Wednesday, November 03, 2010

ADP Employment Change: Survey 20k Actual 43 Prior -39 Revised 2

Elections - the results from Tues night were nearly right inline w/consensus expectations. The
GOP captured 60 net House seats and the majority. In the Senate, Republicans picked up 6 net seats
and fell short of capturing the majority. – JPM
Goldman Sachs Asset Management Chairman Jim O’Neill said the Fed’s likely measures to boost
the U.S. economy will spur further weakness in the dollar and gains for global equities. – Bloomberg
FOMC Rate Decision today – Confusing messages from Fed’s many voices; whatever the Fed
announces today, there is a risk that it will be misunderstood. Financial Times (FT)

Martin Wolf in FT – tells China to embrace deficit targets – “Tim Geithner has offered an
imaginative alternative to endless friction over exchange rates. China’s president should seize the
escape the US has offered him” – Financial Times (FT)
Dubai World - Moody's Changes Outlook On Dp World To Positive And Affirms Its Ba1 Rating
"Doubts Cloud Gold's Bright Future" financial investors overwhelming normal supply/demand
dynamics. Mining companies have largely unwound their hedge books, so they are no longer a large
buyer. Mining companies are stepping up their activity, increasing supply. “Gold’s trajectory almost
completely at the mercy” of financial investors at this point. – WSJ

Inflation Adjusted Price of Gold since 1970

US home ownership rate at ~66.9% in Q3; the ownership rate is at a 10yr low. NY Post

Homeownership Rate since 1965