What We're Reading

Ouch that hurts.  Luckily the Fed doesn't include food in their inflation data.  (yes, sarcasm) Seriously though in a day and age where companies can "afford" enormous CEO salary hikes, share repurchases and buybacks, it behooves me they continue to stomp their feet stating they cannot afford a minimum wage hike. 

Almost half of the states in the U.S. are already paying more than the federal minimum wage and those states are surviving just fine.  San Jose and Washington have seen expansion in small business and increased revenue with $10 minimum wages.  The propaganda has become ridiculous folks.  Just my .02

Feliz Cinco de Mayo a todos mis amigos y mi familia.  Click para jugar.  Disfrutar!

• Bond and fixed income guru Jeff Gundlach Presentation – Ira Sohn Conference 2014 Valuewalk
• Seattle Mayor announces plan for a minimum wage hike to $15/hr.  The highest in the country.
• You probably won't see much in MSM (main stream media) on it yet but quietly Michigan filed it's vote last week for a Constitutional Convention for the states, making it #34 =  or a majority which is required for such.  This has not occurred in over 200 years!  Why should you care?  Because it's at these conventions that Constitutional Amendments can be passed (and you're rights sneakily given away under the guise of being "good" for you).  I'm sure the balancing budget proposal and the 28th Amendment will be pushed up front of our faces however don't buy the hype.  Look deeper, inves

Digging deeper into today's better-than-expected non-farm payroll, one sees (again) that low-wage job creation comprises the majority of the gains.  Once again it seems the middle class is being left out leaving only the lower and upper class job creation.  When comparing "this" recovery to those of the past, I would believe one would have to locate one where the largest population is left out of the recovery.  Can the "rich" alone sustain expansion and growth?  Obviously these low wage workers will not be moving out of their parents home any time soon.  Certainly higher education would assist in their move up the ladder however what does that bode for the already explosive rate of education loans (and those in default).  The Fed has become one large hedge fund, propping up the market.  Is that sustainable? 

I've said it before and I'll say it again.  If you want growth, the minimum wage must increase. Cities which have done so have NOT seen the devastating drop in new business or job

For all the political yammering about raising the Federal minimum wage, it would seem that almost 1/2 of the country is already above the Federal level with Connecticut being the first to jump to $10.10 per hour just yesterday.

For all the fear mongering that raising the minimum wage would lead to job loss, the results don't match the scary bedtime story being spread.  To be honest, who really over staffs anyway (unless it's the holidays)?  In my opinion, businesses hire what employees they need to service their customer flow and keep down their bottom line but don't take my word for it. 

Examine San Jose, who raised their minimum wage to $10 an hour a year ago.  The results after one year have not been massive job loss and small business failure.  Rather San Jose has enjoyed a jump in small business creation, job growth and a drop in their unemployment rate.  With more money in the citizens pockets, it definitely seems to be translating into money flowing into local businesses and t

• The effects of raising the minimum wage CBO report
• Wait!  Take that CBO as the state with the highest minimum wage has created the most jobs Bloomberg
• With robotics, production lines became more streamlined but more is to come with analytics, energy efficiencies and more McKinsey
• For all the foot stomping, just "who" earns over $400k a year anyway?  MoneyNing
• Five "power weapons" the Pentagon wants to cut (I'm sure there are plenty left over) Blooomberg Video
• Google invests $50M in auction.com (just buy EBAY - I'm long!) Bloomberg