Falling energy prices sent the Consumer Price index down -0.7% in January, while prices less food and energy fell -0.2%. On a year-over-year basis, the CPI rose 0.2% overall, while the core rate rose 1.6%.
Durable goods orders rose 2.8% in January, mainly on civilian aircraft orders, as orders less transportation rose 0.3%. On a year-over-year basis, orders are up 5.4% overall, while non-transportation orders are up 4.5%.
The Federal Housing Finance Agency (FHFA) House Price Index rose 0.8% in December, which is 5.4% higher on a year-over-year basis.
Initial weekly jobless claims rose 31,000 to a 313,000. The 4-week average rose 11,500 to 294,500. Continuing claims fell 21,000 to 2.401 million.
The Bloomberg Consumer Comfort Index fell -1.9 points to 42.7 in the latest week.
The Fed’s balance sheet fell $-10.1 billion last week, with total assets of $4.487 trillion. Reserve bank credit fell $-14.5 billion.
The Fed reports that M2 money supply rose by $29.0 billion in the latest week.
fell 21,000 to 2.401
That’s the apparent intent of a BATFE proposal as it applies to 5.56 ammunition. The left, for years, has been trying to ban “assault weapons”, which are, essentially dressed up semi-automatic rifles. Assault weapons, as you might imagine are capable of fully automatic fire. Such weapons are already illegal without a very difficult to get permit.
Nevertheless, it is a long cherished dream of the left to implement gun control, because, well the key word is the second one – control.
So, having been absolutely and totally rejected when they tried to impose such laws, they’re decided to take what Marie Harf would surely characterize as “a more nuanced approach“.
As promised, President Obama is using executive actions to impose gun control on the nation, targeting the top-selling rifle in the country, the AR-15 style semi-automatic, with a ban on one of the most-used AR bullets by sportsmen and target shooters.
The Bureau of Alcohol, Tobacco, Firearms and Explosives this month revealed that it is proposing to put the ban on 5.56 mm ammo on a fast track, immediately driving up the price of the bullets and prompting retailers, including the huge outdoors company Cabela’s, to urge sportsmen to urge Congress to stop the president.
At issue is so-called “armor-piercing” ammunition, an exemption for those bullets mostly used for sport by AR-15 owners, and the recent popularity of pistol-style ARs that use the ammo.
The inexpensive 5.56 M885 ammo, commonly called green tips, have been exempt for years, as have higher-caliber ammunition that also easily pierces the type of soft armor worn by police, because it’s mostly used by target shooters, not criminals. The agency proposes to reclassify it as armor-piercing and not exempt.
But now BATFE says that since the bullets can be used in semi-automatic handguns they pose a threat to police and must be banned from production, sale and use. But, as Goodlatte noted, the agency offered no proof. Federal agencies will still be allowed to buy the ammo.
And, according the the article, there is no proof to provide. None exists.
Of course, the AR15 is one of America’s most popular weapons and hundreds of thousands of them, if not millions are in the hands of Americans. Certainly not a hard weapon for a criminal to get and use on police. However, they rarely do. They tend to eschew small caliber arms for those which have a bigger punch in a handgun.
So, logically, that makes little if any sense. As for the armor piercing capability, while I’m sympathetic to the point, a little proof of it being a problem would be helpful. To this point, everything I’ve read says it hasn’t been a problem to this point.
“This round is amongst the most commonly used in the most popular rifle design in America, the AR-15. Millions upon millions of M855 rounds have been sold and used in the U.S., yet ATF has not even alleged — much less offered evidence — that even one such round has ever been fired from a handgun at a police officer,” said Goodlatte’s letter.
Even some police don’t buy the administration’s claim. “Criminals aren’t going to go out and buy a $1,000 AR pistol,” Brent Ball, owner of 417 Guns in Springfield, Mo., and a 17-year veteran police officer told the Springfield News-Leader. “As a police officer I’m not worried about AR pistols because you can see them. It’s the small gun in a guy’s hand you can’t see that kills you.”
Another manufactured “crisis” and another “solution” which involves government using its coerscive power to ban something that a particular political ideology finds odious – beside you being free, that is. And, of course, it opens the door to more invented problems solved by more bans.
This is called “democracy”. One side gets enough votes to seize power and then they force their ideology on you – if not by legislative means, then by executive action. The document that is supposed to protect your freedom from government has been declared null and void. Your freedoms? Well, let’s just say that they’re up for interpretation depending on which faction is in power. But what is for sure is they’re eroded and will continue to erode under this system of politics. Government gets larger and more intrusive and as it does, it squeezes out your freedoms in the name of the “greater good”, or “for the good of police” or “the children” or whatever bit of gimcrackery they can use to attract enough votes.
Your freedom suffers the consequences.
The MBA reports that mortgage applications fell -3.5% last week, with purchases up 5.0%, but refis down -8.0%.
New home sales were little changed in January, at a better-than-expected 481,000 annual rate, nearly unchanged from December’s big jump of 8.1% to 482,000. Price concessions may have helped sales, as the median sales price fell 2.6% to $294,000.
A couple of economic notes and an environmental question.
On the econ side, unemployment. The Mercatus Center explains our current unemployment situation and why the “official number” is a feel-good fantasy:
In case you missed it, the real unemployment rate is in the 11% range. Also note that before the recession, we were at around 9%. We’re certainly doing better but why they continue to publish misleading numbers on the unemployment front is a mystery … oh, politics. Never mind.
It’s better to be lied to and feel good about it than to know the truth.
Also, as a followup, the $15 minimum wage in SF and Seattle continues to take victims. While neither has fully implemented the wage at present, its enough to push business owners into making decisions which are unlikely the intended consequence of the wage raise. We told you about Borderland Books in SF. Here’s an example from Seattle:
Cascade Designs, an outdoor recreational gear manufacturing company based in Seattle, announced it is moving 100 jobs (20% of the workforce) later this year to a new plant it is leasing near Reno, Nevada. The company has offered some employees positions in Reno, but others must reapply.
Founder John Burroughs and Vice Chair David Burroughs blamed Seattle’s new $15 minimum wage, indicating it “nudged them into action.” According to the owners, Seattle’s new minimum wage would “eventually add up to a few million dollars a year.”
Once established in Reno, you may see further moves. And:
The San Francisco Eater, a local publication following the city’s restaurant scene, predicts that the impact of the $15 minimum will likely lead many restaurants to close their doors this year. Abbot’s Cellar and Luna Park, popular locally owned restaurants, already made the decision to shut down. The owners both blamed the $15 minimum wage.
What’s $15 times zero?
Finally on the enviro front, where’s the outrage? From CATO:
Nicaragua’s plan to build an Interoceanic Canal that would rival the Panama Canal could be a major environmental disaster if it goes forward. That’s the assessment of Axel Meyer and Jorge Huete-Pérez, two scientists familiar with the project, in a recent article in Nature. Disturbingly, the authors point out,
“No economic or environmental feasibility studies have yet been revealed to the public. Nicaragua has not solicited its own environmental impact assessment and will rely instead on a study commissioned by the HKND [The Hong Kong-based company that has the concession to build the canal]. The company has no obligation to reveal the results to the Nicaraguan public.”
In recent weeks we have seen similar opinions aired in the Washington Post, Wired, The Economist, and other media. In their article, Meyer and Huete-Pérez explain how the $50-billion project (more than four times Nicaragua’s GDP), would require “The excavation of hundreds of kilometres from coast to coast, traversing Lake Nicaragua, the largest drinking-water reservoir in the region, [and] will destroy around 400,000 hectares of rainforests and wetlands.” So far, the Nicaraguan government has remained mum about the environmental impact of the project. Daniel Ortega, the country’s president, only said last year that “some trees have to be removed.”
Some trees?! Where are the enviros whackos on this?
Interestingly, despite this potential massive threat to one of the most pristine environmental reservoirs in the Americas, none of the leading international environmental organizations, such as Greenpeace, Friends of the Earth or the Sierra Club, has issued a single statement about the Nicaragua Canal.
We know for a fact that this is not out of lack of interest in Central America. After all, some of these organizations were pretty vocal in their opposition to CAFTA. Why isn’t the Nicaragua Canal proposal commanding the attention of these international environmental groups?
Why? Because as Insty points out, “commies get a pass” on this sort of thing.
Redbook reports that last week’s retail sales slowed to 2.8% on a year-ago basis, from the previous week’s 3.2%.
The S&P/Case-Shiller 20-city home price index rose 0.9% in December, with prices up 4.5%, year-over-year.
A strong rebound in new work helped boost to Markit’s PMI Services Flash for February 3 points to a 4-month high of 57.0.
The Conference Board’s consumer confidence index fell -7.4 points to 96.4 in February.
The Richmond Fed Manufacturing Index shows no change in manufacturing activity in the Mid-Atlantic District, with the index at 0 for February.
The State Street Investor Confidence Index fell -1.5 points in January to 105.2, with weakness centered in Europe as uncertainty about Greece continues.
He’s been called a “scientist” for years, but his training is in industrial engineering. He’s about as much a climate scientist as I am. However, we’ve been constantly told that he and the IPCC speak for “science” when it comes to “climate change”.
Well, today he stepped down, submitting his resignation amid allegations of sexual harrassment.
I’m talking about Rajendra Kumar Pachauri, of course. Head of the IPCC that has published scare warnings for years, few if any of which have come true.
So why is an industrial engineer seen as some sort of an authority on climate?
Well it’s not because of his academic credentials, that’s for sure. Instead, its for his leftist credentials:
‘For me the protection of Planet Earth, the survival of all species and sustainability of our ecosystems is more than a mission. It is my religion and my dharma.’
In other words, his “science” is faith based.
And, the left says we should take him seriously … because, you know, “the science is settled”.
‘One of the most powerful religions in the Western World is environmentalism. Environmentalism seems to be the religion of choice for urban atheists.’
Anyone – do you really believe an actual climate scientist will be recruited to fill the job?
The Dallas Fed Manufacturing Survey stayed in negative territory in February, falling for the second straight month, down -6.8 points to -11.2.
The Chicago Fed National Activity Index was positive in January, coming in at 0.13, vice -0.05 in December.
Sales of existing homes in January fell a sharp -4.9% to an annual rate of 4.82 million. That’s the lowest rate since April, 2014.
It appears as the climate alarmists and our political betters pursue global warming (with the “big meeting” in December of this year), some scientists are much more concerned about global cooling.
Why? Uh, the Sun?
“The main driver of all weather and climate, the entity which occupies 99.86% of all of the mass in our solar system, the great ball of fire in the sky – has gone quiet again during what is likely to be the weakest sunspot cycle in more than a century,” echoes vencoreweather.com. “Not since cycle 14 peaked in February 1906 has there been a solar cycle with fewer sunspots. We are currently more than six years into Solar Cycle 24 and today the sun is virtually spotless despite the fact that we are still in what is considered to be its solar maximum phase.”
“There have been two notable historical periods with decades-long episodes of low solar activity,” continues vencoreweather.com. “The first period is known as the “Maunder Minimum”, named after the solar astronomer Edward Maunder, and it lasted from around 1645 to 1715. The second one is referred to as the “Dalton Minimum”, named for the English meteorologist John Dalton, and it lasted from about 1790 to 1830.
“Both of these historical periods coincided with below-normal global temperatures in an era now referred to by many as the “Little Ice Age”.
“If this trend continues for the next couple of cycles, then there would likely be more talk of another “grand minimum” for the sun.”
This, of course, will be roundly ignored in December when the “world” meets to decide on how to address …
global warming climate change. Because the conclusion has been determined before the meeting. The meeting is about how much to charge you for fixing this nonexistent problem and how to divide up the loot.
Back in the 90s, I worked for a now-defunct radio station, KMNY AM 1600, in Pomona, which went by the name “Money Radio”, and was the main business and financial news radio station in Los Angeles. From 9am-1pm every weekday, I did a program called “The Business Day”. Recently, I found several cassette tapes of various interviews and special reports I did at Money Radio from 1994 to 1996. Some of the material is the broadcast version, some of it is the raw interviews.
I’ve decided to digitize them, since they are all 20 year-old cassette tapes, and are really at the end of their useful lives. In fact, one of them broke simply by rewinding it, forcing me to repair it, something I haven’t had to do for years.
A couple of things leap out at me as I re-listen to the cassettes while recording them to MP3 format:
1. I’m not sure why my voice was so high. I think it’s a tape speed issue. Some of these sound like a frickin’ Mickey special on Radio Disney.
2. I’m surprised at how many of the issues are still relevant, and are almost unchanged from 20 years ago.
3. I don’t remember cassette sound quality sucking so bad at the time. Digital fidelity has made cassette sound quality appear awful. I think it’s because a) the cassettes are so old and b) the station used really crappy cassettes for air checks, so the sound probably wasn’t that great in 1995.
Anyway, I thought you might be interested in a taste of the stuff, So here’s some links to the digitized files. Most of these are 42-ish minutes long, as they are mainly 1-hour programs without commercials. There are some pauses between each segment of the hour.
1. An interview I did with then-Labor Secretary Robert Reich. This is the raw interview I did in the production studio, but it was broadcast exactly as recorded, with only a broadcast intro and outdo added to the interview when aired on 4/19/95. Link
2. Reform in Congress, broadcast on 6/17/94. Link
3. A collection of weekly interviews from 1995-1996 with Roger W. Robinson, President of RWR, Inc., and former Chief Economist for the National Security Council under Ronald Reagan. He was always a fascinating guy to talk to. The collection starts with an interview done on about 10/25/95. Link
4. Smoking and the tobacco industry, broadcast on 6/17/94. Link
5. The economy with Dr. J.S. Butler, aired on 9/4/95. Link
6. Inflation, aired on Thanksgiving Day, 1994. Link
7. Foreign affairs with Roger W. Robinson, aired on 2/19/96. Link
8. Tort reform, aired on 12/2/94. Link
9. International trade, with Dr. Henry Nau, aired sometime in 1995. Link
NON-MONEY RADIO BONUS TRACK
I also have some even older stuff. Now this one is short, and has nothing at all to do with politics or economics. It’s what you heard if you were listening to me on the Canadian Forces Network in Brunssum, the Netherlands, at 8 o’clock on the morning of Saturday, 27 April, 1991. It’s the oldest air check I can find, so far. I edited out the music breaks, so it’s mainly my interstitials. I notice the sound quality on my CFNB air checks is way better than my KMNY ones. Probably because I didn’t use shitty cassettes when I made them. This is Memorex, baby. Link
Dietary guidelines – the Washington Free Beacon got a triple Drudge link yesterday pointing to an article on the new USDA guidelines for making sure we’re being good little tax payers and can continue to be good little tax payers (until we get to be 75, at which point we should just die so as to prevent being a burden on society and our families).
Obviously someone in the Drudge organization wanted to get attention on this yesterday, but not as a red-letter item. However, it has or had, three links to it, which I always view as meaning they understand people click for reasons of personal interest, and they provided three reasons, all of which to me boiled down to ‘hey, you kinda concerned about government intrusion into your personal life????’.
What all three links jumped to is a high level review of the new Dietary Guidelines recommendations that the USDA is unleashing on us.
I’m (actually) going to review the PDF from the USDA in detail but the highlights of the article show some scary possibilities for connections at a high and obvious level.
Considering right off the top of my head, the beautiful union of what I call the Affordable Insurance Scam (ACA/Obamacare), and Net Neutrality rules:
the government thinks it can monitor pretty much anything you do to your body on the theory that they’re now helping to pay for your healthcare. So they recommend ‘trained interventionists’ will help out at work sites, food sites, businesses, schools, the community….to help you manage your weight problem.
and…tax increases, of course, because it’s essential we keep Moloch’s fires burning ya know….so they’re recommending sin taxes on desserts (yeah, seriously) and I’m sure soda, and chips, and yeah….
And finally the USDA thinks it’s a good idea to monitor our ‘screen time’ to see if we’re spending too much time sitting in front of a TV or, I’ll wager, a computer, kindle, cell phone.
Sure, I could be reaching, but I’m fairly sure it will eventually tie to the recent drive they have in saving our Internet with Net Neutrality regulations. I say I could be reaching, but they said that when we observed the nanny state would soon outlaw transfats too. Open the gate, they’ll see a need to come on in.
If you’re still using dead tree products to read of course you’ll be okay. They probably think it more healthy to remain sedentary reading a book for 5 hours than it is remaining sedentary viewing information from a screen for 5 hours. Probably because they figure Americans just don’t DO that.
Which is part of the reason we’re where we are today really. We’re proving we really are morons.
So, here’s the USDA recommendations.
And those recommendations even on the surface scare the crap out of me because unlike the good old days when the government could ‘recommend’ things, now they don’t recommend, they use their power over the national purse, over business regulations, over utility regulations, and the power of tax enforcement to ‘recommend’ things by way of financially punishing us to help correct our erroneous (not in agreement with what they want) ways of thinking and acting in our private lives.
We’re not quite there, yet, but data gathering is a tool, a resource, and a creepy way of watching everything you’re doing if you’re not using cash for your purchases. Your WalMart purchase doesn’t just show dollar amounts to the world.
“I see you bought 3 pounds of cane sugar, 2 lbs of butter, 2 dozen eggs, 2 gallons of fat milk, and 10 lbs of refined white flour…..why?”
Not there yet, but the capability is there, and all that has to happen is someone like the Obama administration decides they can regulate to the businesses that they need that information for health care purposes.
Oh, and don’t reflect on over 40 years of being told, by this same government, that refined grains were great for you, or that dietary cholesterol was really bad for you.
All in all, it’s working out to be pretty twisted but not really that surprising given our betters view on who’s in charge here and who works for who.
I’m pretty sure Khrushchev and Brezhnev and the rest of the Homburg hat wearing politburo weren’t necessarily worried about your diet as long as you kept your head down, kept quiet, and did your part like a good little soviet comrade.
Excuse me, is that tiramisu you’re eating there Winston?