Apr 7, 2011, 11:37 am EDT
Obama, Reid and Boehner just came out of another emergency budget meeting to head off a government shutdown … but STILL no agreement!
Will they finally make a deal when they meet AGAIN at 7 p.m. tonight?
Maybe they will; maybe they won’t. Either way, we — the American people — will continue to pay the price for our leaders’ incompetence and cowardice. Read
Apr 7, 2011, 11:18 am EDT
Top defense contractors are bracing for turbulence if Congress fails to reach a deal to fund the federal government by a midnight Friday deadline.
While shares of many of the top 10 U.S. defense contractors, including Lockheed Martin (NYSE:LMT), Northrop Grumman (NYSE:NOC), Boeing (NYSE:BA), and Raytheon (NYSE:RTN), holding steady on Thursday, it could be the calm before the storm. Federal government contracts generated more than $65.5 billion in revenue for the top 10 U.S. defense companies in 2010.
That means any government shutdown that lasts for more than a few days is likely to throw a monkey wrench into the contractors’ second-quarter revenue. Read
Mar 31, 2011, 1:05 pm EDT
Following last year’s sweeping overhaul of the nation’s health care system, many pharmaceutical industry followers predicted Big Pharma would be one of the key winners. Conversely, experts predicted ObamaCare would have dire consequences for insurance industry stocks.
While it’s still early in the game, just the opposite has occurred.
In the case of the health insurance stocks, the reality of the law’s impact has proved to be far less onerous than expectations. The fact is, passage of the law removed the uncertainty hanging over shares of the insurance stocks. Once the dark clouds dissipated, investors saw an opportunity and jumped aboard. Their enthusiasm is reflected in the collective 15% increase in the industry’s shares during the past year. Read
Mar 31, 2011, 11:18 am EDT
The natural gas industry got a big bounce on Wednesday as President Obama said its potential as a clean energy alternative to oil is “enormous” and federal incentives to expand the use of natural gas in vehicles are “an area of broad bipartisan agreement.”
It didn’t hurt that Obama also vowed to slash U.S. oil imports one-third by 2025.
Natural gas shares jumped on the news: Range Resources (NYSE:RRC) gained nearly 3%, as did Chesapeake Energy (NYSE:CHK). Cabot Oil & Gas (NYSE:COG) rose 5.5%, Southwestern Energy (NYSE:SWN) added 1.7%, EQT (NYSE:EQT) rose 1.7%, and Exxon Mobil (NYSE:XOM) rose 1.4%. Read