A Week in the Rearview – week ending 11/13/09
In the headlines
A look at some of the market movers over the past week:
- The healthcare reform bill was passed in the House and is on its way to the Senate
- The Conference Board’s Employment Trends Index was a hopeful note for the jobs outlook
- Google paid $750 million in stock for advertiser AdMob
- AIG CEO Robert Benmosche made waves by reportedly threatening to resign and then publicly commenting that he’s committed to the embattled insurer
- Two Bear Stearns fund managers accused of securities fraud were cleared
- Timothy Geithner affirmed that a strong dollar is a priority in the U.S.’s economic recovery
- Senator Chris Dodd unveiled a financial reform package
- Hewlett-Packard agreed to buy 3Com for $2.7 billion in cash
- United Technologies bought GE’s security business for $1.8 billion
- Governments around the world have been trying to help stem the slide of the U.S. dollar
- The Euro-Zone officially emerged from recession
- Dell announced its first smartphone, the Mini 3
- Realtor chief economist Lawrence Yun predicted modest home price appreciation in 2010
Commentary
The market continued to look up this week, tacking on 2.3% by week’s end. Despite a 1% drop on Thursday, the S&P 500 index had three positive sessions, including a big 2.2% jump on Monday. The index is now up 21% year-to-date and 62% since March’s lows.
As expected, it was a light week for major news. Last weekend, the U.S House of Representatives made major headlines after it passed a healthcare reform bill that included the much-debated “public option,” which would be a government-run health insurance program. The news was muted to some extent, however, amid speculation that the bill faces a tough battle in the Senate.
Earnings continued to hit the newswires and while they had a limited impact on the markets, there were a number of encouraging reports including those from consumer-facing Disney, Abercrombie & Fitch, and JCPenney.
The market seemed to largely overlook Friday’s disappointing news from the University of Michigan’s consumer confidence index. The index had been expected to rise to 71 in November from 70.6 in October, but instead dropped to 66. The report is still preliminary, though, and final results will be released at the end of the month.
Consumers’ major concern seemed to be employment prospects. That conflicts with The Conference Board’s report earlier in the week that its Employment Trends Index posted a second consecutive monthly increase. The Conference Board’s report suggested that hiring trends may have turned a corner in September and declining layoffs could soon turn to net hiring.
Looking ahead
We will continue to see earnings roll in through next week, though they will start to slow over the next two weeks before petering out in December. Major reports on Monday and Tuesday include Lowe’s, Home Depot, Target, and TJX Companies. Wednesday’s reports will feature Limited Brands, NetApp, and PetSmart. The back half of the week will bring GameStop, Gap, Intuit, Sears Holdings, and D.R. Horton to the table.
It will be a somewhat more active week on the economic front with the retail sales report leading off on Monday. The market currently expects that October will show a 0.9% increase in sales after a 1.5% decline in September. The producer price index and consumer price index will also be announced during the week. PPI is expected to show a 0.1% increase for October following a 0.1% drop in September. CPI, meanwhile, should show a 0.2% increase, consistent with the change in the prior month.
Other reports that could be notable include business inventories on Monday, housing starts and building permits on Wednesday, and initial unemployment claims and economic leading indicators on Thursday.
With no major events on the horizon for the coming week, the market will likely be looking for direction, and without any significant unexpected announcements may stay somewhat quiet.
November 16th, 2009 at 12:14 am
Urgent!! Robert Reich on your healthcare http://bit.ly/SAQ7a
Why A Strong Public Option Is Essential – By jacksmith – Working Class
Robert Reich explains the pubic option: http://bit.ly/dDYSJ
Hollywood Supports The Public Option
http://bit.ly/3XLwPi
Beautiful HEATHER GRAHAM http://bit.ly/12sRYD
It’s not just because more than two thirds of the American people want a single payer health care system. And if they cant have a single payer system 77% of all Americans want a strong government-run public option on day one (86% of democrats, 75% of independents, and 72% republicans). Basically everyone.
It’s not just because according to a new AARP POLL: 86 percent of seniors want universal healthcare security for All, including 93% of Democrats, 87% of Independents, and 78% of Republicans. With 79% of seniors supporting creating a new strong Government-run public option plan, available immediately. Including 89% of Democrats, 80% of Independents, and 61% of Republicans, STUNNING!!
It’s not just because it will lower cost. Because a strong public option will dramatically lower cost for everyone. And dramatically improved the quality of care everyone receives in America and around the World. Rich, middle class, and poor a like.
It’s not just because it will save trillions of dollars and prevent the needless deaths of millions more of YOU, caused by a rush to profit by the DISGRACEFUL, GREED DRIVEN, PRIVATE FOR PROFIT MEDICAL INDUSTRIAL COMPLEX!
It’s not just because every expert in every field, including economist, and Nobel laureates all agree that free market based healthcare systems don’t work. Never have and never will. The US has the only truly free market based healthcare system in the World. And as you all know now, IT IS A DISASTER!
It’s not just because providing or denying medically necessary care for profit motivations is wrong. Because it is WRONG! It’s professionally, ethically, and morally REPUGNANT!, Animalistic, VILE and EVIL.
THE REASON THE PUBLIC OPTION IS ESSENTIAL:
The public option is ESSENTIAL because over 200 million of you are trapped in the forest of the wolves. Which is the forest of the DISGRACEFUL, GREED DRIVEN, PRIVATE FOR PROFIT MEDICAL INDUSTRIAL COMPLEX! With no way out except through needless inhumane suffering, and DEATH. While the wolves tear at your flesh, and rip you limb from lib. Then feast on your lifeless bodies like a dead carcase for transplant parts.
At the most vulnerable times of your lives (when you were sick and hurting), millions of you have had to fight and loose cruel, but heroic battles. Fighting against the big guns of the DISGRACEFUL, GREED DRIVEN, PRIVATE FOR PROFIT MEDICAL INDUSTRIAL COMPLEX! in the forest of the wolves. All because you have no place else to go. You have no other CHOICE!
But the PUBLIC OPTION will give you someplace safe to go. And it will give us someplace safe to take you. The public option will be your refugium (your refuge). Where the wolves cannot get at you when your down, hurting, and vulnerable. Where everyone who needs it can find rest, security, comfort and the care they need. Protected by the BIG GUNS of We The People Of The United States. THE MOST POWERFUL PEOPLE AND COUNTRY ON EARTH.
This is why it is so critical that we do not lead another 50 million vulnerable, uninsured Americans into the forest of the wolves, without the protections of a Strong Government-run MEDICARE like public option. We The People Of The United States MUST NOT LET THAT HAPPEN to any more of our fellow Americans. If healthcare reform does not contain a strong MEDICARE like public option on day one. YOU MUST! KILL IT. Or you will do far more harm than good. And millions more will die needlessly. Rich, middle class, and poor a like.
To those who would continue to obstruct good and true healthcare reform for the American people, and who seek to trap millions more vulnerable Americans in the forest of the wolves. We will continue to fight you. We are prepared to wage all out war against you, and will eagerly DESTROY! you. Time…is…UP! YOU HAVE BEEN WARNED! No Co-op’s! No Triggers! NO INDIVIDUAL MANDATES! without a Strong MEDICARE like public option on day one.
Healthcare reform can be the GREATEST! Accomplishment of our time and century. A time when future generations may say of us, that we were all, AMERICAS GREATEST GENERATIONS.
BUT WE MUST ACT!
I therefore call on all my fellow Americans and the peoples of the World. To join us in this fight so that we may finish becoming the better America that we aspire to be for everyone.
SPREAD THE WORD!
I have been privileged to be witness as many of you fought, and struggled to take your first breath, and your last breath on this earth. Rich, middle class, and poor a like. Life is precious.
Whatever the cost. WE! MUST SUCCEED.
God Bless You My Fellow Human Beings
jacksmith – Working Class
ATTENTION!! Congress Has The Votes Needed To Pass A Public Option – TODAY http://bit.ly/TCq7O
Things You Can Do To Help NOW! http://www.everydaycitizen.com/2009/09/tired_of_watching_people_die_n.html
A majority of voters would rather have a Democrats only bill with a Public Option. Than a bipartisan bill without a Public Option.
A state based insurance plan is NOT!! a Public Option. Nor is it a Strong, National, Medicare like Public Option.
No Triggers! http://www.huffingtonpost.com/jason-rosenbaum/a-trigger-for-the-public_b_277910.html
Triggers http://www.huffingtonpost.com/david-sirota/weve-seen-these-triggers_b_283583.html
Krugman on heathcare (http://krugman.blogs.nytimes.com/2009/07/25/why-markets-cant-cure-healthcare/)
Senator Bernie Sanders on healthcare (http://www.youtube.com/watch?v=RSM8t_cLZgk&feature=player_embedded)
John Garamendi on the Public Option and the Grassroots: http://bit.ly/TJMty
Howard Dean on the Public Option http://www.youtube.com/watch?v=8SKfW2dUnow&feature=player_embedded
We’re Number 37! in quality of health care http://www.youtube.com/watch?v=yVgOl3cETb4&feature=player_embedded
Twitter search (#welovethenhs #NHS #hc09 #hcr #healthcar #obama #p2 #topprog #) Check it out.