December 2, 2011

JOBS REPORT AN EARLY CHRISTMAS GIFT FOR OBAMA

The top three issues in the upcoming 2012 election are jobs, jobs and jobs. President Obama would be fighting against strong historical precedent trying to win reelection with unemployment staying above 9%.

Over the last several months, unemployment has stubbornly refused to budge down. At 8:30 EST this morning the U.S. Department of Labor reported a dramatic drop in unemployment. Expectations were that unemployment would stay at 9%. The number dropped dramatically to 8.6%. Such dramatic drops are rare.

ADP had given us on Wednesday forewarning of the possible strong employment number. ADP is one of the largest payroll processors in the United States, and uses the payroll data it has from private employers to compile private sector jobs data. … Please click here or the title below to read more.

December 2, 2011

WHY I AM DIPPING MY TOE IN EUROPE

I have a bad habit of regularly studying a wide variety of boring documents ranging from central bank reports to obscure economic indicators. Lately, it has been difficult to find anything positive about Europe. Since media is full of negative information about Europe, there is no point in regurgitating the information easily available elsewhere.

Baron Rothschild, an 18th century British financier made a fortune by buying during the panic related to the Waterloo battle against Napoleon. “The time to buy is when there’s blood in the streets,’ Rothschild is believed to have said. There is no blood in the streets of Europe, but there is blood in European financial markets.… Please click here or the title below to read more.

December 2, 2011