Bernanke: Recent jobs reports are ‘disappointing’

bernanke speech

Forget that clever October jobs report. It wasn’t clever adequate to remonstrate Ben Bernanke to delayed a Federal Reserve’s impulse program.

The latest information uncover a economy combined an normal of 200,000 jobs any of a final 3 months — imprinting a remarkable dermatitis for a labor marketplace after months of weaker reports.

Immediately after a Oct news was released, Fed watchers started speculating that it might only be a good news a Fed has been watchful for: Would a Fed start circuitous down a impulse module during a subsequent assembly in December?

Now, it doesn’t sound like it.

In a debate Tuesday evening, Bernanke characterized that information as “somewhat disappointing.”

The Fed stands by a impulse program, he said, repeating comments that Vice Chair Janet Yellen delivered to a Senate Banking Committee final week.

“The FOMC stays committed to progressing rarely accommodative policies for as prolonged as they are needed,” Bernanke pronounced in prepared remarks.

The Fed is now intent in a third bond-buying debauch in a final 5 years, purchasing $85 billion in Treasuries and mortgage-backed bonds any month. It’s a argumentative process with different risks, though a aim is to kindle a economy by gripping long-term seductiveness rates low.

The executive bank is looking for estimable alleviation in a pursuit marketplace before it starts gradually shortening that bond-buying program.

Bernanke steady Tuesday

Article source: http://rss.cnn.com/~r/rss/money_latest/~3/OcYs2-_l-gk/index.html

Canadians lack insurance knowledge

(Special) – Replacement value, actual cash value, deductible, collision coverage, term and mortgage life insurance. These are relatively common-place components of modern-day insurance policies yet many Canadians don’t understand what these terms mean and don’t know whether they are adequately insured, reports by TD Insurance have found.

According to TD’s report on the state of insurance, while the majority of Canadians review their policies at least once a year, 52 per cent of them wouldn’t ask their insurance provider to clarify details they don’t understand in their policies because they think it is too complicated, they don’t have the time and are embarrassed by their lack of knowledge, or they simply aren’t interested in finding out.

Thirty seven per cent admitted they didn’t both to review or even skim over the fine print on their insurance policies. As a result, 23 per cent were upset to learn that they weren’t covered for something they thought was covered and 15 per cent were pleasantly surprised to find out they had more coverage than they thought.

David Minor, a vice president at TD Insurance, encourages people to regularly review their policies, particularly at renewal time or when they reach milestones in life and to talk to their insurance provider if there are things in their policies they don’t understand.

“If you come across conditions you are unfamiliar with in your policy there’s no need to feel embarrassed or daunted to seek help: Speak with your insurance provider whose job it is to clarify questions you have

Article source: http://money.ca.msn.com/savings-debt/yourmoney/canadians-lack-insurance-knowledge

Half of homeowners will retire with debt: poll

Half of homeowners will retire with debt: poll

A pedestrian walks past the Manulife building in Vancouver, B.C.,in a May 3, 2012 file photo. THE CANADIAN PRESS/Jonathan Hayward

TORONTO – About half of Canadian homeowners recently polled believe they’ll still be in debt by the time they retire.

A survey released Tuesday from Manulife Bank found that 49 per cent are confident they’ll still have some debt in retirement, including mortgages, compared with 51 per cent who say they anticipate being debt-free at that stage.

More than half (57 per cent) of those surveyed admitted that they were disappointed with the way they’ve managed their debt and day-to-day finances in the past year, even though more than three-quarters say being debt-free remains one of their top financial priorities.

The poll also found that the homeowners cite many strategies for tackling their debt.

Sixty-one per cent say they make extra payments on their debts, while two thirds say they always pay their credit card balance in full. Forty-three per cent say they have created a written budget to track their spending, while about a quarter don’t have any strategy at all but plan to come up with one in the new year.

The results from the semi-annual survey were from an online poll of 2,132 Canadian homeowners with a household income of more than $50,000, done between Sept. 10 to 20, 2013. The polling industry’s professional body, the Marketing Research and

Article source: http://money.ca.msn.com/savings-debt/yourmoney/half-of-homeowners-will-retire-with-debt-poll-1

Home prices will fall in next 5 years: report

Home prices will fall in next 5 years: report

For sale signs stand in front of a condominium September 27, 2011 in Montreal. THE CANADIAN PRESS/Ryan Remiorz

TORONTO – Sky high prices in the Canadian real estate market won’t be climbing for much longer, says a report by global rating agency Fitch Ratings.

The agency forecasted Tuesday that home prices across the country are in for a “soft landing” and will either flatten out or slightly decrease over the next five years. It estimates that current prices are overvalued by up to 26 per cent in some regions and could fall by as much as 10 per cent in some places.

Fitch Ratings said the Canadian economy will be exposed when this happens, as many homebuyers have financially stretched themselves to borrow for their home purchase and will be in for a shock once interest rates start to climb.

It noted a downturn in the housing sector will also impact jobs, as companies have scrambled to build new homes and push construction to record levels in recent years.

“With a high level of employment and individual net worth tied to the value of the housing stock, a housing downturn could have serious consequences for the overall economy,” it warned in the 12-page report.

Fitch Ratings said home prices have surged more than 130 per cent since 2001, outpacing income growth by more than 80 per cent.

Despite the anticipated decline, the

Article source: http://money.ca.msn.com/savings-debt/yourmoney/home-prices-will-fall-in-next-5-years-report

BoC says price gap narrows over time

OTTAWA – The Bank of Canada is weighing in on the problem of the Canada-U.S. retail price gap, suggesting the vexing phenomenon may not be as persistent, inevitable or irrational as it may seem.

In a speech to Mount Allison University in New Brunswick, the bank’s deputy governor, John Murray, acknowledges that the gap appears to defy exchange rate movements that have of late brought the loonie to near parity with the U.S. dollar.

But Murray says that is not evidence of a market failure — although it is not perfect — nor does it say that given enough time the price gap does not close as currencies gravitate toward parity. It just takes time for the adjustment to become apparent.

“Despite the large and persistent price gaps that are frequently observed between Canadian and foreign prices at the aggregate level, more detailed work suggests that deviations from the law of one price and purchasing power parity are not as large or as persistent as many believe,” he said.

“While significant price discrepancies exist, the reasons for them can largely be explained and are not evidence of serious market failure. Market forces are at work and are generally pushing prices and the exchange rate in the right direction.”

The finding is unlikely to provide comfort to the Harper government, which signalled in the throne speech last month that it was preparing new measures to combat the price gap. And it will likely be cold comfort to Canadian shoppers, whose frustration with price differences was noted

Article source: http://money.ca.msn.com/savings-debt/yourmoney/boc-says-price-gap-narrows-over-time-2

Passing the buck: The hidden costs of annuities


By Investopedia Staff

At one time, annuities may have looked like an ideal retirement vehicle: you put in a lump or periodic sum, the principal is “guaranteed” with an insurance benefit and the headline in the brochure claims you’ll receive “$4,000 a month for life” – this seems like plenty to live on in your golden years. However, annuities have somewhat lost their glow. There are several reasons for this, including:

Market performance.
“The fine print” on returns.
Hidden costs.

Every retirement vehicle (to be fair to annuities) has become less certain due to the less predictable, lower-returning mutual funds underpinning most of them. Annuities are no exception. Global uncertainty, brought on by the crisis in Europe and events such as the 2008 recession, is a good indicator of this fact. SEE: Build Your Own Annuity

Why Are Annuities Attractive?

For people absolutely disinterested in managing their own finances, annuities offered a simple menu. The participant must decide on only three things: lump or periodic inputs (contributions), deferred or immediate income, and fixed or variable returns. Many investors have chosen variable over fixed annuities at times, when roaring mutual funds usually mean high returns compared to the conservative and seemingly “safe” fixed option.

In the fine print, “fixed” usually means the returns will be re-evaluated in one to five years due to market variances. Contracts simply can’t guarantee 6% if the fund manager is only

Article source: http://www.myfoxny.com/story/24002894/passing-the-buck-the-hidden-costs-of-annuities

Butterball warns of large Thanksgiving turkey shortage

NEW YORK (MYFOXNY) –

There is a warning from the nation’s largest producer of Thanksgiving turkeys that there may be a shortage of those extra-large birds.

Butterball says many of its birds had trouble gaining weight. So the number of large, fresh turkeys will be a lot lower than usual.

Butterball announced that it will be shipping out half as many large, fresh never-frozen turkeys to retailers this year. The company says many of its birds had trouble gaining weight during the production process. And though the cause of the problem remains a mystery, food distributors say their orders for turkeys 16 pounds and bigger have been slashed in half. Sixteen pounds is the national average for Thanksgiving holiday turkeys making this shortage a particularly concerning problem.

Butterball released the following statement:

“Butterball and its retail partners have ample supply of frozen whole turkeys of all sizes – small, medium or large. While there may be limited availability on some larger sizes of fresh turkeys, Butterball has shipped 100 percent of customer orders of frozen whole turkeys and products are in distribution across the country. We experienced a decline in weight gains on some of our farms causing a limited availability of large, fresh turkeys. While we are continuing to evaluate all potential causes, we are working to remedy the issue. We sincerely regret the inconvenience that some of our customers have experienced as a result of this issue.

Butterball produces

Article source: http://www.myfoxny.com/story/23994180/thanksgiving-turkey-shortage-warning

8 things to know about a 2013 longhorn market

Dow 16,000? Who cares! 

Stocks have soared to new highs this year in a longhorn marketplace that shows no pointer of slowing.

The Dow rose above 16,000 for a initial time ever Monday. Not to be outdone, a SP 500 quickly rose above a never-seen-before 1,800 level.

The turn numbers are psychologically important, though they don’t tell a whole story.

Stocks have been rising usually all year. The Dow is adult some-more than 22% so distant in 2013, while a SP 500 has surged 26%.

Here are some some-more notable contribution about this year’s longhorn run.

Related: What can keep a convene going?

A tradesman is one of a best-performing stocks: Two quip stories are heading a SP 500 this year.

Best Buy (BBY, Fortune 500) and Netflix (NFLX) have both surged about 270% so distant in 2013. Best Buy has bounced behind from high waste in 2012 on hopes that a electronic retailer’s sales are branch around. Netflix is nearby an all-time high interjection to clever subscriber gains and raves for a strange content. The online video association was strike tough in 2011 after it lifted prices.

And a tradesman is a worst-performer: J.C. Penney (JCP, Fortune 500) is bringing adult a rear. Shares of

Article source: http://rss.cnn.com/~r/rss/money_latest/~3/5dU82tta0w0/index.html

Stocks: Stepping behind from record highs

SP futures 191113

Click draft for in-depth premarket data.

Investors were display signs of counsel Tuesday morning, a day after a Dow and SP 500 strike record peaks.

U.S. batch futures were circumference somewhat reduce forward of a opening bell.

Investors were available a series of corporate announcements, that could set marketplace direction.

JPMorgan Chase (JPM, Fortune 500) and a Justice Department are approaching to finalize a $13 billion settlement associated to a bank’s past debt practices. The allotment and proclamation could come as shortly as Tuesday.

Shares in Nokia (NOK) and Microsoft (MSFT, Fortune 500) could also pierce depending on a outcome of a opinion over Microsoft’s designed acquisition of Nokia’s mobile phone business. The sale is widely approaching to be authorized by shareholders.

On a gain front, firms including Best Buy (BBY, Fortune 500), Campbell Soup (CPB, Fortune 500), Dick’s Sporting Goods (DKS, Fortune 500) and Home Depot (HD, Fortune 500) are scheduled to news quarterly formula before a opening bell.

Related: Fear Greed Index

U.S. stocks finished churned Monday. The Dow Jones industrial average surfaced 16,000 for a initial time while a SP 500 quickly surpassed 1,800. But

Article source: http://rss.cnn.com/~r/rss/money_latest/~3/o9Ni-nI_DSs/index.html