Wednesday, January 21, 2015

Thursday January 22 Housing and Economic stories


Stock market risk is higher today than it was in the dot-com era - (www.marketwatch.com) The risk of a major bear market in stocks is now higher than it’s been in years. That, at least, is the message of an indicator that keys off the amount of risk incurred by the top-performing advisers. On average, the top 10 finishers in the 2014 Hulbert Financial Digest performance scoreboard recommended portfolios that were more than three times riskier than the stock market itself. That is one of the highest levels to have emerged from the Hulbert Financial Digest’s more than three decades of performance tracking. In calendar 2011, in contrast, the comparable risk level among the top 10 finishers was less than a quarter as much. It’s been growing more or less steadily ever since. What makes this trend so alarming is that the stock market has been near a major top whenever the top performers’ risk levels were at or close to current levels. In 2006, for example, the last calendar year prior to the 2007-2009 bear market, it rose to slightly higher than current levels: 3.85 times riskier than the market versus last year's 3.32 times. In 1999, the last calendar year prior to the bursting of the dot.com bubble, the comparable level was 2.58.

Google’s stock drops to within reach of a new bear market - (www.marketwatch.com)  Shares of Google Inc. fell to the lowest levels in over a year, and were within reach of their first bear market in 3 ½ years, on the heels of some downbeat comments from Wall Street analysts. Google’s Class A stock GOOGL, -0.73%  slid 1.3% in afternoon trade Monday, putting it on track for a ninth loss in 10 sessions. The stock has lost 6.9% since the start of the year, and 19.1% since peaking at an all-time closing high of $610.68 on Feb. 26, 2014. Many technical analysts define a bear market as a decline of 20% or more from a significant high. That means a close at or below $488.54 would trigger a new bear market for Google’s stock. The last time Google’s stock suffered a bear-market decline was when it dove 21% from July 26, 2011 through Aug. 19, 2011. Analyst Jay Srivatsa at Chardan Capital Markets listed the Internet search giant as one of the biggest “losers” of the 2015 Consumer Electronics Show in Las Vegas last week. The event had attracted more than 170,000 tech industry professionals, and 3,600 exhibitors, according to the Consumer Electronics Association, but no Google.

  • *ANTONIO WEISS SAID TO WITHDRAW NAME AS TREASURY NOMINEE
  • *WEISS SOUGHT TO AVOID LENGTHY CONFIRMATION PROCESS (how thoughtful?)
The White House exclaimed "opposition to Weiss was unjustfied," so perhaps it was his $203 million in assets just would not have played well with Obama's new vision for the future. However, he has managed to get a position as "counselor" - which does not require Senate approval.
  • *WEISS WILL BE COUNSELOR TO TREASURY SECRETARY: WHITE HOUSE
As Bloomberg reports, Antonio Weiss removes himself from consideration as Treasury’s undersecretary of domestic finance, according to a White House statement.  Weiss, head of investment banking for Lazard, to join Treasury Dept as counselor to Sec. Jack Lew, spokeswoman Jennifer B. Friedman says in statement.  Counselor position doesn’t require confirmation by Senate. “We strongly believe that the opposition to his nomination was not justified, and we are confident that he will prove himself to be a dedicated, talented, and effective public servant,” Friedman says. Weiss faced criticism from some lawmakers, including Sen. Elizabeth Warren, D-Mass.,  about his work on inversions in job at Lazard

Obama Will Veto Homeland Security Funding - (www.dailycaller.com) President Barack Obama will veto funding for the Department of Homeland Security if Republicans curbs spending on the president’s award of work permits to roughly five million foreign migrants, according to a White House spokesman. “We’ve made clear, dating back to last fall, that the president would oppose any legislative effort to undermine” the president’s Nov. 20 announcement, press secretary Josh Earnest said Jan. 12. “Yes,” he responded when a reporter asked if he would veto a spending curb. A veto would not close the agency. Most DHS employees are law enforcement officials, and they would continue to work, although their would not receive paychecks until the Congress passes and the president signs an appropriations bill.

Arrest warrant issued for 9-year-old boy accused of stealing pack of gum – (www.fox8.com) An Idaho prosecutor issued an arrest warrant for a 9-year-old boy who failed to show up in court. KHQ-TV reports that the boy from Post Falls is accused of stealing a pack of gum. Police Chief Scott Haug says it’s the first time in his 30 years in law enforcement that he’s ever seen an arrest warrant for someone that young. Haug says the child missed court because relatives had no way of getting him to the courthouse. Kootenai County prosecutor Barry McHugh says the warrant was issued because the boy twice failed to appear. He says he can’t comment further because the case involves someone younger than 18. The child is currently in the Juvenile Detention Center.






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