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2011/10/12

What Does Alcoa's Earnings Report Mean?


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Wednesday October 12, 2011

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Alcoa Misses Estimates


Don't Underestimate the Protests


More Signs of Chinese Weakness




Fellow Investor,

I can't think of a more politically stupid move right now than dismissing the Occupy Wall Street protests as bunch of "whackos." As I've already stated, it seems to me these protestors are articulating the frustrations of many Americans. And much in the same way that the Tea Party did.

Why anyone would dismiss the frustrations of potential voters is beyond me.

Sure, we can question certain, particular ideas. Like is redistributing wealth via taxes on the rich the right thing to do. But even if that's a bad idea, the More Signs of Chinese Weakness protests represent a much bigger frustration: that the American people are not being served by our elected officials, and, in fact, that politicians have chosen to support corporate CEOs over and above the American people.

If I were a politician, I would be doing everything I could to dispel the idea that I was in Wall Street's pocket.

Yesterday, the protestors in New York embarked on a "Billionaire's Tour." According to the promotional material, protestors can:

"Join us on a walking tour of the homes of some of the bank and corporate executives that don't pay taxes, cut jobs, engaged in mortgage fraud, tanked our economy ... all while giving themselves record setting bonuses."

Again, the specifics of the accusations can be disputed, but what American doesn't secretly chuckle at the idea of a huge group of protestors standing outside JP Morgan (NYSE:JPM) CEO Jamie Dimon's house in Manhattan?

Make no mistake: the Occupy Wall Street protests are a significant event.

Apple (Nasdaq:AAPL) sold over 1 million of its latest iPhone on the first day of availability. That number absolutely blew away all estimates, and served as a stark counterpoint to the analysts who called the phone a ...
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Market Snapshot

U.S. Markets - Oct 11 Close

Dow Jones

11,416.30

-16.88

(-0.15%)

S&P 500

1,195.54

+00.65

(+0.05%)

Nasdaq

2,583.03

+16.98

(+0.66%)

 


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