If the performance of home renovation stocks is anything to go by then there is perhaps an indication that we've turned the corner towards a US housing recovery. Home Depot (HD) released first quarter earnings results last week and the profit and sales numbers came out better than expected and raised its full-year forecast as U.S customers spent more on home repairs after a harsh winter. Couple that with an increase in U.S. housing starts by 20% in April - highest level since Nov.'07, and finally reports on existing home sales and mortgage applications have also pointed to strength in the sector.
What an incredible rush the stock had yesterday. I was wondering where is the best place to learn about these up and coming pre-breakout stocks in the biomed sector? Is there a website that provides a commentary on the progress of companies like these?
April's numbers may appear like good news, but might only reflect the seasonal fluctuations in the housing market where the hibernating buyers are waking up from a long cold snowy winter. The U.S housing market is generally ok for now, BUT if there's an increase in interest rates, this will push up the cost of borrowing money for mortgages and may ultimately affect sales' numbers. The affect of interest rates on mortgage rates is one the leading influences on supply and demand in the real estate market, along with regional demographics, and the state of the economy both regionally and nationally.
The problem with increasing wages or minimum wages is that there has to be a knock-on effect. You raise wages, you then have to raise sales prices. Later on, property owners push up their rents, and taxes get raised too. ALL money to pay wages has to come from the same place- the price of goods and services charged to the consumer. Yes you can raise wages today, but is anyone considering the long term effects?
Gold really does not seem to know which direction to go in. GLD has been hovering around 117 recently but has been in a U shape pattern since it hit 117.73 on January 22. Since then it declined until March to around 109. From that low in March, GLD has shown signs of a recovery perhaps in line with the weakening of the dollar and/or the decline of oil. GLD is now back up to around the 117 mark again. Where it goes from here, anyone's guess? One thing to watch closely is the value of the dollar. if the dollar continues to devalue against other currencies we might well see gold appreciating.
So what happens when Greece finally can't pay back its debts? If Greece exits the Euro, is there an immediate jump in its relative value to other currencies? That would be great for the Euro, but what is the future of Greece. Will it resort to a form of devalued pre Euro currency, all of the options seem worrying.
Curious to see why there have been no upgrades on the stock since May 2008. There were four upgrades in March 2007 to May 2008, and the latest activity was a downgrade in Nov. 2011, and no activity since. Will be interesting to see if it can beat earnings estimates when reported the first week in August and whether that will boost the stock price.
Meanwhile over the pond, there was an attempt by our British friends to cap increases in rental rates with inflation, but that didn't happen because the person proposing it (Miliband) did not get into office. Quoting the Guardian from Sunday April 26th prior to the UK elections:
"Rent rises for 11 million people living in private accommodation will be capped at the rate of inflation if Labour wins the general election on 7 May, Ed Miliband announced.
Question is could this type of government interference ever take hold in the U.S? I doubt that, what do you think?
Quoting the Saudi oil minister, Al Naimi in December last year when oil prices dipped below $60/barrel for the first time:
“I want to say from this podium that talk about a Saudi conspiracy has no basis of accuracy at all and points to a misunderstanding,” Al-Naimi said.
Maybe not a conspiracy but an "oil standoff" yes. I still say sooner or later there will be a local military conflict that will impact on the delivery of oil by tanker or pipeline, and this will have a powerful effect on oil supply in the Middle East. We recently saw this happen recently with Yemen, but the next big event will invariably involve Iran and the U.S.
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Housing Recovery - Real Or Memorex
If the performance of home renovation stocks is anything to go by then there is perhaps an indication that we've turned the corner towards a US housing recovery. Home Depot (HD) released first quarter earnings results last week and the profit and sales numbers came out better than expected and raised its full-year forecast as U.S customers spent more on home repairs after a harsh winter. Couple that with an increase in U.S. housing starts by 20% in April - highest level since Nov.'07, and finally reports on existing home sales and mortgage applications have also pointed to strength in the sector.
Shares Of Prima Biomed Surge 266% After Reported Positive Phase 2 Results In Ovarian Cancer
What an incredible rush the stock had yesterday. I was wondering where is the best place to learn about these up and coming pre-breakout stocks in the biomed sector? Is there a website that provides a commentary on the progress of companies like these?
Another Perspective On Today's Strong Housing Numbers
April's numbers may appear like good news, but might only reflect the seasonal fluctuations in the housing market where the hibernating buyers are waking up from a long cold snowy winter. The U.S housing market is generally ok for now, BUT if there's an increase in interest rates, this will push up the cost of borrowing money for mortgages and may ultimately affect sales' numbers. The affect of interest rates on mortgage rates is one the leading influences on supply and demand in the real estate market, along with regional demographics, and the state of the economy both regionally and nationally.
LA To Gradually Hike Minimum Wage To $15 By 2020; Already Weak Growth Prospects Just Got Worse
The problem with increasing wages or minimum wages is that there has to be a knock-on effect. You raise wages, you then have to raise sales prices. Later on, property owners push up their rents, and taxes get raised too. ALL money to pay wages has to come from the same place- the price of goods and services charged to the consumer. Yes you can raise wages today, but is anyone considering the long term effects?
Gold Crash: Our Asset's Bitter Fall From Glory. Are You Prepared?
Gold really does not seem to know which direction to go in. GLD has been hovering around 117 recently but has been in a U shape pattern since it hit 117.73 on January 22. Since then it declined until March to around 109. From that low in March, GLD has shown signs of a recovery perhaps in line with the weakening of the dollar and/or the decline of oil. GLD is now back up to around the 117 mark again. Where it goes from here, anyone's guess? One thing to watch closely is the value of the dollar. if the dollar continues to devalue against other currencies we might well see gold appreciating.
Merkel's Own Party Ready To Give Up On Greece; Another Week Of Deadlines; Reflections On Can Kicking
So what happens when Greece finally can't pay back its debts? If Greece exits the Euro, is there an immediate jump in its relative value to other currencies? That would be great for the Euro, but what is the future of Greece. Will it resort to a form of devalued pre Euro currency, all of the options seem worrying.
Alaska Communications Systems Group Inc. - Buy Signals
Curious to see why there have been no upgrades on the stock since May 2008. There were four upgrades in March 2007 to May 2008, and the latest activity was a downgrade in Nov. 2011, and no activity since. Will be interesting to see if it can beat earnings estimates when reported the first week in August and whether that will boost the stock price.
There’s No Inflation? Rents Rise 4.3% Year To Year But They Don’t Count
Meanwhile over the pond, there was an attempt by our British friends to cap increases in rental rates with inflation, but that didn't happen because the person proposing it (Miliband) did not get into office. Quoting the Guardian from Sunday April 26th prior to the UK elections:
"Rent rises for 11 million people living in private accommodation will be capped at the rate of inflation if Labour wins the general election on 7 May, Ed Miliband announced.
Question is could this type of government interference ever take hold in the U.S? I doubt that, what do you think?
There’s No Inflation? Rents Rise 4.3% Year To Year But They Don’t Count
Surprising to hear this, is any part of housing included in inflation?
Saudi Arabia Continues To Turn Screws On U.S. Shale
Quoting the Saudi oil minister, Al Naimi in December last year when oil prices dipped below $60/barrel for the first time:
“I want to say from this podium that talk about a Saudi conspiracy has no basis of accuracy at all and points to a misunderstanding,” Al-Naimi said.
Maybe not a conspiracy but an "oil standoff" yes. I still say sooner or later there will be a local military conflict that will impact on the delivery of oil by tanker or pipeline, and this will have a powerful effect on oil supply in the Middle East. We recently saw this happen recently with Yemen, but the next big event will invariably involve Iran and the U.S.