A market priced for perfection will start to wilt when investors realize things aren't particularly perfect.» Read More
TIPS Top 17 Percent Return Over Two Years [Bloomberg] Treasury Inflation-Protected Securities returned 17 percent the last two years, compared with gains of 1.9 percent in Treasuries, Bank of America Merrill Lynch indexes show. Yields on 10-year TIPS show bondholders expect the consumer price index to increase 2.18 percentage points a year on average over the life of the debt. The rate rose 1.5 percent in 2010 and is forecast to climb 1.7 percent this year, based on a Bloomberg survey of more than 60 economists.
Fannie & Freddie Legal Bills Cost Taxpayers $130+ Million [NY Times] "Since the government took over Fannie Mae and Freddie Mac, taxpayers have spent more than $160 million defending the mortgage finance companies and their former top executives in civil lawsuits accusing them of fraud. The cost was a closely guarded secret until last week, when the companies and their regulator produced an accounting at the request of Congress. The bulk of those expenditures — $132 million — went to defend Fannie Mae and its officials in various securities suits and government investigations into accounting irregularities that occurred years before the subprime lending crisis erupted. The legal payments show no sign of abating."
This is an op-ed from US Senator John Barrasso.
In the new Congress, the American people will give Republicans further opportunities to govern. Unlike our predecessors, we will lessen the burdens on the American people. In economic times like these, Washington should be doing everything it can to tighten its own belt and focus on private sector job creation. The Democrats have not only failed to do this; they’ve actively made it harder for Americans to make ends meet.
There are three areas where I see opportunities to help Americans. First, the Senate must follow the House and repeal the health care spending law and replace it with common sense reforms that will lower the cost of our health care. Second, we must lower the cost of energy by encouraging American energy and innovation; not by discouraging it. Third, we must reform Washington’s culture of spending now and paying later.
Google CEO Dumping a Third of a Billion Dollars in Shares [Wall Street Journal] "Eric Schmidt, who is stepping aside as Google Inc.'s chief executive, has filed paperwork to sell company shares currently worth $335 million this year, his first such sale in more than three years. The sale will represent a 6% drop in Mr. Schmidt's Google stake, and comes as the Internet giant said co-founder Larry Page will replace Mr. Schmidt as CEO in April. Mr. Schmidt will become executive chairman." (Dude, if I were liquid to nine figures I would do absolutely nothing with the rest of my life: You'd have to drag me over an XBox and a duvet encrusted with discarded lobster tail shells just to get me out of bed.)
"Obama Adds to Emphasis on Business with Adviser Choice" [NY Times] "President Obama, sending another strong signal that he intends to make his White House more business-friendly, traveled to this industrial city on Friday to appoint a prominent corporate executive as his chief outside economic adviser, and to spotlight his efforts on job creation, in advance of next week’s State of the Union address." How much good will do you think it will buy him?
If you were forced to choose a single word in which to encapsulate the collective obsessions of China's ruling elite you could do worse than to pick this one: Stability. And so data suggesting spiking prices of Chinese foodstuffs may stoke the regimes fears of their bête noire.
Retailer Coach seeing two of its design executives split at the seams and leave for New York & Company .
The latest to jump ship: Coach's Executive Vice President Of Design David Witkewicz.
The beautifully designed new headquarters of Goldman Sachs was full of the sound of grumbling and a few slamming doors yesterday as staff got the news about their annual bonuses.
Bonuses were far lower than last year for many staffers.
While it may break the football hearts of hometown fans at the market exchanges in Chicago and New York, history shows that investors will be better off if the Pittsburgh Steelers and Green Bay Packers play in the Super Bowl.
Sorry, Bears and Jets fans, but in the combined 11 NFL championship games in which either the Steelers \(6-1\) or Packers \(3-1\) have played, the Standard & Poor’s 500 has never turned in a losing year.
Brian Moynihan looked and sounded confident this morning as he closed out his first year as President and CEO of Bank of America.
For all the talk about the 250,000 jobs a month the economy is creating, workers' real wages are going backward.
Volatility could probably last anywhere from three to four months, Brian Jacobsen of Wells Fargo said.
To celebrate the 20th anniversary of "Squawk Box" this year, we've booked some of the world's smartest people.