VOL. 36 | NO. 8 | Friday, February 24, 2012
THE WORLDLY INVESTOR
Good news continues to exceed bad news, and the markets stand at multi-year highs. Political tensions that whipped the markets about last year have taken a secondary role, as stronger economic data and low market valuations have taken a primary role. With the Dow Jones Industrial Average kissing 13,000, a level unseen since May 2008, let’s compare the fundamentals now and then.
GUERILLA MARKETING
Guerilla marketing: unconventional marketing techniques designed to generate a significant return with a limited financial investment. It’s every business owner’s dream.
NEWSMAKERS
Diversified Trust, a wealth management firm with more than $4 billion in assets under management, has named current chief operating officer John P. Seckman as its new president. Seckman will lead company operations from Nashville, a geographic center for the firm with additional offices in Atlanta, Greensboro and Memphis.
BUSINESS BOOK REVIEW
It was hardly worth picking up. Yep, there was once a time when that penny you spotted on the pavement was worth something more than just one cent. You could buy lots of things for a penny back then, and saving them was rewarding on many levels.
I SWEAR
DAVIDSON, N.C. – This community of 11,000 residents, site of my alma mater, is also home to my favorite place to spend the night on the road: the Davidson Village Inn, half a block down Depot Street from the campus.
KAY'S COOKING CORNER
Other than being the “sweetest” month of the year, February holds many other surprises. Here are some sweet facts and some really sweet recipes!
STATE LEGISLATURE
NASHVILLE (AP) - A coalition of business and law enforcement groups is urging lawmakers to abandon a bill that would allow employees to store guns in their vehicles at work.
NASHVILLE (AP) - A proposal that would allow school personnel to participate in student-initiated religious activities on school grounds has passed the House.
STATEWIDE
NASHVILLE (AP) - The stage may be set for travelers in Tennessee, but state tourism officials have abandoned it for a song.
NATIONAL BUSINESS
WASHINGTON (AP) — The average rate on the 30-year mortgage edged down this week to hover again above record lows. Cheaper rates have spurred modest improvements in the battered housing market, but not enough to signal a recovery.
NEW YORK (AP) — Banks dodged a big hit from the Greek debt crisis and rallied Thursday to lead the stock market higher. Strong retail sales and more encouraging news about the U.S. job market also helped stocks rise.
NEW YORK (AP) — The Kroger Co. on Thursday reported a fourth-quarter net loss due to pension costs even though its focus on offering shoppers low prices and personalized deals led to higher sales.
WASHINGTON (AP) — The number of Americans seeking unemployment benefits fell slightly last week to the lowest point in four years, a further sign that the U.S. job market is steadily improving.
NEW YORK (AP) — Many retailers reported strong sales gains for February in the latest sign that Americans are feeling more confident in the economy.
DETROIT (AP) — Many automakers reported strong sales for February as Americans snapped up smaller cars to offset high gas prices.
WASHINGTON (AP) — U.S. consumers earned a little more in January and spent most of the extra money.
WASHINGTON (AP) — A sharp drop in commercial building projects caused a slight decline in construction spending in January. But the dip comes after previous figures were revised much higher.
WASHINGTON (AP) — Manufacturing activity grew more slowly in February as U.S. factories received fewer new orders and paid higher prices for raw materials.
BARCELONA, Spain (AP) — Just past the security gate for the world's largest cell phone trade show in Barcelona, executives of big mobile carriers can't avoid walking past a booth they would probably rather not see: It's for "Pinger," a small California company that offers free texting in the United States and Germany and has global expansion plans.
NATIONAL POLITICS
WASHINGTON (AP) — The Senate on Thursday defeated a Republican effort to roll back President Barack Obama's policy on contraception insurance coverage in the first vote on an issue that raised questions of religious and women's rights and riled Americans in this volatile election year.
WASHINGTON (AP) — Back-to-back surprises — Maine Sen. Olympia Snowe is retiring and former Nebraska Sen. Bob Kerrey is running again — have given Democrats a burst of optimism that they can hold on to control of the Senate, a goal that seemed to be slipping from reach just weeks ago.
WASHINGTON (AP) — Mitt Romney got two important wins in the Arizona and Michigan primaries, but he better pick up the pace if he wants to lock up the Republican nomination for president before the party's national convention in late August.
WEDNESDAY, FEBRUARY 29
STATE LEGISLATURE
NASHVILLE (AP) - A report from state lottery officials showing record sales is reason to table legislation that would cut some students' lottery scholarships in half, Democratic leaders said Wednesday
NASHVILLE (AP) - Legislation to change Tennessee's civil service law would make sure that military veterans get more than just an interview.
STATEWIDE
NASHVILLE (AP) - Hotel booking websites including Priceline, Travelocity, Expedia and Orbitz have prevailed against more than a hundred Tennessee counties and municipalities in a legal fight over hotel tax collections.
NATIONAL BUSINESS
WASHINGTON (AP) — The U.S. economy started the year off well with busier factories, higher retail sales, more jobs and growth in home sales.
The Nasdaq composite index briefly broke through 3,000 on Wednesday for the first time since the collapse in dot-com stocks more than a decade ago. Stocks ended lower, but it was still the best February on Wall Street in 14 years.
NEW YORK (AP) — New, potentially lucrative advertising opportunities are coming to Facebook as a prelude to its initial public offering of stock. The idea is to lure big brands with the promise of effective, precisely targeted ads that reach the social network's 845 million users.
WASHINGTON (AP) — Chairman Ben Bernanke told lawmakers Wednesday that the economy has performed better in recent months than the Federal Reserve had expected. If the trend continues, he said the Fed might have to reassess its outlook for a slow recovery.
NEW YORK (AP) — Apple's market capitalization topped $500 billion Wednesday, climbing to a mountain peak where few companies have ventured — and none have stayed for long.
WASHINGTON (AP) — The economy grew at a slightly faster pace in the final three months of last year, and Americans earned more income than previously reported. That could set the stage for stronger growth this year.
Now that the Dow Jones industrial average has closed above 13,000, an all-time high is in sight — just 1,160 points away. But the coast is not quite clear for the markets or the economy.
WASHINGTON (AP) — Mortgage giant Fannie Mae said Wednesday that it lost money in its fourth quarter and is asking the federal government for $4.57 billion in aid to cover its deficit.
ISSAQUAH, Wash. (AP) — Costco Wholesale Corp.'s fiscal second-quarter profit rose 13 percent as sales improved and it made more money from membership fees. The wholesale club operator's performance topped Wall Street's expectations. Its shares rose 2 percent in premarket trading.
NATIONAL POLITICS
WASHINGTON (AP) — Given to awkward utterances, Republican presidential hopeful Mitt Romney sized up his Michigan primary victory with memorable precision.
WASHINGTON (AP) — Secretary of State Hillary Rodham Clinton insists the Obama administration is moving swiftly to impose tough new sanctions on Iran amid concerns in Congress that the White House won't be aggressive enough in cracking down on financial institutions that do business with Tehran's Central Bank.
WASHINGTON (AP) — Rules aimed at helping drivers avoid unintentionally backing over children, already overdue, are being delayed again following complaints from automakers that requiring rearview video cameras systems on new cars and trucks would be too expensive.
WASHINGTON (AP) — House Republicans on Tuesday unveiled a package of largely uncontroversial measures they said will help small businesses raise capital and create jobs while showing that Congress can put aside its partisan differences and act in the country's economic interests.
TUESDAY, FEBRUARY 28
NASHVILLE AREA
LOUISVILLE, Ky. (AP) - Novelty ice cream maker Dippin' Dots is running out of cash and needs a $2 million credit line to be able to pay its bills, according to court documents filed Tuesday.
STATEWIDE
NASHVILLE (AP) - Tuesday is the last day for early voting for Tennessee's March 6 presidential primary.
MUSIC INDUSTRY
NASHVILLE (AP) - A diverse all-star lineup will celebrate the 80th birthday of Johnny Cash with an April concert.
STATE LEGISLATURE
NASHVILLE (AP) - Motorcyclists will have to wait another year to renew their efforts to do away with Tennessee's helmet law.
NASHVILLE (AP) - The Republican sponsor of a proposal to ban the teaching of gay issues to elementary and middle school students said Tuesday that he's not backing off the legislation despite concerns from GOP leaders.
NASHVILLE (AP) - State Sen. Andy Berke says he won't seek re-election to the General Assembly, becoming the seventh Democratic lawmaker to give up his seat this year.
NASHVILLE (AP) - A proposal to evict Occupy Nashville protesters is headed to the governor for his consideration, despite concerns that it could adversely affect the homeless.
NATIONAL BUSINESS
The Dow Jones industrial average on Tuesday reclaimed the last of the ground it held before the carnage of the Great Recession — bailouts, bank failures, layoffs by the million and a stock market plunge that cut retirement savings in half.
SAN FRANCISCO (AP) — Microsoft is scrambling to preserve what's left of its kingdom.
NEW YORK (AP) — Apple is inviting reporters to an event next Wednesday in San Francisco. An image on the invite showing part of an iPad screen suggests it's to announce a new model.
NEW YORK (AP) — A private research group says that consumer confidence in February rose dramatically from last month to the highest level since a year ago when the U.S. economy's outlook started to look brighter before souring again.
WASHINGTON (AP) — A surge in bank earnings at the end of last year made 2011 the most profitable time for the industry in five years. More earnings and fewer troubled banks suggest the industry has healed since the 2008 financial crisis.
WASHINGTON (AP) — Home prices fell in December for a fourth straight month in most major U.S. cities, as modest sales gains in the depressed housing market have yet to lift prices.
WASHINGTON (AP) — U.S. businesses slashed spending on machinery and equipment in January after a tax break expired, pushing orders for long-lasting manufacturing goods down by the largest amount in three years.
WASHINGTON (AP) — President Barack Obama plans to announce Tuesday the creation of a new enforcement office to challenge what the White House calls unfair trade practices worldwide.
NATIONAL POLITICS
WASHINGTON (AP) — Congress is about to open a new, real-time window into its members' stock trades, real estate deals and other financial transactions, allowing anyone to view the information online within weeks of the investments.
WASHINGTON (AP) — Airline co-pilots would have to meet the same experience threshold required of captains — the first boost in four decades — under regulations proposed Monday by the Federal Aviation Administration.
WASHINGTON (AP) — The White House on Monday welcomed a Canadian company's plan to build an oil pipeline from Oklahoma to Texas after President Barack Obama blocked the larger Keystone XL pipeline from Canada.
MONDAY, FEBRUARY 27
STATE LEGISLATURE
NASHVILLE (AP) - The House will take up a bill on Monday that is designed to evict Occupy Nashville but could also be used to jail homeless people around the state.
NASHVILLE (AP) - A new iPhone app billed as the first of its kind in Tennessee allows users to connect with members of the current Legislature.
NASHVILLE (AP) - Tennessee correction officials say a proposal to transfer certain services from the Board of Probation and Parole to the Department of Correction will save thousands of dollars and improve public safety.
NATIONAL BUSINESS
A burst of selling at the closing bell drove the Dow lower after it hovered around the milestone for most of the afternoon. The average finished the day about 19 points shy of the mark.
OMAHA, Neb. (AP) — Billionaire Warren Buffett said Monday that stocks remain relatively cheap compared to other investments as the economy continues to improve. He also said that the company he heads is prepared to replace him whenever the need arises.
NEW YORK (AP) — Oil prices took a breather on Monday, falling slightly as investors booked some profits after a seven-day surge. Retail gasoline prices continued to climb, adding five cents over the weekend for a national average of $3.70 per gallon.
WASHINGTON (AP) — The number of Americans who signed contracts to buy homes rose in January to the highest level in nearly two years, supporting the view that the housing market is gradually coming back.
NEW YORK (AP) — Economists are increasingly confident that some pillars of the U.S. economy will improve this year, but they still remain cautious in their expectations on the overall pace of economic growth.
MOORESVILLE, N.C. (AP) — Lowe's Cos.' fiscal fourth-quarter net income rose 13 percent on an 11 percent rise in revenue, helped by an extra week in the period compared with a year ago.
CINCINNATI (AP) — The E.W. Scripps Co. said Friday that its fourth-quarter net income fell, even as declines in the media company's newspaper business moderated.
NATIONAL POLITICS
WASHINGTON (AP) — President Barack Obama Monday urged the nation's governors to invest more state resources in education, saying a highly skilled workforce is crucial for the U.S. to remain competitive with other countries.
WASHINGTON (AP) — Old child support debts could cost thousands of poor men their only income next year because of a policy aimed at reducing the cost to the government of mailing paper checks to pay federal benefits.
FRIDAY, FEBRUARY 24
STATE LEGISLATURE
NASHVILLE (AP) - Legislation that would ban the teaching of gay issues to elementary and middle school students may be stalled, as Republican lawmakers discuss whether they should proceed with the bill.
NASHVILLE (AP) - An East Tennessee legislator is again trying to get approval for commercial deer farms after a similar effort failed last year.
NASHVILLE (AP) - The administration of Gov. Bill Haslam has flagged a bill that would name a perimeter trail around the Bicentennial Mall in Nashville in honor of a former governor's wife.
NASHVILLE (AP) - Occupy Nashville protesters say a proposal passed Thursday by the Senate aimed at stopping them from camping overnight at the Capitol complex will not thwart their efforts.
NASHVILLE (AP) - A full Senate vote was delayed Thursday on Republican Gov. Bill Haslam's proposal to close records used to make economic development grant decisions, as some lawmakers questioned why ownership details should be sealed.
STATEWIDE
KNOXVILLE (AP) — Retail travel center operator Pilot Flying J is buying Western Petroleum LLC, a fuel transportation company.
NASHVILLE (AP) - As taxpayers prepare their income tax returns for 2011, the Internal Revenue Service is still holding millions that are owed to Tennessee residents from 2008.
NATIONAL BUSINESS
NEW YORK (AP) — A two-point gain was enough to push the S&P 500 index to its highest level since June 2008, three months before the collapse of Lehman Brothers and the darkest days of the financial crisis.
SIMI VALLEY, Calif. (AP) — A judge in Southern California on Friday awarded $850 to an iPhone user because AT&T Inc. reduced his download speeds in an attempt to manage usage on its network.
CHICAGO (AP) — A new report finds that Americans are getting more privacy-savvy on social networks — restricting their profile information, pruning friend lists and otherwise curating their online presence.
WASHINGTON (AP) — Sales of new homes dipped in January but the final quarter of 2011 was stronger than first estimated.
NEW YORK (AP) — Oil prices rose above $109 a barrel Friday and are approaching last year's highs as tensions increase over Iran's nuclear program.
BERLIN (AP) — Automaker Volkswagen AG said Friday that its net earnings more than doubled last year as revenues grew by more than a quarter and the company benefited from accounting factors related to its stalled takeover of Porsche.
WASHINGTON (AP) — Americans 60 or older are more likely than ever to have college degrees, helping redefine work and retirement as educated baby boomers swell the senior population at rates faster than young adults earn diplomas.
WASHINGTON (AP) — The average rate on the 30-year fixed mortgage jumped after standing pat for three straight weeks at record lows. But the rate stayed below 4 percent for the 12th straight week, keeping home-buying and refinancing attractive for those who can qualify.
WASHINGTON (AP) — The number of people seeking unemployment aid was unchanged last week and the four-week average of applications fell to its lowest point in four years. The figures add to evidence that show the job market is improving.
NEW YORK (AP) — Consumer products maker Procter & Gamble Inc. said Thursday it plans to cut 5,700 jobs over the next year and a half as part of a cost-cutting plan.
NATIONAL POLITICS
WASHINGTON (AP) — Soaring gasoline prices are threatening to undercut President Barack Obama's re-election prospects and offering Republicans an easy target. With prices pushing $4 a gallon and threatening to go even higher, Obama sought Thursday to confront rising public anxiety and strike back at his GOP critics.
WASHINGTON (AP) — Huge tax cuts in the budget plans of Newt Gingrich and Rick Santorum would produce the kinds of trillion-dollar-plus deficits that the GOP candidates are blaming on President Barack Obama.
WASHINGTON (AP) — Most people like President Barack Obama's proposal to make millionaires pay a significant share of their incomes in taxes. Yet they'd still rather cut spending than boost taxes to balance the federal budget, an Associated Press-GfK poll shows, giving Republicans an edge over Democrats in their core ideological dispute over the nation's fiscal ills.
WASHINGTON (AP) — Facing a revolt in their ranks, House Republicans leaders are considering significantly downsizing a bill that was supposed to provide a long-term blueprint for federal highway, transit and other transportation programs.
WASHINGTON (AP) — With no financial relief in sight, the U.S. Postal Service is pushing ahead with planned cuts to more than 260 mail processing centers around the nation, part of a billion-dollar cost-cutting effort that will slow delivery of first-class mail.