President Obama seems genuinely, if belatedly, upset about the way America’s voracious bankers leveraged hundreds of billions in taxpayer bailouts to line their pockets with multibillion-dollar bonuses while American businesses starve for credit.
sell SPDR-Financial (XLF);
IT is getting harder for governments to buy United States Treasuries because the US’s shrinking current-account gap is reducing supply of dollars overseas, a Chinese central bank official said yesterday.
“The gap between yields on Treasuries and so-called TIPS due in 10 years, a measure of the outlook for consumer prices, closed above 2.25 percentage points four days last week, the longest stretch since August 2008. That’s the low end of the range in the five years before Lehman Brothers Holdings Inc. collapsed, and shows traders expect inflation, not deflation in coming months, said Jay Moskowitz, head of TIPS trading at CRT Capital Group LLC in Stamford, Connecticut. ”
American companies are paying the biggest premiums on record in takeovers, a sign executives are growing more bullish about profits and stocks even after the biggest rally for the Standard & Poor’s 500 Index in 73 years.
“Absolutely I’ve changed my spending habits,” Haley said, as she and her mother came out of a Shoppers Food Warehouse with just a few bags of what she described as “healthy” groceries in a giant shopping cart. “I’m only getting essentials.”
China has announced it is targeting economic growth of 8% in 2010, despite the continuing effects of the global downturn.
Morgan Stanley upgraded the stock to “overweight” from “equal weight,” saying it expects Alcoa to report better profitability in its alumina and downstream divisions