Morning Journal---US now 12th place in economic freedom

News on Stocks in Our Portfolios

BlackRock, Inc. beats by $0.59, beats on revenue

·         BlackRock, Inc. (BLK): Q4 EPS of $4.92 beats by $0.59.

·         Revenue of $2.77B (+9.1% Y/Y) beats by $80M.

Kinder Morgan Energy Partners beats by $0.04, beats on revenue

·         Kinder Morgan Energy Partners (KMP): Q4 EPS of $0.83 beats by $0.04.

·         Revenue of $3.47B (+38.2% Y/Y) beats by $130M.

 

Economics

   This Week’s Data

            The Fed released its latest Beige Book report which read very much like its predecessors---the economy is gradually improving.  If there was any difference, I would say that it was ever so slightly more upbeat.

            http://www.zerohedge.com/news/2014-01-15/beige-book-saw-moderate-expansion-despite-harsh-weather-ongoing-obamacare-concerns

            Weekly jobless claims fell 2,000 versus estimates of down 3,000.

            December CPI was up 0.3%, in line; ex food and energy, it was up 0.1%, also in line.

   Other

            Macro markets risk index (short):

                http://www.capitalspectator.com/archives/2014/01/macromarkets_ri_22.html#more

            Will corporate profit margins contract (short)?

            http://pragcap.com/when-will-corporate-profit-margins-contract

            The US drops to 12^th place in economic freedom---just below 11^th place Estonia.  Hats off to our political class (short).

            http://www.zerohedge.com/news/2014-01-15/level-economic-freedom-united-states-all-time-low

            Housing providing support to the economy (medium):

            http://advisorperspectives.com/dshort/guest/Chris-Puplava-140115-Housing-Tailwind.php

            How corporations are spending their money (short):

            http://blog.yardeni.com/2014/01/companies-spending-plenty-on-r-and.html

Politics

  Domestic

Demagoguing income inequality (medium):

http://news.investors.com/ibd-editorials-on-the-right/011414-686320-income-inequality-focus-unfair-to-most-productive.htm

Downsizing the government (3 minute video):

http://www.aei-ideas.org/2014/01/cato-project-its-time-to-downsize-the-federal-government/

The Club for Growth on the appropriations bill (short):

http://www.clubforgrowth.org/perm/?postID=16245

Quote of the day (short):

http://cafehayek.com/2014/01/bonus-quotation-of-the-day-23.html?utm_source=feedburner&utm_medium=email&utm_campaign=Feed%3A+CafeHayek+%28Cafe+Hayek%29

  International

            Another delightful tirade from my favorite eurocrat (3 minute video):

            http://www.zerohedge.com/news/2014-01-15/nigel-farage-booms-europe-now-run-big-banks-big-business-and-big-bureaucrats                   

            Here is a summary of the senate report on the attack on the Benghazi embassy (medium):

            http://www.zerohedge.com/news/2014-01-15/summary-senates-report-benghazi-embassy-attack