Corporate profits are fantastic—what's wrong with equity prices?

Today's revision to second quarter GDP brought with it our first look at corporate profits, and they were once again very strong, if not fairly spectacular. Not only were after-tax profits up over 9% relative to a year ago, corporate profits are now at an all-time record high of 10.1% relative to GDP. We've never seen anything like this.


http://scottgrannis.blogspot.com/2011/08/corporate-profits-are-fantasticwhats.html

Human gait could soon power portable electronics

August 24, 2011 by Editor

Shoe power (credit: Krupenkin, T. & Taylor, J. A.)

A new energy-harvesting technology that could capture the energy of human motion to power portable electronics has been developed by researchers at the University of Wisconsin-Madison.

http://tinyurl.com/4ygwjed

Grannis on Bank Lending Increase

http://scottgrannis.blogspot.com/2011/08/bank-lending-continues-to-increase.html

Record Low Mortgage Rates

30-yr fixed mortgage rates have never been lower than they are today, thanks to record-low yields on Treasuries, a weak housing market, and plenty of loanable funds sloshing around the world's capital markets. For all those who can qualify for a refi, this is one more opportunity of a lifetime.

http://scottgrannis.blogspot.com/2011/08/record-low-mortgage-rates.html

Smartphone Usage

The very hungry smartphone data user

By: Marguerite Reardon AUGUST 17, 2011 7:37 AM PDT

http://news.cnet.com/8301-30686_3-20093446-266/the-very-hungry-smartphone-data-user/?part=rss&subj=news&tag=2547-1_3-0-20&tag=nl.e703

Scott Grannis on Real Meaning of Todays Announcement

By indicating that it is likely to keep the federal funds rate "at exceptionally low levels ... at least through mid-2013," the Fed has done more with a few words than it could have done with a QE3, while avoiding the need to monetize more of the Treasury's voluminous debt issues. This is big news.

http://scottgrannis.blogspot.com/2011/08/real-meaning-of-todays-fomc.html

Scott has now added some additional thoughts:

http://scottgrannis.blogspot.com/2011/08/more-thoughts-on-fomcs-new-policy.html

One View of Consequence of Credit Downgrade

The greatest impact of the downgrade will be on the future course of U.S. politics, because the downgrade sets the ground rules for next year's elections. The question around which all political discussions will revolve for the next 15 months is this: is the U.S. government's fiscal problem one of too much spending, or insufficient taxation? This election will be about the proper role of government, and that is an issue that is long overdue to take center stage.

http://scottgrannis.blogspot.com/2011/08/downgrade-let-elections-begin.html

Finding a Lost Android Phone

Plan B to find a lost Android phone.  The steps/procedures referenced have not be tested here.

http://blog.mylookout.com/2011/02/planb/

As part of Lookout Labs, today we are releasing our first project called Plan B. Plan B for Android is the last resort to find your missing phone. Plan B is the first and only ‘find my phone’ app that you can download AFTER you’ve already lost your phone to locate it.

ADP Says 114K Private Sector New Jobs in July

The ADP "jobs addition" interpolation is strong (compared to other reports) again for July:

http://taxtechcpa.blogspot.com/2011/07/adp-jobs-survey-encouraging.html

(scroll down to reach link to July data)

A Cartoon View of Recent Developments

Potential Tax Stress In House Approve Debt Deal

By Kevin Drawbaugh

WASHINGTON | Mon Aug 1, 2011 6:02pm EDT

(Reuters) - If Congress passes the debt ceiling dealby Tuesday, as expected, it could trigger a battle over tax reform within weeks and turn Washington once again into a dateline for deadlock.

The deal calls for a 12-member special congressional panel to locate $1.5 trillion in budget savings by late November. Some panel members will push for the first major tax code overhaul in 25 years.

http://www.reuters.com/article/2011/08/01/us-usa-debt-tax-reform-idUSTRE7705ZY20110801