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For the Week of September 14th

09/14/2009

Monday September 14 - President Obama's speech to Wall Street at Federal Hall
Glad to see that the President watches Fast Money! - scroll down to my post dated September 1st (A quiet summer Friday night on Fast Money, not so Fast). Expect President Obama to lay out his regulation agenda for the Street.

Tuesday September 15 - PPI
Expect further "deflation" declines in prices paid to factories, farmers, and other producers, year-on-year. YOY they were down 6.8% last month; for this month, a marginal improvement to only down 5.3%. Month-on-month in August was +2.6%. This month, looking at month-on-month for +2.2%. The modest increase in prices is due to higher commodity costs.

Wednesday September 16 - CPI and Industrial Production
CPI - The cost of living probably marginally rose 0.3% month-on-month and fell 1.7% year on year, offering further evidence that the Fed fight needs to continue to focus on deflation, not inflation.

Industrial Production - modest rise to 0.6% from 0.5% last month. Last month's increase was the first in 9 months. We need a second consecutive positive month to support the turnaround story in output for manufacturers.

Thursday September 17 - Housing Starts
479,000 was the trough back in April. Let's continue to hope the modest uptrend remains intact. Last month's figure was 581,000. We need above 610,000 to get excited and keep the momentum going.

Just a quick note - start thinking earnings folks; Just like the MLB playoffs, earnings begin in early October

The pending healthcare legislation "will not" be the catalyst to unravel the current rally.

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