Wednesday, December 5, 2012

Morning Journal--the tyranny of the politically correct

  News on Stocks in Our Portfolios
 
Qualcomm to invest $120M in Sharp. Qualcomm (QCOM) has confirmed speculation it will invest in Sharp (SHCAY.PK), with the U.S. company to provide $120M to the troubled Japanese firm. Qualcomm will invest an initial ¥4.93B ($59.9M) by the end of the year and receive a 2.6% stake in Sharp, while the American company will provide the rest of the money by March. The firms will also jointly develop new displays based on Sharp's IGZO technology.
Economics

   This Week’s Data

            The International Council of Shopping Centers reported weekly sales of major retailers down 3.1% from the prior week (typical for the week after Black Friday) but up 3.2% versus the comparable period a year ago: Redbook Research reported month to date retail chain store sales up 2.1% on a year over year basis.

            Weekly mortgage applications climber 4.5% while purchase applications rose only 0.1%.

            The ADP private payrolls report showed an increase in employment (118,000) less than expected (125,000).

            Third quarter nonfarm productivity rose 2.9% versus estimates of +2.8%; unit labor costs fell 1.9% versus forecasts of -0.9%.

   Other

            More on taxes and income (short/medium):

            Signs of a slump in consumer spending (short):
           
            The failure of Keynes (medium):

Politics

  Domestic

The tyranny of the politically correct (medium):

            Bargaining in good faith (medium):

  International War Against Radical Islam

            Time magazine does it again.  After pronouncing Egyptian president Morsi ‘the most important man in the Middle East’ this week, we now see him fleeing unceremoniously from the presidential palace as protests get chippy.

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