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Sit mens sana in corpore sano (sound mind sound body) - to share and discuss ideas on business, ethics, surveillance, a/v and technology
Which do you think is more important - big business or small business?
This is a great question. Each has its place and often because they are easier to manage and are perceived as having deeper pockets people focus on the minority (large business and corporations). Yet, truth be told the canary in the coal mine for many reasons are the various small businesses. Collectively their revenues and employment exceed those of the combined large businesses however sine their revenue to less densely aggregated thus spread over a larger demographic their do not get the attention they deserve. Further the small business owners, entrepreneur and the middle class in general are what support this country not and all of this is driven not by the corporations but rather by the consumers and customers.
C.W. Copeland & Associates presents
Weekly Economic Update for the Week of December 21, 2009
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Quote of the week."Friendship marks a life even more deeply than love."- Elie Wiesel
Interesting inflation figures.November data shows a 1.8% year-over-year gain in the Consumer Price Index. That's the first positive 12-month change since February 2009. Core CPI was flat last month; it had risen for 10 straight months. The overall CPI rose 0.4% in November. Wholesale inflation (PPI) jumped by 1.8% last month, with core PPI rising 0.5%.1
Housing starts rebound. They hit a 6-month low in October, so November's 8.9% increase was especially welcome. Building permits also increased by 6.0% from October levels.2
Fed sees no reason to raise rates.Last week, TIME's Person of the Year and his colleagues voted 10-0 to leave the benchmark interest rate alone at between 0% and 0.25%. The Federal Open Market Committee said that the key rate would remain at record lows for "an extended period" as "economic activity is likely to remain weak for a time."3
Citi, Wells Fargo will pay back Uncle Sam.The two banks will respectively repay $20 million and $25 million to the Treasury. With the Wells Fargo notice, America's largest banks have all now pledged to exit TARP. The Obama administration claims the final TARP price tag will be under $140 billion.4
Leading indicators up 0.9%.For the eighth month in a row, the Conference Board's index of leading indicators chalked up an advance. Economists polled by Bloomberg News had predicted a 0.7% rise.5
Tech stocks do well in mixed week.The NASDAQ rose 0.98% last week, pushing its YTD gain over 40%. The S&P 500 slipped 0.35% last week, while the DJIA fell 1.33%.6
% Change | Y-T-D | 1-Yr Chg | 5-Yr Avg | 10-Yr Avg |
DJIA | +17.69 | +20.03 | -0.60 | -0.82 |
NASDAQ | +40.24 | +42.47 | +0.72 | -4.11 |
S&P 500 | +22.06 | +24.53 | -1.54 | -2.24 |
Real Yield | 12/18 | 1 Yr Ago | 5 Yrs Ago | 10 Yrs Ago |
10YrTIPS | 1.31% | 1.85% | 1.64% | 4.14% |
(Source: CNNMoney.com, ustreas.gov, bls.gov, 12/18/09)7,8,9
Indices are unmanaged, do not incur fees or expenses, and cannot be
invested into directly. These returns do not include dividends.
Riddle of the week.Nancy was born in summer, yet she was born in January. How is this possible?
Contact my office or see next week's Update for the answer.
Last week's riddle: You spend 20% of the money in your wallet. Then you spend 20% of what remains in your wallet after that. You spend $72.00 total. How much money did you originally have in your wallet?
Last week's riddle answer:$200. $200 - $40 = $160, then $160 - $32 = $128.
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