Global Trade Slowing Warns World’s Largest Container Shipper

Peter's Commentary: The Baltic Dry Index has collapsed to historic low levels, indicating a slow down in global trade. Indeed, South Korea's Hyundai Heavy Industries, the world's largest container shipping company, has just reported losses of $3 billion in 2014. Note that in 2013, the same company reported profits of $730 million. And this is not just due to an over supply in dry bulk … [Read more...]

Existing Home Sales Plunge Downwards

Peter's commentary: Existing home sales dropped again. From ZeroHedge, Feb 23, 2015 With homebuilder sentiment slipping, blamed on the weather (despite improvement in the Northeast), Architecture billings down, and lumber prices down, it should not be totally surprising that existing home sales collapsed in January, which they just did tumbling -4.9% against expectations of -1.8% to a … [Read more...]

Yellen “Dovish”, Sees Economy Healing

Peter's Commentary: Fed Chair Janet Yellen was fairly "dovish" today with her comments. Inflation is currently below the 2% target rate. Yellen said that the inflation rate needs to move up to the 2% target before the Fed will consider increasing interest rates. At present the Fed is not seeing any significant pickup in wage growth. Because wages are generally a lagging indicator, the Fed … [Read more...]

Ports Shutdown Averted, But Huge Backlog

Labor Secretary Thomas Perez, forged a compromise between the West Coast dockworkers and their employers. From Bloomberg: “This is now in the rear-view mirror,” Labor Secretary Tom Perez told reporters late Friday outside the San Francisco headquarters of the Pacific Maritime Association, which had been locked in the contract battle with the International Longshore and Warehouse Union. “A … [Read more...]

West Coast Ports Hit Hard By Slow-Downs

Peter's Commentary: The US West Coast ports are partially shutting down four days this weekend. Shipping lines and terminal operators are stopping the unloading of ships on Thursday (Lincolns birthday), Saturday, Sunday and Monday (Presidents Day). This is because they don't want to pay holiday overtime to the workers who they allege have deliberately slowed operations to create a … [Read more...]

Jobs Report Overwhelmingly Positive, But…

Peter's Commentary: Friday's job report was overwhelmingly positive for the US economy. Employment in January increased by 257,000. And not only that, but November's figures were revised upward from 353,000 to 423,000. Which is the largest monthly gain in over 4 1/2 years. December's employment figures were also revised upward from 252,000 to 329,000. Safe havens for money flows … [Read more...]

Devastating Shutdown of US Supply Chain Feared

Peter's Commentary: One Week To Looming Port Shutdown 29 US West Coast ports could shut down within a week due to unsuccessful wage hike negotiations. These ports handle 43.5% of all containerized cargo in the US and are responsible for 12.5% of US GDP. Talks between the Pacific maritime association (PMA), representing port management and the international Longshore and Warehouse Union have … [Read more...]

Baltic Dry Index Collapse Causes Bankruptcy

Peter's Commentary: The Baltic dry index has collapsed to all-time lows. Reuters reports that the privately owned shipping company, Copenship, has filed for bankruptcy in Copenhagen. The Copenship CEO stated "we have reached the point where there is not more to do." Due to the ultra-low shipping fees, it is highly likely that many more shipping companies will soon be going belly … [Read more...]

January’s Investment Barometer For 2015

Well, you know what they say. As goes January, so goes the year. <More> … [Read more...]

Google Has Amazing Plans

Google is just coming into the market in my area with their high-speed Internet cable service. They have large plans for the future. From sproutmoney.com, January 28, 2015:Eric Schmidt, executive chairman at Google, claims that the internet will soon disappear. Although it is a remarkable phrase, it is even more remarkable to hear it from a Google top exec. Nevertheless, Schmidt sees things … [Read more...]