06 Jan 2006

Posted at 15:19h in The Friday Brief by
The economy continues to grow, creating new jobs even as companies produce more with fewer workers.  Non-farm payrolls increased by 108,000 in December and the unemployment rate dropped form 5.0% to 4.9%.  While the December growth in jobs was about 100,000 less than expected by economists, the number of jobs created in November was increased by the same amount, as reported by the government.  Manufacturing payrolls increased by 18,000 for the month.  Following sufficient economic growth, the continued high productivity rate no longer stifles hiring.  In other words, despite increased output from workers, companies are still forced to hire new ones to keep pace with demand.

16 Dec 2005

Posted at 15:56h in The Friday Brief by
In a huge turnout, 11 million Iraqis cast their ballots yesterday in their parliamentary elections, which, if the estimate holds, would put the overall turnout at more than 70%.  The main story was the lack of violence.  The Wall Street Journal notes that the election marks a significant milestone in Iraqi politics since the fall of Saddam Hussein's regime.  It is the first political event deemed legitimate by a large swath of Iraqis, including Sunni Arabs who had shunned the political process, the Journal notes.

09 Dec 2005

Posted at 16:01h in The Friday Brief by
The asset category leader for the fourth quarter so far, aside from Internet stocks, is gold.  The metal is up almost 13%, quarter to date.  Traditionally a move like this signaled bad news – too much liquidity leading to inflation, or falling currencies, or recession.  But, not this time.  Inflation remains tame, the dollar is actually rising with gold, and the economy continues strong.