Vital Trends Blog

Fed hikes discount rate but not tightening policy

Chan — Fri, 19 Feb 2010 03:12:42 +0000

WASHINGTON (Reuters) - The U.S. Federal Reserve on Thursday made its first interest rate move since December 2008, hiking an emergency lending rate it charges banks, but insisted borrowing costs would not rise for consumers or companies.

The Federal Reserve Board raised the discount rate charged to banks for direct loans by a quarter point to 0.75 percent and said the move will encourage financial institutions to rely more on money markets rather than the central bank for short-term liquidity needs.
Continue reading…

Futures are shaky after the news release

Market may have bottomed here?

Chan — Sun, 07 Feb 2010 01:57:39 +0000

The brutal 8% sell off that started in late January is almost over.

Courtesy optionaddick.net

Alternative Energy Potential

Chan — Wed, 03 Feb 2010 14:29:25 +0000

Here are the top alternative energy sources and their potential.

Social Networking special on Economist

Chan — Thu, 28 Jan 2010 23:33:13 +0000

I recommend reading this article “A world of Connections” from the recent Economist special Edition

Apple dominates Mobile apps market

Chan — Mon, 25 Jan 2010 20:02:38 +0000

As highlighed in a recent Gartner report, Apple is responsible for 99% of the Mobile apps sold in 2009. The latest report from market research firm Gartner suggests that mobile apps are big business, and that business should only grow in the next few years. Check out the charts below for some insights.

Start a Third Party Now

Chan — Sun, 24 Jan 2010 23:55:14 +0000

The U.S. is in a period now not unlike Europe in the 1930s. The Pound was the reserve currency and in Germany they had a bank bailout that angered the masses due to the self dealing involved. Europe and more specifically Germany was dependent on a foreign creditor. At that time it was U.S. that was the creditor nation, today for America it’s China.

The end result was the rise of Facism. This weeks’ ruling by the Supreme Court now makes that possible in the U.S.. For if corporations can fund campaigns without limitations fascism, which is corporatism by another name, can emerge from the shadows. Be afraid, be very afraid.

- J. Edward

Bankers compensation rises

Chan — Thu, 21 Jan 2010 00:07:40 +0000

Via EIU Datapoints

Roots of Prosperity

Chan — Wed, 20 Jan 2010 20:12:27 +0000

via Strategy+Business

Completely agree with the analysis in this article published on Strategy+Business.

“10 forms of government regulation that affect the various phases of a company’s life cycle: starting a business, obtaining licenses (such as construction permits), employing workers, registering property, getting credit, protecting investors, paying taxes, trading across borders, enforcing contracts, and closing a business. The fewer impediments that government places before entrepreneurs in any of these areas, and the less time it takes (for example, to stand in line) and the less money is required (for fees or bribes), the more business-friendly the country is — and the more prosperous.”

“In 2009, Singapore ranked first out of 181 countries on the list. It was followed by New Zealand, the United States, Hong Kong (China), and Denmark. The Democratic Republic of the Congo (Kinshasa) ranked last, with the Central African Republic, Guinea-Bissau, the Republic of the Congo (Brazzaville), and Burundi rounding out the bottom of the list.”

Continue Reading this on Strategy+Business…

2010 Q1 Earnings Calendar

Chan — Wed, 20 Jan 2010 02:51:54 +0000

Earnings Watch

January 20
Bank of America
US Bancorp
Wells Fargo
Morgan Stanley

January 21
Google
Freeport McMoran Copper & Gold
Goldman Sachs
Capital One
Intuitive Surgical

January 25
Apple Computers

January 26
U.S Steel

January 27
Netflix

January 28
Airgas
Network Engines

Feb 9
Priceline
Rackspace RAX

Feb 10
Baidu

Top 15 predictions for 2010

Chan — Tue, 19 Jan 2010 01:25:44 +0000

My Top 15 predictions for 2010

1. Gold/Silver rally will experience a 1999-2000 dot com climax this year and falter. Shorting Gold is a better trade.
2. China Shanghai will crash and burn after putting a new high. Stimulus is working now, but a lot of the data points that are coming from the government seem massaged.
3. Apple iPhone has a serious competitor finally. Google Nexus One will garner a better than expected market share by end of the year.
4. U.S Federal reserve will raise interest rates in the 3rd quarter flattening the yield curve. US Dollar will put in a rally against major currencies.
5. S&P will Nasdaq will perform better than the other U.S indices as Technology companies earnings will continue to rise.
6. China will take over Japan as the 2nd largest economy in the world.
7. U.S will experience a double dip recession. Unemployment will stay above 9% rest of the year.
8. Twitter will go public. Facebook will challenge Google’s Ad market space.
9. Two of the PIGS countries default (my bet is on Greece and Ireland) making Euro zone vulnerable
10. Israel bombs Iran’s nuclear facilities initiating a middle east conflict. Another revolution is highly possible.
11. Democrats lose 2010 elections to Republicans. Some firing at the top cabinet positions (hint: Geithner), Federal Reserve (Bernanke)
12. Consumptions of news from Mobile devices will outpace Newspapers
13. Inflation will make a comeback thanks to Stimulus Part Deux
14. LinkedIn get bought out by Microsoft/Cisco/Google
15. Commercial real estate continues to suffer. Say goodbye to all time low rates.

My Top prediction for 2010 is (roll the drums…) that world will not end in 2010.