Week March 25 2011 – Weekly Recap & The Week Ahead
Monday, March 28th, 2011“Stocks are super-attractive when the fed is loosening and interests are falling. In sum: Don’t fight the fed” — Martin Zweig
1. Oil climbs as coalition attacks Libya — no-fly zone has effectively been established over Libya, said Vice Admiral Bill Gortney from the Pentagon, and the coalition’s aerial attacks have driven back Gaddafi’s offensive against the rebel stronghold at Benghazi. The coalition, which includes the U.S., U.K., France, Canada, Qatar and several other nations, has amassed at least 25 ships off the coast of Libya.
2. Boeing successfully tests 747 — Boeing’s (BA) newest 747 passenger jet had a successful maiden test flight yesterday; assuming flight-test certification goes smoothly, Boeing expects to deliver the first of the jets by the end of the year.
3. Nissan to resume Japan production — Nissan (NSANY.PK) will become the first automaker to resume regular parts production and vehicle assembly in Japan following the country’s devastating earthquake.
4. Portugal bailout nears after PM quits— Portugal Prime Minister Jose Socrates resigned yesterday after the country’s parliament rejected a fourth austerity plan within a year. The move threatens to push already-high government borrowing costs to unaffordable levels and force Lisbon to seek a bailout.
5. Toyota to curb North America production after quake — Toyota (TM) expects to suspend manufacturing at some of its North American factories due to the shortage of parts from Japan following the devastating earthquake. The carmaker is unsure which facilities will be affected or how long the shutdowns will last.
6. China to tax rare earths — China will impose a tax on rare earth minerals, beginning April 1. The tax has been set at 60 yuan ($9.1) per ton of light rare-earth minerals, and 30 yuan per ton of medium-and heavy-rare earth minerals.
7. Sector Q1 Earnings Growth Estimates — according to Bespoke Investment Group, below is the chart of estimated year-over-year earnings growth for the first quarter for the ten S&P 500 sectors.
8. Fukushima No. 3 reactor core leaked — the core of the No. 3 reactor at Japan’s heavily damaged Fukushima Daiichi nuclear plant is likely the source of high-level radiation detected on Thursday, the government’s Nuclear and Industrial Safety Agency reportedly said Friday.
The week ahead — Economic data from Econoday.com: