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My Note –

I’ve been meaning to say this – I hate hearing analysts tell me on the tele news shows what their point of view is about the story, issue or event which biases depending on whether they are Republican or Democrat, conservative or liberal, bear or bull, black or white, male or female, business leader or banker or stock trader or lobbyist or politician. It is disgusting to call some of this hoopty shit anything resembling “news”.

If that time were used to actually cover the news of the nation rather than excluding 90% of it and to covering at least the pertinent things happening in the world that will definitely affect us, then it would be the news. It sure would help for it to actually be the news for awhile considering the complex and difficult conditions that are facing this country and the world right now.

Partly because of some really incredibly stupid choices made by people who were positioned to affect massive macro-economic systems, we have an unstable economic foundation that is rippling out across the world and into every arena from politics to world leadership to people’s daily lives. It would be really good to stop having jackasses on either side of the aisle tell us what to think about it based on some implied set of lies while calling it the news.

The Republicans have forgotten that being a Republican or a conservative is not their personal identity. We all made a choice about that association to our identity because we believed that they would apply the principles, ideas and ideologies based on those principles in a way that would result in specifics which matched those principles. When that turned out not to be the case, we sought a fellow citizen who would do that job and those legislators who are also our fellow citizens that are willing to honor those principles of our founding fathers.

The “Can’t claim ’em, if you don’t enact ’em” and get it to work so that the end result matches those basic principles, applies to both Parties. And, the sooner all these differing “points of view”, positions, parties and participants realize that we are all on the same team, the sooner we can get some stuff done without so much cussin’ and fussin’ that wastes much of the time, efforts and resources which could be placing our nation on a stable, strong foundation.

Yeah, I’d say – Houston, we’ve got a problem . . . Our nation is up shit creek and everybody’s too busy arguing about which way to paddle and how to go about using the boat to realize they’re going in circles.

*cricketdiane, – my notes

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gdp109f.pdf

GROSS DOMESTIC PRODUCT: FIRST QUARTER 2009 (FINAL)


CORPORATE PROFITS: FIRST QUARTER 2009 (REVISED)

[from – ]

Bureau of Economic Analysis – Department of Commerce

Released June 25, 2009

“Real gross domestic product — the output of goods and services produced by labor and property located in the United States — decreased at an annual rate of 5.5 percent in the first quarter of 2009, (that is, from the fourth quarter to the first quarter), according to final estimates released by the Bureau of Economic Analysis. In the fourth quarter, real GDP decreased 6.3 percent.”

http://www.bea.gov/newsreleases/national/gdp/2009/pdf/gdp109f.pdf

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Gross domestic purchases
Real gross domestic purchases — purchases by U.S. residents of goods and services wherever produced — decreased 7.5 percent in the first quarter, compared with a decrease of 5.9 percent in the fourth.

Gross national product
Real gross national product — the goods and services produced by the labor and property supplied by U.S. residents — decreased 5.6 percent in the first quarter, the same as in the fourth. GNP includes, and GDP excludes, net receipts of income from the rest of the world, which decreased $5.8 billion in the first quarter after increasing $21.3 billion in the fourth; in the first quarter, receipts decreased $107.9 billion, and payments decreased $102.0 billion.

Current-dollar GDP
Current-dollar GDP — the market value of the nation’s output of goods and services — decreased 2.9 percent, or $103.1 billion, in the first quarter to a level of $14,097.2 billion. In the fourth quarter, current-dollar GDP decreased 5.8 percent, or $212.5 billion.
http://www.bea.gov/newsreleases/national/gdp/2009/pdf/gdp109f.pdf
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Corporate Profits
Profits from current production (corporate profits with inventory valuation and capital consumption adjustments) increased $48.1 billion in the first quarter, in contrast to a decrease of $250.3 billion in the fourth quarter.

Current-production cash flow (net cash flow with inventory valuation and
capital consumption adjustments) — the internal funds available to corporations for investment — increased $60.4 billion in the first quarter, in contrast to a decrease of $97.0 billion in the fourth.
Taxes on corporate income increased $34.4 billion in the first quarter, in contrast to a decrease of $130.3 billion in the fourth.

Profits after tax with inventory valuation and capital consumption adjustments increased $13.8 billion in the first quarter, in contrast to a decrease of $120.1 billion in the fourth.

Dividends decreased $42.0 billion compared with a decrease of $32.8 billion; current-production undistributed profits increased $55.8 billion, in contrast to a decrease of $87.4 billion.
Domestic profits of financial corporations increased $113.7 billion in the first quarter, in contrast to a decrease of $178.7 billion in the fourth.

Domestic profits of nonfinancial corporations decreased $49.0 billion in the first quarter, compared with a decrease of $89.1 billion in the fourth.

In the first quarter, real gross value added of nonfinancial corporate business decreased, and profits per unit of real value added decreased.

The decrease in unit profits reflected increases in unit prices that were more than offset by increases in both unit labor and nonlabor costs that corporations incurred.


The rest-of-the-world component of profits decreased $16.6 billion in the first quarter, in contrast to an increase of $17.5 billion in the fourth.

This measure is calculated as (1) receipts by U.S. residents of earnings from their foreign affiliates plus dividends received by U.S. residents from unaffiliated foreign corporations minus (2) payments by U.S. affiliates of earnings to their foreign parents plus dividends paid by U.S. corporations to unaffiliated foreign residents. The first-quarter decrease was accounted for by a larger decrease in receipts than in payments.

[ . . . ]

Profits before tax increased $157.2 billion in the first quarter, in contrast to a decrease of $499.2 billion in the fourth. The before-tax measure of profits does not reflect, as does profits from current production, the capital consumption and inventory valuation adjustments.

(pp.4)

http://www.bea.gov/newsreleases/national/gdp/2009/pdf/gdp109f.pdf

http://www.bea.gov/newsreleases/national/gdp/2009/gdp109f.htm

(also)

“Within manufacturing, the largest decrease was in petroleum and coal products.”

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Financial Stability Board holds inaugural meeting in Basel
www.chinaview.cn 2009-06-28 10:13:55 Print

BASEL, Switzerland, June 27 (Xinhua) — The Financial Stability Board (FSB), created by the Group of 20 in its London summit in April, held its inaugural meeting here on Saturday.

The FSB is re-established by the G20 as an enlarged version of the Financial Stability Forum, an advisory group established in 1999 to promote international financial stability through better information exchange and international cooperation.

According to its press release, the FSB’s mandate is to assess vulnerabilities affecting the financial system; identify and oversee action needed to address them; promote coordination and information exchange among authorities responsible for financial stability; undertake joint strategic reviews of the policy development work of the international standards setting bodies; set guidelines for and support the establishment of supervisory colleges; and manage contingency planning for cross-border crisis management.

To fulfill this mandate, the FSB established the FSB Plenary, a Steering Committee, and three Standing Committees – for Vulnerabilities Assessment, Supervisory and Regulatory Cooperation and Standards Implementation.

At the press conference after the inaugural meeting, the FSB chairman and Governor of the Bank of Italy Mario Draghi said “We are more or less back at what we were before Lehman, but we are not back to before the crisis.”

He referred to the collapse of U.S. banking giant Lehman Brothers last September.

“An improvement yes, out of the woods, not yet,” he noted.

The FSB member institutions include the central banks, the finance ministries and supervision institution of more than 20 countries. The China’s Finance Ministry, the People’s Bank of China, China Banking Regulatory Commission and Hong Kong SAR Monetary Authority are all members of the FSB.

Special Report: Global Financial Crisis

http://news.xinhuanet.com/english/2009-06/28/content_11613689.htm

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FSB’s Draghi Sees ‘Convincing’ Signs of Improvement in Economy

BloombergKlaus Wille‎10 hours ago‎
The Basel-based board was inaugurated yesterday to succeed the Financial Stability Forum. According to its members — representatives of the major economies

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China Seeks New Global Reserve Currency

BEIJING — China’s central bank reiterated its call for the creation of a new international currency that could replace currencies like the dollar in countries’ official reserves.

In its annual report on financial stability, issued Friday, the People’s Bank of China said the country will push reform of the international currency system to make it more diversified and reasonable. While it didn’t specifically target the U.S. currency, it said it aims to reduce over-reliance on the current reserve currencies, of which the dollar is the biggest.

“To avoid the shortcomings of sovereign credit currencies acting as reserve currencies, we need to create an… international reserve currency that can maintain the long-term stability of its value,” the PBOC said.

The report, a lengthy document that addressed a broad range of issues, reiterated a proposal made by PBOC Governor Zhou Xiaochuan in March to use Special Drawing Rights, the synthetic currency developed by the IMF, as a super-sovereign reserve currency. That proposal, made just before the G20 summit in London earlier this year, appeared in an essay authored by Mr. Zhou and posted on the PBOC’s Web site.

http://online.wsj.com/article/SB124616719675965215.html

***
My Note –
Okay, so I noticed on Bloomberg that there was a mention of the Financial Stability Board meeting in Basel on the 11 p.m. news headlines. The China news sources offer more about it than I could easily find in American news, but the decisions made there will affect everything and every one of us. I just don’t get why they think that ignoring it will make it go away and not count.
Or, do the news organizations really think none of us are interested in these things. And, it was like this before recent deaths of stars that have included Michael Jackson, Farrah Fawcett and Ed McMahon. In fact, I was shocked by the coverage of Davos and the G20, that has typically been a little mention or not at all in years past. One step at a time when it all needs doing at once, but that is better than the “not at all” coverage we were given before this year . . .
– cricketdiane
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