- The normally very bullish Larry Kudlow is worried. He's got a reason to be. He writes:
American companies are already experiencing their first profit declines in over five years. Non-financial domestic corporations have experienced negative profit margins and falling profits over the past three quarters. Treasury Department tax collections from business income have fallen off a cliff. Wall Street analyst Dan Clifton revealed that corporate tax revenues fell 29 percent in August compared to a year ago. And these tax collections have dropped in three of the past four months. A year ago, they were rising by more than 20 percent.
A very smart analyst has always argued that TAX RECEIPTS are the truest indicator of the health of the economy because NO ONE pays taxes that they don't have to and they don't pay taxes on future profits.
- He's human. Roger Federer won his fourth straight US Open in straight sets. He now has 12 Grand Slams wins at the tender age of 27. It wasn't a walkover though as Serbian Novak Djokovic, behind an impressive power game, held seven set points in the first two sets but was unable to convert even once. Can't think of another player who has dominated his or her sport so effectively and so long.
- South Florida upsets Auburn. Makes this Alabama fan real happy though one might argue that it could cheapen a Crimson Tide win in the Iron Bowl three months from now.
- Watched (as I wasn't controlling the remote) Britney Spear's comeback on the VMA awards. Hat tip to the lady for coming back after her recent travails though she would have been better advised to have sported a skintight leotard than the shiny two piece bikini. And that comedienne who came up after her. Her routine was in such excruciatingly bad taste that you could literally hear the sound of crickets through the television.