Succinct summation of week’s events:

Positives:

1) LTRO2 gives 530b more euros to European banks giving them cheap money, more time, chance to prefund ’12 maturities and play carry trade
2) Italian, Spanish bond yields fall again
3) Euro zone economic confidence up 1 pt, a touch better than expected
4) German consumer confidence rises to 1 yr high
5) US Initial Jobless Claims at 351k, lowest since Mar ’08
6) Vehicle sales reach 15mm for 1st time since Feb ’08
7) Consumer confidence jumps to best in a yr
8) Pending Home Sales rise another 2% to most since Apr ’10
9) Purchase apps gain 8.2% off last week’s lowest level since Oct
10) China’s state weighted mfr’g PMI rises to 5 month high at 51
11) Eddie, Alex and Wolfgang are amazing, DLR’s voice just ain’t the same

Negatives:

1) LTRO2 take more than in Dec, banks still need help, dependency on ECB grows, what will happen in 2015 when 1T euros need to be returned to the ECB?
2) Portuguese bond yields rise, are they next problem child?
3) Euro zone unemployment rate rises to 10.7%, highest since 1997
4) Feb German jobs report a touch weaker than expected
5) Euro zone inflation remains sticky with Feb CPI up 2.7% y/o/y and Jan PPI up 3.7%
6) Jan US Durable Goods well below expectations, hangover from gov’t tax benefit?
7) CS home price index falls to lowest since Feb ’03
8) Spending and Income little changed in Jan after inflation
9) ISM mfr’g surprisingly weak with new orders, backlogs, production and employment all down while prices paid rise to highest since June
10) According to AAA, gasoline prices rise another .07 on the week and now up .30 over past month,
11) India’s Q4 GDP rises at slowest pace since Q2 ’09.

Category: Markets

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

7 Responses to “Succinct Summation Of Week’s Events (03/02/2012)”

  1. MorticiaA says:

    What’s up with the Van Halen reference?

  2. They played Madison Square Garden last night

  3. MorticiaA says:

    Aha! On an economic note, since the end of ’08 S&P and oil have correlation = 90%+.

  4. NoKidding says:

    “DLR’s voice just ain’t the same”

    Listed in the positives.

    Bumba-deeda-bumba-deeda happy trails to you…

  5. killben says:

    “what will happen in 2015 when 1T euros need to be returned to the ECB?”

    Easy .. kick the can down the road … extend the maturity by 10 years .. so let us meet in 2025!

  6. VennData says:

    DLR can sing? I never knew that.

  7. TRI quantification of the past week’s forward-looking data suggests the brisk Q4 GDP pace has given way to what will result in a o.8% trough in April … en route to a robust 3.3% crest in October. From that juncture, baseline GDP enters a multi-year secular (positive) decline. Eleven days prior to the Election, TRI BEA will announce Q3 GDP of 3.0%. Four days prior, BLS will announce an 8.3% Unemployment Rate.

    In the meantime we continue to watch Hussman, ECRI, Rosenberg et al engage in embarrassing revisionism in attempts to rationalize to their clients & media why they missed one of the most spectacular bull markets in recent memory…

    http://trendlines.ca/free/economics/RecessionIndicatorUSA/USA-TRI.htm