Looks like today will be another bad day for equities markets. Asian markets tanked across the globe and our opening futures look pretty bad.
Additionally, European Banks Cuts Rates Sharply last night after dismal economic data showed a recession dead ahead.
Jobless Claims and Productivity numbers are due today, while tomorrow a whole host of data products are due.
Due Tomorrow:
Average Workweek
Hourly Earnings
Nonfarm Payrolls
Unemployment Rate
Pending Home Sales
Wholesale Inventories Consumer Credit
Bottom Line: I expect Friday's close to be lower than today's open
4 comments:
Las Vegas Sands defaults on loan threatening its ability to keep operating as 'a going concern'
http://www.bloomberg.com/apps/news?pid=20601087&sid=a4xMudgGp.aA&refer=home
Plus the PPT may not have as much of an incentive to plunge protect as they did a few days ago.
I really doubt, as Karl Denninger asserts, that Paulson "cashed out tax free" all of his $500,000,000 worth of GS stock when he took public office. A "cash out" like that would have taken the stock way down and not reaped his full reward. So Paulson likely still holds hundreds of millions in GS stock, frozen in escrow until Jan. 20, 2009. So it's no wonder that GS has been one of the "protected few". But if the PPT has been buying the Dow over recent weeks, and now they stop, that leaves Paulson with a personal conundrum. On one hand, he needs to protect his retirement fund until retirement starts on January 20th. On the other hand, if the new incoming SecTreas sees that Paulson essentially used public funds to protect his retirement, he may face prosecution and jail. So the conundrum is in balancing a healthy retirement versus jail. I wonder how it will play out. It seems to be the ultimate conflict of interests. If the financials hang on til Jan. 21, I guess we'll know.
....can a pardon for malfeasence be given BEFORE prosecution is initiated? Did the "no court review & indemnity" provision of the $700b TARP bailout end up in the final version? If Paulson is prosecuted for malfeasance (among other things) after Bush leaves office, I imagine the "tell us what you know" plea agreement might be VERY entertaining. It might even be better press than OJ #1 and #2 combined! Of course, all subjects are considered innocent until proven guilty in a court of law (playing Bad Boys Theme in background).....
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