Enough bad news…Here are some excerpts from an
article in the London’s “The Telegraph” from 23 October.
“Assumptions that the
Great Republic must inevitably spiral into economic and strategic decline - so
like the chatter of the late 1980s, when Japan was in vogue - will seem wildly
off the mark…
"The US was the
single largest contributor to global oil supply growth last year, with a net
395,000 barrels per day (b/d)," said Francisco Blanch from Bank of
America, comparing the Dakota fields to a new North Sea.
Total US shale output is
"set to expand dramatically" as fresh sources come on stream,
possibly reaching 5.5m b/d by mid-decade. This is a tenfold rise since 2009.
The US already meets
72pc of its own oil needs, up from around 50pc a decade ago.
"Made in America,
Again" - a report this month by Boston Consulting Group - said Chinese
wage inflation running at 16pc a year for a decade has closed much of the cost
gap. China is no longer the "default location" for cheap plants
supplying the US.
A "tipping
point" is near in computers, electrical equipment, machinery, autos and
motor parts, plastics and rubber, fabricated metals, and even furniture.
"A surprising
amount of work that rushed to China over the past decade could soon start to
come back," said BCG's Harold Sirkin. Farouk Systems is bringing back assembly of hair
dryers to Texas after counterfeiting problems; ET Water Systems has switched
its irrigation products to California; Master Lock is returning to Milwaukee,
and NCR is bringing back its ATM output to Georgia. NatLabs is coming home to
Florida.
Boston Consulting
expects up to 800,000 manufacturing jobs to return to the US by mid-decade,
with a multiplier effect creating 3.2m in total.
Volkswagen is investing
$4bn in America, led by its Chattanooga Passat plant. Korea's Samsung has begun
a $20bn US investment blitz. Meanwhile, Intel, GM, and Caterpillar and other US
firms are opting to stay at home rather than invest abroad.
Europe's EMU soap opera
has shown why it matters that America is a genuine nation, forged by shared
language and the ancestral chords of memory over two centuries, with
institutions that ultimately work and a real central bank able to back-stop the
system.
The 21st Century may be
American after all, just like the last.
Read more at…
S&P 500 was up 1% to 1242. The NTSM indicators for VIX & Volume both
improved.
The NTSM market analysis remains HOLD today.
I bought back into the stock market at S&P 500 1155 on 7 Oct after the 6 Oct NTSM buy signal. I remain 100% long in the long term portfolio (100% stocks in the 401k.). (See the page “How to Use the NTSM System” – the link is on the right side of this page).
