The holiday shopping season got off to a surprisingly solid start, according to data released Saturday by a research firm. But the sales boost during the post-Thanksgiving shopathon came at the expense of profits as the nation's retailers had to slash prices to attract the crowds in a season that is expected to be the weakest in decades.

Sales during the day after Thanksgiving rose 3 percent to $10.6 billion, according to preliminary figures released Saturday by ShopperTrak RCT Corp., a Chicago-based research firm that tracks sales at more than 50,000 retail outlets. Last year, shoppers spent about $10.3 billion on the day after Thanksgiving, dubbed Black Friday because it was historically the sales-packed day when retailers would become profitable for the year.

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The construction industry, beset by one of the biggest drops in employment in the current economic downturn, could be poised for a rebound under President-elect Barack Obama's expected stimulus package.

Mr. Obama hasn't offered details, but anticipating a surge in public-works spending, investors bid up construction and engineering stocks. URS Corp., a San Francisco-based engineering and construction company, rose 34%, global giant Fluor Corp. rose nearly 17% and Granite Construction Inc., a domestic engineering company, rose 22%.

Steven Fisher, an equity analyst for UBS in New York, said that 11 engineering firms he tracks had lost, on average, two-thirds of their market value this year through Friday as big construction projects were delayed due to state and local budget concerns. But Monday, share prices for that group rose by an average of 16%, far outperforming the broader market.

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The Federal Reserve's attempt to stabilize the housing market set off a chain reaction across the U.S. on Tuesday, dropping interest rates and quickly spurring a burst of refinancing activity by borrowers eager to lower their mortgage costs.
Some brokers said it was the most activity they've seen in at least one year, although there was no way to determine the volume of refinancing.

At Bank of America Corp., call volume was roughly twice what was expected at call centers and via the Internet, said Matt Vernon, national sales executive.

"It's the folks who have been sitting on the sideline. They're jumping in with this news."

Rates on 30-year fixed-rate mortgages dropped by roughly half a percentage point to about 5.5%, for borrowers with good credit scores and substantial equity in their homes, say mortgage brokers and lenders.

While the initial flurry of calls came from people seeking to refinance, economists predicted lower rates also will spur some home buying among bargain-seekers. The surge in refinancing will help the overall economy by putting more cash in consumers' pockets and reducing the pressure on some borrowers struggling to make payments.

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Why all those Great Depression analogies are wrong.

By Daniel GrossPosted Saturday, Nov. 22, 2008, at 7:35 AM ET
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Over the last few days, I've had numerous emails from you asking: is the global financial system actually going to melt down? Will the various bailout packages on the table work?
Let's use those questions to dive into two of the five steps in the next-gen business construction kit we discussed here recently: how the macro landscape is changing, and what new DNA is.

Here's the good news. We're probably not in for a full-blown depression - one characterized by 25% unemployment, for example. We're probably in for a protracted period of stagnation and malaise. Japan's been going through one for the last two decades, and the Japanese banking crisis is the closest parallel to today's global pandemic.

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Agency to guarantee up to $1.4 trillion in banks' debt for more than 3 years, to add up to $500 billion to FDIC-backed deposits.WASHINGTON (AP) -- The FDIC will guarantee up to $1.4 trillion in U.S. bank s' debt for more than three years as part of the government's financial rescue plan.

The directors of the Federal Deposit Insurance Corp. voted Friday to approve the plan, which is meant to break the crippling logjam in

bank-to-bank lending.

The FDIC will provide temporary insurance for loans between banks - except for those for 30 days or less - guaranteeing the new debt in the event of payment default by the issuing bank.

The FDIC also will guarantee deposits in non-interest-bearing "transaction" accounts by removing the current $250,000 insurance limit on them through the end of next year. That could add as much as $500 billion to FDIC-backed deposits.

New York (CNN) -- Saying that moving quickly is imperative, President-elect Barack Obama on Saturday offered an outline of his economic recovery plan to create 2.5 million jobs by 2011, saying American workers will rebuild the nation's roads and bridges, modernize its schools and create more sources of alternative energy.

"These aren't just steps to pull ourselves out of this immediate crisis," Obama said in the weekly Democratic address, posted on his Web site. "These are the long-term investments in our economic future that have been ignored for far too long."

Details of the plan are still being worked out by his economic team, Obama said, but he hopes to sign the two-year, nationwide plan shortly after taking office January 20.

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Metro Inc. said on Wednesday fourth-quarter profit climbed more than 25% as the grocer benefited from fully integrated and rebranded stores in the highly competitive Ontario market.

Montreal-based Metro (MRU.A/TSX) said net earnings rose to $73.2-million (64 cents a share) in the three months ended Sept. 27, compared with profit of $57.6-million (49 cents) in the year-earlier quarter.

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DOW JONES NEWSWIRES
Ross Stores Inc. (ROST) posted an 18% rise in fiscal third-quarter net income, as inventory and cost reductions offset the impact of softening sales tied to the economic slump.

The discount retailer lowered its fourth-quarter and full-year outlooks, citing the deteriorating economic outlook, and said it expects heavy discounting during the holiday shopping season.

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NEW YORK (Reuters) – BJ's Wholesale Club Inc (BJ.N) posted a 24 percent rise in quarterly profit on Wednesday, helped by an increase in shoppers coming to its stores and stronger-than-expected results from its gasoline stations.

The No. 3 U.S. warehouse club operator forecast earnings for the current quarter, which includes the crucial holiday season, that could beat current Wall Street estimates.

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PHOENIX, AZ, Nov 19, 2008 (MARKET WIRE via COMTEX) -- PETM Quote Chart News PowerRating -- PetSmart, Inc. (NASDAQ: PETM Quote Chart News PowerRating) today reported net income of $35.8 million, or $0.28 per share, for the third quarter of 2008. That compares with net income of $29.5 million, or $0.23 per share, for the third quarter of 2007.

Net sales for the third quarter of 2008 increased 12.1 percent to $1.3 billion, compared to the third quarter of 2007. Comparable store sales -- or sales in stores open at least a year -- grew 5.4 percent in the third quarter, on top of 1.4 percent growth in the same period in 2007. During the third quarter, pet services sales were $127.8 million, up 15.2 percent from the third quarter of last year.

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GameStop (GME) proved that not even video games are immune to the economic turmoil slamming retailers, as it posted a 10% decline in third-quarter earnings and weighed in with disappointing guidance for the current quarter.

The company earned $46.7 million, or 28 cents per share, in the third quarter, down from $52 million, or 31 cents per share, a year ago.

GameStop’s revenue rose 5.2% in the third quarter to $1.7 billion, falling short of the $1.82 billion analysts had forecasted.

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Americans are eating out less, driving down restaurant profits

around the country.

But some eateries are doing better.

The first is McDonald’s, where profits grew 11 percent last quarter. A recession would seem to be good news for inexpensive food.

The second is a plucky, five-year-old community kitchen in Salt Lake City called the One World Cafe. Thanks in part to its pay-as-you-wish pricing policy, One World has seen its traffic grow by 15 percent this quarter.

Prices aren’t the only negotiable thing at One World. There’s no set menu, and diners choose whatever size portion they’d like. The restaurant also lets customers work off the cost of their meal by volunteering.

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Wal-Mart Stores Inc. reported that third quarter profits rose 6.6 percent compared to the same quarter a year ago, as the big-box retailer is one of the few in its industry not hurt by sagging consumer spending.
But Wal-Mart did say its fourth quarter projections could be hit by the stronger U.S. dollar, which could take away from international profits.

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Maybe Galen Weston is a better salesman than people thought.
Loblaw Companies Ltd. posted a 32.5 per cent jump in its third-quarter earnings, thanks in part to a 3.5 per cent rise in sales, the company said Thursday.
And part of the credit for that strong quarterly performance might be due to the bespectacled billionaire and his "aw shucks" television ads, trying to lure customers back to the grocery chain.
"Third-quarter performance showed some signs of progress towards our goal of becoming an effective selling organization," said Weston, who doubles as Loblaw's executive chairman.

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In a presidential campaign marked by bitter and often gratuitous negativity, Barack Obama campaigned on hope, painting the possibility of a better future. Millions across the U.S. and abroad were moved by his message.

Even amidst economic crisis and international turmoil, a shared sense of hope lifted and opened people's hearts, seeding their better dreams.

And with Obama's decisive win on November 4th, hope erupted into effusive joy. For millions of his supporters, dreams came true. "Yes, we can" morphed into "Yes, we did." Those highs will fade. Life goes on. Our daily routines - commuting, work, buying groceries, paying bills - eventually flatten such emotional peaks into foggy memories. Sobering us up further, we're told that economic times will get worse before they get better. Millions face or fear joblessness, lost homes, and more

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By Jim Christie
SAN FRANCISCO (Reuters) - California Democrats who control the state Assembly said on Tuesday they would push for a 120-day moratorium on foreclosures after mortgage default notices have been filed, compared with a 90-day stay proposed by Gov. Arnold Schwarzenegger.
The rival plans will be debated during special session of the state legislature that Schwarzenegger called last week to tackle a state budget shortfall that has widened to more than $11 billion because revenues have plunged amid recent financial market turmoil and the state's housing slump.
Some areas of California, the most populous U.S. state, are among the hardest hit in the nation by foreclosures stemming from risky mortgages such as subprime loans taken on during the state's booming homes market earlier this decade.

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Paulson says Treasury will broaden reach to include non-bank financial firms and seek out private capital to match U.S. funds.

NEW YORK(CNNMoney.com) -- Treasury Secretary Henry Paulson said Wednesday the government would broaden the reach of the $700 billion bailout plan to support non-bank financial institutions that provide consumer credit, such as credit cards and auto loans.

In this second stage of the bailout, officials also hope to attract private capital, possibly through matching investments, to give the government's injections more heft.

Paulson also said the government is no longer planning to buy troubled mortgage assets, the original goal of the plan. And officials are continuing to examine ways to help homeowners and slow the tide of foreclosures.

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SANTA CLARA, Calif. - Intel stock has fallen by half since its December high, so you’d expect the mood in the executive suite to be less than buoyant these days. But during a chat this week at the chip giant’s headquarters, Intel sales and marketing chief Sean Maloney seemed unmistakably upbeat.

“We’ve been through downturns multiple times, so we’re sort of genetically set up to handle it,” Maloney said. “We accumulate cash in the good years, and that means we can then invest in the down times.”

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A new program aimed at homeowners who haven't defaulted yet could help 130,000 mortgage borrowers stay in their homes.

NEW YORK (CNNMoney.com) -- Citigroup says it will expand its foreclosure prevention efforts and try to keep 130,000 troubled borrowers with $20 billion in mortgages in their homes.

The news follows similar initiatives announced earlier this year by IndyMac Bank, which was seized by the Federal Deposit Insurance Corp. last summer, as well as Bank of America (BAC, Fortune 500) and JPMorgan Chase (JPM, Fortune 500) each of which heralded enhanced housing rescue efforts.

Banks are undoubtedly feeling pressured to be more aggressive in aiding home owners, given how many billions of taxpayer dollars have poured into the industry to stem the credit crisis.

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There are surely a lot of ways to answer “yes” to the question posed in the headline. The people who hate the financial industry, for instance, must be happy to see the bloodletting on Wall Street, as must those who simply enjoy a dose of schadenfreude now and again.
But I am thinking of a different kind of silver lining, one that may reach far and wide and have lasting positive effects.
First, let’s step back for a minute and look at a different kind of labor shakeup that happened more than 50 years ago. At the time, about 55 percent of all white female college graduates worked as schoolteachers. Why? Because teaching was one of the few professions that educated women had good access to.

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1.  Forget the myth that happiness is elusive and unattainable, and that it’s something that either happens or it doesn’t.  Being happy is a choice.
2.  Expand your understanding of health to include happiness.  Here’s a quote from Deepak Chopra, one of the world’s foremost experts on the mind-body connection:

“Health is not just the absence of disease.  It’s an inner joyfulness that should be ours all the time - a state of positive well-being.”

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SIDNEY, Neb.--(BUSINESS WIRE)--Oct. 30, 2008--Cabela's Incorporated (NYSE: CAB), the World's Foremost Outfitter(R) of hunting, fishing and outdoor gear, today reported financial results for its third fiscal quarter ended September 27, 2008.

Total revenue for the third quarter of 2008 increased 11.9% to $611.8 million compared to $546.8 million for the third quarter of 2007. Net income for the third quarter of 2008 was $9.7 million, or $0.15 per diluted share, compared to $13.2 million, or $0.20 per diluted share, for the third quarter of 2007.

In the third quarter of 2008, retail store revenue increased 27.5% to $328.0 million with a same store sales decrease of 9.0%; direct revenue was $241.2 million; and financial services revenue was $41.9 million.

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CHICAGO, Oct 30 (Reuters) - CVS Caremark Corp (CVS.N: Quote, Profile, Research, Stock Buzz) posted a higher third-quarter profit on Thursday and said it expects growth this quarter as consumers continue to buy medications even if they skip doctor visits to save money.

CVS, which was also closing its acquisition of Longs Drug Stores Corp LDG.N on Thursday, said it would launch a generic savings program in November to hold onto consumers, especially those with little or no health insurance.

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A friend of Know News sent me an email with the following message and video;

You’ve probably seen this short film, it’s just a few minutes long.  I’m not sending this because it’s cute or makes people feel good.  I think it’s a critical bit of advice and especially relevant at this time.  Take the time.

Enjoy life regardless of the circumstances
Lindon

What a great message!

By JEREMY HERRON, AP Business Write

NEW YORK – Archer Daniels Midland Co. said Tuesday its fiscal first-quarter earnings more than doubled, beating Wall Street estimates as the company benefited from lower commodity prices and higher selling prices.
Its shares rose $3.41, or 16.2 percent, to $24.52 in afternoon trading.
The Decatur, Ill., based food processor and ethanol producer said profit in the quarter ended Sept. 30 rose to $1.05 billion, or $1.63 per share, up from $441 million, or 68 cents per share, last year.
The result beat the 69 cents per share expected by analysts in a Thomson Reuters poll.
Sales rose 65 percent to $21.16 billion, easily surpassing Wall Street's estimate of $15.98 billion. The gain came mostly from higher average selling prices, which ADM said arose from increases in underlying commodity costs.
Higher corn prices and energy costs sent ADM's corn-processing unit's operating profit lower by more than half. That was more than offset by the oilseeds-processing unit, where the company realized higher selling prices because it was one of the few suppliers of soy-bean crush when the U.S. harvest was delayed.

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NEW YORK (Reuters) - Los Angeles home foreclosures fell sharply in October from September as a new California law came into effect, while the number of foreclosures in Miami continued to grow at a slower rate, real estate research website PropertyShark.com said on Tuesday.
The number of newly scheduled auctions on foreclosed properties in Los Angeles county fell 51 percent, the greatest monthly decline in two years.
The law, passed on July 8, requires lenders to contact homeowners and explore options to avoid foreclosure before initiating the process. Some sections of the law became effective on Sept 8.


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Stumble It!

ZURICH -- UBS AG Tuesday confirmed that it swung to a third-quarter net profit, its first following four consecutive quarterly losses after booking more than $46 billion in mortgage-related write-downs.

The Zurich-based bank said net profit for the period ended Sept. 30 was 296 million Swiss francs ($251.9 million), aided by a tax credit and gains on own credit, after a year-ago net loss of 858 million francs.


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Strength outside the financial services industry helps bolster the Conference Board measure.

NEW YORK (CNNMoney.com) -- A broad measure of the economy's health rose unexpectedly in September after declining for two consecutive months, the Conference Board announced Monday.

The New York-based business research group said its index of leading economic indicators rose 0.3% in September. Economists were expecting the index to have declined 0.1%, according to a survey conducted by Briefing.com.
In August, the index fell a revised 0.9% after a 0.7% decline in July.

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Wall Street prefers Republicans, McCain supporters argue. But stocks have done better under Democratic presidents, Obama supporters fire back. When it comes to the stock market - especially this turbulent market - does it really matter who is elected president?
Yes and no. Politicians do influence the economy - and they'll play a big role in how the country emerges from this current crisis. But analysts say neither presidential candidate can be a cure for what's ailing Wall Street.

"The economy is a big, big machine, and the president is one government bureaucrat," said Ron Florance, Wells Fargo Private Bank Director of Asset Allocation.

Moreover, most analysts believe the battered stock market has nowhere to go but up next year, no matter who ends up in the White House - and history will probably give the victor credit even if he actually had little to do with the rally.

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What is happiness, and how can we all get some? Biochemist turned Buddhist monk Matthieu Ricard says we can train our minds in habits of well-being, to generate a true sense of serenity and fulfillment.

NEW YORK (Reuters) - Naysayers who predicted the U.S. dollar's demise as the world reserve currency of choice have been silent of late given the greenback's meteoric recovery in recent months.

Slammed over the last several years as U.S. government budget and trade deficits mounted, the greenback was seen ceding its status as the predominant currency to the euro.

Talk of nations reducing their dollar reserves in favor of the euro prompted talk the dollar would also lose favor as the medium of exchange for commodities.

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J.P. Morgan Chase & Co. launched an ambitious plan Friday to modify the terms of $70 billion in mortgages for borrowers who are behind on their payments or soon could be.

The move by the New York bank will cover as many as 400,000 borrowers. They'll be moved into loans carrying lower interest rates, smaller principal amounts or other more-affordable terms.

The changes will particularly focus on a type of loan structured in such a way that the borrower's outstanding balance sometimes grows month after month. J.P. Morgan inherited $54 billion of such loans with its takeover of the beleaguered thrift Washington Mutual Inc. in September.

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