Morning Journal--This time its different

Economics

   This Week’s Data

            May wholesale inventories fell 0.5% versus estimates of +0.3%; on a more positive note, wholesale sales jumped 1.6%.

            The FOMC released the minutes from its last meeting and were a bit more circumspect about ‘tapering’ than was interpreted by the Market from Bernanke’s post-meeting press conference.  The initial Market reaction was upbeat.  Here are the appropriate comments from the minutes (medium):

            http://www.calculatedriskblog.com/2013/07/fomc-minutes-many-members-indicated.html

            A discouraged observer of the Fed (short):

            http://www.zerohedge.com/news/2013-07-10/market-madness

            Weekly jobless claims rose 16,000 versus expectations of a decline of 6,000.

            http://www.calculatedriskblog.com/2013/07/weekly-initial-unemployment-claims_11.html

   Other

This Time is Different (left click of chart, then click on 'Go to link'

           

 

     

Bloomberg TV

"Kenneth Rogoff told me years ago that the single question of America's future was investment. It is rumored that investment leads to jobs and jobs lead to political stability. Here is U.S. investment, semi-log, showing the percent change. Slope Matters. The slope has gone flat and indicates a $1 trillion plus shortfall in investment presuming it was and should be morning in America. At least for investment, this time is different."

Politics

  Domestic

Update on the student loan disaster (medium):

http://www.zerohedge.com/news/2013-07-10/senate-liberals-push-status-quo-student-loan-bubble-ever-bigger

  International

            More on Italy’s problems (medium):

            http://www.zerohedge.com/news/2013-07-10/11-signs-italy-descending-full-blown-economic-depression