JP Morgan bankers to share $10bn bonus pot after profits leap with free FED money.

JP Morgan bankers to share $10bn bonus pot after profits leap with free FED money.
Claw back excessive profits which are nothing but a handout from investing free taxpayer money at zero risk.

Sarah Palin needs to stop talking about herself because it shows she is stupid and insensitive. A congresswoman has had a bullet shot through her head and no one at this moment cares if leftists offended Sarah.

World Markets:
Asian markets show caution. China's markets declined 3% Monday in a sharp selloff. European stimulation puts cash into the stock markets to try to improve asset values and make reserves appear larger than they otherwise would be.

Business trends
Last Friday
CPI Dec increased at 6%/yr rate after a 1.2% rate last year
Core CPI Dec steady at up 0.1%
Retail Sales Dec up only 0.6% after a 0.8% gain the previous month, or half what was predicted.
Retail Sales ex-auto Dec up 0.5% down from 1.2% last month. Also disappointing.
Industrial Production Dec improved to 0.8% from 0.4% last month
Capacity Utilization Dec at 76% up from 75.2% last month
Mich Sentiment Jan down significantly to 72.7 from 75.2 last month.
Business Inventories Nov down to 0.2% from a 0,7% increase the last month.

Today
Jan 18 8:30 AM Empire Manufacturing Jan
Jan 18 9:00 AM Net Long-Term TIC Flows Nov
Jan 18 10:00 AM NAHB Housing Market Index Jan

This Week:
Jan 19 7:00 AM MBA Mortgage Purchase Index 01/14
Jan 19 8:30 AM Housing Starts Dec
Jan 19 8:30 AM Building Permits Dec
Jan 20 8:30 AM Initial Claims 01/15 -
Jan 20 8:30 AM Continuing Claims 01/08
Jan 20 10:00 AM Existing Home Sales Dec
Jan 20 10:00 AM Leading Indicators Dec
Jan 20 10:00 AM Philadelphia Fed Jan
Jan 20 11:00 AM Crude Inventories 01/15

Market Outlook Jan 18, 2011

Currently investors remain at historic levels of optimism, although there were very few to be found actually investing in recent weeks. Most are already fully invested. Short Selling Against S&P 500 Companies is at a one-year low, lower than before the May Flash Crash.

By mid year we expect state and federal worker layoffs because the socialists have not put their government houses in order and the Tea Party wants smaller government. Raising taxes would allow states go even deeper in the hole with union contracts and tip into default. Many predict a major sell off at mid year when several individual states also are in budget crisis. But typically the stock market is six months ahead of economy. QE2 ends mid year but that is likely to be extended.
Foreclosures to Push Home Prices Down another 5% in 2011according to RealtyTrac

World Markets
Asian markets were flat last night. China's market was up 0.1%, Hong Kong down -0.1%, India up 1.1%, and Japan up 0.2%,

European markets are up this morning in a range of about 0.4% to 1.1% half way through their day.

US pre-market futures are down about -0.1 % at 9:30 AM EST.