Monday, April 1, 2013

Pullback possible after stocks reach milestone

NEW YORK -- After flirting with an all-time high for three weeks, the S&P 500 posted its best closing level in history. But strategists say Thursday's record could be a harbinger that the stock market rally is running out of steam.

The S&P traded within 10 points of the all-time closing high for 13 sessions before breaking through, showing that investors need new catalysts to push firmly above resistance levels.

"As the market has gone higher ... upward moves have generally gotten smaller, which suggests that the move is getting old and that we need a pullback," said Mark Arbeter, chief technical strategist for Standard & Poor's in New York.

Stocks could fall about 3 percent to 4 percent, he said.

The benchmark index has risen almost 10 percent so far this year, fueled by strong profit growth and accommodative monetary policy from the Federal Reserve. But those gains have slowed as investors fret over Cyprus's bailout and mixed signs about the economy.

Still, stocks have been resilient, lifting the S&P to its record close of 1,569.19 on Thursday. Investors stepped in on declines to buy and finally pushed the S&P above the previous record set on October 9, 2007.

The broad index is also within a stone's throw of its intraday record of 1,576.09. The Dow surpassed its record close on March 5 and set a series of records, ending Thursday at 14,578.54.

The S&P has risen for 11 of the past 13 weeks, up 0.4 percent over the past two weeks. In contrast, the CBOE Volatility index, a measure of investor anxiety, is up about 14.5 percent over the same period.

"The increase in volatility we've seen is far more likely to be the sign of a short-term top" than the trend of investors buying on dips, Arbeter said. "If that volatility persists, then you would need to worry about an intermediate top."

In addition, speculator positions show a preference for holding long positions. Mike O'Rourke, chief market strategist at Jones Trading, noted that long positions account for more than 65 percent of speculative positions in futures contracts, a point at which rallies can be overextended.

U.S. markets will be closed for the Good Friday holiday and reopen on Monday.

The stock market next week will face tests of the milestone it reached, with the situation of Cyprus's banks and a round of U.S. data, including the March jobs report on Friday, facing investors.

About 197,000 jobs were added in March, according to a Reuters poll of economists. That would be down from the 236,000 jobs created in the previous month but still suggest improvement in the labor market. The unemployment rate is seen holding steady at 7.7 percent.

A strong payroll report could spark caution if it raises questions about whether the Federal Reserve would be more inclined to reduce monetary stimulus more quickly.

"There will be those who fear that if things improve too dramatically, too quickly, the Fed will take its foot off the pedal of quantitative easing," said Kristina Hooper, head of portfolio strategies at Allianz Global Investors in New York.

So far, however, the Fed has not suggested a change in its stimulus measure is likely. If the central bank slows the rate of its monthly bond purchases, a program that has been credited with boosting equity prices, "that could cause some weakness," Hooper said.

Rex Macey, chief investment officer at Wilmington Trust in Atlanta Georgia, said a "Goldilocks report" was needed for markets to rally.

In the first quarter the S&P rose 10 percent. It gained 3.4 percent in March, the index's fifth straight monthly rise. The Dow was up 3.7 percent in March and more than 11 percent in the first quarter, while the Nasdaq composite index was up 3.2 percent in March and 8 percent in the quarter.

Cyprus will remain in focus after the government was forced to accept a stringent European Union rescue package to avert default. In a positive sign, there were no runs by depositors on banks after they reopened under tight controls on Thursday.

Macey, who helps manage about $20 billion in assets, compared the market's situation to the card game "Texas Hold 'Em" poker where players start out with cards they can see and don't see additional cards until after rounds of betting.

"Based on the cards we can see now, which are things like economic fundamentals, I think stocks are a fine place to be in the longer term," he said. "However, there are still cards we can't see, like what the resolution will be in Cyprus, that could cause trouble."

Copyright 2013 Thomson Reuters.

Source: http://feeds.nbcnews.com/c/35002/f/653351/s/2a2f160c/l/0L0Snbcnews0N0Cbusiness0Cpullback0Epossible0Eafter0Estocks0Ereach0Emilestone0E1C9133634/story01.htm

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Call 12: Reviews of Neon Run aren't glowing

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Source: http://www.azcentral.com/business/call12foraction/articles/20130329reviews-neon-run-poor-call12.html

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IMF team to arrive in Egypt on Wednesday for loan talks

CAIRO (Reuters) - An International Monetary Fund delegation will arrive in Egypt on Wednesday for talks with the government on a $4.8 billion loan, Egypt's government spokesman Alaa El Hadidi said on Sunday.

More than two years of political upheaval have battered the Egyptian economy, leaving it in dire need of IMF funding to relieve a currency and budget crisis. The country's reserves of foreign currency have fallen to critically low levels, threatening its ability to import essential supplies of fuel and wheat.

President Mohamed Mursi's government initialed a deal with the IMF last November but postponed final ratification in December in the face of unrest triggered by a political row over the extent of his powers.

Hadidi, talking to reporters, gave no details on the new round of talks with the IMF. The IMF said last week a technical delegation would visit Cairo in the "first days of April".

Masood Ahmed, director of the IMF's Middle East and Central Asia department, visited Cairo on March 17, saying the Fund would continue talks aimed at agreeing possible financial aid.

(Writing by Ulf Laessing; Editing by Catherine Evans)

Source: http://news.yahoo.com/imf-team-arrive-egypt-wednesday-loan-talks-103424340--business.html

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X Prize Innovation Partnership Program gets official, lets companies bankroll breakthroughs

X Prize Innovation Partnership Program gets official, lets companies bankroll breakthroughs

X Prize is known for doling out big bucks for tech leaps like Spaceship One and now the foundation is teaming with Singularity University and Deloitte Consulting to try to bring more cash-bearing companies on board. To that end, they created the Innovation Partnership Program (IPP) to get industry together with inventors, scientists and other developers twice a year with the goal of funding new competitions. The first meeting took place last week and included heavyweights like Google, Sprint Nextel and Qualcomm, who tossed around ideas like crowdsourcing, sensor tech and 3D printing. In exchange for their largess -- a seat at the table starts at $250,000 -- businesses get in on the ground floor to breakthrough tech and the fortunes it can bring. IPP cautioned that the four day event "is not a volleyball picnic or a plush retreat," so if you had visions of shirtless CEOs, Top Gun-style, you can breathe a sigh of relief.

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Source: http://www.engadget.com/2013/04/01/x-prize-innovation-partnership-program/

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Stock market bull is feeding on corporate profits

Four years after pushing investors into one of the deepest financial holes in a century, the U.S. stock market is now powering ahead in one of the strongest bull markets in a half century.

So it?s no surprise many investors are wondering how much longer it can last.

Fueled by growing signs that the U.S. economy is finally repairing lingering damage from the Great Recession, stock prices have been making new highs for weeks.

On Thursday, the S&P 500 index closed at its highest level in history, after rising for 11 of the past 13 weeks. The Dow Jones industrial average, which tracks just 30 stocks, broke into record territory March 5 and has been setting new highs since. (Neither index, however, has reached a new high after adjusting for inflation.)

In the last 10 months, stocks have risen nearly 25 percent, as measured by the S&P 500 index. Since August, 2010, the broader Wilshire 5000 index has powered ahead by 50 percent ? a rally that?s created more than $6 trillion in wealth for U.S. households, corporations, pension funds and other institutional investors.

To some investors still shell-shocked from the 2008 financial collapse, it?s beginning to feel like October 2007 ? just before the bottom fell out. Or 2000, when the dot-com bubble popped.

Take a deep breath. Those worries are simply misplaced, according to none other than former Federal Reserve Chairman Alan Greenspan, who coined the now-famous phrase for the telltale sign that a stock market party is getting out of hand.

"'Irrational exuberance' is the last term I'd use to characterize what?s going on at the moment,? the retired central banker recently told CNBC. ?It's got a ways to go as far as I can see.?

To be sure, bull markets inevitably include sharp pullbacks, as some investors take profits or others have second thoughts about the rally's staying power.

But for now, the millions of investors who are pouring billions of dollars into the stock market every week seem to agree with The Maestro. Here?s why:

So what got this party started?
Much like most market recoveries, the initial stage represented a snap back from one of the worst financial collapses since the Great Depression. Markets often act like a rubber band: If they get pulled too far in one direction, they tend to want to snap back to more ?normal? levels. The 2008 crash left stocks at deeply-depressed, bargain prices. But until the recovery was solidly in place, buyers had to be willing to bear the risk that the down cycle hadn't run its course.

In the last six months, the stock market rally has entered a new phase, driven largely by good news about the economy. The housing market has now bounced back sharply from the deepest recession in generations. Rising home prices have helped rebuild much of the multi-trillion dollar loss in household wealth that was obliterated by the collapse of 2008.

To be sure, it?s not all good news. The economy remains sluggish. Europe is struggling through a recession. The unemployment rate ? through steadily declining ? remains painfully high. Not all companies are taking part in the market rally.

Sorry: What makes stock prices go up and down again?
In the short term, supply and demand ? just like a pair of Red Sox tickets on Stubhub. When there are more buyers than sellers, the price goes up. And vice versa.

Over the longer run, demand for a given company?s stock is driven largely by its prospects for becoming more profitable. As any Red Sox season ticket holder knows, there?s a lot more demand for unused Fenway seats when the team is on a roll than when they?re losing.

As profits go up, so do stock prices. But to make money, you?ve got to own the stock before the company announces higher earnings.

That?s why investors are buying now ? based on the belief that the recent improvement in the economy will continue this year and next.

?I don't think it's all that surprising that the stock market would rise, given that there has been increased optimism about the economy,? the current Fed chairman, Ben Bernanke, told reporters earlier this month. ?Profit increases have been substantial. And the relationship between stock prices and earnings is not particularly unusual at this point.?

But didn'tBernanke create this bubble by pumping trillions of dollars cash into the system?
The Fed?s unprecedented, ongoing easy-money policy has certainty had a lot to do with the surge in stock prices.

Ultra-low interest rates have helped two ways. Cheap credit helps boost economic growth; the housing recovery would have taken a lot longer without record low mortgage rates. Ultra-low rates on safer investments like bonds also force investors looking for higher returns by turning to riskier investments like stocks.

It?s a premature to call this rally a bubble. The late-90s Internet craze ?went bubble? when investors began paying Gold Rush prices for companies with no profits whatsoever. They were betting ? based on wildly optimistic forecasts about future growth ? that profits would eventually kick in. But in the end, it turned out that launching the fourth-largest online shopping site targeting left-handed golfers wasn?t a winning business model after all.

Ironically, some of the trends underlying those 1990s forecasts - of a millennial boom in entirely new online products and services ? are now helping boost corporate profits today. In many cases the predictions were right. They were just 20 years too early.

OK.Butif the economy is still weak, where are all these profits coming from?
One big source is workers? wages ? which have been falling, after adjusting for inflation. As business improves, more of that cash is heading straight to the corporate bottom line.

It?s not hard to see why. With unemployment still at 7.7 percent, few workers have leverage to demand a raise. Many companies have also been able to meet increased demand by asking their existing workers to put in more hours and check their email on weekends. Globalization continues to offer opportunities to outsource work to low-wage, overseas markets.

As the job market improves, and companies continue adding more full-time workers, that added profit may begin to slow. Higher health care costs could also take a bite. But for now, much of the revenue from new orders is flowing to the bottom line with little increase in labor costs.

Falling wages are only one of the tailwinds pushing profits ahead. Just as ultra-low interest rates have helped homeowners cut their monthly mortgage payments, companies have gotten a big break on borrowing costs. Those savings have helped boost the bottom lines of the companies in the S&P 500 index by some 4.5 percent, according to financial analyst Stephen Moore.

Moore figures lower corporate taxes ? which have fallen from about 30 percent of overall profits in the 1980s to around 20 percent today ? have added another 1 percent to profits.

We?d add to the list the ongoing savings from lower natural gas and electricity costs thanks to a boom in U.S. energy production.

So how long can all this last?
The only honest answer: No one knows. Including your investment adviser.

The recent recovery from a period of deep, financial malaise, though, is reminiscent of the 1980s emergence from the Great Inflation that destroyed thousands of businesses, trillions of dollars in financial assets and shredded consumer and investor confidence.

Then, for a variety of reasons, the economic storm subsided. In what seemed like a matter of months, it was Morning in America. The resulting stock market rally, which began in August 1982, was one of the longest on record.

To be sure, the over-caffeinated bull briefly passed out when a heart-stopping crash lopped 23 percent off stock prices in a single session on October 19, 1987. Four months later, though, the bull was back on his feet for another 12-year stampede that lifted stocks nearly seven-fold before the tech bubble burst in March 2000.

This bull faces formidable hurdles in the months and years ahead. The ongoing debt crisis in Europe and, worse, the bumbling response of its leaders, could easily spoil the party. So could the inevitable day, probably not until next year, when the Fed starts raising interest rates back to more normal levels. The Washington budget battle over reforming unsustainable federal spending (a problem with no shortage of viable solutions) could also knock the bull off its feet.

And if the gains in corporate profits stall out, investors could quickly lose their appetite for stocks. Until that happens, though, this rally looks like the real thing.

Source: http://feeds.nbcnews.com/c/35002/f/653351/s/2a2ffe78/l/0L0Snbcnews0N0Cbusiness0Ceconomywatch0Cstock0Emarket0Ebull0Efeeding0Ecorporate0Eprofits0E1C9133954/story01.htm

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Evan Ross Katz: 'Real Housewife' Aviva Drescher: 'Care About Kindness'

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If being a "Real Housewife" is all diamonds and ros?, being a replacement "Housewife" is bit more like... jellybeans. Take Peggy Tanous, who joined the cast of the mother ship, The Real Housewives of OC, for its sixth season in 2011. Bringeth the drama she did not, so Peggy was demoted to "Friend of a Housewife" for the following season. Dana Wilkey had a similar fate on The Real Housewives of Beverly Hills when she was brought in as a "friend' during the show's second season, only to see fellow "friend" (but not friend -- let's be clear) Brandi Glanville become the show's second-wind breakaway star.

But no franchise has had more difficulty with that 'ole routine maintenance than The Real Housewives of New York City. When Bethenny Frankel successfully crossed through the mythical reality star ether with her SkinnyGirl Cocktails (sold to Beam Global for an astonishing $120 million in 2011), she opted to depart the show at the conclusion of the third season, leaving behind an undeniable void. For Season 4, Cindy Barshop was brought in to be the sassy, downtown, single mother of twin baby girls, "juggling it all." Viewers let out a collective yawn, and suddenly Bravo was faced with the prospect of making room in the Housewives graveyard (to this date, a lonely plot, occupied solely by The Real Housewives of DC).

And then came the reboot. In September 2011, Bravo announced its amicable parting of ways with Ms. Barshop, Kelly "Honestly, if being inauthentic means graduating from Columbia University, writing three books, starting two magazines, bearing two children, being the ambassador for wool, running a marathon for charity -- if that's inauthentic? Tell me what authentic is" Bensimon, Alex "You Are In High School And I Am In Brooklyn" McCord, and fan-favorite Jill "You are an effing bitch" Zarin". Quietly entered the new class: Heather Thomson (another shapewear designer), Carole Radziwill (Emmy-winning journalist and author), and Aviva Drescher (philanthropist).

Everyone was getting along all fine-ish until Slutty Island (aka St. Barths) when the almighty Ramona "Pinot Grigio" Singer got into it with newbie Aviva. Sparks really flew off the handle when Ramona claimed Aviva's husband Reid was not expected upon the couple's arrival at St. Barth's for their girls trip. Words were had. Aviva infamously called Ramona white trash. Ramona infamously told Aviva to take a XANAX!!!!!!! The fight propelled the remainder of the season's dramatic arc, earning Aviva a coveted seat directly next to Andy Cohen during the reunion (a seat occupied by Bethenny just two seasons earlier).

Aviva quickly earned her place in the 'Housewives' pedigree going tow-to-tow with Ramona, all but assuredly securing a spot on the show's still unconfirmed sixth season. In the off-season, besides raising her four children, Aviva spends a great deal of time promoting various charitable organizations. When we sat down, Aviva was shooting an ad campaign for The ShineOut Musical Festival, a three-day LGBT music festival happening this October in NYC. Aviva, a straight ally, donned a "SO STRAIGHT SO SUPPORTIVE" T-shirt for the campaign.

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After the shoot I sat down with Aviva to talk equality for all and, of course, some Housewives prattle.

Viva Aviva! Talk to me about how you got involved with the ShineOut Music Festival and what it means to you.

Well, I had met the people behind the campaign, Darren Melchiorre and Chris Ryan, and I really believed in it. And for as long as I can remember, I've always been an advocate for differences. I'm an advocate for amputees and physically challenged and I believe that that goes right into celebrating people's differences.

I was listening to you talk to your children earlier, and you said, "We're here today because gay people deserve to happy just like everyone else."

Everyone should feel good about themselves. Whatever it is, own who you are: The good, the bad, the ugly, the different. Nobody's perfect. Gay, in my opinion, is beautiful. Love is beautiful. And we should celebrate it all. My husband and I don't care about who's bonking who. We care about kindness.

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I like that. Now, you and your husband must have had quite a year. How has your life changed since joining the ranks of a 'Real Housewife'?

Well, for starters, a lot of people stare at me.

Did you anticipate that?

I anticipated change, but I really didn't know what was going to happen. I expected worse, actually. Now I have to give myself 10 minutes before I go some place because people want to stop and get a picture or an autograph. But I feel like if you put yourself in a public light, no matter what, you have an obligation to give people that time.

And these people are honest-to-god superfans. They really seem to invest themselves in the well-being of you ladies.

They really do. It's an incredible phenomenon, this piece of pop culture. It's been an exhilarating and life-changing experience because I've been able to get the word out there to amputees and physically challenged and it's also opened up many doors for me. I have a lot of projects going on.

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And then there's the social media.

Oh yeah. The whole social media thing is a complete mind F-U-C-K.

I've been following some of the RHOBH on Twitter recently -- which is new for me -- and the way they attack each other...

Oh, they do? You know, "Housewives" have been called narcissists, and I've thought a lot about that. A friend of mine who works with celebrities, told me she'd never seen anything as narcissists as the entire Housewives franchise. But there's no one else, besides reality stars, who put their lives on camera for everyone to dissect. That makes you a little self-conscious. I think the 'Housewives' that are responding on social media in an off-color way are probably just feeling defensive.

Which makes total sense if you feel like you're being backed into a wall.

I have a whole new respect for actors and real celebrities -- you know, we're just phonies -- because it's not easy. My favorite "Housewife" is always the one who puts herself out on the line for the sake of a good show. Any "Housewife" that drums up the drama has tremendous courage and is really putting themselves second for the franchise. 'Cause you're going to get beaten up no matter how you spin that wheel. Right now I really admire Brandi [Glanville] because I think that she's got guts. It's so much easier to just sit there and be quiet and not get involved in the drama and the minute you get out there -- and she's really radical -- you know you're making a great show. And believe me, she's going to get pummeled.

Do you have a favorite "Housewife"?

I love Lisa Vanderpump. I love Heather Dubrow. I think she's very chic. On my show, I honestly love the whole crew.

Oh, you do? Let's get into that. Do you hang out with them when you're not filming? I think that's the question people always want to know.

We do. As much as time permits. When we're filming we have, like, no life, so when we're not filming, we want to work on our projects, we want to be with our families, we want to get back to regular life. But we do get together. I had dinner with Heather two weeks ago. I'm going to see Carole in the next few weeks.

Is the dynamic different when you hang out off camera?

Well, we're able to break the fourth wall. If we're on camera, we can't talk about being on camera. When we're off camera we can actually talk about the business. In that way, it's a little bit more authentic. You can't get on camera and say, "So what do you think about all these cameras around us all day?" It's a bond that we share. There's only like, 35 "Housewives" in the country. It's an experience that's incomparable.

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Where do things stand with you and Ramona?

We're not speaking. At all.

When the cameras aren't rolling, are things as fiery and confrontational between the two of you?

First of all, a lot of time has passed and time heals all wounds. I will bump into her at an event. So we'll be on the red carpet together here or there and we're totally civilized. We're not uncivilized people. When you're seated at a table with somebody that you're not really fond of, you just don't talk to them. One thing I've noticed about "Housewives" is that there are spies everywhere.

And "Housewives" live to trash tweet.

I'm really a rookie, so when it was airing and Ramona would say things, I would actually get really annoyed. She did some things that were insensitive and I would respond to it on Twitter. And I know realize that that was completely stupid.

It's tough, though, because if you don't weigh in, you might feel misrepresented.

It's that old adage: What do you do when you're attacked, is it eye for an eye or do you turn the other cheek? I have not been hired to turn the other cheek. In life I believe in turning the other cheek, but to create a good show, kinda go with an eye-for-an-eye.

Where do things stand between you and Carole? I felt some unsquashed tension at the reunion. Am I nuts?

Carole definitely did not approve of me calling Ramona white trash. That is something that she felt was inappropriate. And I agree with her. So I think her opportunity to express that was on the couch. But we totally get along fine.

But "Quite frankly you're both white trash," has become among my favorite soundbites from the series. So, inappropriate it or not, it left its mark.

It's a catch-22. You're not hired to do this job to take the high road. I remember on my first day of filming, Ramona and LuAnn were talking and they were having a fight. And I was like, "You know, you guys, there are people in hospitals dying of cancer." And they were like, "Cut!" "Boring!" "That's not good TV." You're hired like a wrestler to get into some muk muk.

And the ones that don't are booted.

Unless you're very clever. I think Lisa Vanderpump really, really -- in part because she has that fabulous accent -- hit the mark at being witty and staying out of the fray. I'm not that good.

And good zingers in the confessional. Taking after Bethenny.

Right.

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Of all of the things that happened during your first season with the show, what was the most batshit crazy thing that happened?

You want one thing?

I'll take several.

I couldn't believe that after I had asked Ramona for permission for my husband to come down to St. Barths on that little plane, that she said anything at all about it. I couldn't believe it.

Did you feel like she was doing that to drum up a fight?

Probably. But I couldn't believe it. That, and when she threw my dad out of a party. I still think that was wrong.

And he's become such a fan favorite.

People really love him. It makes it easier for me, because I'm so embarrassed of him. So when people love him, it makes it easier for me to face the world. A PR company dropped off a bag of make-up for me the other day and they wrote on the card, 'Can't wait for you to use this make up and everybody here loves your dad. Please tell him hello from us.' I need to take a picture of the card and send it to the old, horny geezer.

There's a rumor going around that Jill Zarin might be rejoining the cast.

You know, the cast is always the last to know. You all probably know before us.

Well, can you spill anything about Season 6? It's shrouded in so much mystery at the moment.

I wish I could.

Well... fabulous! I am looking forward to Season 6, if there's a Season 6. I believe there will be a Season 6.

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For more information on The ShineOut Music Festival, click here. Photo credits: Aviva solo shots courtesy of Luxe by Leah; So gay so what picture by Jared Slater; other images courtesy of Bravo

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Follow Evan Ross Katz on Twitter: www.twitter.com/evanrosskatz

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Source: http://www.huffingtonpost.com/evan-ross-katz/real-housewife-aviva-drescher-interview_b_2957770.html

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The Hangover re-imagined as a horror film (video)

In 2009, ?The Hangover? dominated the summer box office on its way to becoming the most profitable ?R? rated comedy ever. But the film, and its sequel, are certainly not without their critics.

Regardless of where you stand, you?ll probably enjoy this hilariously edited movie trailer for the film, which re-imagines The Hangover as a horror movie.

Warning, there are two spots of foul language in the trailer, so don?t this one in front of your kids.

Film student Richard W. Scott edited the footage as part of his college dissertation in order to, in Scott?s words, serve as, ?part of an experimental investigation into the power of post-production techniques on a movie's genre.?

Scott employs several editing techniques that are common in today?s horror films. For examples, the color-coding of the trailer has been saturated into sepia tones, as opposed to the actual film?s bright and welcoming colors. And the music has been replaced with sharp and harsh sound cues which put the viewer on edge.

But the real creativity lies in the way that Scott has pieced the footage together, to make the film appear to be a dark journey into a world where the character of Alan, portrayed by Zach Galifinakis, is actually a murderer on the loose in Las Vegas wreaking havoc upon the lives of his unsuspecting friends and anyone else who stumbles across his path.

As Alan declares at the end of the clip, ?I don?t care what happens. I don?t care if I kill someone.?

And if you want to see more of Scott's work, he has put together another clip for his dissertation, which re-imagines the 2005 film "Batman Begins" as a comedy.

[Via Badass Digest]

Source: http://news.yahoo.com/blogs/sideshow/hangover-imagined-horror-film-video-211904785.html

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