Press Esc to close

Welcome to Money Morning - Only the News You Can Profit From.


Welcome to the "Wolf Creek Pass" School of Monetary Policy

I don’t know if you folks remember that hit ditty: a humorous tune about two truckers attempting to manhandle an out-of-control 1948 Peterbilt down the “other side” of Wolf Creek Pass – a death-taunting section of U.S. Highway 160 where the elevation drops a hefty 5,000 feet in a relatively short distance.

The song’s two characters – a truck driver named Earl and his brother, who’s his partner as well as the song’s narrator – are taking a flatbed load of chickens on a speedy trip down this winding, two-lane Colorado highway. After the narrator gives Earl the above-mentioned warning, the ancient semi’s brakes fail.

From there on down, the narrator tells us that the brothers’ trip “just wasn’t real pretty.” The truck careened around hairpins and switchbacks, and then raced at an uncontrolled 110 mph toward a tunnel with “clearance to the 12-foot line” – with chicken crates sadly “stacked to 13-9.”

The drivers and the runaway Peterbilt “went down and around and around and down ’til we run outta ground at the edge of town… and bashed into the side of the feed store – in downtown Pagosa Springs.”

Believe it or not, I started thinking about this funny old country tune the other night – right after I’d read a piece about QE3 and the U.S. Federal Reserve.

As zany as it first sounds, the parallels are striking.


Syndicated Content- Money Morning - Only the News You Can Profit From.

  • Bard Beats on 1Q Earnings, Profit Slumps – Analyst Blog

    CR Bard Inc.’s (BCR) first-quarter 2013 adjusted earnings of $1.44 per share beat the Zacks Consensus Estimate by a penny. Adjusted earnings exclude one-time items such as acquisition-related expenses ($0.7 million), asset impairment charges ($5.7 million) and litigation expenses ($25.8 million). Although adjusted earnings declined 11%, it was within the company’s previously announced guidance. In […]

  • TSS Earnings Lags Est. on High Exp. – Analyst Blog

    Total System Services Inc. (TSS) reported first-quarter 2013 operating earnings of 30 cents per share, which lagged the Zacks Consensus Estimate of 34 cents but were in line with the year-ago quarter figure. The company’s earnings per share climbed 1.7%, while net income attributable to shareholders edged up 1.1% to $57.0 million from $56.4 million […]

  • Bear of the Day: Randgold (GOLD) – Bear of the Day

    Gold miners have had a rough ride in the recent months due to the slide in gold prices. In fact, gold miners have been hit more by the precious metal’s slide than the metal itself. Further, sharp downward estimates revisions have resulted in a cloudy near-term outlook for this Zacks Rank # 5 (Strong Sell) […]

  • Check Point's 1Q Earnings: A Mixed Bag – Analyst Blog

    Check Point Software Technologies Ltd. (CHKP) reported first quarter 2013 adjusted earnings of 73 cents per share, which matched the Zacks Consensus Estimate. Revenues Check Point reported revenues of $322.7 million in the first quarter, up 3.1% from $313.1 million in the year-ago period. The quarter revenues were below the Zacks Consensus Estimate of $330.0 […]

  • Bull of the Day: Conn's (CONN) – Bull of the Day

    If you've watched the 3-year decline of "big box" appliance and electronics retailer Best Buy (BBY), you may have thought that this is a business model to stay away from. I certainly thought so until I discovered Conn's (CONN), a family-built retailer with over 50 stores in Texas, 6 in Louisiana, and newer footholds in […]

  • Rambus Beats 1Q Earnings, Misses Rev – Analyst Blog

    Rambus Inc. (RMBS) posted first quarter 2013 adjusted earnings per share (EPS) of 9 cents, comprehensively beating the Zacks Consensus Estimate of a loss of 3 cents per share. Adjusted EPS excludes other patent royalties received, acquisition costs and retention bonus, amortization, costs of restatement and related legal activities but includes stock-based compensation expenses. Revenues […]

  • Bull of the Day: Wisdom Tree (WETF) – Bull of the Day

    Wisdom Tree Investments (WETF) has seen some strong net inflows over the past few quarters and has dramatically increased its assets under management of late. As a Zacks Rank #2 (Buy), it is the Bull of the Day. Inflows For the ETF Industry One look at the annual net inflows for the ETF Industry and you will see that the growth […]

  • Constellation Brands Down to Neutral – Analyst Blog

    On Apr 17, we downgraded the world’s largest wine company, Constellation Brands Inc. (STZ), to Neutral following a weak bottom-line performance for the fourth quarter of fiscal 2013. Moreover, the stock currently has a Zacks Rank #3 (Hold). Why Neutral? A fall in the Zacks Consensus Estimate was witnessed after the company reported dismal bottom-line […]

  • Associated Beats on Earnings & Rev – Analyst Blog

    Associated Banc-Corp’s (ASBC) first-quarter 2013 earnings came in at 27 cents per share, marginally surpassing the Zacks Consensus Estimate of 25 cents. This also compares favorably with the year-ago earnings of 24 cents. On a year-over-year basis, a reduction in top line was more than offset by a fall in operating expenses. Moreover, improved asset […]

  • Pool's Earnings & Sales Beat Ests in 1Q – Analyst Blog

    Pool Corp.'s (POOL) first-quarter 2013 earnings per share of 7 cents beat the Zacks Consensus Estimate by 16.7% but were 12.5% lower than the year-ago level. The year-over-year decline in the bottom line was mainly due to muted top-line growth and lower gross margin. Net sales in the reported quarter increased only 2% year over year […]