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Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?

To: NOW who wrote (49568)	4/12/2006 3:33:42 AM
From: regli	Respond to of 116555

China Called upon to Better Use its Forex Reserves en.chinabroadcast.cn@76206.htm 2006-04-11 22:25:43 CRIENGLISH.com Experts have called on the Chinese government to efficiently manage China's massive foreign exchange reserves, as the country has become the world's biggest holder of foreign exchange reserves, stockpiling more than 850 billion U.S. dollars. Yixiu reports. Reporter: China's foreign exchange reserves amounted to more than 850 billion U.S. dollars at the end of February, becoming the biggest forex reserve holder in the world. Zhao Xijun, a professor with the Finance and Security Research Institute at the Remin University of China in Beijing, says the amount of forex reserves is a sign of China’s steadily climbing economy, and therefore has positive impact for its development. "The rise of foreign exchange reserves reflects China's fast, sustained economic growth and sound international payments. The reserves are of significant importance to strengthen the nation's macro-control capabilities and guard against financial risks." Analysts say the rapid increases is result of China’s policies of encouraging foreign direct investment and exports during the past years, as well as a forex administration regime that keeps tight controls on outflows, but imposes little restriction on inflows. However, Zhao Xijun says, since some parts of China's foreign exchange reserves are U.S. dollar-denominated assets, therefore, challenges and risks exist if China does not manage its huge reserves properly. “Buying the foreign exchange assets increases China’s financial risk and difficulties on macro- economic controls. Furthermore, China's hefty foreign exchange reserves have actually taken large amounts of funds, which otherwise could be diverted to domestic investment and consumption. If this situation goes on, the drive for domestic economic progress will be stifled, posing a potential risk for the country’s healthy economic development.” To get rid of the potential risk, deputy director of the Finance Research Institute under the Development Research Center of the State Council Ba Shusong calls for increased forex reserves’ yields, by diversifying the forex reserve investment channels, while ensuring the security and circulation of the forex reserves. “With the security and circulation of the forex reserves guaranteed, certain parts of the reserves can be used in more constructive investment. For example, the government should encourage more Chinese companies to go abroad to make investments. This will make better use of the current foreign exchange and at the same time, create better chances to source more foreign exchange. ” In order to better use the forex reserves, recently the People’s Bank of China, or China’s Central Bank has taken a set of measures to loosen capital controls, which allow businesses to keep more forex and sell less to banks, and allow individuals to buy more forex from banks for overseas travel and studies. Yixiu, CRI news.

To: NOW who wrote (49568)	4/12/2006 11:19:33 AM
From: mishedlo	Respond to of 116555

MBA Data DJ US MBA Market Index Falls 5.5% To 579.4 From 612.8 DJ US MBA Purchase Index Falls 4.7% To 417.7 From 438.2 *DJ US MBA Refinancing Index Falls 6.6% To 1532.4 Vs 1640.8 DJ US MBA Mortgage Survey Table Of Seasonally Adjusted Data Seasonally Adjusted data for week ending 4/7/06 Composite Index Current Prev Week % Change 4 Wks Ago Year Ago Market 579.4 612.8 -5.5 574.4 683.6 Purchase 417.7 438.2 -4.7 403.0 474.5 Refi 1532.4 1640.8 -6.6 1583.6 1899.6 Fixed-Rate 433.8 459.5 -5.6 428.8 460.1 ARM 3633.3 3828.5 -5.1 3626.8 5360.7 Conventional Market Current Prev Week % Change 4 Wks Ago Year Ago Total 854.9 900.3 -5.0 845.2 1020.9 Purchase 648.0 675.7 -4.1 625.1 745.5 Refi 1708.7 1825.1 -6.4 1752.3 2140.8 Fixed-Rate 629.7 663.0 -5.0 622.5 674.5 ARM 5472.1 5765.9 -5.1 5413.1 8123.3 Government Market Current Prev Week % Change 4 Wks Ago Year Ago Total 120.0 133.6 -10.2 122.8 120.5 Purchase 88.7 98.8 -10.2 85.6 87.3 Refi 603.3 669.7 -9.9 695.2 627.7 Fixed-Rate 107.0 120.2 -11.0 106.0 102.9 ARM 404.8 427.3 -5.3 489.3 503.7 DJ US MBA Mortgage Survey Table Of Unadjusted Data Unadjusted data for week ending 4/7/06 Composite Index Current Prev Week % Change 4 Wks Ago Year Ago Market 623.5 656.8 -5.1 616.4 731.2 Purchase 467.4 487.9 -4.2 450.3 530.4 Refi 1532.4 1640.8 -6.6 1583.6 1899.6 Fixed-Rate 466.8 492.5 -5.2 460.2 492.2 ARM 3910.1 4103.4 -4.7 3892.0 5734.3 Conventional Market Current Prev Week % Change 4 Wks Ago Year Ago Total 919.3 964.1 -4.6 906.6 1091.4 Purchase 725.1 752.3 -3.6 698.5 833.3 Refi 1708.7 1825.1 -6.4 1752.3 2140.8 Fixed-Rate 677.2 710.0 -4.6 667.7 721.1 ARM 5884.6 6175.0 -4.7 5806.0 8684.1 Government Market Current Prev Week % Change 4 Wks Ago Year Ago Total 130.3 144.4 -9.8 132.6 130.2 Purchase 99.2 109.9 -9.7 95.6 97.6 Refi 603.3 669.7 -9.9 695.2 627.7 Fixed-Rate 116.2 129.9 -10.5 114.5 111.1 ARM 439.3 461.9 -4.9 528.2 544.0 DJ US MBA Mortgage Survey Table Of Comparisons Percent Change In Percent Change No. Of Applications In Dollar Value Avg Week Ago 4Wks Ago Yr Ago Week Ago 4Wks Ago Yr Ago Loan ($000) Total -5.1 1.2 -14.7 -5.6 2.1 -6.6 237.6 Purchase -4.2 3.8 -11.9 -4.3 4.3 -8.0 233.7 Refi -6.6 -3.2 -19.3 -7.8 -1.5 -4.3 244.6 Fixed-Rate -5.2 1.4 -5.2 -5.7 1.7 9.5 191.4 ARM -4.7 0.5 -31.8 -5.5 2.6 -22.1 353.0 Conventional -4.6 1.4 -15.5 -5.3 1.9 -7.0 246.2 Purchase -3.6 3.8 -12.7 -3.8 4.1 -8.3 243.3 Refi -6.4 -2.5 -19.9 -7.6 -1.5 -4.7 251.1 Fixed-Rate -4.6 1.4 -5.8 -5.2 1.3 9.7 198.2 ARM -4.7 1.4 -32.0 -5.3 2.7 -22.4 359.4 Government -9.8 -1.7 0.5 -12.1 5.2 2.4 136.9 Purchase -9.8 3.7 2.2 -12.0 9.0 -0.4 133.1 Refi -9.9 -13.2 -3.5 -12.1 -2.5 9.2 146.7 Fixed-Rate -10.6 1.5 4.9 -12.4 7.2 6.0 125.7 ARM -4.9 -16.8 -19.0 -10.9 -1.4 -8.9 201.8 DJ US MBA Mortgage Survey Table Of Current Interest Rates Change in Contract Rate (bps) Effective Total Contract 1 Week 4 Weeks 1 Year Rate Points Rate Ago Ago Ago 30-Year Fixed 6.74 1.20 6.50 1 9 55 15-Year Fixed 6.46 1.16 6.17 2 11 66 7-Year Balloon 6.67 1.42 6.32 8 16 69 5-Year Balloon 6.92 1.32 6.59 4 18 75 ARM, 1-Yr Tsy 6.18 0.84 5.97 1 32 169 FHA 203 (b) 6.60 0.94 6.44 2 11 35 All rates except FHA 203(b) are for 80% loan-to-value mortgage. (END) Dow Jones Newswires 04-12-06 0700ET

To: NOW who wrote (49568)	4/12/2006 11:25:36 AM
From: mishedlo	Respond to of 116555

U.S. trade gap narrows sharply in Feb. to $65.7 bln WASHINGTON (MarketWatch) -- The U.S. trade deficit narrowed by 4.1% in February to $65.7 billion, the Commerce Department said Wednesday. The trade deficit was below the consensus forecast of Wall Street economists of a deficit of $67.3 billion. Both imports and exports declined in February, but imports had the bigger drop. The U.S. trade deficit with China was $13.8 billion in February, the smallest gap since March 2005.

To: NOW who wrote (49568)	4/12/2006 11:52:23 AM
From: mishedlo	Read Replies (2) \| Respond to of 116555

Saudi Aramco boosts drilling efforts to offset declining fields Dubai (Platts)--11Apr2006 p088.ezboard.com Saudi Aramco's mature crude oil fields are expected to decline at a gross average rate of 8%/year without additional maintenance and drilling, a Saudi Aramco spokesman said Tuesday. But Saudi Aramco has taken a number of measures to offset a decline in output from the country's aging oil fields, the spokesman added. "A variety of remedial activities are always being taken in oil fields influencing their effective decline rates," the spokesman said. "The drilling of additional development wells in the producing fields is Saudi Aramco's standard practice to offset normal declines of older wells." This is particularly important when oil fields are progressively depleted under a well thought out strategy of maximizing the sweep and displacement efficiencies, leading to high ultimate oil recovery, the spokesman said. "This maintain potential drilling in mature fields combined with a multitude of remedial actions and the development of new fields, with long plateau lives, lowers the composite decline rate of producing fields to around %," the spokesman said. Underscoring these efforts, Saudi Aramco signed two contracts with J. Ray McDermott Middle East and McDermott Arabia Company Ltd, subsidiaries of J. Ray cDermott, to detail design, procure, fabricate, transport and install ffshore facilities for the Maintain Potential and Khursaniyah Upstream ipeline programs, Saudi Aramco said April 6. The first contract includes two drilling support structures in Zuluf field to be installed in December 2006 and one new wellhead production platform in the Central Safaniya oil field to support onstream start-up in May 007, Saudi Aramco said. Three additional wellhead platforms will be installed in the Central Safaniya and Zuluf fields by December 2007. New associated flowlines will onnect these platforms to existing offshore tie-in (manifold) platforms. To support increasing production in the Central Safaniya field, a new tie-in platform (Safaniya TP-18) will also be engineered, procured, fabricated and installed by December 2007, along with a 24-inch trunkline between it and a subsea connection on the new 42-inch trunkline flowing to the onshore Safaniya GOSP-1, installed under a separate contract. The second contract is associated with the subsea portion, some 22 km (14 iles) long, of the 30-inch gas pipeline from Abu Ali Island to an onshore ite at Khursaniyah to be installed by May 2007. This subsea portion is part of the new 66 km BKTG-1 pipeline that will transport 220 million cubic feet/day of gas from Abu Ali Plant to Khursaniyah Gas Plant.

To: NOW who wrote (49568)	4/12/2006 12:12:16 PM
From: mishedlo	Read Replies (1) \| Respond to of 116555

Hot Homes Get Cold In Once-Booming Markets Such as the Florida Coast Housing Sales Languish Todd Linsley, a 37-year-old investor, bought a three-bedroom house in Stuart, Fla., for about $318,000 in late 2005. His original plan was to quickly flip the property -- which is in a new housing development about 40 miles north of West Palm Beach -- by selling it for as high as $425,000. But when he saw that the market was turning, he decided to list the home for $379,900. It's been on the market since early January with no takers. Mr. Linsley says home builders keep discounting unsold houses in the neighborhood -- sometimes axing as much as $100,000 off the original asking price. He says he can't afford to go that low. "If I got in a jam I would have to drop the price, but I am not at that point," he says. So now he's renting his investment house out for $1,000 a month, while paying a $2,045 monthly mortgage and a $108 monthly homeowner's association fee. "My Plan B was always to rent it out. I am not going to lose my shirt," says Mr. Linsley, a salesman for a medical-products company. .... .... Despite the current turmoil, some Floridians remain bullish, including Stuart Miller, the chief executive officer of Miami-based Lennar, one of the largest home builders in the U.S. But Mr. Morgan, the broker, says for him the market has slowed considerably. He wrote in an email late last week that "we went three days this week with not a single showing. That's incredible. I have 35 listings. We usually get 2-6 showings a day....I received more desperate calls from sellers than ever. One lady broke down into tears. Her husband bought two investment properties, and they are now going to lose their 'life savings' if they sell the homes in today's market." online.wsj.com It's fun beating the WSJ to a story Mish

To: NOW who wrote (49568)	4/12/2006 1:54:53 PM
From: mishedlo	Respond to of 116555

Russian firms buy into Plug $217M influx will help fuel-cell maker speed product development timesunion.com

To: NOW who wrote (49568)	4/12/2006 1:58:21 PM
From: patron_anejo_por_favor	Read Replies (5) \| Respond to of 116555

>>I mean, what exactly does it take to get a rise out of the media industrial complex these days? A nuclear first strike against a major Middle Eastern oil producer doesn't ring the bell? Must every story have a missing white woman in it before the cable news guys will start taking it seriously?<< ROTFL, so true, so true. If we have a "free press" these days then Kristofferson was absolutely right. "Freedom" IS just another word for nothing left to lose!

To: NOW who wrote (49568)	4/12/2006 4:51:53 PM
From: shades	Respond to of 116555

We're the global sheriff, after all – Gary Cooper in a big white hat. I like that other GC - gary coleman in the big white hat better! Timmy Townsend: island-fever.com He showed me violence is the way: members.tripod.com Gary Coleman pleaded innocent August 25 to charges he clocked an autographer seeker in Hawthorne, California. Coleman is accused of going pugilistic on the woman, Tracy Fields, in a July 30 dispute over his John Hancock. Fields, a bus driver, asked Coleman for his signature while he shopped for a bulletproof vest. When Coleman declined, Fields reportedly cracked something to the unkind effect of, "Well, I guess that's why you're not famous anymore." By way of retort, Coleman allegedly punched Fields. He faces misdemeanor assault and battery charges -- not to mention a $1 million civil lawsuit filed by Fields August 4. The full-grown woman claims she suffered headaches and muscle spasms following her run-in with the four-foot-eight-inch titan. His sister showed me Drugs are another way: franksreelreviews.com