Streetsters » U.S. Business

Deregulate The Recession Away.

John — Mon, 25 Apr 2011 17:18:58 +0000

When it comes to correcting abuses in the system, I’m a man of the people. The last thing I want to see is someone using their power, wealth and connections to gain an unfair edge over a regular person. So by all means, please, repair the system. But you can’t destroy the system. All of our amenities, conveniences, and the trappings of wealth that we ALL enjoy come from the free market system. It’s simply impossible to hurt the free market economy without seeing the economy go into a nosedive. Some have claimed that deregulation of the markets was one of the leading causes of the current recession. I think that’s unconscionable and simply false. The current recession was caused, in part, because there is too much regulation strangling our economy. Let Wall Street live, and Main Street will prosper. It’s when we give in to our populist instincts too much, and start harassing the productive members of society, that we start to slip into economic decay and degradation. I, for one, refuse to watch while our country’s economy goes down the tubes. It’s time to stand up and fight for what you believe in, while you still can.

Momentum In The Market.

John — Mon, 25 Apr 2011 17:10:10 +0000

There’s a lot of momentum building up in the financial markets. Ever since the timely budget deal that kept the American government operational, people have actually been building up hopes that the recession will start to reverse itself, in spite of the worst efforts of our ruling establishment. Still, there’s no denying the momentum, and that momentum is probably leading us into a horrible economic future. That’s why it’s really important for you to start making smart investments now. First of all, the single best investment that you can make is to invest in your education. This is the perfect time to start laying the foundation for your economic future. The uncertainty of the markets is probably only going to increase over the coming months and years, and you are going to have to be ready for it. Don’t lose sight of the consistently awful decisions that have been made by powerful individuals like the chairmen of the Federal Reserve and our elected officials. In the coming years, we are going to have to rely on ourselves if we want to survive financially. No matter how strange it seems, we’re going to have to get used to a lot of changes in the years ahead.

Income Taxes: Fuel For The Recession.

John — Mon, 25 Apr 2011 17:06:12 +0000

Instead of moaning and groaning about our finances, I think that it’s high time for us to start looking at the real underlying cause of our financial difficulties. For example, did you know that every year you may be paying thousands of dollars in hidden taxes? I’m talking about what it costs manufacturers to comply with unnecessarily complex government regulations. It’s time for us to start taking our destiny into our own hands, and stop allowing the government to control our entire lives. Although I’m no anarchist, and I recognize the need for a government, I feel that personal responsibility is something that has largely been forgotten. I’m not talking about leaving seniors, the mentally ill, or the disabled out in the cold because they can’t perform. Indeed, a responsible democratic republic would be remiss in not taking care of its’ least able members. But I feel that we have to balance the needs of the many with the needs of the individual. Furthermore, many of our efforts to help the downtrodden can actually damage those poor people irreparably. Have you ever met a “spoiled” child, who is so needy that they are constantly unhappy due to their perceived lack of gifts? The same thing can happen to adults, and even whole societies.

Commercial Real Estate

Adam Pichette — Thu, 20 Aug 2009 20:27:42 +0000

After the residential real estate bubble burst at the end of 2007, banks were shattered and drowned by bad mortgage loans that were defaulted on and ultimately brought down some of the largest financial institutions in the United States. Clearly the fact that these banks and financial institutions had the majority of their assets in these “troubled mortgages,” was the main reason that they suffered so dearly. One could assume, and only hope, that if given the same opportunity, these institutions would have been better diversified and would not have fallen so hard. Well is there a situation brewing right now that could have a similar effect on banks and U.S. Business alike? Well anyone who watches CNBC or reads the Wall Street Journal has likely already been alerted to the potential (some feel inevitable) commercial real estate crash that seems to loom right around the corner. Hopefully the same banls that narrowly escaped the housing bubble are better prepared for this next wave of a real estate crash. Hopefully they don’t make the same mistake twice!

Apple Stock Takes A Major Blow

Marsha James — Fri, 04 Aug 2006 16:36:49 +0000

Apple has been riding a wave of success like nothing they have seen before, ever since they brought iPods to consumers. The computer company had reportedly made more than $3.1 billion over the last four years and stocks have been incredibly high because of it.

Now in what could be the next Enron, Apple has admitted that their is evidence to prove that their stocks were grossly mishandled and that’s it financial accuracy dating back to 2002 might well be false.

Apple shares fell $3.26, or 4.7 percent, to $66.33 and might continue to fall as Apple looks into their own finances to get a hold of things.

Fed Chief Raises Inflation Worries

Sarah White — Tue, 06 Jun 2006 14:23:24 +0000

Ben S. Bernanke says he’s worried about inflation, and the stock market dropped nearly 200 points in response. Speaking at the International Monetary Conference in Washington on Monday, Bernanke said there are many signs that the economy is in transition, including:

slowing consumer spending
a cooling real estate market
increased energy costs
a slight rise in unemployment numbers

At the same time, there are positives, such as:

increased worker productivity
more investment in business
a more robust economy worldwide, which should bolster the American economy

Still, Bernanke said inflation is a major problem, mostly because of high energy costs. The speech is pretty dry, but here’s one part most readers can understand:

With the economy now evidently in a period of transition, monetary policy must be conducted with great care and with close attention to the evolution of the economic outlook as implied by incoming information. Given recent developments, the medium-term outlook for inflation will receive particular scrutiny.

Many investors and analysts take that to mean interest rates will be going up again, which explains the market correction that took place after the speech.

Source: Speech transcript

Invest in Biodiesel

leafworks — Tue, 09 May 2006 02:56:44 +0000

Biodiesel, a wave of recycling for the future, a new fuel that’s starting to get popular, that is based on recycling or using vegetable or food oil for fuel. Many at-home-labs and conversion projects will go and pick up used vegetable oil from fast food places like Mc Donalds for free, take it home, filter it, and process it for their biodiesel engines. The result? a consumable cost of 25-50 cents/gallon, and an engine that can get upwards plus of 75 miles to the gallon. Sound fabulous? it is conceptually, but its alot of work to clean the oil at home. Biodiesel pumps however are being installed in many states and available at the pump. A bit cheaper than petrol, you still get the maximizing effect of miles to the gallon. How to convert your engine over to biodiesel? There are kits as cheap as $200. However, you have to already have a diesel engine to start the conversion. An amazing new investment strategy? Invest in biodiesel companies to maximize your profit … there’s growth there too, more miles for your dollars, in many more ways than one. Just google “biodiesel” and you’ll be amazed by this new technology. If I already had diesel engines in my car and RV, you can bet I’d already be converted. Just wish there was a way to convert my regular engine over. :: sigh :: someday.

Alcatel-Lucent Merger Worries Other Telecoms

Nancy — Wed, 05 Apr 2006 19:38:33 +0000

According to Yahoo News, “Nordic telecommunication giants Nokia and Ericsson will need to grow by acquisition to counter the long-term impact of a planned merger of Alcatel and Lucent on their business.”

French company Alcatel and US company Lucent are merging to become a giant company worth about $25 billion, which will make them the 2nd biggest telecom in the world (behind US-based Cisco).

Some analysts are suggesting that Nokia should now think about merging with German company Siemens. Similarly, Ericsson should consider increasing its fixed-line business so that it can stay competitive.

For now, according to Optically Networked, Alcatel and Lucent are focusing on “the massive job of synchronizing operations on both sides of the Atlantic” and deciding which side will “bear the brunt of the layoffs, which are expected to be about 10 percent of the combined workforce of about 88,000.”

Investing in the Media

Nancy — Wed, 05 Apr 2006 17:54:17 +0000

Are you a fan of long-term investing?

If so, Morningstar is suggesting you take a look at stocks in the media sector.

Media stocks have performed poorly over the past few years, but don’t let that deter you:

We suspect that future returns for media stocks will be much better than those of the recent past … and we’re not just saying this because the past several years have been so bad.

In fact, 40% of the 60 media stocks Morningstar covers have ratings of either 4 stars or 5 stars, and the media sector overall includes more undervalued stocks than any of the other 12 sectors Morningstar analyzes.

Where should you start? How about Washington Post Co., one of Morningstar’s favorites. And don’t forget The New York Times Co. and The Wall Street Journal. Finally, remember to take a look at local options: firms — like Journal Register, McClatchy and Lee Enterprises — that “own scores of small, community-based newspapers … are much less vulnerable to changes in technology.”

Inflation Slows Sharply in February

Nancy — Fri, 17 Mar 2006 06:04:08 +0000

AP Economics Writer Martin Crutsinger is reporting that “inflation, after spiking at the start of the year, slowed sharply in February, reflecting large declines in fuel prices and the cost of clothing.”

In February, energy prices fell by 1.2 percent. Pump prices dropped 1 percent, home heating oil was down 2.8 percent and natural gas prices fell 4.5 percent, the biggest one-month drop in 4 1/2 years.

Food prices moderated, rising just 0.2 percent. A big increase in fruit prices was offset by declines in the prices of vegetables, dairy and poultry products.

[...]

Outside of food and energy, clothing costs posted a 1 percent decline last month, the biggest one-month drop in nearly five years. However, the price of airline tickets jumped 1.2 percent and medical costs were up 0.5 percent.