US Politics
Can USD/Yen Moves Above 100.00?
The bullish move in the USD/Yen is halting at the 100.00 level. There are a few good reasons for this. One, 100.00 is a psychological resistance level. Second, technically, it is also an important 50 percent Fibonacci retracement from the 124.00 to the low of 75.55.
Jobs Growth Rebounds in April but More Trouble Ahead
The Labor Department announced the economy created 165,000 jobs in April, and the unemployment rate slipped a notch to 7.5 percent. That’s better than March but hardly enough-getting unemployment down to 6 percent over the next three years would require 365,000 jobs a month, and that is not likely to happen. Adding in discouraged adults [...]
Fed Actions and Friday’s Job’s Report
Yesterday, the Federal Reserve announced it is keeping its foot on the gas–for good reason. The fiscal drag imposed by the $160 billion January tax increase, and $45 billion in sequester spending cuts is slowing consumer spending and smothering investment. Jobs will remain tough to find, and wages in the doldrums well into summer. Now [...]
First Quarter GDP up 2.5 Percent on One-Time Factors, Second Quarter Growth Anemic
The Commerce Department reported GDP grew at a 2.5 percent pace in the first quarter but don’t break out the champagne. Several one-time factors contributed to this seemingly robust performance. The economy is already slowing and new crises threaten. Most of first quarter growth likely was concentrated in January and February and the economy slowed, [...]
To Boost Growth, Everyone Should Pay Income Tax
The economy is not doing well. Unemployment is too high and big deficits threaten the credit worthiness of the federal government, and only genuine tax reform will make things right.
Fresh Evidence Spring Swoon Grips the Economy
Fresh evidence is emerging that the U.S. economy is slowing in the second quarter. Stock prices continued to slide as earnings disappointed, and the Conference Board’s index of leading economic indicators pointed down.
Tougher Gun Laws Won’t Much Stem Violence
With the Senate will likely to vote on a bipartisan bill to toughen federal gun controls, Americans should remember the effectiveness of government regulations has limits. Ultimately, new laws will give Americans a false sense of security and further delay efforts to address cultural dysfunctions that give rise to so much violence. The Senate bill [...]
Sequestration Politics: Taxes like King George
President Obama has taken the middle class hostage in a thinly veiled bid to hike their taxes. Having refused to work with Congress to reduce spending by $1.2 trillion over ten years, as he agreed to do when drafting the Budget Act of 2011, the president must now implement $85 billion in across-the-board cuts to [...]
Is Gold`s Technical Correction Done?
Gold`s technical correction to the low of $1,550 was close enough to the final target at $1,520. Although I do not expect gold to start moving higher anytime soon, I do believe that gold, around the $1,500 area, is a good area to start building a long position. The downside risk is small, if gold [...]
Markets Nervous – Buyers Beware
Greater than expected economic contraction in the Euro zone is sending the Euro/USD lower. The currency pair broke two major supports at 1.3300 and 1.3230 today. The next support is at 1.3110, the 38.2 percent Fibonacci retracement.
Top News
- US Airways plane makes unusual belly landing at Newark airport May 18, 2013By David Jones NEWARK, New Jersey (Reuters) - A US Airways flight made an emergency landing on its belly at Newark Liberty International Airport early on Saturday after the plane's landing gear failed to deploy, but no one was injured, airline and government officials said. Piedmont Airlines flight 4560, operating for US Airways from Philadelphia with 3 […]
- Union leads march in Rome calling for job creation May 18, 2013ROME (AP) — A union of Italian metal workers has led thousands of people in a march through the heart of Rome to press the new government for measures to spur job creation. […]
- Switzerland close to deal in U.S. tax dispute: finance minister May 18, 2013ZURICH (Reuters) - Switzerland is on the brink of a deal to settle a long-running dispute with U.S. authorities over Swiss banks accused of helping wealthy Americans evade billions of dollars of tax, the finance minister said on Saturday. "We hope that we will shortly be at the finishing line," Eveline Widmer-Schlumpf told Swiss radio in an intervi […]
- Politics, bribery charges swirl around Ugandan oil May 18, 2013KAMPALA, Uganda (AP) — Even before the first drops flow, Uganda's oil sector is beset by bribery allegations against officials, tax-related cases abroad that cost the government millions in legal fees, and the alleged interference of a president whose firm control of the sector worries transparency campaigners. […]
- New Xbox more than a game console for Microsoft May 18, 2013By Malathi Nayak and Bill Rigby SAN FRANCISCO/SEATTLE (Reuters) - Microsoft Corp is set to make a splash this week with the eagerly awaited unveiling of its new Xbox game console, eight years after the last version, as it seeks a larger share of the $65 billion a year global computer gaming industry. But the small device faces some big competition from the P […]