Afternoon Train Reading:

• Payroll Survey Signals U.S. Jobs Slowing as Orders Drop (Bloomberg) see also New Grads’ Pay Gap Is Lasting Legacy of Recession (WSJ)
• Marginal oil production costs are heading towards $100/barrel (FT.com)
• How To Minimize Fixed Income Portfolio Risks (Ransom Roger)
• New ETFs Backed by Industrial Metals (Institutional Investor)
• Is Wells Fargo a Lehman in the Making? (Naked Capitalism)
• RIM Bets on BlackBerry Without Keyboard to Challenge Apple (Bloomberg)
• Future of Lighting Plays Out in Iowa Town, Global Courts (Bloomberg)
• The Joy of Drawing on Glass (NYT) see also Can Your Preschooler Learn Anything From an iPad App? (Slate)
• One universe among many? (Prospect Mag)
• GOPers flock to Roger Ailes’s Fox News office (Politico)

What are you reading?
>

The Big Doubt Over Facebook

Source: WSJ

Category: Financial Press

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.

9 Responses to “10 Thursday PM Reads”

  1. Blissex says:

    «Marginal oil production costs are heading towards $100/barrel»

    Marginal cost is sort of irrelevant: of course given enough demand it is profitable to take out oil that costs $95 to extract if one can sell it at $100.

    What is rather more worrying is that the median cost is going up significantly, as this impacts severely not just consumer countries, but producer countries, some of which have seen their populations grow 4-8 times in a few decades, and import essentially all their food and distil a large part of their water.

  2. rktbrkr says:

    Wells Fargo is a disaster, not a disaster waiting to happen, it has already happened we just don’t know it yet. In addition to the commercial loans cited in the article they are in a horrible position with their second mortgages and HELOCs. The denouement is inevitable, probably be something in Europe that knocks over their house of cards. Thank god they’re too big to fail and management has had the foresight to book illusory profits to justify their bonuses.

  3. ilsm says:

    I am rather more concerned with A Rods RBI marginal production!

    Was there nothing better to put up this afternoon? False equivalences with figures, microeconomic statistics!!

    Marginal production costs for the 50 largest crude oil extracters, rising.

    How many of number 20 through 50 would be drilling and pumping if the price for a bbl were around $60 US?

    Leases are being sold for drilling down 20000 ft!! Deep ocean oil is now extractible with that marginal revenue!

    Those oil shales in Canada can be pumped down a republican pipeline as long as marginal extraction costs are ‘covered’.

    When the Saudis and the rest in the gulf where extraction costs are fractions of the new stuff, the 21 to 50th largest producers will stop extracting as the price drops to keep alternatives from buggering the Saudis’ cabal supplying the oil addicts.

    Check the US oil belt around 1986………………………………..

  4. SOP says:

    Blissex,

    RE. “impacts severely… the producer countries”:

    It impacts severely Consumer Countries too. The producers tend to cut exports first, so as their production peaks and declines, their exports into the markets peaks and decline much faster…

    See Jeffrey Brown’s “Export-Land Model” – for graphics on case studies here:

    United Kingdom, Norway, Indonesia, Egypt, Malaysia, Mexico

    http://en.wikipedia.org/wiki/Export_Land_Model

  5. SOP says:

    On economic Substitution – a short (fictional) story.

    People of Sand and Slag

    ““I’ll be damned,” I breathed, staring at the animal. “It really looks like a dog.”

    Jaak grinned. “It’s like finding a goddamn dinosaur.”

    “How could it live out here?” Lisa’s arm swept the horizon. “There’s nothing to live on. It’s got to be modified.” She studied it closely…”

    http://windupstories.com/pumpsix/the-people-of-sand-and-slag/

  6. RW says:

    End This Depression Now! by Paul Krugman seems to be the book of the month and, yes, I am reading it and nodding my head more often than not.

    It is really fascinating how well basic macro-economics 101 has modeled this crisis, how poorly the more sophisticated models failed to model anything, and how resistant policy elites have been to acknowledging that reality. The number of ad hoc hypotheses — AKA pulling stuff out of your a$$ to defend prejudice — pumped out and pimped by pundits the past few years has been truly astonishing and, through it all, Krugman comes out smelling like a rose.

    Okay, I don’t know how he smells and I don’t give a damn: he’s made me money and listening to just about anyone else would have done the opposite; need one say more?

    btw your link “How To Minimize Fixed Income Portfolio Risks” is by Random Roger, not “Ransom Roger”

  7. mote says:

    “Losing NASA’s Eyes in the Sky”

    “Surface winds are measured from space to predict and map hurricanes. Instruments for detecting movements in the Earth’s crust help understand and track earthquakes. Sea-level fluctuations are monitored, severe weather warnings are issued and long-term weather forecasts are prepared with the help of satellites.”

    http://www.forbes.com/sites/johnmcquaid/2012/05/03/losing-nasas-eyes-in-the-sky/

  8. Frwip says:

    Barry,

    What’s your take on Wallen’s WF take ?