FedEx cuts outlook due to stalling global economy
FedEx says the global economy is stalling and will get worse. It says that the experts have underestimated the slowdown of exports from China. Because of the number of items it ships, Fed Ex is closely watched as a predictor of the economy. The Associated Press says the Fed Ex has lowered its economic growth to 2.2 percent in 2012 and 1.9 percent in 2013. It forecasts earnings of $6.20 to $6.60 per share compared to $6.90 to $7.40 previously. Fed Ex shares dropped 3 percent on Tuesday.
Bank of Japan eases monetary policy
The Bank of Japan took strong steps today to ease its monetary policy following recent actions by the Federal Reserve. According to the Wall Street Journal, the Bank of Japan decided to extend its own quantitative easing program to last until the end of 2013 and to add more than $1 trillion to the economy. Its actions are in alignment with other central banks. The decision was caused by a bleaker view of its assessment for the economy. Asian markets were up on the news while European markets remain mixed. The Dow closed up 11 points on Tuesday ending at 13,564.
Longshoreman strike threatens holiday sales
The National Retailers Association is indicating that it fears a strike of longshoreman may threaten retailers during the peak holiday shipping season, according to USAToday. The contract negotiations cover 15,000 to 20,000 workers from Maine to Texas who unload cargo from shipping containers. The strike could become a reality if agreement is not reached by September 30. Many retailers have already started shipping holiday items into their stores to precede the strike. If retailers are forced to find other ways to obtain merchandise, the consumers will ultimately bear the higher shipping cost.
Fiscal cliff tops European debt crisis as concern for investors
A monthly survey by Bank of America/Merrill Lynch of fund managers indicates that investors are more afraid of the US fiscal cliff than of the European debt crisis. CNBC indicates that 35 percent of respondents rated this as the largest risk, up from 26 percent in August. Managers indicate that investors are reducing their holdings in US equities in fear of the upcoming cliff, which will require significant budget cuts and raise taxes.
Alaskans get $878 in annual oil payout
The Alaska Permanent Fund will pay out $878 to each resident of Alaska this year. That’s less than the $1,174 paid out last year and significantly smaller than the payouts prior to 2006. According to USA Today, each resident of Alaska, who has lived there for more than one calendar year, is entitled to the annual payout. The Alaskan residents, who pay no state income tax, are deciding on whether to save the money, buy a new iPhone, or perhaps the smartest option…..vacation in Hawaii when the weather hits 30 below zero.
Macy’s gets $400 million makeover
Macy’s iconic flagship store, best known as the home of the Thanksgiving Day Macy’s Parade, is undergoing a $400 million makeover, to be finished in 2015. The store will add 100,000 feet to its existing 1.1 million square feet, according to the Associated Press. Critics indicate that the Beaux Art and Art Deco style is being scrapped for the modern “Apple Store” look. Some of the sections, such as the largest women’s shoe department in the world, are already complete.
Catherine S. McBreen is President of Millionaire Corner. McBreen plans and develops content for Millionaire Corner. Catherine balances editorial content to meet the informational needs of both new and seasoned investors. She designs special monthly surveys on topical issues affecting the economic environment.
McBreen has a B.S. in speech communications from Northwestern University and a J.D. from DePail University College of Law. She is a member of the American Bar Association, the Illinois Bar Association, and the Chicago Bar Association.
Well-known for her expertise in the affluent and retirement arenas, McBreen is a frequent speaker at industry conferences. She has been quoted widely by the financial media, including The Financial Times, The Wall Street Journal, Research, Private Asset Management, On Wall Street, Reuters, Bloomberg News, The Dow Jones Newswires and Worth. Cathy has appeared as a guest on CNBC Closing Bell, First Business Morning News, Neal Cavuto at Fox Business News, ABC and CBS radio.
McBreen is co-author with Spectrem President George H. Walper, Jr. of the book "Get Rich, Stay Rich, Pass It On: The Wealth-Accumulation Secrets of America's Richest Families" (Portfolio, January 2008)
Catherine is the mother of four and is involved in many school and community events.