QUICK OVERVIEW

• The University of Michigan and Thomson Reuters said U.S. consumer sentiment fell to 74.3 for March from 75.3 in February. Higher gas prices (Iran war talk) are probably to blame.

• (Arlan Suderman) Chinese Sept corn futures hit record high of $10.03 per bushel; Oh yeah, supplies are adequate.
• U.S. Corn (almost) and Beans at six month high.

• U.S. CPI rose 2.9% YoY as of February; unchanged from January; Core rate up 2.2% YoY, down from 2.3% in January.

• Some reports suggest there are plenty of new iPads still in stores. AAPL briefly crossed above $600 last week; Market Cap = 546 B (XOM = 407 B)

• J.P. Morgan announced a share buyback and raised dividends. Most U.S banks passed the latest Fed stress test.

• Fitch put UK ratings on watch.

• Paypal (EBAY) is looking to extend its electronic payment services to domestic markets in India and China, the largest consumer markets in Asia.

• BIMCO forecasts 20 million DWT of dry bulk to be recycled during 2012

• Former clients of MF Global expressed outrage over reports that Louis Freeh, the trustee overseeing the company's liquidation, planned to ask a bankruptcy judge to approve sizable bonuses for nearly two dozen top executives at the failed firm.

• The U.S. government ran a $231.7 billion budget deficit in February, up from $222.5 YoY.

• Fitch Affirms United Kingdom at 'AAA' - Revises Outlook To Negative.

• Some Brits have the idea of refinancing the national debt with 100-year gilts, or even gilts issued in perpetuity, is a bit too clever by half.

• In a major embarrassment for Goldman Sachs, a senior executive has resigned from the bank and attacked its 'toxic greed' and 'destructive' culture.

• Department of Labor reporting that first time claims for unemployment benefits dropped 14,000 to 351,000 in the week ending March 10.
• It also reported that wholesale prices rose 0.4% in February

• YoY Sales at full-service restaurants rose 8.7%, the fastest growth since the late 1990’s

• Nokia is expected to launch its Lumia smartphone line in China on March 28. DigiTimes says that China Unicom, China Telecom and China Mobile will all sell Nokia Lumia handsets.

• China overtook the United States to become the top foreign investor in Germany in 2011 in terms of investment project numbers.

• Spain’s new houses prices fell on average by 11.2 % during 2011

• Eurozone inflation stable at 2.7% in February
• Eurozone industrial production rose by 0.2% in January

• Singapore's unemployment rate improved to a 14-year low of 2% in 2011

You want to live to 1,000? Start making friends Whatever, there are going to be a lot more old people around soon, and many things urgently need looking at again. If we were to design a pension system today to match Bismarck's – in terms of the age that it starts set against median life expectancy – it would kick in at 103... ...According to the analysis, if you want to scotch the idea of old age as a state of dependency, you have to start thinking not in terms of how long you can keep yourself alive but of how long you can keep yourself healthy. And if you want to keep yourself healthy, the answer, for a change, is not about willpower, exercise, keeping active and looking after yourself. The answer is other people. So you'd better start making some friends.

A bit lazy currently – next update Sunday

Next Update Sunday

QUICK OVERVIEW

• (AP) -- President Barack Obama said Sunday that United States will not hesitate to attack Iran with military force to prevent it from acquiring a nuclear weapon...

• Only two (now 7) advertisers have cut ties with the "Rush Limbaugh Show" after he called an activist for women's contraception a "slut and prostitute"... advertisers who have not rejected Limbaugh include Carbonite, a  online computer backup system.

• Pork production in China, the top soybean importer, will climb to 51.6 million metric tons this year, up 4.2 percent from a year earlier, as the government increased insurance incentives for farms, a U.S. Department of Agriculture unit said.

• The USDA Thursday forecasted that U.S. framers will plant 94 million acres of corn. That would be up 2.3% YoY, and would be the most corn planted since 1944.

• Informa cut its estimate of Brazil’s soybean crop by 2m tonnes to 68m tonnes

• Canada's economy grew 2.5 % in 2011, down from 3.2 % YoY

• Italy's debt rose to 120.1% of GDP last year from 118.7 % in 2010, the highest level since 1996.
• The country's economy grew 0.4% last year compared to 1.8% the previous year

• A further 112,269 Spaniards lost their jobs in February, the seventh consecutive month during which unemployment rose in Spain.

• Japan's jobless rate rose to 4.6% in January.

• Moody's downgraded Greece long term sovereign credit rating from "Ca" to "C" .

• The iShares MSCI Peru Index (EPU) has given back to investors in 2012, outperforming gold and copper exchange traded funds.

• Exchange traded funds that hold bullion are rivaling global central banks in their accumulated gold stores.

• PIMCO Debuts First Actively Managed ETF (TXRT): the Bond fund is managed by Bill Gross and will invest in all sectors of the fixed income market.

• (FT) US corporation tax rates hit 10-year low.

QUICK OVERVIEW

• The U.S. ISM index, stood at 52.4% in February, lowers than the reading of 54.1 % in January.

• Italian 10-year paper fell as low as 4.9 %, the lowest since August.

• China says it has larger-than-expected shale gas reserves that could fulfill domestic demand for nearly 200 years – but Beijing admits extraction will prove difficult

• U.S. personal income rose 0.3% in January, after a 0.5% gain in December.

• U.S. personal consumption expenditures rose 0.2 % in January, after it remained flat in Dec.

QUICK OVERVIEW

• Case-Shiller breakdown: Las Vegas, 65% off housing-market peak; Miami, 51%; U.S. home prices fell 4% in Q4 of 2011, putting them back at levels last seen in mid-2002.

• The Conference Board said its index of consumer attitudes increased to 70.8 this month - the highest reading since February last year - from an upwardly revised 61.5 in January.

• Ireland will vote on whether to accept the European Union's new fiscal treaty.

• (Spiegel)Former German Chancellor Helmut Kohl stepped into the German debate about aid for Greece on Tuesday, warning that the goal of a united Europe mustn't be questioned.

• (Spiegel) If the Socialist Party's candidate wins the current presidential election in France, the country's highest earners may be faced with massive new taxes. Francois Hollande says he wants to introduce a wealth tax of 75 percent on income of over 1 million Euros per year.

• Oil World calls for largest on record YoY drop in global oilseed production due to South American drought.

• German court says parliament fast-track euro crisis panel unconstitutional.

On Monday February 27th, 2012, WikiLeaks began publishing The Global Intelligence Files, over five million e-mails from the Texas headquartered "global intelligence" company Stratfor.

QUICK OVERVIEW

• Telefonica (TEF) reported an increase in revenues of 3.5% YoY Mobile net additions rose 45% in the quarter, and 7.8 million new accesses added. In 2011 as a whole, total customers grew 7%YoY, to 306.6 million accesses. Net profit doubled to 2.67 billion Euros ($3.57 billion) compared to a profit of 1.3 billion in the year-ago period.

• U.S. New home sales are at an annual rate of 321,000 units in January, down from 324,000 in December. The median sales price rose by $600 to $217,100.

• The University of Michigan consumer sentiment index rose to 75.3, up from 75 the previous month.

• Santorum said, “I understand why Barack Obama wants to send every kid to college, because of their indoctrination mills, absolutely ... The indoctrination that is going on at the university level is a harm to our country.”

• (FT) Stockton, a city in northern California, next week may decide to suspend payments to some of its creditors and take steps toward a bankruptcy filing after years of fiscal strife.

• "Though housing-related businesses remain in the emergency room, most other businesses have left the hospital with their health fully restored," Buffett said on Saturday in his closely watched annual letter to shareholders.
•  Berkshire Hathaway’s net income fell 30% as the paper value of its derivative contracts fell.
• Berkshire said it earned $3.05 billion, or $1,846 per Class A share, compared with earnings of $4.38 billion, or $2,656 per share a year earlier.

• A 17-tonne haul of silver coins, lost for two centuries in the wreck of a sunken galleon, began its journey back to Spain yesterday after deep-sea explorers lost their claim to ownership.

• VIVUS (VVUS:) said that an Advisory Committee of the FDA recommended that Qnexa be granted FDA marketing approval for the treatment of obesity in adults. It purportedly helped trial patients lose 10% of their weight in a year.

• Chinese banks have been urged to use green credits as a tool to support the nation to cut carbon emissions while achieving a sustainable growth, according to China Banking Regulatory Commission.

QUICK OVERVIEW

• (AAGIY) AIA Group Ltd, Asia's No.3 insurer, reported a 40 % rise in value of new business in the year ended Nov. 30, 2011, helped by strong performance in China and Singapore.

• AIG said Q4 operating profit was 82 cents a share, above Wall Street’s consensus estimate of 63 cents a share.

• A drought threat posed across southern and western Minnesota is the most serious in over a decade, according to University of Minnesota Extension Climatologist Mark Seeley. Climate outlooks currently favor more rain than normal this spring across much of the state, but it might not be enough, Seeley says: “Many areas are so deficient in stored soil moisture they will need 150-200% of normal rainfall during March and April to make up the difference.”

• (NYT) President Obama asked Congress on Wednesday to scrub the corporate tax code of dozens of loopholes and subsidies to reduce the top rate to 28 percent, from 35 percent, while giving preferences to manufacturers that would set their maximum effective rate at 25 percent.

• The National Association of Realtors said existing home sales rose 4.3% in January.

• Singapore's CPI eased to 4.8% in January, down from 5.5% the previous month. French CPI fell by 0.4% in January thanks to a drop of manufacturing costs, following a rise of 0.4% in December.

• YoY, French inflation rose by 2.3%.

• China discovered 1.37 billion tonnes of oil reserves last year, up 20.6% YoY.

QUICK OVERVIEW

• In the early hours of this morning the Eurozone finally agreed a €130bn bailout for Greece. 

• Wal-Mart Stores' fiscal 4Q earnings fell 15% to $5.16 billion, or $1.50 a Share. Revenue rose 6% to $123.17 billion. 

• Home Depot's 4Q earnings rose to $774 million, or 50c a share. Sales rose 6% to $16 billion. 

• Kraft Foods' 4Q earnings up 54% to $830 million, or 47c a share. 

• James Monroe (Chairman of the Board) of Globalstar (GSAT) bought 50,000 shares. 

• Marine biologists and philosophers have joined forces to support a controversial declaration of rights for whales and dolphins on the grounds that their astonishing intelligence and emotional empathy puts them on a par with humans.

Plutocracy, Pure and Simple
Shocking, fascinating, entirely unsurprising: the leaked documents, if authentic, confirm what we suspected but could not prove. The Heartland Institute, which has helped lead the war against climate science in the United States, is funded among others by tobacco firms, fossil fuel companies and one of the billionaire Koch brothers..

Daily charts are up-to-date  No weekly update this week -- back up next weekend.

Quick Overview

• Prichard: Europe's key powers are on the brink of a €130bn (£108bn) debt deal to rescue Greece and avert the first sovereign default in Western Europe in over half a century.

• Abbott (ABT) increased the quarterly common dividend from 48 cents per share to 51 cents per share. This marks the 40th consecutive year that Abbott has increased its dividend payout and the 353rd consecutive quarterly dividend to be paid by Abbott since 1924.

• Retail sales in Britain increased 1.9 % YoY

• China loosened monetary policy in a surprise move over the weekend, taking precautionary action to shore up the economy after a slew of weak data. The cut, the second of its kind in three months, will drop the RRR by 50 basis points to 20.5% for large commercial banks and 17% for mid- and small-sized banks.
• China: In January, 48 cities out of the statistical pool of 70 major cities saw drops in new home prices MoM, while new home prices in 22 cities remained unchanged. On a YoY basis, property prices are still higher in most cities.
• Foreign trade in south China's Guangdong Province, the nation's key production and export base, fell 16.7% YoY in January.

• Iran has halted oil shipments to Britain and France, the Oil Ministry said, in an apparent pre-emptive move against the European Union.

• Tranquilo Favero, the head of Paraguay's largest soy producer, took out ads in national news media on Sunday to ask forgiveness for telling a Brazilian newspaper that Paraguayan farm workers are lazy and that "you have to treat them like a bad woman, with a stick."

• (Bloomberg) The U.S. cattle herd as of Jan. 1 was the smallest for that date since 1952, and beef exports surged 21 percent in 2011, government data show. The U.S. Department of Agriculture forecast a 4.1 percent drop in beef output in 2012, boosting the cost of the meat for consumers by as much as 5 percent this year, more than any other food group except seafood.

• Billionaire hedge-fund manager John Paulson told investors it’s time to buy gold.

• Lack of rain in Texas may lead to the smallest planted rice acreage since the 1920s.

• Implats forecasts the platinum market will reflect a 335000oz deficit in the coming financial year compared with a surplus of 120000oz this year, marketing director Derek Engelbrecht said at the group’s interim results presentation yesterday.

Quick Overview

• Leak exposes how Heartland Institute (Koch) works to undermine climate science.

• Equinix (EQIX) fourth-quarter profit rose 29%
  
  
• Moody's warned that it may downgrade the credit ratings of 114 banks, including 17 global banks.

• Nestle (NSRGF) posted a full-year sales growth of 7.5% - but it predicted a tough year ahead.

• U.S Initial claims for unemployment benefits dropped 13,000 to 348,000, the lowest level since March 2008, the Labor Department said.

• 7.58% of U.S. mortgage borrowers were late on their loan payments during the last three months of 2011, according to the Mortgage Bankers Association. That was down 0.67 % YoY and 2.5% from the peak set in the first quarter of 2010.

Quick Overview

• @TheDailyShow @RickSantorum "Government cannot force you to pay for something that violates faith or beliefs." // Great advice for tax season!

• QoQ Japan's economy shrank by 0.6%. Japan is taking further monetary easing steps by setting its price stability goal at one percent to fight deflation, while expanding its asset purchase program by 10 trillion yen to 65 trillion yen. BOJ also decided to hold its interest rate steady at zero to 0.1%.

• Moody’s lowered the outlook on France, Britain and Austria to negative, but kept their ratings at triple-A for now.

• Obama has charged more whistleblowers under the 1917 Espionage Act than all previous Presidents combined.

• Crude-oil supplies in the U.S. rose 2.9 million barrels in the week ended Feb. 10.
• Gasoline supplies rose 1.8 million barrels
• Distillates declined 2.2 million barrels.

• (Prichard) A Greek default and traumatic ejection from the euro moved a step closer last night after Eurozone finance ministers cancelled a crucial meeting, accusing Athens of failing to flesh out austerity cuts

• Austria and Switzerland are aiming to join hands in their effort to fight tax evasion with an agreement being negotiated by the two governments.

Germany's Carthaginian terms for Greece Ambrose Evans-Pritchard
The last time Germany needed a bail-out from world creditors, it secured better terms than shattered Greece last week...Greece has less strategic relevance, and must comply with tougher terms...Would Konrad Adenauer ever have made such a blunder?

Quick Overview

• In the US, since 1900, the longest anyone has had to wait for a positive return from a position in stocks (Index) is 17 years. In Italy its 74 years --so says the FT
• 
  
• (Barrons) Baltic Dry: Not Washed Up -- News that the Baltic Dry Index is sunk as an economic indicator is much exaggerated.
  The index—which measures the cost to haul dry freight over the world's oceans—has merely run aground after getting hit with a shipping-market tsunami. Don't worry. It will right itself soon enough–and should once again become a useful forecasting tool, as early as the end of the year.
  The cost of shipping dry commodities, such as coal, iron ore and grains, forms the basis for the BDI. When more raw materials are shipped, it is because they are needed to be made into ...
• (Bloomberg) -- The trustee liquidating MF Global Inc. brokerage said the firm has a shortfall of at least $1.6 billion to pay commodity customers’ claims.

• The Hellenic Statistical Authority said YoY Greece’s manufacturing output contracted by 15.5% in December and industrial output fell 11.3%, having fallen 7.8% in November. Unemployment jumped to 20.9% in November, up from 18.2% in October - a rise of 14% in a month.

• The U.S. federal government reported a budget deficit of 27.4 billion U.S. dollars in January, the figure is sharply lower than the reading of 50 billion a year earlier.

• Industry output in France lost ground in December as the electrical and textile industry dragged down the country's overall production by 1.4%.

• Britain's producer prices rose 0.5 % MoM.

• G4S, the world’s largest security company, has won the first contract in Britain to staff and build a police station.

Quick Overview

• Inflation in China is higher than expected in January at 4.5%

• Greek jobless rate hits new record high at 20.9%

• Dr Pepper Snapple (DPS) raised the dividend 6.3%

• Akamai (AKAM) Q4 revenue rose 14%. Profit was 45 cents a share, exceeding the 40-cent average projection.

• Melco Crown Ent. (MPEL) Reports Q4 earnings of $0.20 per share, $0.03 better than the Consensus Estimate of $0.17; revenues rose 30.2% YoY to $1.01 bln vs the $0.98 bln consensus.

• Indonesia cuts interest rate to 5.75%.

• Japan's key machinery orders fall 7.1 %

• A $25 billion settlement with the U.S. mortgage lenders was hailed by government officials as long-overdue relief for victims of foreclosure abuses. Of the five major lenders, Bank of America will pay the most to borrowers: nearly $8.6 billion. Wells Fargo will pay about $4.3 billion, JPMorgan Chase roughly $4.2 billion, Citigroup about $1.8 billion and Ally Financial $200 million. The banks will also pay state and federal governments about $5.5 billion.
  -- About 11 million households are underwater
  
  
  
  
  

Warren Buffett: Why stocks beat gold and bonds
The second major category of investments involves assets that will never produce anything, but that are purchased in the buyer's hope that someone else -- who also knows that the assets will be forever unproductive -- will pay more for them in the future. Tulips, of all things, briefly became a favorite of such buyers in the 17th century.