Wall Street Journal (August 5)
“They say there’s always a silver lining. Yesterday there wasn’t.” Worldwide, markets were battered and a common “theme among the wreckage was a generalized loss of confidence in the policy-making role of governments, here and in Europe.” More specifically, the Journal points to the main problem. “The economies of Europe and the United States have arrived at the moment when they no longer have any conceivable hope of being able to pay for the huge public commitments they’ve amassed the past 40 years.”
“They say there’s always a silver lining. Yesterday there wasn’t.” Worldwide, markets were battered and a common “theme among the wreckage was a generalized loss of confidence in the policy-making role of governments, here and in Europe.” More specifically, the Journal points to the main problem. “The economies of Europe and the United States have arrived at the moment when they no longer have any conceivable hope of being able to pay for the huge public commitments they’ve amassed the past 40 years.”
Tags: Confidence, Government, Markets, U.S., UK
Bloomberg (May 10)
In the U.S., “once-ailing manufacturers are enjoying a robust rebound as cost-saving moves from job cuts to a greater reliance on technology help drive stronger-than-forecast growth.” Some analysts predict a “manufacturing renaissance,” with industry leading expansion in the U.S. economy and stock markets. Manufacturing productivity increased 5.9% during 2010, the third largest gain since the Labor Department began tracking in 1987. U.S. manufacturers are also benefiting from strengthened exports on the back of a weaker dollar. Companies like Siemens are even expanding manufacturing in the U.S. because this can be more cost efficient than importing from China.
In the U.S., “once-ailing manufacturers are enjoying a robust rebound as cost-saving moves from job cuts to a greater reliance on technology help drive stronger-than-forecast growth.” Some analysts predict a “manufacturing renaissance,” with industry leading the U.S. economy and stock markets into expansion. Manufacturing productivity increased 5.9% during 2010, the third largest gain since the Labor Department began tracking in 1987. U.S. manufacturers are also benefiting from strengthened exports on the back of a weaker dollar. Companies like Siemens are even expanding manufacturing in the U.S. because this can be more cost efficient than importing from China.
Tags: China, Economy, Manufacturing, Markets, U.S.
Forbes (March 21)
Warren Buffet is not alone in stating Japan presents a “buying opportunity.” Forbes reports “generally bearish Dave Rosenberg wrote in his daily newsletter that the battered Nikkei 225, which plunged 12% last week, ‘may well be the most inexpensive market in the world.’” In the same note he points out that Japan markets are roughly at book value while global markets are twice book value. Moreover, at a P/E multiple of 14.5x, the Nikkei is trading at its cheapest in over 40 years.
Tags: Dave Rosenberg, Japan, Markets, Nikkei, Warren Buffet
New York Times (March 18)
Markets ranging from copper to treasuries and currencies to the S&P 500 are being driven by the events unfolding in Japan. The impact is now extending to overseas supply chains. “In a sign of the spreading global economic impact, General Motors on Thursday became the first U.S. auto maker to close a U.S. factory because of the crisis in Japan.” GM will halt production at a Louisiana pick-up truck plant due to shortages of components from Japan.
Markets ranging from copper to treasuries and currencies to the S&P 500 are being driven by the events unfolding in Japan. The impact is now extending to overseas supply chains. “In a sign of the spreading global economic impact, General Motors on Thursday became the first U.S. auto maker to close a U.S. factory because of the crisis in Japan.” GM will halt production at a Louisiana pick-up truck plant due to shortages of components from Japan.
Tags: Copper, GM, Japan, Markets, S&P 500, Supply chain, Treasuries
