Monday, April 30, 2012

Weekly Newsletter April 29th - May 5th

Current Events: The U.S. stock indexes had a very strong week, successfully breaking out of a small downtrend which had been forming over the past few weeks. This aggressive move higher has all three major indexes challenging highs for the year.
What to Look for This Week
The employment report for April scheduled for release Friday morning certainly takes lead this week, though other key economic reports include consumer spending and the ISM manufacturing gauge.
News Affecting the Markets
After an impressive run to a record high near $1,900 an ounce in August of last year gold has tapered off quite a bit, but such a move could come around again should the U.S. Federal Reserve decide to change directions yet again.
An Alternative Investment:  An alternative investment that most never even stop to consider is wine. Wine has certainly proved a fine investment over the last two decades with consistent improvement and rising value almost up to 19% per year. It is also a relatively low risk market to get into. Even when economies slump as we have witnessed in recent times, wine held its value more firmly than traditional investments that are known to swing wildly. Generally finer wines have been purchased frequently by the markets in America and much of Europe. Recently however there has been a sharp increase and rising demand from the rapidly growing economy of China. This trend will no doubt continue to increase over the long term and brings with it a fantastic opportunity for investors. Investing in wine means that you are buying an asset that emerges from a limited production base but at the same time needs to supply an ever growing demand. Where there is an increasing demand you know that prices are also increasing. Not only that, the value of wine also tends to rise as global consumption depletes existing stocks and this causes prices to rise even further. Wine is also a physical asset, which is generally exempt from duties and taxes, thus making it more than just a delightful beverage for savvy investors.
Earnings for the Week
Monday: Anadarko Petroleum Corp (APC) {After the close}, CapitalSource Inc (CSE) {After the close}, CBL & Associates Properties Inc (CBL) {After the close}, Cloud Peak Energy Inc (CLD) {After the close}, Comstock Resources Inc (CRK) {After the close}, Extra Space Storage Inc (EXR) {After the close}, Forest Oil Corp (FST) {After the close}, Herbalife Ltd (HFL) {After the close}, Humana Inc (HUM), Jacobs Engineering Group Inc (JEC) {After the close}, LDK Solar Co Ltd (LDK), Loews Corp (L), LyondellBasell Industries NV (LYB), Masco Corp (MAS) {After the close}, McKesson Corp (MCK) {After the close}, Mercury General Corp (MCY), NYSE Euronext (NYX), Partnerre Ltd (PRE) {After the close}, Patriot Coal Corp (PCX), Plum Creek Timber Company Inc (PCL) {After the close}, PMC-Sierra Inc (PMCS) {After the close}, Senior Housing Properties Trust (SNH), Shutterfly Inc (SFLY), Sohu.com Inc (SOHU), Southern Copper Corp (SCCO), Standard Pacific Corp (SPF) {After the close}, Tenneco Inc (TEN), UDR Inc (UDR), Veeco Instruments Inc (VECO) {After the close}, Waddell & Reed Financial Inc (WDR), Watson Pharmaceuticals Inc (WPI)
Tuesday: Agco Corp (AGCO), Arch Coal Inc (ACI), Archer Daniels Midland co (ADM), Automatic Data Processing Inc (ADP), Avon Products Inc (AVP), Becton Dickinson and Co (BDX), Boston Properties Inc (BXP) {After the close}, Broadcom Corp (BRCM) {After the close}, Cabot Corp (CBT) {After the close}, CBS Corp (CBS) {After the close}, Chesapeake Energy Corp (CHK) {After the close}, Con-way Inc (CNW) {After the close}, Cummins Inc (CMI), DaVita Inc (DVA) {After the close}, DDR Corp (DDR) {After the close}, Domino's Pizza Inc (DPZ), Ecolab Inc (ECL), Emerson Electric Co (EMR), EXCO Resources Inc (XCO) {After the close}, Genworth Financial Inc (GNW) {After the close}, Hospira Inc (HSP), Huntsman Corp (HUN, Jones Lang LaSalle Inc (JLL) {After the close}, Legg Mason Inc (LM), Marathon Petroleum Corp (MPC), Marsh & McLennan Companies Inc (MMC), Office Depot Inc (ODP), OpenTable Inc (OPEN) {After the close}, Pfizer Inc (PFE), Regal Entertainment Group (RGC) {After the close}, Sirius XM Radio Inc (SIR), Strategic Hotels and Resorts Inc (BEE) {After the close}, TECO Energy Inc (TE) {After the close}, TRW Automotive Holdings Corp (TRW), Unum Group (UNM) {After the close}, Valero Energy Corp (VLO)
Wednesday: Acme Packet Inc (APKT) {After the close}, Allergan Inc (AGN), Allstate Corp (ALL) {After the close}, Beazer Homes USA Inc (BZH) , Continental Resources Inc (CLR) {After the close}, Cooper Tire & Rubber Co (CTB), Corrections Corp Of America (CXW) {After the close}, CVS Caremark Corp (CVS), Devon Energy Corp (DVN), Edison International (EIX), Enterprise Products Partners LP (EPD), Franklin Resources Inc (BEN), Hertz Global Holdings Inc (HTX) {After the close}, IntercontinentalExchange Inc (ICE), Intrepid Potash Inc (IPI) {After the close}, Ion Geophysical Corp (IO), Jds Uniphase Corp (JDSU) {After the close}, Kimco Realty Corp (KIM) {After the close}, Lincoln National Corp (LNC) {After the close}, Marathon Oil Corp (MRO), MasterCard Inc (MA), Murphy Oil Corp (MUR), Parker Drilling Co (PKD), PG&E Corp (PCG), Pioneer Natural Resources Co (PXD) {After the close}, Plains Exploration & Production Co (PXP) {After the close}, Prudential Financial Inc (PRU) {After the close}, Public Service Enterprise Group Inc (PEG), Rowan Companies Inc (RDC), Sunoco Inc (SUN) {After the close}, Tesoro Corp (TSO) {After the close}, The Clorox Co (CLX), The Hartford Financial Services Group Inc (HIG) {After the close}, Time Warner Inc (TWX), Two Harbors Investment Corp (TWO) {After the close}, Visa Inc (V) {After the close}, Walter Energy Inc (WLT) {After the close}, Weight Watchers International Inc {After the close}, Wellcare Health Plans Inc (WCG), Whole Foods Market Inc (WFM) {After the close}, Yelp Inc (YELP) {After the close}, Youku Inc (YOKU)
 Thursday: Alpha Natural Resources Inc (ANR), American International Group Inc (AIG) {After the close}, American Tower Corp (AMT), Apache Corp (APA), Apartment Investment and Management Co (AIV), Bill Barrett Corp (BBG), Boise Inc (BZ), Cablevision Systems Corp (CVC), Cardinal Health Inc (CAH), CareFusion Corp (CFN) {After the close}, CenterPoint Energy Inc (CNP), CF Industries Holdings Inc (CF) {After the close}, Cigna Corp (CI), Cimarex Energy Co (XEC), Corinthian Colleges Inc (COCO), Denbury Resources Inc (DNR), El Paso Corp (EP), Ensco PLC (ESV), Fluor Corp (FLR) {After the close}, General Motors Co (GM), Great Plains Energy Inc (GXP) {After the close}, HCA Holdings Inc (HCA), Health Net Inc (HNT), Kodiak Oil & Gas Corp (KOG) {After the close}, Kraft Foods Inc (KRT) {After the close}, Lear Corp (LEA), Lender Processing Services Inc (LPS), Manitowoc Co Inc (MTW) {After the close}, MDC Holdings Inc (MDC), MGM Resorts International (MGM), NRG Energy Inc (NRG), SandRidge Energy Inc (SD) {After the close}, Sealed Air Corp (SEE), Sempra Energy (SRE), Southwestern Energy Co (SWN) {After the close}, SunPower Corp (SPWR) {After the close}, Teradata Corp (TDC), Ultra Petroleum Corp (UPL)
Friday: AES Corp (AES), Ameren Corp (AEE), Aon PLC (AON), Duke Energy Corp (DUK), Estee Lauder Companies Inc (EL), Exelis Inc (XLS), Exelon Corp (EXC), ITT Corp (ITT), PPL Corp (PPL), Progressive Corp (PGR), Spectra Energy Corp (SE)
* Earnings dates and times are subject to change
Economic Data this Week
Monday
Personal Income @ 8:30 AM for March (Est. = 0.2% to 0.8%, Prior = 0.2%)

Personal Spending @ 8:30 AM for March (Est. = 0.5% to 0.8%, Prior = 0.8%)

PCE Prices @ 8:30 AM for March (Est. = 0.2%, Prior = 0.1%)

Chicago PMI @ 9:45 AM for April (Est. = 62.0, Prior = 62.2)

Tuesday
ISM Index @ 10:00 AM for April (Est. = 52.5 to 53.0, Prior = 53.4)

Construction Spending @ 10:00 AM for March (Est. = 0.5% to 0.8%, Prior = -1.1%)

Auto Sales @ 2:00 PM for April (Est. = 5.4M, Prior = 5.1M)

Truck Sales @ 2:00 PM for  April (Est. = 5.7M, Prior = 5.7M)

Wednesday
MBA Mortgage Index @ 7:00 AM for 04/28 (Est. = N/A, Prior = -3.8%)

ADP Employment Change @ 8:15 AM for April (Est. = 170K, Prior = 209K)

Factory Orders @ 10:00 AM for March (Est. = -1.8% to -2.5%, Prior = 1.3%)

Crude Oil Inventories @ 10:30 AM for 4/28 (Est. = N/A, Prior = 3.978M)

Thursday
Initial Claims @ 8:30 AM for 04/28 (Est. = 375K, Prior = 388K)

Continuing Claims @ 8:30 AM for 04/21 (Est. = 3,300K, Prior = 3,315K)

ISM Services @ 10:00 AM for April (Est. = 55.5 to 56.5, Prior = 56.0)

Friday
Nonfarm Payroll @ 8:30 AM for April (Est. = 140K to 162K, Prior = 120K)

Unemployment Rate @ 8:30 AM for April (Est. = 8.2%, Prior = 8.2%)

Hourly Earnings @ 8:30 AM for April (Est. = 0.1% to 0.2%, Prior = 0.2%)

Monday, April 23, 2012

Weekly Newsletter April 22nd – April 28th

Current Events: The U.S. stock indexes witnessed a handsome surge Tuesday, which was enough of to keep both the Dow Jones and S&P 500 up for the week, something which the Nasdaq was unable to also accomplish.

What to Look for This Week

While warm weather likely contributed to the boost seen in car sales and other components of the first-quarter GDP, other reports being released this week may actually show U.S. economic growth slowing.
News Affecting the Markets

Nicolas Sarkozy’s fading hopes for re-election ahead of Sunday’s first-round presidential vote have investors fretting over the potential triumph of Socialist challenger François Hollande and the thought of further turmoil in the euro zone.

Smart Investing

Whether You Are Trading Or Investing:  Discipline is the most important quality needed to make money trading or investing. While there are many things which differentiate a trading style versus that of an investing one. Discipline is a critical element involved in both. A trader must use discipline to develop and back-test a unique strategy that has proven to profit in the past, strictly follow the strategy, and make sure that downside risk is minimized in each trade. An investor must be disciplined to carry out all due diligence in the research and valuation of the company, equally minimizing their downside risk. Thus, a steady dose of discipline when participating in the markets as a trader or an investor is a must.

Earnings for the Week

Monday: Align Technology Inc (ALGN) {After the close}, Allison Transmission Holdings Inc (ALSN), Ameriprise Financial Inc (AMP), BancorpSouth Inc (BXS) {After the close}, BE Aerospace Inc (BEAV), Brinker International Inc (EAT), Check Point Software Technologies Ltd (CHKP), ConocoPhillips (COP), DR Horton Inc (DHI), Eaton Corp (ETN), F.N.B. Corp (FNB) {After the close}, Hasbro Inc (HAS), Health Management Associates Inc (HMA) {After the close}, Hexcel Corp (HXL) {After the close}, Illumina Inc (ILMN) {After the close}, MGIC Investment Corp (MTG), Netflix Inc (NFLX) {After the close}, Rent-A-Center Inc (RCII) {After the close}, Roper Industries Inc (ROP), Sonic Automotive Inc (SAH), SunTrust Banks Inc (STI), Texas Instruments Inc (TXN) {After the close}, Thomas & Betts Corp (TNB), W. R. Berkley Corp (WRB) {After the close}, Xerox Corp (XRX), Zions Bancorporation (ZION) {After the close}
Tuesday: 3M Co (MMM), ACE Ltd (ACE) {After the close}, Aflac Inc (AFL) {After the close}, Air Products and Chemicals Inc (APD), AK Steel Holding Corp (AKS), American Campus Communities Inc (ACC) {After the close}, Amgen Inc (AMGN) {After the close}, Apple Inc (AAPL), Ashland Inc (ASH), AT&T Inc (T), Baidu Inc (BIDU) {After the close}, Baker Hughes Inc (BHI), Boyd Gaming Corp (BYD), Buffalo Wild Wings Inc (BWLD), C R Bard Inc (BCR) {After the close}, C.H. Robinson Worldwide Inc (CHRW) {After the close}, CBRE Group Inc (CBG) {After the close}, Celanese Corp (CE), Centene Corp (CNC), Century Aluminum Co (CENX) {After the close}, Chicago Bridge and Iron Company NV (CBI), CIT Group Inc (CIT), Coach Inc (COH), Delphi Automotive PLC (DLPH), DeVry Inc (DV), Edwards Lifesciences Corp (EW) {After the close}, Entropic Communications Inc (ENTR) {After the close}, First Commonwealth Financial Corp (FCF), Firstmerit Corp (FMER), FMC Technologies Inc (FTI), Fortinet Inc (FTNT), Hawaiian Holdings Inc (HA) {After the close}, Human Genome Sciences Inc (HGSI) {After the close}, Illinois Tool Works Inc (ITW), International Game Technology (IGT), iRobot Corp (IRBT) {After the close}, Janus Capital Group Inc (JNS), Juniper Networks Inc (JNPR) {After the close}, Kansas City Southern (KSU) {After the close}, Lexmark International Inc (LXK), Liberty Property Trust (LRY), Lincoln Electric Holdings Inc (LIFE) {After the close}, McGraw-Hill Companies Inc (MHP), Nabors Industries Ltd (NBR) {After the close}, Norfolk Southern Corp (NSC) {After the close}, PACCAR Inc (PCAR), Panera Bread Co (PNRA) {After the close}, Parker Hannifin Corp (PH), Pentair Inc (PNR), Questar Corp (sTR) {After the close}, Questcor Pharmaceuticals Inc (QCOR) {After the close}, RadioShack Corp (RSH), Rayonier Inc (RYN), Regions Financial Corp (RF), Robert Half International Inc (RH) {After the close}, Ryder System Inc (R), Sigma-Aldrich Corp (SIAL), Solutia Inc (SOA), Synovus Financial Corp (SNV), T. Rowe Price Group Inc (TROW), Tanger Factory Outlet Centers Inc (SKT) {After the close}, The Hershey Co (HSY), Torchmark Corp (TMK) {After the close}, Total System Services Inc (TSS) {After the close}, Unisys Corp (UIS) {After the close}, United States Steel Corp (X), United Technologies Corp (UTX), Waters Corp (WAT), Western Union Co (WU)
Wednesday: Akamai Technologies Inc (AKAM) {After the close}, Allegheny Technologies Inc (ATI), Ancestry.Com Inc (ACOM) {After the close}, Arch Capital Group Ltd (ACGL) {After the close}, ARRIS Group Inc (ARRS) {After the close}, Ashford Hospitality Trust Inc (AHT) {After the close}, Assurant Inc (AIZ) {After the close}, AutoNation Inc (AN), AvalonBay Communities Inc (AVB) {After the close}, Avery Dennison Corp (AVY), Boeing Co (BA), Brandywine Realty Trust (BDN) {After the close}, Cabot Oil & Gas Corp (COG), Cadence Design Systems Inc (CDNS), Capstead Mortgage Corp (CMO), Caterpillar Inc (CAT), Chimera Investment Corp (CIM), Cirrus Logic Inc (CRUS) {After the close}, Citrix Systems Inc (CTXS) {After the close}, Cliffs Natural Resources Inc (CLF) {After the close}, Corelogic Inc (CLGX) {After the close}, Corning Inc (GLW) {After the close}, Crocs Inc (CROX) {After the close}, Crown Castle International Corp (CCI) {After the close}, Dana Holding Corp (DAN), Delta Air Lines Inc (DAL), Diebold Inc (DBD), Dr Pepper Snapple Group Inc (DPS), Duke Realty Corp (DRE), DuPont Fabros Technology Inc (DFT) {After the close}, Eli Lilly and Co (LLY), Emulex Corp (ELX) {After the close}, Energen Corp (EGN), Equifax Inc (EFX) {After the close}, Equinix Inc (EQIX) {After the close}, Equity Residential (EQR) {After the close}, Fidelity National Financial Inc (FNF) {After the close}, General Dynamics Corp (GD), Glimcher Realty Trust (GRT) {After the close}, GNC Holdings Inc (GNC), Harley-Davidson Inc (HOG), Hatteras Financial Corp (HTS), Hess Corp (HES)M Host Hotels and Resorts Inc (HST), Hudson City Bancorp Inc (HCBK), Iconix Brand Group Inc (ICON), Infinera Corp (INFN) {After the close}, InterDigital Inc (IDCC) {After the close}, Intersil Corp (ISIL) {After the close}, Jarden Corp (JAH) {After the close}, KBR Inc (KBR) {After the close}, KKR Financial Holdings LLC (KFN), Knight Transportation Inc (KNX) {After the close}, Las Vegas Sands Corp (LVS), Leap Wireless International Inc (LEAP) {After the close}, Lorillard Inc (LO), LSI Corp (LSI), Lumber Liquidators Holdings Inc (LL) {After the close}, MeadWestvaco Corp (MWV), Molex Inc (MOLX), Motorola Solutions Inc (MSI), NASDAQ OMX Group Inc (NDAQ), National Oilwell Varco Inc (NOV), Newfield Exploration Co (NFX), NextEra Energy Inc (NEE), Nielsen Holdings NV (NLSN), Northrop Grumman Corp (NOC), Oceaneering International Inc (OII) {After the close}, OReilly Automotive Stores Inc (ORLY) {After the close}, Owens Corning (OC), Owens-Illinois Inc (OI) {After the close}, Parametric Technology Corp (PMTC) {After the close}, Praxair Inc (PX), Qiagen NV (QGEN) {After the close}, R.R. Donnelley & Sons Co (RRD), Range Resources Corp (RRC) {After the close}, Rock-Tenn Co (RKT) {After the close}, Rockwell Automation Inc (ROK), Rockwood Holdings Inc (ROC), RPC Inc (RES), Ryland Group Inc (RYL) {After the close}, Sensata Technologies Holding NV (ST), Service Corporation International (SCI) {After the close}, Skechers USA Inc (SKX), SL Green Realty Corp (SLG) {After the close}, Southern Co (SO), Sprint Nextel Corp (S), Susquehanna Bancshares Inc (SUSQ) {After the close}, TE Connectivity Ltd (TEL), Teradyne Inc (TER) {After the close}, Terex Corp (TEX) {After the close}, Ternium SA (TEX), The Cheesecake Factory Inc (CAKE) {After the close}, The Jones Group Inc (JNY), Thermo Fisher Scientific Inc (TMO), Timken Co (TKR), Titan International Inc (TWI) {After the close}, Tractor Supply Co (TSCO) {After the close}, Trinity Industries Inc (TRN) {After the close}, TriQuint Semiconductor Inc (TQNT) {After the close}, Tupperware Brands Corp (TUP), Us Airways Group Inc (LLC), Varian Medical Systems Inc (VAR) {After the close}, Virgin Media Inc (VMED), W. R. Grace & Co (GRA), Waste Connections Inc (WCN) {After the close}, WellPoint Inc (WLP), Whiting Petroleum Corp (WLL) {After the close}, Williams Companies Inc (WMB) {After the close}, Williams Partners LP (WPZ) {After the close}, Wyndham Worldwide Corp (WYN), Xilinx Inc (XLNX) {After the close}

Thursday: 3D Systems Corp (DDD), Aetna Inc (AET), Altria Group Inc (MO), Amazon.Com Inc (AMZN), AmerisourceBergen Corp (ABC), Ametek Inc (AME), Amkor Technology Inc (AMKR) {After the close}, Amylin Pharmaceuticals Inc (AMLN), Applied Micro Circuits Corp (AMCC), Asiainfo Linkage Inc (ASIA), Avnet Inc (AVT), Axis Capital Holdings Ltd (AXS) {After the close}, Ball Corp (BLL), Bemis Company Inc (BMS), Berry Petroleum Co (BRY), Biomarin Pharmaceutical Inc (BRMN), BorgWarner Inc (BWA), BrightPoint Inc (CELL) {After the close}, Bristol-Myers Squibb Co (BMY), Brunswick Corp (BC), Bunge Ltd (BG), Cabela's Inc (CAB), Camden Property Trust (CPT) {After the close}, Cameron International Corp (CAM) {After the close}, Carbo Ceramics Inc (CRR) {After the close}, Celgene Corp (CELG), Cerner Corp (CERN) {After the close}, Chart Industries Inc (GTLS), Cincinnati Financial Corp (CINF) {After the close}, Clearwire Corp (CLWR) {After the close}, CME Group Inc (CME), CMS Energy Corp (CMS), Coca-Cola Enterprises Inc (CCE), Coinstar Inc (CSTR) {After the close}, Colgate-Palmolive Co (CL), Colonial Properties Trust (CLP), Community Health Systems Inc (CYH) {After the close}, CONSOL Energy Inc (CNX), Corporate Office Properties Trust (OFC), Deckers Outdoor Corp (DECK), Digital Realty Trust Inc (DLR), Dominion Resources Inc (D), Dow Chemical Co (DOW), EarthLink Inc (ELNK), Eastman Chemical Co (EMN) {After the close}, Education Realty Trust Inc (EDR) {After the close}, Entergy Corp (ETR), EQT Corp (EQT), Expedia Inc (EXPE) {After the close}, Exxon Mobil Corp (XOM), Federated Investors Inc (FII) {After the close}, Ferro Corp (FOE), Fidelity National Information Services Inc (FIS) {After the close}, First American Financial Corp (FAF), First Industrial Realty Trust Inc (FR) {After the close}, Fortune Brands Home & Security Inc (FBHS) {After the close}, Fusion-io Inc (FIO) {After the close}, Gilead Sciences Inc (GLID) {After the close}, Goodrich Corp (GR), GrafTech International Ltd (GTI), Graphic Packaging Holding Co (GPK), Hancock Holding Co (HBHC) {After the close}, Healthsouth Corp (HLS) {After the close}, Helmerich & Payne Inc (HP), Hercules Offshore Inc (HERO), Incyte Corp (INCY), Informatica Corp (INFA) {After the close}, Ingram Micro Inc (IM) {After the close}, InterMune Inc (ITMN) {After the close}, Interpublic Group of Companies Inc (IPG), Invesco Ltd (IVZ), Iron Mountain Inc (IRM), JetBlue Airways Corp (JBLU), Kellogg Co (K), Kennametal Inc (KMT), Key Energy Services Inc (KEG) {After the close}, KLA-Tencor Corp (KLAC), L-3 Communications Holdings Inc (LLL), Leggett & Platt Inc (LEG), Linn Energy LLC (LINE), Liz Claiborne Inc (LIZ), Lockheed Martin Corp (LMT), Mack-Cali Realty Corp (CLI), Maxim Integrated Products Inc (MXIM) {After the close}, Mead Johnson Nutrition Co (MJN), Meritage Homes Corp (MTH), MetroPCS Communications Inc (PCS), MIPS Technologies Inc (MIPS), Monster Worldwide Inc (MWW), Moodys Corp (MCO), Mylan Inc (MYL), Newpark Resources Inc (NR) {After the close}, NII Holdings Inc (NIHD), Noble Energy Inc (NBL), NU Skin Enterprises Inc (NUS), NXP Semiconductors NV (NXPI) {After the close}, Occidental Petroleum Corp (OXY) {After the close}, Oil States International Inc (OIS) {After the close}, Old Republic International Corp (ORI), Olin Corp (OLN) {After the close}, Omnicare Inc (OCR), Oshkosh Corp (OSK), Patterson-UTI Energy Inc (PTEN), PepsiCo Inc (PEP), PerkinElmer Inc (PKI) {After the close}, Principal Financial Group Inc (PFG) {After the close}, Progressive Corp (PGR), PulteGroup Inc (PHM), Qlik Technologies Inc (QLIK), Raytheon Co (RTN), Realty Income Corp (O), Regeneron Pharmaceuticals Inc (REGN), Reliance Steel and Aluminum Co (RS), Republic Services Inc (RSG), ResMed Inc (RMD), Revlon Inc (REV), Safeguard Scientifics Inc (SFE), Safeway Inc (SWY), Silicon Motion Technology Corp (SIMO) {After the close}, Skyworks Solutions Inc (SWKS) {After the close}, SolarWinds Inc (SWI), Spectrum Pharmaceuticals Inc (SPPI), Starbucks Corp (SBUX) {After the close}, Starwood Hotels & Resorts Worldwide Inc (HOT), Stillwater Mining Co (SWC), Superior Energy Services Inc (SPN) {After the close}, Taubman Centers Inc (TCO) {After the close}, Tellabs Inc (TLAB), Theravance Inc (THRX) {After the close}, Tim Participacoes SA (TSU) {After the close}, Time Warner Cable Inc (TWC), Tyco International Ltd (TYC), UGI Corp (UGI), United Continental Holdings Inc (UAL), United Parcel Service Inc (UPS), United Therapeutics Corp (UTHR), Universal Health Services Inc (UHS) {After the close}, Valassis Communications Inc (VCI), Validus Holdings Ltd (VR) {After the close}, VCA Antech Inc (WOOF) {After the close}, Verisign Inc (VRSN) {After the close}, Vertex Pharmaceuticals Inc (VRTX) {After the close}, Vulcan Materials Co (VMC), WABCO Holdings Inc (WBC), Waste Management Inc (WM), Western Digital Corp (WDC) {After the close}, Whirlpool Corp (WHR), Willis Group Holdings PLC (WSH), Xcel Energy Inc (XEL), Yandex NV (YNDX), Zimmer Holdings Inc (ZMH), Zynga Inc (ZNGA) {After the close}
Friday: Aaron's Inc (AAN), American Axle and Manufacturing Holdings Inc (AXL), Autoliv Inc (ALV), Calpine Corp (CPN), Chevron Corp (CVX), Coventry Health Care Inc (CVH), Covidien PLC (COV), DTE Energy Co (DTE), Exelis Inc (XLS), Ford Motor Co (F), HMS Holdings Corp (HMSY), ImmunoGen Inc (IMGN), International Paper Co (IP), iStar Financial Inc (SFI), KKR & Co. L.P. (KKR), Merck & Co Inc (MRK), Newell Rubbermaid Inc (NWL), Newmont Mining Corp (NEM), Pilgrims Pride Corp (PPC), Procter & Gamble Co (PG), Simon Property Group Inc (SPG), The Goodyear Tire & Rubber Co (GT), Ventas Inc (VTR), VF Corp (VFC), Weyerhaeuser Co (WY)
* Earnings dates and times are subject to change.
Economic Data this Week

Monday
No announcements scheduled.
Tuesday
Case-Shiller 20-city Index @ 9:00 AM for February (Est. =  -3.4%, Prior = -3.8%)
Consumer Confidence @ 10:00 AM for April (Est. = 69.5 to 71.0, Prior = 70.2)
New Home Sales @ 10:00 AM for March (Est. = 320K, Prior = 313K)
FHFA Housing Price Index @ 10:00 AM for  February (Est. = N/A, Prior = 0.0%)
Wednesday
MBA Mortgage Index @ 7:00 AM for 04/21 (Est. = N/A, Prior = 6.9%)
Durable Orders @ 8:30 AM for March (Est. = -1.9% to -2.5%, Prior = 2.4%)
Crude Oil Inventories @ 10:30 AM for 4/21 (Est. = N/A, Prior = 3.856M)
FOMC Rate Decision @ 12:30 PM for April (Est. = 0.25%, Prior = 0.25%)
Thursday
Initial Claims @ 8:30 AM for 04/21 (Est. = 365K to 373K, Prior = 386K)
Continuing Claims @ 8:30 AM for 04/14 (Est. = 3,300K, Prior = 3,297K)
Pending Home Sales @ 10:00 AM for March (Est. = 0.5% to 1.0%, Prior = -0.5%)
Friday
Michigan Sentiment @ 9.55 AM for April (Est. = 75.7 to 76.0, Prior = 75.7)

Saturday, April 7, 2012

Investment Opportunities in Africa

With news of so many companies seeking bailout from the government and the stock markets collapsing continually, the investor’s world-over can get skeptical about their decision to invest in a particular economy or in a particular market. With so many markets failing, investors have been looking on to those untouched and unexplored markets with high potential. In such a situation, Africa has highlighted itself as the next big market that promises unprecedented growth in the near future, where stock markets have been booming and investors have been focusing on sub-Saharan Africa in the recent times. Surprisingly, Africa has a market capitalization of over and above $100 billion and its stock markets are considerably larger when compared to what Russia and Central Europe were when they were opened to foreign investors in 1990s.Africa is favorably positioned to become the 2nd fastest growing region in the world, and according to the International Monetary Fund (IMF), economic growth across the 54 countries of the continent will hover around 6% in 2012.

Sub-Saharan Africa consists of nearly 48 countries with population of well over 800 million people; and this region does not include Middle East or Northern Africa. This population is nearly three times the population of United States and this is a great factor to make it a big market. However, South Africa is considered the most developed economy in this region, and accounts for nearly one-third of GDP of Sub-Saharan area. Number of stock markets in this area has multiplied with new stock markets in Ghana, Uganda, Zambia, Swaziland, Malawi, etc. Just to let you know the potential and growth of this area, the market capitalization of stock markets in Africa jumped from $113 billion to $245 billion from 1992 to 2002, which can be considered as outstanding by any standards. The region is experiencing tremendous growth in terms of penetration of mobile phones and development of banking systems. Furthermore, the region has noticed increased foreign investment along with loan disbursement in the last decade. In addition to all this, countries like Ghana, Botswana, Mozambique, Kenya, Tanzania, Nigeria, Zambia, and Uganda were ranked as "Emerging Markets" by International Monetary Fund.

Africa is ripe for a green revolution the continent is currently home to 60% of the world’s total uncultivated, arable land. There’s your opportunity. As the world’s population increases rapidly, global agricultural production must rise to feed these growing numbers. Much of that increased agricultural production will come from Africa. While the traditional obstacles to boosting agricultural output in Africa have been well documented, several African governments are making substantial and successful efforts in surmounting these shortcomings. As these barriers are overcome and agricultural output is increased, there’ll be a business opportunity for the manufacture and marketing of products such as fertilizers, pesticides and seeds as well as a demand for food processing services such as grain refining. Already, a growing number of private equity funds are springing up to finance agricultural production in Africa.

Several African countries have vast deposits of mineral resources that have been left largely unexploited, due to the financial incapacity to embark on capital-intensive mining projects. Africa has an array of mineral resources which include iron ore, coal, bauxite, gold, tin, lead and zinc which have been neglected because of the continents preoccupation with its massive oil deposits. Investing in infrastructure is also critical to Africa’s growth. While there have been significant improvements in the development and quality of infrastructure across the continent, there is still a clear-cut deficit. Needless to say, this shortfall has its consequences, including bottlenecks in the smooth running of trade and export activities; there are opportunities for private investors to partner with African governments in the development of under-performing infrastructures, such as investing in reliable power supply, water resources, roads and railway systems. Africa’s fast moving consumer goods sector shows potential. There is a huge and ever-growing opportunity for manufacturers and retailers of FMCGs like food, beverages, home care and personal care products. But speed is critical. Investors who can quickly step in and get a grip on the market will be the dominant players in the years to come.