Weekend November 18 2012
As themarket move toward a final top, now slated to occur the first few months of 2013 (just as in 1973) we have evidence of a mixed mood.
Positive Mood
England's Norton Rose law firm merged with Houston's Fulbright & jaworski. The article also details other recent large law firm mergers. This crates a '3,800 lawyer behemoth with 55 offices around the world. The principals of course say that their global clients are driving the merger as more across the border work is done. Not really, positive social mood results in inclusionary actions. The extended period of better mood since March 2009 resulted in not one but two mergers by SNR Denton. There was plenty of across the border action in 2009 as well but no one was merging then. The mergers happen at SPX 1350, not 666.
Nike sells Cole Haan to Apax for $570 Million. Now there is a vote of confidence for you. cole Haan is a maker of expensive shoes. This is yet another example of first the desire to show off worldly goods as evidence of success. Have you noticed the Johnston and Murphy ads in the WSJ lately. Second it is an incredible bet by Apax, a hedge fund, that the good times will continue.
In watching the preliminaries for the Austin Grand Prix on Speed yesterday, I noticed some unexpected sponsors. Spanish banks may be in trouble but that's Santander on the wing of this race car. European
auto makers struggle but Renault is a major backer. Race tickets are sold out, the two hour race begins today at 12:30 CST on Speed. I mentioned this previously as a $300 million bet on positive mood. Meanwhile NASCAR tracks experience severly declining attendance.
Negative Mood
Hostess went bankrupt, again. The WSJ notes there were $52 Million in Workmen Comp claims in 2012 and a hornet's nest of regulations and union requirements. 18,000 union workers lose their jobs.
LAX workers threaten a strike over Thanksgiving.
And no the housing crisis is not over.
After months of rocket attacks by Hamas, Israel strikes Gaza. Just wondering, when does an attack or
retaliation become an out and out war?
British Intelligence confirms Iran Support for Syria. The reason is simple. Iran fears that if Assad falls the revolution spreads to Iran.
Connecting the dots, Tom Friedman suggests that toppling Assad without a ready replacement would lead to an endless civil war, especially without a strong man like America involved.
Now just run your eye over the last threelinks. We have the makings of much more than a Fiscal Cliff in the Mid East. In months to come expect
the Mid East never ending strife
Union strikes strikes in America
the Collapse of US cities and staes with bankruptcies already underway
the pending trillion dollar student loan melt down
a collapse in sky high real estate prices in developing economies, including Canada
all to displace positive mood stories like those listed above.
soaring entitlements like the food stamp program to dwarf whatever deal is made on the Fiscal Cliff.
The news is all here, the job of the socionomist is to point out the growing social mood change.
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