Morning Journal--China scoffs at credit warnings

News on Stocks in Our Portfolios

Rockwell Collins (COL): FQ3 EPS of $1.2 beats by $0.05. Revenue of $1.17B misses by $0.01B.

V.F. Corp (VFC): Q2 EPS of $1.27 beats by $0.10. Revenue of $2.2B (+4% Y/Y) misses by $0.06B.

Schlumberger (SLB): Q2 EPS of $1.15 beats by $0.04. Revenue of $11.18B beats by $0.03B

Microsoft (MSFT): FQ4 EPS of $0.66 misses by $0.09. Revenue of $19.9B (+10% Y/Y) misses by $830M. Shares -4.2%

Genuine Parts (GPC): Q2 EPS of $1.39 beats by $0.18. Revenue of $3.68B (+10% Y/Y) beats by $0.B.

Nucor (NUE): Q2 EPS of $0.27 misses by $0.03. Revenue of $4.67B (+3% Y/Y) beats by $0.02B

8:11 AM Sherwin-Williams (SHW): Q2 EPS of $2.46. Revenue of $2.71B (+5.5% Y/Y) misses by $0.07B.

 

Economics

   This Week’s Data

            The July Philadelphia Fed manufacturing index jumped to 19.8 versus expectations of 9.0.

            http://www.calculatedriskblog.com/2013/07/philly-fed-manufacturing-survey.html

                The June leading economic indicators came in unchanged versus estimates of a 0.3% increase.

            http://advisorperspectives.com/dshort/updates/Conference-Board-Leading-Economic-Index.php

   Other

            The impending bankruptcy of Detroit (medium):

            http://www.zerohedge.com/news/2013-07-18/muni-retirees-face-90-loss-under-detroits-pending-free-fall-bankruptcy

            More stats on student loans (short):

            http://advisorperspectives.com/dshort/commentaries/College-Tuition-and-Fees-130718.php

Politics

  Domestic

            Barry Ridholtz on re-instating Glass Steagall (short):

            http://finance.yahoo.com/blogs/breakout/glass-steagall-needed-protect-main-street-wall-street-134359041.html

            Quote of the day (short):

            http://cafehayek.com/2013/07/quotation-of-the-day-694.html

            For those interested---how the bankruptcy process will work for Detroit (medium):

            http://www.zerohedge.com/node/476583

  International

            China scoffs at credit warnings (medium and a must read):

            http://www.telegraph.co.uk/finance/comment/ambroseevans_pritchard/10186546/China-defies-IMF-on-mounting-credit-risk-and-need-for-urgent-reform.html

            But that doesn’t mean everything is OK (medium):

            http://www.zerohedge.com/news/2013-07-18/chinas-housing-bubble-re-inflates-fastest-30-months

            More on China’s growth prospects (medium):

            http://advisorperspectives.com/dshort/guest/Mark-DeWeaver-130718-Chinese-Growth-Update.php