Not A 0.2% Problem [View article]
The net would be much lower bank balances and credits in many vendor accounts, fundamentally making for vendors your bank (Sans interest which is 0 today anyway).
I wonder if that is what is driving some of the economic growth today ? Moving to another country / bank just leaves you further exposed for future issues which will arise anyway in the other PIIGS / other small countries.
Thoughts ?
Salesforce.com (CRM -0.6%) will grow its annual sales from $3B in 2013 to $8B in 2016, thinks FBR, which notes Microsoft and Oracle are the only software companies to have ever shown a similar growth trajectory. The firm sees both Salesforce's flagship Sales Cloud solution and a slew of newer products (I, II, III) fueling a 25%-30% CAGR over the next 4 years, and sees its market cap eventually rising to $50B from a current $22B. [View news story]
By the way, No PE. Risk anyone ?
Trying to stay off the "front page," Bank of America (BAC) nixes plans for new checking-account fees set to ht about 10M customers by year's end. These customers - small balances, don't take out loans - cost the bank roughly $200/year. Back of envelope: That's $2B in losses vs. total income of $5.4B over the last 4 quarters. "Our strategy is to give our customers reasons to do more business with us," says co-COO David Darnell. [View news story]
Should the govt dictate business decisions (Yes if socialist/communist/fa... otherwise no) ? Their analysis is what it is. nobody has the right to determine another person/entities profitability any more than other freedoms.
We get so sidetracked with who has the right to do what discussions and who has a right to what ? not a productive discussion in either case.
One More:
Why look at the boring bank and oil company profits. If you want to see gouging based on profitability you need look no furtther than the educational system and Many of the tech names (AAPL anyone ?). The banks are small potatoes compared to the prior mentioned. Have the bank stocks gone up almost threefold. Do they have double digit prices over the last decade and with Govt subsidies (i.e college costs). The answer is obviously no to both.
How about Berkshire Hathaway and Costco. They not only take in very strong earning but have played the tax avoidance game to perfection (i.e. See the latest Costco move to borrow heavily to pay out dividends).
More on the fiscal cliff talks: The President's opening bid - delivered this afternoon by Tim Geithner - calls for a $1.6T tax increase, a $50B economic-stimulus program, and delivering to the WH the power to raise the federal debt limit without congressional approval. It's a "step backward," says Mitch McConnell. It sounds more like what it's described as: An opening bid. [View news story]
It may be the best and fairest solution possible.
More on The Sequester: The talks are about replacing the $100B in spending cuts set to take place in January with a smaller package of targeted cuts and tax hikes, according to sources. The move would put off any big decisions until mid-2013 (wonderful). The White House and congressional leaders are set to begin negotiations today. [View news story]
If they are just going to be democrat light then we do not need them. Lets get to hell quickly versus a prolonged malaise.
Let the sequestration begin ! it is the best and possibly only solution.
California has opened the world’s second-largest auction for permits to release greenhouse gases, the first test of a program that aims to reduce emissions while raising billions of dollars for the state. The auctions are expected to generate $1B in the first year, and $2.8B-$11B/year by 2015. [View news story]
If people cared about Greenhouse gases they wouldn't allow the emissions. This is just a money grab.
This won't work unless the whole world does it. One state little difference, they will just build all new stuff somewhere else.
S&P warns about "hot money" in the high-yield bond ETF sector (HYG, JNK), saying the ease with which investors can buy and sell creates "new and risky dynamics" in that area of fixed income. Not so fast, writes Brendan Conway, pointing out S&P is just operating on a hunch. Moody's earlier attempt at laying blame on JNK for volatile action fell flat. [View news story]
Sprint (S) says it isn't planning any immediate takeover of Clearwire (CLWR), tabling any talk of a deal for at least 6-8 months until the Softbank deal closes. Shares of Clearwire jumped 16% today on speculation of an imminent takeover, and have skyrocketed 78% over the last two trading days the previous week. Despite the fervor, a deal between the two is speculative at best. S doesn’t need to own CLWR because it already has access to its spectrum, and its very expensive to boot. [View news story]
I am not selling yet.
From Germany, With Love And Tear Gas [View article]
Tax regimes matter and the U.K.'s efforts at improving its competitiveness are paying off, with at least 20 multinationals putting together plans to relocate headquarters to the country. The U.S. is the largest source of those planning a move despite IRS efforts to make it harder for firms to change their domicile. [View news story]
Where is Wesley Mooch when you need him ?
Who is John Galt today ?
"The Fed will destroy the world," writes SocGen professional bear Albert Edwards (channeling Marc Faber). The man who in 2005 labeled Alan Greenspan "an economic war criminal" thinks Bernanke's policies will prove even more ruinous. Lowering his equity weighting to the minimum possible - 30% - he says the last time he did such was May 2008. [View news story]
Sign of the times: Struggling to earn adequate returns, Japan's Teachers' Mutual Aid Co-operative Society (AUM $7.6B) plans to move some of its assets into REITs, hedge funds, and overseas bonds. "We need to have a certain level of return no matter how the market condition is," says a fund GM Toru Higuchi. Mr. Market, however, is unconcerned with the fund's needs. [View news story]
The overpromising of benefits will lead this lamb to slaughter !
More on New Home Sales: The months' supply of houses fell to 4.6 from 4.8 last month and 6.7 a year ago. The average selling price fell 1.4% M/M to $263,200. [View news story]
That would be in a world where Real Estate was in a normal market and truly recovering.
Salesforce.com (CRM): FQ2 EPS of $0.42 beats by $0.03. Revenue of $731.6M (+34% Y/Y) beats by $3.3M. Expects FQ3 revenue of $773M-$777M and EPS of $0.31-$0.32 vs. consensus of $771.3M and $0.34. Expects FY13 (ends Jan. '13) revenue of $3.025B-$3.035B and EPS of $1.48-$1.51 vs. consensus of $3.02B and $1.49. Shares -2.6% AH. (PR) [View news story]
Salesforce.com (CRM): FQ2 EPS of $0.42 beats by $0.03. Revenue of $731.6M (+34% Y/Y) beats by $3.3M. Expects FQ3 revenue of $773M-$777M and EPS of $0.31-$0.32 vs. consensus of $771.3M and $0.34. Expects FY13 (ends Jan. '13) revenue of $3.025B-$3.035B and EPS of $1.48-$1.51 vs. consensus of $3.02B and $1.49. Shares -2.6% AH. (PR) [View news story]