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(RTTNews) - Producer prices in the U.S. unexpectedly decreased in the month of September, according to a report released by the Labor Department on Tuesday. The Labor Department said nearly half of the September decline in prices for final demand services can be traced to the index for machinery and vehicle wholesaling, which plummeted by 2.7 percent. On Thursday, the Labor Department is scheduled to release a separate report on consumer price inflation in the month of September.

Gross margin rising In recent years, the profitability of Costco's core business has been under pressure, particularly due to inflation in food prices. Several times in the past three years, Costco has highlighted how it has kept the price for its large rotisserie chickens at $4.99 despite rising costs, to encourage customer loyalty. Last week, Costco reported that earnings per share declined year over year in its recently ended fiscal first quarter.

Easing in China is expected to continue through 2012, with ISI Group anticipating a potential RRR cut after Chinese New Year celebrations in February, then possibly again in April, June and August. China's government angled its vessel away from inflation by increasing the required reserve ratio ( RRR ) every month for the first six months of 2011 and raising interest rates three times. At the Cambridge House's Vancouver Resource Investment Conference this week, I am part of a special debate on whether China will boom or bust with bestselling author Gordon G. Chang.

Still, like every other firm in the industry, PXD is taking steps to clean up its act and improve efficiency. Nonetheless, the play with PXD is a long-term one. While the company's value then is in the ground, and it does cost money to get those resources out of the ground, in a deflationary well cost environment, that kind of long-term production pipeline actually gets more valuable over time, especially if costs deflate at a faster rate than the discount rate on PXD's capital.

Central Garden & Pet CompanyCENT commenced fiscal 2019 on a soft note, with both the top and bottom line missing the Zacks Consensus Estimate when the company reported its first-quarter results. Central Garden & Pet highlighted that the second half of fiscal 2019 is likely to benefit from the alleviation of inflationary pressures, higher prices, favorable sales mix and cost savings initiatives. Per management, the company's recent acquisitions of General Pet Supply and Bell Nursery aided sales growth but negatively impacted margins and profitability.

S&P 500 Index July 26 to Date Total Return (White) Against REITS (Orange) Utilities (Yellow) US Bonds (Red) and Franco-Nevada (FNV) (Green) Source Bloomberg REITs continue to fare well because of their solid, real assets which generate dependable revenue flows which in turn fuels ample dividend income. For the general REIT market — the easy-peasy way to gain crisis protection can by found in the Vanguard Real Estate ETF (NYSEARCA:). Core PCE Source Bloomberg U.S. bonds continue to perform well with the lower inflation and improving supply-and-demand conditions noted above.

Horton ( DHI ). We saw shares of online travel play Expedia ( EXPE ) spiking higher on blowout earnings results . If we follow the path of Japan, and the deflationary effect they've seen for the last couple of decades, then those investors at 1.875% will actually look like geniuses!

In equities, Caterpillar ( CAT ) fell 4.28% after Q3 sales and earnings declined and missed estimates. After rallying on a slew corporate earnings and on hopes that the U.S. Federal Reserve will maintain its asset purchasing program in the wake of a disappointing jobs market report, stocks were poised to retreat Wednesday after China's central bank suggested it might tighten the cash flow to stem inflation risks. Especially for many metals, China has been the world's largest consumer and reduced spending could have ripple effects across the globe.

Douglas Dynamics, Inc. (PLOW): Auto Parts Industry. Contributing factors to despair and pessimism facing consumers include fears of inflation, loss of confidence in the government's ability to fix the economic slump, unemployment, concerns over the global economy and market volatility following the downgrade. This figure is something to cheer over: Consumer spending represents 70% of the nations GDD, thus any increases spells good news for a staggering economy.

Before selling two goldstocks this week [New Gold ( NGD ) and NovaGold Resources ( NG )], gold miners represented just 3.2% of my portfolio assets. A key gauge of wholesale prices registered a sharp drop on Friday, quashing expectations thatinflation was gaining steam (rising inflation boosts demand for hard assets like gold). The cash-strapped country of Cyprus is being asked to sell $525 million worth of gold bullion to pay downdebts , and concerns are growing that other weak European nations might also have to dump their holdings to raisefunds or satisfybailout requirements.

TIPS Index (NYSEArca: STPZ ) SPDR Gold Shares (NYSEArca: GLD ) United States Oil Fund (NYSEArca: USO ) PowerShares DB Agriculture (NYSEArca: DBA ) For more stories about inflation, visit our inflation category . As recently as three months ago, investors were buzzing about inflation as a result of massive stimulus packages worldwide. Kurt Brouwer at MarketWatch notes that in PIMCO's Secular Outlook report, deflationary forces right now are strong and inflation lies farther down the road.

Better ranked stocks include B&G Foods, Inc. BGS and McCormick & Company, Incorporated MKC both carrying a Zacks Rank #2 (Buy). Click to get this free report B&G Foods, Inc. (BGS): Free Stock Analysis Report McCormick & Company, Incorporated (MKC): Free Stock Analysis Report Kroger Company (The) (KR): Free Stock Analysis Report Whole Foods Market, Inc. (WFM): Free Stock Analysis Report To read this article on Zacks.com click here. Stiff competition, food price deflation, an aggressive promotional environment and waning store traffic are the primary headwinds plaguing the provider of daily need items.

The Materials Select Sector SPDR (XLB) went up 1.2%. For a look at the issues currently facing the markets, make sure to read today's Ahead of Wall Street article The Dow Jones Industrial Average (DJI) gained 0.5% to close at 17,810.06. ECB President Mario Draghi said the apex bank is ready to "step up the pressure" and expand its asset-purchasing program provided inflation fails to return to its desired level.

The encouraging new home sales data helped the SPDR S&P Homebuilders (XHB) to gain 0.6% on Wednesday. For a look at the issues currently facing the markets, make sure to read today's Ahead of Wall Street article The Dow Jones Industrial Average (DJI) rose 0.9%, or 154.19 points, to close at 17,210.06. In an interview, Draghi said: "Monetary policy will remain accommodating for a long time and I can tell you that the (ECB) Governing Council is unanimous in committing itself to using the tools at its disposal to bring inflation back to just under two percent."

McCormick & Company ( MKC ) at $72, discounting a 9% growth rate the same as the sell side average, while only being 9% undervalued if the present 30-year long bond is used. The result was that the net present valuations of the stocks I was looking at were raised by 7-12%, depending on the levels of their expected earnings growth. Within the past week, I have seen that June CPI data show that car parts are down 1.5% for six straight months of decline versus their 3-4% average increases in the last few years.

The yield on 10-year benchmark U.S. Treasury dropped to 2.97% on May 10, as inflation data could not beat expectations. Brinker International, Inc. (NYSE: EAT ) With a Zacks Rank #2, Brinker is one of the world's leading casual dining restaurant companies. The Treasury yield curve from five to 30 years was the flattest since August 2017 , reflecting weaker-than-expected U.S. inflation and strong demand for a record bond auction.

Also, there is an industry-wide weakness, as deflationary pressure in commodities such as dairy, beef and eggs are hurting the margins of food companies like Sysco Corp. (NYSE: SYY ). Encouraging manufacturing index readings issued by the Institute of Supply Management (ISM) also hints at a pickup in GDP, indicating that economy is in good shape currently. Further, the spin-off of Save-A-Lot discount stores enabled the company to concentrate on its more profitable core businesses, repay its outstanding debt and improve its capital structure, as well as to fund corporate and growth initiatives.

General Mills ( GIS ) reported fourth quarter 2012 results with adjusted earnings (excluding mark-to-market effects and restructuring costs) of 60 cents per share climbing 15% from the prior-year quarter. GENL MILLS (GIS): Free Stock Analysis Report To read this article on Zacks.com click here. However, higher input cost inflation and lower U.S. retail volumes dragged the quarter's adjusted gross margin down by 140 basis points (bps) to 37.2%.

PNC Financial ( PNC ) and Metlife ( MET ) were also laggards. The markets saw a bit of a pullback today on the overhang of yesterday's Federal Reserve commentary that featured the dreaded "D-Word" - Deflation. We also had news out this morning that White House economic adviser Lawrence Summers will leave the Obama administration at the end of the year.

Casual-dining chain BJ's Restaurants (NASDAQ: BJRI) said it would open just four to six restaurants next year, down from 17 last year, as the company reported its sixth straight quarter of declining comparable sales. Labor costs are rising, mall traffic is falling, and food deflation had made prices lower at supermarkets; but the biggest problem for the industry appears to be oversaturation. McDonald's (NYSE: MCD) shares have surged nearly 40% this year as new CEO Steve Easterbrook revamped the Golden Arches with moves like all-day breakfast, better value deals, and refranchising company-owned locations.

iShares MSCI Emerging Markets Index ( EEM ): -0.02% iShares Russell 2000 Index ( IWM ): -0.45% PowerShares QQQ Trust, Series 1 ( QQQ ): +0.51% iPath S&P 500 VIX Short Term Futures ( VXX ): -0.88% Broad Market Indicators Broad-market exchange-traded funds, including SPY, IWM and IVV were mostly higher. Likewise, actively traded PowerShares QQQ ( QQQ ) was up 0.51%. European stocks were weighed by the report that eurozone inflation sank to a five-year low in September, while German jobless data missed expectations.

Both are the first bull ETFs to provide exposure of three times their respective markets, with BRZU focusing in on Brazil, and KORU honing in on stocks from South Korea. Direxion Daily Brazil Bull 3X Shares (BRZU) Brazil has been struggling in recent months due to slower GDP growth rate and persistent inflation. With this optimism, investors can now consider BRZU to make a bullish bet on this emerging economy.

The ProShares UltraShort China ETF ( FXP ) is up +6% today alone as traders deal with this round of bad news. That means that if Chinese stocks drop -5% on a given day FXP will be up +10%. That is problematic for the Chinese who are facing unprecedented pressures internally and externally to manage their currency, balance their massive trade deficit and prevent inflation from leading to a banking collapse and popular unrest.

Active broad-market exchange-traded funds in Tuesday's regular session: iShares MSCI Emerging Index Fund ( EEM ): -2.4% The Reserve Bank of Australia also surprised the financial markets with an interest-rate cut of 25 basis points and signalling plans to further trim rates if inflation fails to rise. Duke Energy (DUK) was down 0.2% after it reported Q1 adjusted earnings fell to $1.13 per diluted share from $1.24 a year ago, just shy of the $1.14 average estimate from analysts polled by Capital IQ.

In place of these exiting stocks Cintas Corporation CTAS , Hasbro, Inc. HAS , Hologic, Inc. HOLX , and KLA-Tencor Corporation KLAC will be added to the pool. Coming back to Whole Foods, the stock has been under pressure due to stiff competition, food price deflation, an aggressive promotional environment and waning store traffic. We noticed that the shares have declined 4.3% year to date, when the Zacks categorized Retail-Supermarkets industry has increased 9%.

Selling was fairly widespread, with names like Best Buy ( BBY ), Wynn Resorts ( WYNN ), and Manpower ( MAN ) seeing some of the biggest percentage drops. Corporations need to weigh the possibility of raising prices to keep margins healthy vs. the risks of another recession as well as potential deflation sneaking back in the picture. Everyone knows I am all about being consistent with putting your capital to work, which is why our firm is always looking to make sure the names that remain on the recommended list are fit for new investment dollars.

The SPDR Consumer Discretionary ETF (XLY) just recently broke back below its 50-day moving average which is a yellow flag that strength may be waning. The iShares 20+ Year Treasury ETF (TLT) is typically a leading indicator of investors looking to shift money from stocks or cash to high quality instruments that favor a deflationary environment. So far the initial reaction of the Fed's tapering have had little effect in pushing rates higher, which will likely calm the bond markets and give renewed confidence in quality fixed-income as a short-term safety trade.

Ecolab Inc.ECL recently notified that the company will not consolidate its business results in Venezuela starting from the first quarter of 2016. Click to get this free report ECOLAB INC (ECL): Free Stock Analysis Report ABAXIS INC (ABAX): Free Stock Analysis Report NXSTAGE MEDICAL (NXTM): Free Stock Analysis Report LEMAITRE VASCLR (LMAT): Free Stock Analysis Report To read this article on Zacks.com click here. A significant loss in GDP, escalating inflation and widespread scarcity of basic staples are currently raging havoc.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. (Change from 8/10) 30-year fixed : 3.99% APR ( NC ) 15-year fixed : 3.40% APR ( -0.01 ) The article Mortgage Rates Friday, Aug. 11: Weak Inflation Anchors Rates originally appeared on NerdWallet.

Factors Likely to Influence Q3 Results We believe revenue growth in Prudential's group business will be restricted by sluggish employment trends, limited wage inflation, and low persistency in the disability line. Prudential Financial's intelligent capital management in the form of share buyback will also drive the company's bottom line. Prudential Financial Inc. ( PRU ) is scheduled to report third-quarter 2014 results on Nov 5 after the market close.

Many traders, including this one, took note of the disappointing price action in the SPDR Gold Trust's (NYSEArca:GLD) highly anticipated breakout attempt last week. As I wrote early this year, it's been my view that GLD and the iShares Silver Trust (NYSEArca:SLV) could be in for a hefty pullback as inflationary speculation cools down and the dollar catches a bid. While gold did have had a mild pullback to the $1,390 area, both SLV and GLD found aggressive buyers that pushed the precious metals higher again, taking them back to new highs last week.

Data source: Federal Reserve Bank of St. Louis. Chart by author. And while the most recent data shows that inflation remains below the Fed's 2% target rate -- it came in at 1.6% in October -- the trend in consumer prices is heading in the right direction as well.

German's DAX and France's CAC are among the outperformers, with both showing gains of more than 1%. Amid the national indexes, the FTSE 100 is underperforming with a 0.5% gain, reversing Friday's outperformance with the pound managing to rebound some of the losses it saw late last week. The breakdown confirmed that the uptick was entirely due to a renewed acceleration in energy price inflation, fitting into the dovish-leaning narrative of ECB President Draghi.

EPI has benefited from a variety of positive developments in India this year including a decrease in inflation, a stabilization of the rupee's value, a renewed interest by foreign institutional investors and the possibility of interest rate cuts. By Christian Magoon CEO, Magoon Capital The largest India ETF, WisdomTree's EPI, is outperforming the leading country specific BRIC ETFs in the marketplace this year. Here's a performance chart of EPI over the last year displaying its roller coaster ride.

And the torch that is likely to set off this powder keg of deflation is the Chinese yuan ( FXI ). The dollar is sitting on top of a $9-$-- trillion powder keg of foreign carry trades - essentially short-dollar positions. Much of it is being disguised under other cross-border flows in an attempt by the Chinese Communist Party to hide the severity of the situation.

Horton ( DHI ), while Beazer Homes ( BZH ) came up short on the revenues side. Click to get this free report D R HORTON INC (DHI): Free Stock Analysis Report BEAZER HOMES (BZH): Free Stock Analysis Report To read this article on Zacks.com click here. China's inflation reading came in a tad cooler than expected, spotlighting the persistently weak demand conditions in that country that have been a worry for the markets lately.

Click to get this free report SPDR-SP 500 TR (SPY): ETF Research Reports NASDAQ-100 SHRS (QQQ): ETF Research Reports SPDR-DJ IND AVG (DIA): ETF Research Reports To read this article on Zacks.com click here. Greece notwithstanding, stocks have had a good run in the last few sessions and today's tentative behavior is likely due to the absence of a fresh catalyst other than developments in Europe. The European Central Bank's QE program should help with the deflation issue and also help the export-centric German economy by pushing the Euro-Dollar exchange rate towards parity.

Shares of W.W. Grainger Inc.GWW have soared around 77% in the last year. Click to get this free report Terex Corporation (TEX): Free Stock Analysis Report Caterpillar Inc. (CAT): Free Stock Analysis Report H&E Equipment Services, Inc. (HEES): Free Stock Analysis Report W.W. Grainger, Inc. (GWW): Free Stock Analysis Report To read this article on Zacks.com click here. Grainger expects price mix to improve and 50 basis points of COGS deflation for the year, driven by its internal product cost initiatives.

Sheraz Mian Director of Research AUTOMATIC DATA (ADP): Free Stock Analysis Report SPDR-DJ IND AVG (DIA): ETF Research Reports NASDAQ-100 SHRS (QQQ): ETF Research Reports SPDR-SP 500 TR (SPY): ETF Research Reports PRO-ULS L20+YRT (TBT): ETF Research Reports To read this article on Zacks.com click here. The Fed appeared to be downgrading their economic growth outlook a bit and pointed towards low inflation readings and the rise in mortgage rates. But labor market data has broadly been positive, as this morning's weekly Jobless Claims numbers and Wednesday's ADP report showed.

Unfortunately, the forecast was way off: WTI Crude Oil Spot Price data by YCharts . That's even after Devon reduced its capex spending by $500 million from its initial expectations due to cost deflation and improved efficiency. Iran said it will immediately boost its output by 500,000 barrels per day as soon as the sanctions have lifted, which is putting even more pressure on oil prices.

Gas Smogs Costco Results Costco Wholesale ( COST ) was a big drag on the index, Perkins says. Gasoline prices have risen this year, but they're still far below that of a year ago, and that hurt Costco. "Plugging in" Costco's core U.S. same-store sales tally in May, same-store sales resulted in a 3.8% rise that month instead of only a 0.6% gain, Perkins says.

These improvements helped Costco offset significant price deflation on groceries and electronics to book overall sales growth. With just one quarter's worth of data on the new card to judge by, it's too early to know how helpful it will ultimately be to Costco's profits and to growth potential. It also likely played a minor role in Costco's dip in comps growth for fiscal 2016.

Here's a Zacks #1 Rank company: Universal Health Services ( UHS ) The principal businesses of Universal Health Services, Inc. are owning and operating acute care hospitals, behavioral health centers, ambulatory surgery centers, radiation oncology centers and women's centers. Click to get this free report CENTRICA PL-ADR (CPYYY): Free Stock Analysis Report UNIVL HLTH SVCS (UHS): Free Stock Analysis Report AMER WOODMARK (AMWD): Free Stock Analysis Report To read this article on Zacks.com click here. Here is what one Fed economist had to say- "Inflation remains below the Federal Open Market Committee's 2% long-run target.

When it comes to many retailers, most price increases are "sticky." Selling was fairly widespread, with names like Best Buy ( BBY ), Wynn Resorts ( WYNN ), and Manpower ( MAN ) seeing some of the biggest percentage drops. Corporations need to weigh the possibility of raising prices to keep margins healthy vs. the risks of another recession as well as potential deflation sneaking back in the picture.

On the downside however, investors did not like the news from Starbucks ( SBUX ), Newmont Mining ( NEM ), or D.R. We saw shares of online travel play Expedia ( EXPE ) spiking higher on blowout earnings results . If we follow the path of Japan, and the deflationary effect they've seen for the last couple of decades, then those investors at 1.875% will actually look like geniuses!

Income may be subject to the alternative minimum tax ( AMT ) and/or state and local taxes, based on the investor's state of residence. We continue to hold a favorable view of directional and lower volatility hedge funds, which may be helped by the onset of monetary tightening in the U.S. We are also constructive on the distressed and equity long/short segments. Signs of softer economic data, weak inflation and global unrest later caused the Fed to delay "liftoff" and resulted in the greenback giving back some of its previous gains.

In metal ETFs, SPDR Gold Trust ( GLD ) is up 3.28% to $172.59. In its statement, the Federal Reserve's Open Market Committee said it sees inflation moderating with the drop in commodity prices. In other energy futures, heating oil was down 0.98% to $2.77 a gallon while natural gas was up 1.58% to $3.99 per million British thermal units.

The Energy Select Sector SPDR ( XLE ) gained 63 cents to close at $59.05. With wholesale level inflation in a zone that appears to be under control, the Fed is expected to keep interest rates low, and that encourages investors to place money into more high-risk areas. What the Markets Are Saying Stocks closed higher again yesterday, and even though both the S&P 500 and the Nasdaq have risen 9 of the last 10 trading days, it is a pace that can't be sustained for much longer.

This kicked the United States into a recession by driving down both the demand and supply of loans, the effect of which was to reverse the direction of inflation and interest rates (and led to the election of Ronald Reagan). Just as significantly, for financial companies at least, is the fact that falling interest rates translate into higher bond prices. In its latest 10-Q, Citigroup estimates that an increase of 100 basis points in short-term rates will translate into a $3.9 billion drop in the value of its securities portfolio.

Investors that are looking for a diversified way to play this theme may be interested in the Teucrium Agriculture Fund (NYSE: TAGS ). While the summer months spur rapid price increases in energy costs, another key indicator of consumer behavior is seeing a wave of deflationary selling pressure. Crop forecasts continue to show favorable weather patterns and successful conditions to expand current supply levels.

China's consumer price index rose 1.6 percent in September from a year earlier, falling short of expectations of 1.8 percent and down from August's 2.0 percent.The financial sector is in focus amidst earnings from Bank of America ( BAC ), JP Morgan ( JPM ) and Wells Fargo ( WF ). JPM was mixed, while WF and BAC topped the Street view. JPMorgan ( JPM ) shares were down over 1% pre-market Wednesday after the New York-based bank reported mixed Q3 results and issued guidance for Q4, saying it expects core loan growth to continue at approximately 15% year-on-year.

Prudent, long-term investors plan to capture long term risk premia via a number of persistent factors that have historically delivered significant excess risk-adjusted returns. With inflation below their target, high unemployment, and a poor demographic outlook it's hard to believe that when the Fed decides to raise rates they will do so significantly. Expect lower than normal long-term returns and allocate risk and assets appropriately to protect yourself from the imminent downturn in equities over the next ten years.

The Energy Select Sector SPDR (XLE) gained 2%, the highest among the S&P 500 sectors. The European Central Bank's (ECB) executive board has proposed a bond-buying program of about 50 billion euros per month in order to combat concerns over deflation in the Eurozone. For a look at the issues currently facing the markets, make sure to read today's Ahead of Wall Street article The Dow Jones Industrial Average (DJI) gained 0.2% to close at 17,554.28.

Continued depreciation of sterling and renminbi against the euro into year-end looks likely, however, while offsetting yen strength is now coming up against mounting risks of market intervention with USD/JPY at 100/101. This obviously confounds the ECB's attempts to ease monetary conditions further in the Euro area ( EA ), where deflationary pressures remain. The UK 10Y real yield currently matches the record lows reached in the spring of 2013.

Grainger expects price mix to improve and 50 basis points of COGS deflation for the year, driven by its internal product cost initiatives. Rising Business Investment: Grainger generates revenues from the distribution of MRO (Maintenance, Repair and Operating) supplies and products and related services. Business investment is likely to remain strong in 2018, backed by expanding global markets, lower capital costs and an improving regulatory environment.

Olin Corporation Price and EPS Surprise Olin Corporation price-eps-surprise | Olin Corporation Quote Ashland Global Holdings Inc.ASH will report fiscal Q2 results after the bell. Ashland surpassed the Zacks Consensus Estimate in three of the trailing four quarters, delivering an average beat of 8.9%. Ashland is taking appropriate pricing actions in response to raw material cost inflation, which is expected to benefit it in Q2.

As I wrote early this year, it's been my view that GLD and the iShares Silver Trust (NYSEArca:SLV) could be in for a hefty pullback as inflationary speculation cools down and the dollar catches a bid. While gold did have had a mild pullback to the $1,390 area, both SLV and GLD found aggressive buyers that pushed the precious metals higher again, taking them back to new highs last week. SLV's recent outperformance can be seen in the chart below through the lens of the gold to silver ratio.

On the earnings front, Men's Wearhouse ( MW ) and H&R Block ( HRB ) saw selling following both companies' results. I was reading more anecdotes from Ben Bernanke's 60 Minutes appearance in which he discussed the Federal Reserve's ability to easily control inflation and change course quickly on its recent accommodative monetary policy. We have seen the Fed raise interest rates in the past to control the stock market's ramp, and when you turn back to the early 80′s we saw the process tame runaway commodity prices.

BNS Dividend Yield: 4.01% 6 Dividend Stocks That Buffett Isn't in Love With Eastgroup Properties Inc (NYSE: EGP ) increased its quarterly dividend by 3% to 64 cents per share from 62 cents. EGP Dividend Yield: 2.89% Capital Southwest Corporation (NASDAQ: CSWC ) grew its quarterly dividend from 21 cents per share to 24 cents, representing a raise of 14%. Investors cheered several new reports that showed a resilient economy and low inflation, which suggests the Federal Reserve may keep interest rates lower for longer.

Falling gasoline prices contributed significantly to the decline, although even after excluding fuel and food from the total sales rose just 0.2% last month, trailing market expectations for a 0.4% advance. Material and tech stocks led U.S. shares higher, with the proposed merger of Orbitz Worldwide and Expedia ( EXPE ) pushing other travel-reservation websites higher today, including TripAdvisor ( TRIP ) and Liberty TripAdvisor ( LTRPA ). (+) OWW, Accepts $1.34 bln buyout by Expedia ( EXPE ), which will pay $12 for each OWW share, a 25% premium over Wednesday's closing price.

The BOJ did increase the size of its asset purchase program in February and April, but it has been generally reticent about committing itself like the Fed and ECB "to whatever it takes" within their mandates. Not only is Japan still experiencing deflation by the BOJ's preferred core measure (-0.3% year-over-year in July), but the economy appears to be stalling, if not worse. It will also have a better handle on what ECB and especially the Federal Reserve's policy impact on the yen, which traded at 7-month highs against the dollar following the Fed's announcement last week.

Conversely, both The Gap Inc. GPS and Costco Wholesale Corporation COST posted a 1% decline in comps. Deflation in gasoline prices and adverse foreign currency translations marred Costco's performance. Click to get this free report COSTCO WHOLE CP (COST): Free Stock Analysis Report GAP INC (GPS): Free Stock Analysis Report BUCKLE INC (BKE): Free Stock Analysis Report L BRANDS INC (LB): Free Stock Analysis Report To read this article on Zacks.com click here.

One more quote from Gross in February: My Translation - The real rate yield returning to historical norms could make US TIPs vulnerable. TIP ( TIP ) is the iShares Treasury Inflation Protected Bond Fund. TIPs helps hedge against inflation moves, but Bill points out that right now the 5 year TIPs have historically low real yields of -0.1% vs. a historical average of +1.5%.

Recent developments in US economic trends including a slow-down of inflation acceleration and comments from Jerome Powell have led the market to believe this may the last FOMC interest rate increase until late next year. Some estimates have economic growth slowing over the next twelve months which has raised a chance, however slim, the Fed may lower rates at some point in the year. The budget had been vetoed by the EU early last month on the grounds spending plans violated terms of an agreement made with Italy's former government.

Fastenal (NASDAQ: FAST ) reported second quarter EPS of $0.41, in line, on revenue of $847.6 million vs. $857.13 million expected. However, he did close with slightly hawkish statements by saying that inflation is low due to transitory factors and should moderate back towards the medium-term target. Spanish 10-year government bond yields fell 8 basis points to 4.73 percent as Prime Minister Rajoy is set to roll out new taxes, according to Bloomberg.

(RTTNews) - MNI Indicators released a report on Tuesday unexpectedly showing a continued slowdown in the pace of growth in Chicago-area business activity in the month of April. "This was a disappointing start to the second quarter, with more firms cutting back on both production and employment against a backdrop of softer domestic demand and the global slowdown," said Shaily Mittal, Senior Economist at MNI. On the inflation front, the report said factory gate prices saw the biggest monthly drop since December of 2008, taking the indicator to its lowest level since March of 2016.

Market Vectors Gold Miners ( GDX ) was up 0.22% to $55.46. Commodities ended trading down after crude oil futures retreated on comments from the Federal Reserve warning of deflation. In other energy futures, heating oil is down $0.02 to $2.12 a gallon while natural gas rose 2.7%, to $3.92 per million British thermal units.

Hidden Catalysts Wendy's consistent focus on global expansion of restaurants to drive long-term growth is encouraging. Additionally, menu innovation, promotional offers and bold new packaging will drive sales. The company, which shares space with BJ's Restaurants, Inc. BJRI , Carrols Restaurant Group, Inc. TAST and Darden Restaurants, Inc. DRI expects labor inflation of roughly 3-4% and commodity inflation around 1-2% for the current year.

For example, we like Olin Corp. (symbol OLN , $19), which makes chemicals used in many industrial and housing applications. We're fans of India as long as Prime Minister Modi continues to get support for plans to boost growth. Yes, it has problems, but the government has been trying to cut the deficit by reducing spending, and it's raising interest rates to fight inflation and defend the currency.

Submitted by Sizemore Investment Letter as part of our contributors program The following is an excerpt from the January 2013 HS Dent Forecast . Friedman reveals an arrogant "Fed-centric" view of the universe in which Ben Bernanke is an all-powerful godlike figure who can manipulate prices at will, like some sort of cartoonish James Bond villain. The writer used those words to mock the Bank of Japan for failing to stop the deflation that has been wrecking the Japanese economy for the past two decades-again, a central-bank-centered view of the universe.

We have highlighted them in detail below: CurrencyShares Swiss Franc Trust FXF This ETF tracks the price of the Swiss franc relative to the U.S. dollar and appears a great way to play the appreciation of Swiss franc against the greenback. Click to get this free report CRYSHS-SWISS FR (FXF): ETF Research Reports ISHARS-SWITZERL (EWL): ETF Research Reports FT-SWITZERLAND (FSZ): ETF Research Reports To read this article on Zacks.com click here. Europe has been dominating global headlines since the beginning of this year on deflation fears, the tumbling Euro and political drama in Greece.

Note the movement in names like SINA ( quote ), BIDU ( quote ), SOHU ( quote ) lately. But Beijing will do this on their terms and not on any basis imposed by the U.S. or other foreign monetary authorities. Watch the impact on yuan funds like CYB ( quote ) In fact, reserve requirement hikes and outright interest rate moves seem to be working to curb inflation while giving Chinese consumers a shot in the arm by making the yuan effectively stronger in terms of its buying power.

Kimberly-Clark ( KMB ), the consumer goods giant that makes items like Kleenex tissues, Huggies diapers and Kotex sanitary pads, should report Q1 earnings on April 25th. Given the inflationary environment, we expect rising raw material costs to continue putting downward pressures on gross margins. Other Areas to Watch Restructuring programs in the past have strained Kimberly-Clark's cash balance, and we look for signs that these initiatives will translate into greater efficiency in operations and improved EBITDA margins in the future.

(+) BKD (+10.03%) Zhonghong Zhuoye is in discussions to buy Brookdal (+) HRB (+9.86%) Fiscal Q4 results beat expectations, raises quarterly dividend (+) MBOT (+8.06%) Awarded patent for device preventing shunt stenosis Stock futures trimmed some of Wednesday morning's pre-market gains following a shooting in Virginia, and disappointing economic data on retail sales and consumer prices, briefly distracting Wall Street from the inevitable outcome of Wednesday's conclusion to a two-day Federal Open Market Committee meeting. Wednesday morning's economic data came in well below expectations with the consumer price index contracting 0.1% in May, missing estimates to remain unchanged.

Crown Holdings Inc (NYSE: CCK) Q3 2019 Earnings Call Oct 17, 2019, 9:00 a.m. -- Analyst Neel Kumar -- Morgan Stanley -- Analyst Brian Maguire -- Goldman Sachs -- Analyst More CCK analysis All earnings call transcripts 10 stocks we like better than Crown Holdings When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. Arun Viswanathan -- RBC Capital Markets -- Analyst I guess, so first off on European Food, you'd addressed some issues around pricing last quarter, which has been insufficient to offset inflation and potentially some structural headwind there.

Paychex is highly dependent on the performance of the SMB sector and this is the reason the company may not see much revenue growth in the near term. Moreover, we remain somewhat concerned about high unemployment and inflation rates within the small and medium business ( SMB ) group. The newest member of the SaaS-suite, Paychex Online Mobile application is a free, highly secure and easy-to-use app.

Currency fluctuations, weak growth and the expectation of a tax hike have worked against EFA and iShares MSCI Japan ETF ( EWJ ). "While the tone and its reception was a little more hawkish, the chairwoman remarked that the policy stays unchanged," said Patrick Jamin, chief investment officer for NorthCoast. Enticing Prospects Overseas Also during the month, Mario Draghi, president of the European Central Bank, revealed that the ECB is prepared to take more policy measures if inflation falls lower than expected.

Click to get this free report SPDR-SP 500 TR (SPY): ETF Research Reports NASDAQ-100 SHRS (QQQ): ETF Research Reports SPDR-DJ IND AVG (DIA): ETF Research Reports To read this article on Zacks.com click here. The European Central Bank (ECB) came through on the commitment it made in October to sweeten its ongoing monetary policy stimulus program in order to spur growth and fight deflation within the common currency block. This morning's announcement expands the central bank's bond purchase program and cuts the ECB's deposit rate deeper into negative territory into -0.30% from the previous -0.20%.

PriceSmart (NASDAQ: PSMT ) reported third quarter EPS of $0.61 vs. $0.64 on revenue of $571.1 million vs. $568.33 million. PriceSmart (NASDAQ: PSMT ) shares fell 2.88 percent pre-market as the company reported weaker than expected third quarter EPS. However, he did close with slightly hawkish statements by saying that inflation is low due to transitory factors and should moderate back towards the medium-term target.

In energy ETFs, the United States Oil Fund ( USO ) is down 3.52% to $30.40. Energy shares are mixed and trending lower as the market makes massive swings in highly volatile trading. In its statement, the Federal Reserve's Open Market Committee said it sees inflation moderating with the drop in commodity prices.

Despite initially raising the federal funds target late last year, and forecasting four rate hikes in 2016, the U.S. Central Bank may actually wind up reversing course to boost the economy and spur inflation. Low lending rates are critical to the success of the housing industry, because they keep payments reasonable for prospective homebuyers. In fact, one MarketWatch reporter argues that if more Americans knew about this, the government would have to shell out an extra $10 billion annually.

The market-moving event this week was delivered by the Federal Reserve / FOMC meeting statement which most are interpreting as an end to further rate increases. It has remained in positive territory for over a year - and it is the longest period of trend rate of growth expansion since the end of the Great Recession. If inflation is not an issue, and economic growth appears to be trending down, and the economy is not in danger of overheating - then there is little reason to raise the federal funds rate further.

As you can see, momentum "worked" in the second quarter, with my picks to outperform doubling the market with a 4.8% return while my forecast underperformers lost big time, decreasing by 8.4% on average. U.S. Heat Map for the Year Ending June 30, 2013 (click to enlarge) Source: PPCA Inc So I'll go out on a limb again and forecast the following winners and losers for the next quarter. This is one explanation for the precipitous decline in gold prices (as well as TIPS), indicating deflation fears, coupled with increases in bond yields.

Just this morning (Wednesday), Adobe ( ADBE ) reported second quarter earnings of $0.23 per share, beating the Street's guess by a full $0.07, or 43%. ADBE stock is currently up 8% on the day. There is chaos spreading in the middle east, the U.S. legislature is polarized and paralyzed like never before in American history, wages are falling, inflation is returning, and the word on the Street, based on recent corporate earnings announcements, is-all's well.

Out of the U.S, January's delayed retail sales figures, February inflation numbers, and durable goods orders provided direction. With the annual rate of core inflation softening in February, risk appetite added to the Dollar's demise in the week. Optimism over a trade agreement between the U.S and China combined with sentiment towards monetary policy supported demand for riskier assets through the week.

In accounts that don't allow short selling, the short position could be taken with an inverse bond ETF such as ProShares Short 20+ Year Treasury ( TBF ), with a 0.95% expense ratio. First Trust Advisors has added a new menu item for investors starving for dividend income in an era of unpalatable interest rates. If the economy slumps, inflation declines and investors pile into risk-free Treasurys, the fund will "get squeezed on the short side," says Neil Leeson, ETF strategist at Ned Davis Research in Venice, Fla.

The game must appear entirely rigged to an unsophisticated investor and the accusations of a system error during yesterday's trade has to make some people wonder why they are putting their hard earned cash at risk of a massive computer glitch. In this continuing period of low aggregate demand, high unemployment and general deflation the government of the U.K. has a great deal of buffer room in which they can spend. This is exactly what will occur in Greece as tax receipts will fall off a cliff and austerity measures will result in decreased aggregate demand and recession.

With that in mind, here are the current positions: [[GDX]] - Gold miners - an inflation hedge, riding the wave to new highs. GDX (gold stocks) dropped right after the January interview, something you helped me to pass along in an update. Before beginning his financial career in October 1987, Jeff was a college professor who worked extensively with quantitative modeling of sophisticated state and local tax issues.

Stock futures were building on constructive gains into the open as a result of tame inflation data and expectations for bullish housing indicators. Global equities were back on the offensive as geo-political tensions eased after Russian separatists handed over Malaysia Flight 17 black boxes to international authorities. Strength in European markets spilled into pre-market trading with U.S. gains amplified by strong earnings and sales growth from Chipotle Mexican Grill ( CMG ), as well as upbeat earnings from Verizon ( V ) and Harley-Davidson ( HOG ).

Related Link: 4 Sector ETFs Nearing Support SPDR Energy Energy Select Sector SPDR ( ETF ) (NYSE: XLE ) is down 25 percent from its June 2014 high as spiraling oil prices hit the related stocks. The potential for deflation in the continent along with slowing growth has led many analysts to believe more stimulus is the only option for the European Central Bank (ECB). RSX has been attempting to build a base the last few weeks, but with oil continuing to fall and the Ukraine situation unsettled, the risk remains elevated for the ETF.

Britain's core consumer price index ( CPI ) is the only figure anticipating a decline (albeit of a meek 0.1%), while the house price index ( HPI ) being released by the Department for Communities and Local Government (DCLG) is foreshadowing a much shallower decline in home values from last month. Set to be released tomorrow are the data on CPI, RPI, and DCLG's HPI. Tuesday's publications of heavy inflationary figures from Great Britain are by and large forecasting stability.

Horton, Inc. ( DHI ) in the past couple of quarters. Click to get this free report PULTE GROUP ONC (PHM): Free Stock Analysis Report MERITAGE HOMES (MTH): Free Stock Analysis Report LENNAR CORP -A (LEN): Free Stock Analysis Report KB HOME (KBH): Free Stock Analysis Report D R HORTON INC (DHI): Free Stock Analysis Report To read this article on Zacks.com click here. Yet supply shortage, burdensome mortgage underwriting standards, cutthroat competition and cost inflation amid moderating home price increases could hold back the recovery this year.

The Labor Department said its producer price index for final demand was flat in November after climbing by 0.4 percent in October. "Overall, the November PPI figures underline that price pressures in the inflation pipeline are still easing," said Michael Pearce, Senior U.S. A separate report released by the Labor Department on Wednesday showed U.S. consumer prices increased by slightly more than anticipated in the month of November.

Since the April 26 top, the U.S. markets (NYSEArca: VTI ) have lost about $5 trillion of market capitalization. Deflation Threat - A Simple Concept Government spending and money printing has been identified as key causes for an alleged inflationary environment. The Europe (NYSEArca: FEZ) debt debacle reminds us how vital cash is - that's why the European Central Bank and the IMF made $1 trillion available for entire governments.

Infinity Pharmaceuticals, Inc. INFI has an Earnings ESP of +5.81% and a Zacks Rank #1. Click to get this free report ARIAD PHARMA (ARIA): Free Stock Analysis Report IMMUNOGEN INC (IMGN): Free Stock Analysis Report INFINITY PHARMA (INFI): Free Stock Analysis Report AMERISOURCEBRGN (ABC): Free Stock Analysis Report To read this article on Zacks.com click here. Factors Influencing this Quarter AmerisourceBergen's pharmaceutical distribution segment continues to face headwinds in the form of contract renewals and lower generic inflation.

Site Centers (SITC) fits that bill and is one of my top picks, not just in retail but overall, as it hits on multiple levels. Right now, with stocks near record highs, steady growth, low inflation and with some unresolved risks such as trade, the latter mood is most likely to prevail and SITC offers both value and yield. SITC is a company that lost its way for a while.

And then, in just two days last week, the exchange traded note ( ETN ) that tracks it sank more than 20%. Speculation that China would increase interest rates to cool inflation in its economy sent fear through the market that the world's largest commodity consumer would be stepping back, says Debarati Roy for Bloomberg . Both international and domestic sugar prices have hit 30-year highs in 2010 and pushed iPath Dow Jones UBSSugar TR sub-Index (NYSEArca: SGG) up more than 92% in the last six months.

The Technology Select Sector SPDR (XLK) dropped 1.2%. The day's initial gains, largely a result of encouraging durable orders numbers, were eroded by the end of the trading session. The European Central Bank gave strong indications that it would take aggressive steps in the form of negative interest rates and asset purchases to prevent low inflation.

VanEck Vectors Brazil Small-Cap ETF BRF The product follows the VanEck Vectors Brazil Small-Cap Index. Click to get this free report ISHARS-BRAZIL (EWZ): ETF Research Reports ISHARS-MS BR SC (EWZS): ETF Research Reports GLBL-X BRZL CON (BRAQ): ETF Research Reports VANECK-BRZL SC (BRF): ETF Research Reports To read this article on Zacks.com click here. In view of cooling inflation (which was once sky-high) and soft economic growth, Brazil embarked on an aggressive policy easing cycle.

However, a plunge in oil prices had a negative impact on energy shares which in turn curbed some of yesterday's gain. Though most of the Fed officials anticipated that the Fed may raise key interest rate this year, they showed some serious concerns about the sluggish global growth environment and remained doubtful about reaching the 2% inflation rate target. Moreover, September's dismal jobs report also played an important role in reducing rate hike fear.