9-25-07: The end of the 3rd quarter is upon us. It is time to predict some earnings. One of our favorite is Apple Inc. Steve Jobs and company is on a roll and we fully expect AAPL to post a very strong earning, easily surpassing estimates. There are several positive signs for our bullish prediction.
9-17-07: The 60 minutes piece on Greenspan last night was quite interesting. If you did not catch the interview, we highly suggest watching it. The video clips can be found on yahoo.com or cbsnew.com. One of the many interesting thing about Greenspan is his view on our former Presidents. Interestingly, he stated Clinton was the smartest of them all and Nixon was just…well..a crook. On the economy front, Greenspan believed inflation is our biggest threat as he believed the deficit will come crashing down on us one day. We agreed with this assessment. The large deficit will lead to inflation; resulting in a period of stagnant or negative growth. Unfortunately people are not paying much attention to this, just like the subprime mess before it really became a major problem.
9-7-07: The August employment number shocked everyone on Wall St. A lot of analysts expected a drop in hiring last month, but very few expected it to be negative. The market is spooked as a result; the DOW is off about 200 points. What’s also interesting from this latest job data is the revision from last month (July). The government revised the employment figure from 128,000 to just 68,000 in July. That is a huge revision. Make us wonder where they are getting these data from. Well, that’s the government, can’t really trust their reports. The question of the day, are we headed towards a recession?
