Roberto Abraham Scaruffi

Tuesday, 5 November 2013

Articles posted on Monday, 4 November 2013
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Why LinkedIn (NYSE: LNKD) Is the Dark Horse of Social Media

Money Morning Article of the Week
by Tara Clarke
As we've seen in the past few years, not all social media stocks have been successful investments...
Online game-maker Zynga Inc. (Nasdaq: ZNGA) started trading at $10 a share in 2011, then tumbled 7.75% to $9.25 in just four hours of trading. It never recovered, and in June, the company announced it was cutting 520 jobs. Now Zynga shares are trading at $3.69, compared to a high of $14.69.
Daily deal provider Groupon Inc. (Nasdaq: GRPN) raised a total of $700 million in its 2011 initial public offering (IPO), increasing its offer of shares from 5 million to 35 million. But the two years since have proven less than fruitful for Groupon - shares have fallen by more than 55%. Earlier this year, its chief executive officer/co-founder Andrew Mason was let go.



Market Commentary: Averages Close In The Green, Volume Anemic, Session Lackluster

Written by 
Closing Market Commentary For 11-04-2013
The averages slowly melted up from this mornings doldrums through the efforts of the HFT algo computers and not because of human traders. The markets could very easily fall apart tomorrow because today's gains are nothing more than thin air. Savvy investors are far from getting their hopes up for a new and invigorating bull rally.
By 4 pm the markets closed up with the $RUT leading the way at +1.15% and with a very minor sell-off at 3:59. Volume has been anemic all session and news is lacking lending itself to a lackluster session.



U.S. Death Penalty Support Continues to Fall

by Felix Richter, Statista.com
According to a Gallup poll, support for the death penalty in the United States has fallen to its lowest level in over 40 years. Traditionally, American support for the death penalty has remained strong, especially during the mid 1990s when it reached 80 percent.



Market Commentary: Markets Quiet, Volume Low And Averages Mixed

Written by 
Midday Market Commentary For 11-04-2013
Today's overall trend is down, however it has been trending back up over the past hour. This may just be a sea-sawing and will continue to melt down later in the session. The volume is anemic to light with few investors willing to gamble in this market casino.
By noon the $VIX has been steadily moving down into the low 13's, the DOW and the $NDX are showing red while the $RUT is solidly in the green at +0.70%. The HFT computers appear to be the only ones trading while the rest of us lean back and wait.



September 2013 Manufacturing Improves, But Growth Is In a Single Sector

Written by Steven Hansen
US Census says manufacturing new orders declined in August and went up in September - we get two months data at once due to the government shutdown. Our analysis does not exactly agree but this is not a bad or great set of data.
Read more >> 



Market Commentary: Markets Open Higher, Fall On Anemic Volume

Written by 
Opening Market Commentary For 11-04-2013
Premarkets were up indicating a gap up for the cash crowd. Reports galore that this might be the top, can the markets continue and others opining various bearish opinions which to me is a bullish outlook.
Markets gaped up at the opening with the small caps up70% and the large caps trailing at +10%. Within minutes the averages started sliding south sending the oils upward and the US dollar southwards. US Factories Orders came in higher than the last report, but short of what analysts were expecting.
Volume is anemic and investors are sitting on their hands as this Monday session gets under way. The averages are quickly closing in on the gaps made at the opening.



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France Stays Firm On 75 Percent Soccer Tax

French soccer clubs say they will go ahead with match strike after French government Socialist leader refuses to exempt clubs from 75 percent tax on salaries over one million euros.



Japan's Missing Wall of Money

by Thomas Klitgaard - Liberty Street Economics, Federal Reserve Bank of New York
The Bank of Japan announced an open-ended asset purchase program in January 2013 and an unexpectedly ramped-up version of the program was implemented in early April. Market commentary at that time suggested that flooding the economy with liquidity would lead to a 'wall of money' flowing out of Japan in search of higher yields, affecting asset prices worldwide. So far, however, Japan's wall of money remains missing in action, with no pickup in Japanese foreign investment since the April policy shift. Why is this?



What We Read Today 04 November 2013

Econintersect: Click Read more >> below graphic to see today's list.
The top of today's reading list reports that the Cash for Clunkers program was very inefficient stimulus ........ and the last article shows that year-over-year employment gains are actually surprisingly strong.



China is Sovereign in their Currency

by Derryl Hermanutz
In a recent article, Michael Pettis is missing the point of arguments that claim the Chinese money system is different. The point is that the Chinese government effectively owns and operates the Chinese money system, so as long as all the credits and debts are in Chinese money, the government can add or subtract money out of its money system at any time and in any amounts it chooses. That's the primary power that is exercised by a government that issues its own money to serve the interests of its national economy.
Read more >> 



The Bank Guarantee That Bankrupted Ireland

by Ellen Brown, Web of Debt
The Irish have a long history of being tyrannized, exploited, and oppressed-from the forced conversion to Christianity in the Dark Ages, to slave trading of the natives in the 15th and 16th centuries, to the mid-nineteenth century "potato famine" that was really a holocaust. The British got Ireland's food exports, while at least one million Irish died from starvation and related diseases, and another million or more emigrated.



Coming Week Outlook: Incoming! 13 Sources of Volatility And A Chart

by Cliff Wachtel, FX Empire
Markets Following Central Banks, Central Banks Following Data, Lots of Top Tier Data From Biggest Economies
The following is a recap of our conclusions from the fxempire.com weekly analysts' meeting about where we focus our attention this week.
This week the economic calendar will directly drive markets like it hasn't before in recent memory.
Why?



The Trans-Pacific Free Trade Agreement

Yves Smith and Dean Baker Discussion with Bill Moyers
Econintersect: There is an ongoing negotiation to establish a multi-national Trans-Pacific Partnership Agreement (which excludes China) that is represented to be a broad new free-trade pact. Yves Smith (Naked Capitalism) and Dean Baker (Center for Economic Policy and Research) discussed this little publicized activity last week with Bill Moyers. You will learn from this discussion that the agreement has little to do with free trade but is mostly about protecting the interests of large corporations in the opinion of Smith and Baker.
trans-pacific-partnership-380x180



Documentary of the Week: Charlie Rose Interviews Alan Greenspan

Econintersect: Charlie Rose interviewed former Federal Reserve Board Chairman Alan Greenspan on 27 October 2013. Greenspan discusses what fundamental things were missing in his thinking (and classical economic thinking) that caused so many (including himself) to miss the building of The Great Financial Crisis (GFC). The discussion is about background for issues covered in Greenspans new book, "The Map and the Territory: Risk, Human Nature, and the Future of Forecasting".
greenspan-and-rose-380x146



Banks, Poor Business Models and Bad Economic Theory

Low interest rates threaten banks and savings & loans institutions - so?
by Dirk Ehnts, Econoblog101
Elke Konig, the president of BaFin, the Federal Financial Supervisory Agency of Germany, recently stated in an interview with Borsenzeitung that:
die Branche weiter gegensteuern mussen und uber neue Losungen und andere Geschaftsmodelle nachdenken mussen.



Infographic of the Day: The Law School Bubble Has Burst

In 2010 nearly 50,000 students accepted admission to law schools. From the same year, only 51% of graduates found employment in private practice. And only 68% of grads found themselves in a position that requires a law degree at work.



Samsung Now Officially More Profitable Than Apple

by Felix Richter, Statista.com
This chart shows the quarterly profits of Samsung and Apple. Samsung managed to turn a larger profit than Apple in two consecutive quarters, meaning that Apple may no longer be the most profitable technology company in the world.