I spent 10 hours on the soccer field yesterday and in between my daughter’s games I had a chance to at least skim the stack of papers I had not had a chance to read this week. ( moving, injury… long story) There are about 100 topics I would like to link to, comment on, write-about ……. not going to happen. BUT… I did jot down some facts that I want to share that get behind some of these key issues affecting the markets and the economy. Food for thought…
– The losses or injections of gov’t money in to Fannie and Freddie is already $145 billion. Double the profit of the last 35 years.
– According to MBS 9.38% of ALL LOANS outstanding are delinquent as of Q1.
– US inflation year 4 year lows ( as it is reported by the gov’t)
– A NY Police Officer retired at 44 having had a base pay of $74,000 yr and now gets $101,333 a yr for life, retired. ( NYT)
– Our National Household New Worth – $54 trillion ( 18% less then summer 2007) – NYT
– The Median Retirement Account Balance for Heads of Households ages 55-60 – $80,000 NYT
– The Median Annual Salary for Full-Time Workers with a 4 yr College Degree $55,656 (2008) NYT
-$140.5 billion – Net Foreign purchases of long-term US securities, minus open market buys in March. ( Barrons)
– US Reform Bill Clears Senate Hurdle this week
– Surprising jump in US jobless claims
– Germany surprises the market by banning naked short selling on certain instruments
– Bangkok burns and Thai protests spread after a crackdown
– Credit Spreads widening from post crisis tights
– Lots of news about the state and local budget problems – LOTS. “The Center on Budget and Policy Priorities estimates that this coming year alone states will face an aggregate shortfall of $180 billion. In some states the gap is more then 30%.” (WSJ)
– The Hedge Fund dudes head to Washington to lobby against an increase in carried interest profits from the cap gains rate to ordinary income rates.
– Cost of going to Georgetown University next year – $53,006 (WSJ)
– Seth Klarman – legendary investor – Baupost Group – “More Worried then Ever.” ( WSJ)
– Default rate on credit card loans 9.14% – highest rate since index began to be calculated in 2004.
– Oliver Stone’s sequel to Wall Street debuts at Cannes Film Festival.
– S & P – 1087 week down 4.23% ytd down 2.46% 52 week up 22.63%
– 10 yr treasuries 3.2%
– limber down 30% over the past month
– Asian Markets lowest level in 9 months
– Canada/US dollar out to $1.07 after almost hitting parity again
– GE drops $5.8% – $16.26 share (thurs)
– Euro down 17% versus US Dollar since December
-Nikkei 225 Average closes below 10,000 for first time since Feb. (down 6.48% on week)
Off to pack…