Tag: north

Market Week Wrap-up

– Leading global equity indices continued floating upwards this week while the inflation drumbeat just kept getting louder. In the US, the January y/y CPI figure hit +1.6%, its highest level since last spring, and some analysts were alarmed by higher food prices creeping into CPI data sooner than expected. China’s January CPI report was lower than expected at +4.9% y/y, but markets panned the figures as heavily massaged by basket revisions. In the UK, the BoE said CPI would likely continue growing at a 4-5% clip over the short term. The World Bank released a report indicating that food prices were up 15% since October 2010 and are now only 3% away from record highs hit in 2008. Commodities moves complicated the story somewhat. While silver has pushed out to 30-year highs, there were signs that inflated soft commodity prices were beginning to unwind, with cotton and grain prices both below recent highs. Crude and gold prices have been impacted by reports that Iran is sending warships through the Suez Canal and bloody protests in Bahrain (next door to Saudi Arabia), although WTI futures were well below recent highs seen in early February. The Obama Administration unveiled its $3.73T budget proposal for 2012, including an all-time high deficit of $1.65T, reflecting the tax-cut agreement reached with Republicans in December. For 2012, the administration sees the imbalance declining to $1.1T, giving the country a record four straight years of one trillion-plus deficits. Bond prices held steady after the details were released, and Congress sharpened its knives for a budget fight. The Feb Empire Manufacturing survey hit its highest level since last June, indicating that the US manufacturing expansion seen over the last several months is continuing. On Friday there was plenty of commentary out of the G20 conference, where leaders tried mightily to achieve some concrete steps in reforming the global monetary system. Fed Chairman Bernanke took a swipe at the Chinese in his policy address to the G20, warning that nations which keep currency values low create imbalances, while the PBoC’s Zhou continued to push for a higher profile for the IMF’s Special Drawing Rights (SDRs). For the week, the DJIA rose 1.0%, the Nasdaq gained 0.9% and the S&P500 was up 1.0%. – John Deere crushed earnings and revenue targets in its Q1 report and nearly doubled its guidance for FY11 equipment sales. The firm hiked its sales guidance for its key agriculture and construction units as well, and said its Q2 revenue would blow out consensus estimates. Later in the week Caterpillar released very favorable dealer metrics for the month of January, with North America machinery sales up a whopping 58% y/y in the month. – Iron ore miner Cliffs Natural Resources reported very strong Q4 profits on a big y/y gain in iron ore pricing. The company expects global steel production to continue to grow in 2011, although it warned that spot iron ore prices are unsustainably high. Reliance Steel also blew out earnings estimates, and said pricing would remain strong at least through the first quarter of 2011. – In tech, Dell’s profit was way ahead of the consensus in its Q4 report, thanks to a big improvement in margins. The company said it believes the corporate IT…

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Goodyear Posts Third-Straight Annual Loss

Filed in AIG, AT T, earnings, o, Spot Gold by on February 10, 2011 0 Comments
Goodyear Posts Third-Straight Annual Loss

Filed under: Earnings Reports , Goodyear Tire and Rubber (GT) Goodyear Tire & Rubber ( GT ), North America’s largest tire maker, posted losses in the forth quarter and for the year. This marks the third-straight annual loss. To stave off further deterioration, the company is closing its Tennessee plant. In 2009, union negotiations left the plant unprotected, meaning that it could be closed at the company’s discretion. Continue reading Goodyear Posts Third-Straight Annual Loss Goodyear Posts Third-Straight Annual Loss originally appeared on BloggingStocks on Thu, 10 Feb 2011 11:00:00 EST. Please see our terms for use of feeds . Permalink | Email this | Comments

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Coca-Cola’s Earnings Surge

Filed in acquisitions, Coca Cola, earnings, EPS, New Gold, o, revenue, Spot Gold by on February 10, 2011 0 Comments
Coca-Cola’s Earnings Surge

Filed under: Earnings Reports , Coca-Cola (KO) , PepsiCo (PEP) Last year, Coca-Cola ( KO ) acquired Coca-Cola Enterprises’ North American bottling operations. In addition, volume in North America rose 3%, excluding acquisitions and the currency impacts. These two factors gave the company an outstanding quarter. The company has taken market share from its rival PepsiCo ( PEP ). Coca-Cola reported Wednesday earnings of $5.77 billion, or $2.46 a share, up from $1.54, or 66 cents per share, a year ago, according to The Wall Street Journal . Excluding benefits from bottling acquisition, earnings were 72 cents a share. Revenues increased 40% to $10.5 billion, and were up 45% excluding currency impacts. Gross margins fell to 59.2% from 64.7%. Continue reading Coca-Cola’s Earnings Surge Coca-Cola’s Earnings Surge originally appeared on BloggingStocks on Thu, 10 Feb 2011 10:00:00 EST. Please see our terms for use of feeds . Permalink | Email this | Comments

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Bakken Oil Output Booming

Filed in commodities, o, South African Gold, upgrade by on February 9, 2011 0 Comments
Bakken Oil Output Booming

Filed under: Analyst Reports , Forecasts , Industry , Commodities Believe it or not we have an “oil rush” right here in the United States, in North Dakota and Montana. It is called the Bakken Formation, as reported in IBD . The area is said to contain 4.3 billion barrels of oil. Some estimates go as high as 24 billion barrels. Today North Dakota produces 400,000 barrels per day. With upgrades in infrastructure, production could go to 600,000 to 800,000 barrels per day. Continue reading Bakken Oil Output Booming Bakken Oil Output Booming originally appeared on BloggingStocks on Wed, 09 Feb 2011 15:00:00 EST. Please see our terms for use of feeds . Permalink | Email this | Comments

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Zillow: Home Values Lose Another $2 Trillion

Filed in BP, economy, EPS, Gold, GOld juniors, Gold Market, housing-market, Lear, o, revenue by on February 9, 2011 0 Comments
Zillow: Home Values Lose Another $2 Trillion

Anybody that thinks housing has reached a bottom needs to have their head examined. If you doubt that just ask the fine folks at Beazer Homes (NYSE:BZH) who reported a loss of $48.8 million, or 66 cents a share, down more than 200% from a $48 million, or $1.17 per share, income a year earlier. That dismal effort came on revenue that plummeted 48% to $110.3 million from $213.1 million just a year earlier. Meanwhile the spring is really not looking that much better. Beazer reported a total of 527 home closings and 540 new orders during the period, down 43.6% and down 23.9% respectively. Of course, that what happens Uncle Sam steps out of the mix with tax goodies and rebates—the market falls apart. Because the truth is despite historically low interest rates, the demand for homes of all types remains at exceptionally low levels. That’s true no matter what Lawrence Yun says. The end result is falling prices and more borrowers left underwater…. From Bloomberg by John Gittleson entitled: Home-Price Drop Leaves 27% of U.S. Owners Underwater on Loans “ The number of U.S. homes worth less than their outstanding mortgage jumped in the fourth quarter as prices fell and lenders seized fewer properties from delinquent borrowers, according to Zillow Inc. About 15.7 million homeowners had negative equity, also known as being underwater, at the end of the year, up from 13.9 million in the previous three months, the Seattle-based real estate information company said in a report today. The total represented 27 percent of mortgaged single-family homes, the highest in Zillow data dating to the first quarter of 2009. Home prices are declining as foreclosed properties sell at discounts and unemployment at 9 percent limits buyer demand. Values will fall as much as 5 percent this year, putting more homeowners underwater, before finding a floor as the economy improves, said Stan Humphries, Zillow’s chief economist. “ These seem like fairly grim numbers,” Humphries said in a telephone interview. “We’re still expecting a bottom in home values later this year. And this, if anything, makes me a bit more confident because I’m seeing very large corrections now, which means the market can start to repair itself.” The median value for a U.S. single-family home was $175,200 in the fourth quarter, down 2.6 percent from the end of September and 5.9 percent from a year earlier, according to Zillow. Values have fallen 27 percent from the June 2006 peak. Las Vegas led the nation in …

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Sara Lee to Split in Twain; Will Pay $3 Dividend in 2012 (SLE)

Filed in dividend, Gold, o, shares by on January 28, 2011 0 Comments

Food products maker Sara Lee Corp. ( SLE ) on Friday announced it would split into two separate companies and pay a massive $3 per-share dividend in 2012. The company said the first half of the break-up will be made up of its North American retail and food service businesses, and will retain the Sara Lee name. The other portion will consist of its international bakery and beverage businesses, as well as its North American beverage business. That second entity has yet to be named. The move comes amid months of speculation regarding potential buyout offers for SLE, which have now fallen off the table. The break-up is expected to close in 2012. In a separate announcement, the company said it would pay a special one-time $3 per-share dividend in 2012. It will fund the dividend via the sale of its North American fresh bakery business. Sara Lee shares were mostly flat in premarket trading Friday. The Bottom Line Shares of Sara Lee ( SLE ) have a 2.61% dividend yield, based on last night’s closing stock price of $17.64. The stock has technical support in the $16 price area. If the shares can firm up, we see overhead resistance around the $20 price level. Sara Lee Corp. ( SLE ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.3 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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Ericsson (NASDAQ:ERIC) Earnings Limited Even with Sales Growth

While Ericsson (NASDAQ:ERIC) sales are expected to surge in 2011, the emerging markets that growth will occur in will have limited earnings potential because of lower margins. Canaccord says, “We believe Ericsson is well positioned for solid 2011 sales, as our carrier capex survey indicated solid wireless trends in 2011 driven by new 4G network builds in North America and 3G builds in developing

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Why Theft Is Never OK, Even When the Government Does It

Filed in BP, deflation, economy, lead, New Gold, o, sov by on January 19, 2011 0 Comments

Yesterday was the morning of my 35th anniversary on the planet. The well-wishing phone calls started early. I missed the first — from my younger sister, who is always the first to call on my birthday — and made a note to call her back later. I was awake enough to take the second call from my dad. “I realized this morning that if it’s been 35 years since you were born,” he said, “then I must be a little older than 35. I’m really just calling to remind you that you’re getting old too. I need the company.” Thirty-five is one of those milestone birthdays…the neat halfway point between the big three-oh and the bigger four-oh. In my case I got to look around and panic: I hadn’t gotten started on all those grown-up things you were supposed to start by 30 and have nearly completed by 40. Grown-ups are usually on their second or third spawn by this age. They have cars and mortgages. I’d only recently got as far as making my own meals. But at least I’d gotten exposed to enough good reading to understand that no one owed me anything, that I had to earn everything that I wanted. I feel more grown-up than most when it comes to lacking a sense of entitlement. Not only am I not entitled to goods and services; I also have to earn the goodwill of those whose help I’d count on in case disaster struck and I hadn’t prepared sufficiently. I had to be a good son and a good brother…a good friend and a good neighbor. Even if I had no loving relatives or concerned friends to rely on, however, I still wouldn’t demand the tax-born kindness of strangers. Any charity I would receive would have to be voluntarily given. And there should be enough shame involved to keep me from growing to rely on it forever. This is not a popular sentiment these days. Every effort is made by the intelligentsia and the media to convince people of the opposite… We are all children, they tell us. We need to be taken care of. And we are all owed something by someone else. That’s what governments are really for. They guide. They prohibit. They shuffle earned income to grasping hands. And they’re proud of it… Paul Krugman, cheerleader of the state writes: “One side of American politics considers the modern welfare state — a private-enterprise economy, but one in which society’s winners are taxed to pay for a social safety net — morally superior to the capitalism …

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Ho, Ho, Ho: Apple Sells 47,160,000 New iThings in Q1

Filed in Apple, BP, Gold, GOld juniors, Gold Market, ipad, Lear, Microsoft, o by on January 19, 2011 0 Comments
Ho, Ho, Ho: Apple Sells 47,160,000 New iThings in Q1

Judging from Apple’s (NASDAQ:AAPL) first quarter numbers, the Steve Jobs medical leave story is only going to be a minor hiccup in the short term. Fresh off of the Christmas holiday, Apple crushed it again. Net income in the fiscal first quarter rose to $6 billion, or $6.43 a share. That blew away last year’s take of $3.38 billion, or $3.67/share as profits surged 78%. In the blow out quarter, which appropriately enough ended on Dec. 25, Apple sold: 7.33 million iPads. 16.2 million iPhones 4.13 million Mac computers And 19.5 million iPod media players. That’s a total of 47,160,000 new electronics devices sold in just three months. Put another way, thats one new gadget for every 6.6 Americans since September 25 th . Somewhere, no doubt PC guy is now beating his head against a brick wall. Because let’s face it, Microsoft has now been completely left in the dust by the company it bailed out in 1997 with $150 million investment. In just two short years, Apple has practically put the game out of reach. As for Steve Jobs, lets just say that the company will do just fine without him for the time being. Related Articles: Apple: Stock of the Year Apple’s Next Evolution Apple Sets its Sights on iSpecs To learn more about Wealth Daily click here Advertisement Most Important 500 Square Miles on Earth Becomes Private Property It was a stretch of barren landscape just a couple hundred miles away from the North Pole… But locked within it sat a 50-year supply of the most important class of industrial metals known to man. Earlier this year— for the first time ever — a single company took hold of this land… And altered the course of the world’s high-tech market forever. Learn more here. Ho, Ho, Ho: Apple Sells 47,160,000 New iThings in Q1 originally appeared in Wealth Daily . Wealth Daily is a free daily newsletter featuring contrarian investment insights and commentary.

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Deere (NYSE:DE), AGCO (Nasdaq:AGCO) Look Strong on Ag Secular Growth Trends

Filed in agco, barclays, deere, Gold Bullion prices, Gold Prices, o by on January 10, 2011 0 Comments

Citing a continuous solid secular growth trend in agriculture, Barclays (NYSE:BCS) sees Deere (NYSE:DE) and AGCO (Nasdaq:AGCO) doing well in 2011 as machinery spend accelerates.Barclays said, “On Friday, we attended AgConnect in Atlanta, GA and came away with increased conviction around the outlook for North American ag equipment spend, which we think could be up MSD in FY11, possibly better.

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New Bakken Acres in Hess Pie – Analyst Blog

Filed in BP, Gold Investing, o by on December 30, 2010 0 Comments

Hess Corporation said yesterday, that the company has completed the acquisition of additional acreages in the Bakken oil shale play in North Dakota.

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V.F. Corp Started as an “Outperform” at Wells Fargo (VFC)

Filed in dividend, EPS, Gold Investment, o, outperform, shares by on December 17, 2010 0 Comments

Apparel maker V.F. Corporation ( VFC ) on Friday saw its coverage initiated with an “Outperform” rating by analysts at Wells Fargo. The firm also set a $97-101 valuation range on VFC, which implies a potential 15% upside to the stock’s Thursday closing price of $88.16. A Wells Fargo analyst commented, “We think that VFC has attractive growth opportunities internationally, specifically in Asia, with several of its brands including The North Face, Vans and Lee. The increasing penetration of high-margin international, direct-to-consumer, and lifestyle brands could expand operating margins to 14-15% over the longer term…Our ’10/’11 EPS estimates are $6.32/$6.95 (vs. consensus $6.31/$6.80).” V.F. Corp shares were mostly flat in premarket trading Friday. The Bottom Line Shares of V.F. Corporation ( VFC ) have a 2.86% dividend yield, based on last night’s closing stock price of $88.16. The stock has technical support in the $82-$83 price area. If the shares can firm up, we see overhead resistance around the $94 price levels. V.F. Corporation ( VFC ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

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