U.S. Manufacturing Stats

An article this morning titled ‘U.S. Manufacturing: More Output, Fewer Workers‘ – reading time 2 minutes – includes two charts ‘Real Manufacturing Output Per U.S. Worker from 1970 to 2009′ and ‘Manufacturing Output, Top 8 Countries (Includes Mining and Utilities) from 1970 to 2009′.  I suggest you take the time to review them.

The first chart emphasizes, or so I think, what I have said several times in these e-mails.  I see technological change as replacing manufacturing jobs in part, and that I think this means that U.S. (and other developed country) manufacturing jobs will not come back in a meaningful way for two reasons: (1) developed country wages rates are not, and are very unlikely to become, competitive with wage rates in the developing economies, and (2) technological change results in manufacturing job replacement in the developed countries.  Something to think seriously about in the context of developed country economic recovery and Federal Government deficits.  I commented on this article as follows:

Mark: Thanks for the charts. I have been saying for some time in e-mails I send each trading day to Subscribers of www.StockResearchPorta… (a resource research website) that in order to understand that technological change is a partial substitute for employment, it is necessary to co-relate manufacturing output per worker with overall manufacturing output. To me this means (as I am sure it does to you) that increased manufacturing output in the U.S. is not a panacea for meaningful long term U.S. job growth.

I find your first chart particularly interesting, as it suggests that U.S. manufacturing output per worker increased by almost the same amount in the last 10 years as it did in the previous 30 years. This is clearly related to technology change issues. I think U.S. politicians who are not aware of this ought to take a very hard look at these statistics.

Good work in highlighting in two charts a fundamental U.S. (and other developed countries) employment issue.

Standard of Living

I recommend you take the time to read ‘Global Economy? 23 Facts Which Prove That Globalism Is Pushing The Standard Of Living Of The Middle Class Down To Third World Levels‘ – reading and thinking time 5 minutes.  If you read my e-mails regularly you will find a thread of commonality here.  I believe the standard of living on Main Street America and many of the other developed (read Eurozone) countries is continuously deteriorating, and will continue to do so.  I also believe this is a potentially bigger and bigger societal problem.  Once past the article’s emphasis on U.S. Net Trade Deficits, some of the statistics quoted that I found particularly interesting include (1) that lower wage industries are said to have accounted for 23% of U.S. job losses in the past 12 months, but 49% of U.S. job growth, (2) in the past 10 years Ohio, North Carolina, and Michigan lsot 38%, 42%, and 48% of their manufacturing jobs respectively, (3) in 2010 the U.S. is said to have had a trade deficit in automobiles, trucks, and parts of U.S.$110 billion, (4) the U.S. is said to have 10% less ‘middle class’ jobs than it did 10 years ago, (5) over 50% of American workers are said to earn less than U.S.$505 per week (or just over U.S.$25,000 per year), etc. etc.  I commented on this article as follows:

Excellent article. Emphasis on U.S. Net Trade Deficits in my view is the correct emphasis to quickly see the deterioration in the U.S. economy measured against the economies of its principal trading partners. I have written about the importance of U.S. Net Trade Deficits for at least three years now – see for example http://goo.gl/nsMSz and http://goo.gl/JBDB7.

Continued good work in presenting complex things in ways that are easy to understand.

Marc Faber

Finally this morning, here is a video – viewing an listening time 6 minutes – titled ‘Marc Faber Spells it ALL OUT in 6 minutes!!!‘.  If you want to view a much longer (38 minute) interview with Faber titled ‘Marc Faber: The Crack Up Boom Will Tank The Economy’ you can do that here.  Basically, Faber believes time is running out on debt-ridden economies. While you may not agree with everything Faber says, I suggest you listen to these two videos (particularly the longer one), and reflect carefully on his views.

Additions to Stock Research Portal’s Company Universe

Today we added the following Companies to our Company Universe:

AKA Ventures Inc. (TSXV:AKA).  We currently categorize AKA Ventures Inc. as base metals (also gold and lithium) explorer operating principally in Canada (Quebec) and the United States (Nevada).  AKA Ventures Inc.’s current market capitalization is approximately Cdn$9 million.  Review research data on AKA Ventures Inc.

Golden Predator Mines Inc. (TSX:EMC).  We currently categorize Golden Predator Mines Inc. as a gold explorer operating principally in Canada (Yukon).  Golden Predator Mines Inc.’s current market capitalization is approximately Cdn$35 million.  Review research data on Golden Predator Mines Inc.

Rockbridge Resources Inc. (TSXV:RBE).  We currently categorize Rockbridge Resources Inc. as a rare earth elements explorer (also gold and oil & gas) operating principally in Canada (Alberta, British Columbia, Newfoundland and Labrador, Yukon).  Rockbridge Resources Inc.’s current market capitalization is approximately Cdn$6 million.  Review research data on Rockbridge Resources Inc.

Press Release Highlights

The following table summarizes the companies in Stock Research Portal’s Company Universe who last Friday issued Press Releases and whose shares increased in price from the previous day’s close by more than Cdn$0.05, more than 10%, and whose share volumes last Friday exceeded their trailing 3 month average trading volume.  You can research each of these companies by clicking on the company name in the table.

* Yesterday’s data, or latest trading day’s data, as applicable

Insider Trade Highlights

The following table summarizes the companies in Stock Research Portal’s Company Universe for who our system last Friday reported insiders who filed reports indicating they had acquired shares through ‘purchase’ transactions.  You can research each of these companies by clicking on the company name in the table.

Visit Stock Research Portal for free stock market data, analysis, and research on over 1,600 Mining and Oil & Gas Companies listed on the Toronto and Venture Exchanges. See our Legal Disclaimer.

Possibly Related Posts:

• A New Greece?
• Bernanke – February 2, 2012 – U.S. Presidential Election!
• U.S. January Jobs Report!
• More On Greece!
• Christine Lagarde – Listen Between the Lines!

World Oil Supply

An article this morning titled ‘World Oil Supplies as Reported in EIA’s most recent International Energy Statistics‘ – reading time 8 minutes – sets out in 11 charts data I think ought to be reviewed and carefully considered by anyone investing in the equity markets. Based on January, 2011 reported numbers, one of the charts (dealing with OECD – Consumption of Petroleum Products) dates from 1990, while the other ten charts date from either 2000 or 2001.  The article concludes that “world economies are still growing, putting more pressure on oil prices”, and that by the end of 2011 OPEC spare supply margin may be depleted.  The article does not comment on or factor in the current ongoing political upheaval in Lybia in particular, or the North Africa and Middle East oil producing countries in general.  Notwithstanding, I recommend you take the time to read and think carefully about the data set out in this article if you invest directly or indirectly in the equity markets.

U.S. Real Estate Follow-up

As a follow-up to yesterday’s e-mail where I included an article written by Reggie Middleton (BoomBustBlog), Middleton has now written a second article titled ‘Further Proof Of The Worsening Of The Real Estate Depression‘ – reading time 5 minutes.

Yesterday, data was released that reported January U.S. new home sales at 284,000, about 14% below the forecast of 330,000.  Among other things, Middleton’s second article picks up on that, talks about the importance of new residential construction to the health of the U.S. economy, and I think importantly points out that the U.S. housing market is deteriorating in a very low interest rate environment.  As I said yesterday, I believe this residential real estate price deterioration is important in the near term from the perspectives of U.S. consumer confidence, retail spending, and GDP.  In the longer term it has to be detrimental to the standard of living of Main Street Americans as the U.S. population ages.  I believe, based on many conversations with my American friends, that for decades the broad perception of Americans has been that their houses are an important ‘investment’ which will always escalate in price due to location issues, supply/demand issues, and general inflation.  The current, and I think likely prospective, U.S. residential real estate market must constitute a very ‘rude awakening’ for a great number of decent, hard working Americans.  I suggest you read and think about Mr. Middleton’s latest article.

Additions to Stock Research Portal’s Company Universe

Today we added the following Companies to our Company Universe:

Artek Exploration Ltd. (TSXV:RTK).  We currently categorize Artek Exploration Ltd. as an oil & gas explorer and producer operating principally in Canada (Alberta, British Columbia).  Artek Exploration Ltd.’s current market capitalization is approximately Cdn$85 million.  Review research data on Artek Exploration Ltd.

Nevado Resources Corporation (TSXV:VDO).  We currently categorize Nevado Resources Corporation as a gold explorer (copper, iron, titanium) operating principally in Oceania (Australia).  Nevado Resources Corporation’s current market capitalization is approximately Cdn$20 million.  Review research data on Nevado Resources Corporation.

Talison Lithium Limited (TSX:TLH).  We currently categorize Talison Lithium Limited as a lithium producer operating principally in Canada (Alberta, British Columbia).  Talison Lithium Limited’s current market capitalization is approximately Cdn$595 million.  Review research data on Talison Lithium Limited.

Press Release Highlights

The following table summarizes the companies in Stock Research Portal’s Company Universe who yesterday issued Press Releases and whose shares increased in price from the previous day’s close by more than Cdn$0.05, more than 10%, and whose share volumes yesterday exceeded their trailing 3 month average trading volume.  You can research each of these companies by clicking on the company name in the table.

* Yesterday’s data, or latest trading day’s data, as applicable

Insider Trade Highlights

The following table summarizes the companies in Stock Research Portal’s Company Universe for who our system yesterday reported insiders who filed reports indicating they had acquired shares through ‘purchase’ transactions.  You can research each of these companies by clicking on the company name in the table.

Visit Stock Research Portal for free stock market data, analysis, and research on over 1,600 Mining and Oil & Gas Companies listed on the Toronto and Venture Exchanges. See our Legal Disclaimer.

Possibly Related Posts:

• Keystone XL Pipeline?
• And So It Goes – New Arms Race?
• Strategic Petroleum Reserves
• OPEC Stalemate
• Country Risk – A Very Big Deal!

Oil Prices

I recommend you read an article today titled ‘Libya, oil prices, and the economic outlook‘ – reading time 4 minutes.  The article lists six events dating back to 1956 that caused significant oil supply disruptions, what is claimed to be the lost % output resulting from each, and the increases in production elsewhere in the world in some cases that compensated for that lost output.  The article goes on to discuss Libyan oil output, how that might affect gasoline prices in America, and – I think importantly – how that might affect U.S. consumer retail spending, and hence U.S. GDP.  There are, of course, many unstated underlying assumptions (e.g. that the U.S. consumer will not cut back of gasoline consumption) in the author’s analysis.  That said, the author concludes that from his perspective Libya in and of itself will not cause enough oil output disruption to have a material affect on continued U.S. economic recovery – but that the real concern is whether the political changes we have seen in Egypt, Tunisia, and now Libya will be replicated in other oil producing countries that may have a larger impact on economic recovery in the U.S. and elsewhere.

From my perspective this article is simply providing evidence of how fragile the U.S. economy, and the world economy, is at this point in time.  I also continue to question what I see as the ongoing dichotomy between non-resource equity prices and the equity markets given that fragility.  If you rely on an investment professional (an Investment Advisor or Personal Planner for example) I suggest you spend some serious time questioning him or her on their detailed and specific current views of the world economy.  If they answer with non-specific statements such as ‘diversification in a balanced portfolio of securities will work in the long term’, I further suggest you go to bed tonight with an unsettling ‘buyer beware feeling‘.  On the other hand, if your investment professional has (as you perceive things) well thought out opinions on world economic events, and reflects those things in the management of your investment portfolio, you ought to sleep more soundly than you otherwise might.

Eggs & Baskets

I suggest you read an article titled ‘Why I Put Almost All My Eggs Into Precious Metals‘ – reading time 3 minutes.  The author advocates protecting one’s wealth in these turbulent political and economic times by focusing one’s investments in precious metals, energy and agriculture related assets.  In support of this, he makes a number of comments I find interesting including that he thinks:

·           the ‘system’ may “implode, explode or go off on some tangent such as deflation or hyperinflation” and that if it does, that probably will result from a “sudden factor” that triggers other factors;

·           any such event or series of events “will definitely cause currency gyrations and imbalances which will cause public opinion and confidence to shrink dramatically; and,

·           nothing on the economic or political horizon is suggesting that any country – anywhere – is changing course, and there is little evidence of any serious and realistic policy initiatives in circumstances where both are “grim and getting worse”.

With respect to the third point, clearly the author must be focused on the developed countries when he makes the ‘not changing course’ comment, as it is clear that this occurring as I write this in Egypt, Libya, and Tunisia.  With respect to the first point, the words ‘implode’ and ‘explode’ describe one or more immediate and extreme reactions.  Indeed, extreme events may occur, but even if world macro-economic conditions don’t suffer from one or more such things I think the author’s views are worth reading and thinking hard about, as economic ‘death by a thousand cuts’ (which to some degree I see occurring currently) eventually leads to similar consequences as would one or more extreme events.

U.S. Real Estate Depression?

Another ‘Reggie Middleton‘ article I think worth reading (again published this morning) is titled ‘In Case You Didn’t Get The Memo, The US Is In a Real Estate Depression That Is About To Get Much Worse‘ – reading time 4 minutes. If Middleton is right in his views, and I have found he often is, I think U.S. Consumer sentiment and spending both have to drop from where they are now.

Additions to Stock Research Portal’s Company Universe

Today we added the following Companies to our Company Universe:

Canadian International Minerals Inc. (TSXV:CIN).  We currently categorize Canadian International Minerals Inc. as rare earths elements explorer (also copper and gold) operating principally in Canada (British Columbia, Manitoba, Ontario).  Canadian International Minerals Inc.’s current market capitalization is approximately Cdn$12 million.  Review research data on Canadian International Minerals Inc.

Mineral Mountain Resources Ltd. (TSXV:MMV).  We currently categorize Mineral Mountain Resources Ltd. as a gold explorer (lead, silver, zinc) operating principally in Canada (British Columbia).  Mineral Mountain Resources Ltd.’s current market capitalization is approximately Cdn$28 million.  Review research data on Mineral Mountain Resources Ltd.

Storm Resources Ltd. (TSXV:SRX).  We currently categorize Storm Resources Ltd. as an oil & gas explorer and producer operating principally in Canada (Alberta, British Columbia).  Storm Resources Ltd.’s current market capitalization is approximately Cdn$110 million.  Review research data on

Storm Resources Ltd.

Press Release Highlights

The following table summarizes the companies in Stock Research Portal’s Company Universe who yesterday issued Press Releases and whose shares increased in price from the previous day’s close by more than Cdn$0.05, more than 10%, and whose share volumes yesterday exceeded their trailing 3 month average trading volume.  You can research each of these companies by clicking on the company name in the table.

Insider Trade Highlights

The following table summarizes the companies in Stock Research Portal’s Company Universe for who our system yesterday reported insiders who filed reports indicating they had acquired shares through ‘purchase’ transactions.  You can research each of these companies by clicking on the company name in the table.

Visit Stock Research Portal for free stock market data, analysis, and research on over 1,600 Mining and Oil & Gas Companies listed on the Toronto and Venture Exchanges. See our Legal Disclaimer.

Possibly Related Posts:

• Keystone XL Pipeline?
• And So It Goes – New Arms Race?
• Interview: Bradford Cooke – Endeavour Silver Corp. (TSX:EDR, NYSE:EXK) – Part 1
• Interview: Randy Smallwood – Silver Wheaton Corp. Part 4
• Interview: Randy Smallwood – Silver Wheaton Corp. Part 3

World Oil Markets?

A recent article – reading time 3 minutes – titled ‘Geopolitical unrest and world oil markets‘ shows a map of North Africa and the Middle East.  The article summarizes events to the end of January that the author presents as a ‘timeline’ of developments in the Arab world, shows oil production from the countries he mentions, and concludes that within the ‘next’ decade (I assume he means between 2011 – 2020) it is reasonable to expect we will have (I assume he means ‘at least’ one) “an observation” (I read ‘an event’) that will assist our understanding of oil shocks.  I suspect the author is being conservative, and I suspect it won’t take the full decade to find this out – and I suspect there may be more than one oil shock between now and 2020.

I suggest you read this article, and consider scanning the many comments that have been added to it.

U.S. House Price Declines

A very short Wall Street Journal article titled ‘WSJ: Home Price Declines Accelerate‘ – reading time 2 minutes.  The article sets out in 8 charts the recent quarterly house price changes for 8 U.S. cities (Jacksonville (Florida), Minneapolis-St. Paul, Nashville, New York, Philadelphia, Portland (Oregon), Seattle, and Washington D.C. under a heading ‘Bad Picture Gets Worse’.  It is statistics of this sort, if they are to be believed, that send up ‘big red flags’ for me when I read about U.S. economic recovery, recovering U.S. retail sales, a prospective reduction of ongoing U.S. government (at Federal, State and Municipal levels) deficits.

Global Unemployment

An article written in mid-January titled ‘Global Unemployment Rates‘ – reading time 2 minutes – summarizes in one chart the stated unemployment rates of 36 countries.  Spain is shown as having the highest unemployment rate of the countries mentioned (20.6%).  Thailand the lowest at 0.9%.  The United States and Canada are respectively #11 and #16 with stated unemployment rates of 9.4% and 7.6% respectively.  The U.S. ‘official’ unemployment rate was reduced to 9.0% on February 4, largely on the basis that less people were looking for work, and hence were not counted in the ‘unemployment’ statistic.  I say ‘go figure’ to that.

Additions to Stock Research Portal’s Company Universe

Today we added the following Companies to our Company Universe:

GoGold Resources Inc. (TSXV:GGD).  We currently categorize GoGold Resources Inc. as a gold explorer (copper) operating principally in Canada (Newfoundland and Labrador).  GoGold Resources Inc.’s current market capitalization is approximately Cdn$32 million.  Review research data on GoGold Resources Inc.

Triausmin Limited (TSX:TOR).  We currently categorize Triausmin Limited as a base metals explorer (copper, gold, lead, silver, zinc) operating principally in Oceania (Australia).  Triausmin Limited’s current market capitalization is approximately Cdn$32 million.  Review research data on Triausmin Limited.

Tuscany International Drilling Inc. (TSX:TID).  We currently categorize Tuscany International Drilling Inc. as an oil & gas services company operating principally in the South America (Brazil, Colombia, Equador, Peru) and Canada (Alberta).  Tuscany International Drilling Inc.’s current market capitalization is approximately Cdn$331 million.  Review research data on Tuscany International Drilling Inc.

Press Release Highlights

The following table summarizes the companies in Stock Research Portal’s Company Universe who yesterday issued Press Releases and whose shares increased in price from the previous day’s close by more than Cdn$0.05, more than 10%, and whose share volumes yesterday exceeded their trailing 3 month average trading volume.  You can research each of these companies by clicking on the company name in the table.

Insider Trade Highlights

The following table summarizes the companies in Stock Research Portal’s Company Universe for who our system yesterday reported insiders who filed reports indicating they had acquired shares through ‘purchase’ transactions.  You can research each of these companies by clicking on the company name in the table.

Visit Stock Research Portal for free stock market data, analysis, and research on over 1,600 Mining and Oil & Gas Companies listed on the Toronto and Venture Exchanges. See our Legal Disclaimer.

Possibly Related Posts:

• A New Greece?
• Bernanke – February 2, 2012 – U.S. Presidential Election!
• U.S. January Jobs Report!
• More On Greece!
• Christine Lagarde – Listen Between the Lines!