Page Perry’s Market Monitor – December 3, 2009


There have been various developments over the past several weeks which investors may consider relevant in allocating their resources or evaluating alternatives that are available to them. Some of the more significant developments include, but are not limited to, the following:

  • The Dow Jones Industrial Average opened the week at 10,310 and, on Monday, the market jumped 35 points.
  • On Tuesday, the Dow Jones Industrial Average surged 127 points.
  • On Wednesday, the Dow Jones Industrial Average dropped 19 points.
  • On Thursday, the Dow Jones Industrial Average tumbled 87 points.
  • On Friday, the Dow Jones Industrial Average rose 23 points and closed the week at 10,389.
  • More than four billion jobs have been lost in the U.S. in 2009.
  • R.J. Reynolds Tobacco announced that it was offering buyouts to 1,800 factory workers in North Carolina.
  • The New York Times said it may have to lay off more newsroom employees. These cost-cutting measures by media firms will undoubtedly have an impact on both the quality and amount of news available to the American public.
  • Payroll company ADP Employer Services reported that an estimated 169,000 jobs were eliminated in November.
  • According to USA Today, more and more unemployed Americans are trying to find work as day-laborers, a segment of the workforce that has been dominated by illegal immigrants.
  • CNN Money reports that the unemployment rate among African-Americans currently stands at 15.6%.
  • Mark Zandi, chief economist at Moody’s, says “The housing crash is not over.” He expects foreclosures to rise in early 2010 with an attendant decline in home prices.
  • Scott Rothstein, once a high-flying Florida attorney, was arrested on charges that he orchestrated a $1 billion Ponzi scheme.
  • A Minnesota businessman was convicted of operating a $3.5 billion Ponzi scheme.
  • Bank of America announced that it intends to repay $45 billion in TARP funds which it received from the government.
  • More retail customers are paying cash for their holiday purchases this year and credit card charges are down. This news may bode ill for retailers who were hoping for a breakout holiday shopping season.
  • Online sales for major retailers were up 5% on “Cyber Monday” according to the Wall Street Journal.
  • Many continuing-care retirement communities have filed bankruptcy in recent months causing hardship for many senior citizens and their families.
  • Several positive reports were released this week indicating improvement in the construction and manufacturing sectors of the economy.
  • Banking regulators closed five more banks this week increasing the total number of banks closed this year to 130.

Page Perry’s Market Monitor is published periodically to give investors an overview of certain recent developments impacting the economy and/or the investment markets.