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Politics : Stockman Scott's Political Debate Porch -- Ignore unavailable to you. Want to Upgrade?

To: Jim Willie CB who wrote (726)	6/25/2002 11:52:55 PM
From: stockman_scott	Respond to of 89467

Did ya know former CEO Ebbers owes WCOM over $400,000,000? Apparently the co. loaned it to him to help him meet a massive margin call. I know a little bed & breakfast in Danville, CT where Bernie could kick back and spend a little time relaxing. bop.gov BTW, If we are lucky The Justice Dept. may eventually send Kenny Boy (I mean Ken Lay) down there too...He deserves to pay a nice STEEP FINE and SERVE SOME HARD TIME...Its very possible that Kenny Boy is guilty of insider trading & /or racketeering or fraud. It just has to be proven in a court of law...=)

To: Jim Willie CB who wrote (726)	6/26/2002 12:19:40 AM
From: stockman_scott	Read Replies (1) \| Respond to of 89467

How would ya like GE at $20 <G>...?? Message 17653988

To: Jim Willie CB who wrote (726)	6/26/2002 5:11:45 AM
From: stockman_scott	Read Replies (1) \| Respond to of 89467

NEW YORK, June 26 (Reuters) - Investigators are opening a new inquiry, which includes Citigroup Inc. and J.P. Morgan Chase & Co. , into the role banks played in developing controversial financing deals for energy companies, the Wall Street Journal reported on Wednesday. reuters.com

To: Jim Willie CB who wrote (726)	6/26/2002 4:40:27 PM
From: stockman_scott	Read Replies (3) \| Respond to of 89467

Data Shows Economic Recovery on Track By Anna Willard Wednesday June 26, 3:02 pm Eastern Time WASHINGTON (Reuters) - Record sales of new U.S. homes and solid demand for durable goods were not enough to shake off economic recovery fears in financial markets rocked by the latest accounting scandal, but analysts remained confident the world's largest economy is on track. New homes sold like hot cakes in May, the government said on Wednesday, far above expectations, as consumers poured money into housing instead of playing the falling stock market. Durable goods orders rose in line with forecasts in a report welcomed by analysts as it contained signs of a modest pickup in business spending, seen as crucial to a strong recovery. However, the good news was ignored by financial markets, where stocks plunged after U.S. telecommunications giant WorldCom (NasdaqNM:WCOM - News) revealed it had inflated its profits by $3.8 billion, one of the largest accounting scandals in history. And the news only encouraged investors to keep selling the dollar, sending the currency to a 28-month low against the euro. Nevertheless, analysts said the economy is on its way to recovery and ruled out prospects for a double dip recession. "I think that the downside risks to the economy are far less than what most people realize and certainly less than what the market thinks," said Mark Vitner, senior economist at Wachovia Securities. "I think there's very little chance that the economy will experience a double dip." Sure, the fears about corporate accounting in the United States add another layer of risk to the outlook, but it probably is not quite enough to really upset the recovery path, they said. "We haven't changed any of our interest rate calls or our outlook on the economy but obviously there's another level of risk in the system now," said Drew Matus, senior financial economist at Lehman Brothers. FED ON HOLD Analysts said the reports, which were released before a scheduled announcement by the Federal Reserve on its interest rate policy, were unlikely to have any impact on the central bank's picture of the economy. This was borne out when the Fed, as was widely forecast, left its key interest rate target unchanged at 1.75 percent. In its statement, the Fed said demand was picking up but said the degree of strengthening remained uncertain. The central bank said risks were equally balanced between recession and a flare-up in inflation, a stance unchanged from the last meeting on May 7. Most economists believe the central bank will not raise borrowing costs until near year-end. Analysts said the two economic reports were evidence the recovery is on track. The Commerce Department said orders for costly manufactured goods rose 0.6 percent in May, faster than the 0.4 percent rise in April and matching expectations. Demand for non-defense capital goods, excluding volatile aircraft orders, rose 0.2 percent and shipments in the same category were up 1.4 percent. This pointed to modest recovery in business investment, a factor highlighted by Fed Chairman Alan Greenspan and being key to a strong recovery. "In general, our view is that the data is good news. Capital shipments were healthy, as were orders," said Michael Englund, chief economist at S&P MMS. The report also showed inventories of durable goods fell for the 16th straight month, a sign that manufacturers may need to ramp up production to keep up with demand. The housing sector, which has been resilient as other areas of the economy slumped, provided another piece of good news. The Commerce Department said sales of new homes surged 8.1 percent in May to a record level with new single-family homes sold at a seasonally adjusted annual rate of 1,028,000 units. May was the first time that new homes had sold at an annual pace greater than 1 million units and marked the biggest jump since November 2001. "People feel that their homes hold their value, and perhaps in these days of financial market instability, stability is at a premium," said Richard DeKaser, chief economist for National City Corp.