June 25, 2007

Economics

Your tax dollars at work:

protectionism (Free trade is a major positive for world and US economic growth.)

http://www.washingtonpost.com/wp-dyn/content/article/2007/06/21/AR2007062101866_pf.html

a rising tax and regulatory burden (Government has never proven that it could solve economic problems efficiently or satisfactorily.)

http://www.washingtonpost.com/wp-dyn/content/article/2007/06/21/AR2007062101026.html?hpid%3Dtopnews&sub=AR

But it is not all bad news:

fiscal profligacy (Government spending as a percent of GDP is too high and the looming explosion in entitlement expenditures will make it worse. There is no good solution save spending discipline.).

http://www.clubforgrowth.org/2007/06/house_gop_delivers_veto_pledge.php

Sort of (3 votes in the House last week on reducing spending):

http://www.clubforgrowth.org/2007/06/good_proposals_bad_outcomes.php

Politics

Domestic

International War Against Radical Islam

If your local news source hasn’t mentioned Arrowhead Ripper, you should read this:

http://www.ibdeditorials.com/IBDArticles.aspx?id=267405225211303

The Market

Technical

Fundamental

News on Stocks in Our Portfolios

Medtronic (Aggressive Growth Portfolio) is raising its quarterly dividend from $.11 to $.125 and announced the buy back of an additional 50 million shares of stock.

EPS: 2006 $2.41, 2007 $2.70, 2008 $3.05; DVD: $.47, YLD .09%

http://finance.yahoo.com/q?s=MDT

A positive write up on Factset Research (Aggressive Growth Portfolio):

http://www.zacks.com/rank/zcommentary/?id=5287

Eli Lilly (Dividend Growth Portfolio) reported positive results in trials for its diabetes drug:

http://www.thestreet.com/_htmlbtb/newsanalysis/pharmaceuticals/10364501.html

Walgreen (Aggressive Growth Portfolio) reported third fiscal quarter earnings per share of $.56 versus estimates of $.54 and $.46 recorded in the comparable period in 2006.

EPS: 2006 $1.72, 2007 $2.05, 2008 $2.35; DVD: $.31, YLD .07%

http://finance.yahoo.com/q?s=WAG

Market Analysis

More Cash in Investors’ Hands

Nucor is buying Magnatrax for $280 million in cash.