Innovation Update

Return to Article

Weekend Reading

Paul Kedrosky

Good Sunday morning, and welcome to Weekend Reading. As always, here are some articles and papers worth reading. First, however, a look back at the week that just finished, and a look forward to the week ahead.

It was an upbeat week on the major markets, with all three major U.S. indices advancing. It has been a great start to 2007 for technology stocks. The Nasdaq Composite is already up almost 4% so far in 2007, and some individual technology stocks are doing much, much better. For example, ever-maligned Yahoo, a stock I have been mentioning favorably since late 2006 in my CNBC "On the Money" appearances, is up more than 15% so far in 2007. Click here for the weekly performance of the big indices.

Turning to economic indicators, next week's focus will be inflation. Both the producer price index and the consumer price index are scheduled for release; watch the core numbers. Other economic indicators next week include the Philadelphia Fed's index of business conditions, and the University of Michigan's first read on January consumer sentiment.

It will be quite an active week for earnings reports. Among others, we have Intel(INTC Quote), Citigroup(C Quote), Apple(AAPL Quote), Motorola and J.P. Morgan Chase reporting. Intel's report, in particular, will be closely watched given the downbeat news last week from competitor AMD.

Finally, here are some articles and papers worth reading:

Editor's note: To access some of these stories, registration or a subscription may be required. Please check the individual links for the site's policy.

• How China intends to become the next economic superpower. (Time)
• Exchange-traded funds are on a tear, with assets up 37% in 2007. (Reuters)
• Chavez to nationalize Venezuelan energy sector. (MarketWatch)
• Children's music is the hottest thing in music. (New York Post)
• Feds are investigating Steve Jobs' stock options. (Mercury News)
• Skeptical look at Martek's DHA food additive. (The New York Times)
• In-house company health clinics are on the rise, with CHD Meridian (an I-Trax(DMX Quote) unit) cited as the largest provider. (The New York Times)
• Biggest differences between the current Sun CEO and his predecessor? Blogging, wine, and haircuts. (The New York Times)
• One critic warns that Apple's iPhone contains "crippleware". (The New York Times)
• Apple likely doesn't have a future without Steve Jobs. (Bloomberg)
• Parsing iPhones components looks good for ARM. (EETimes)
• Top 10 U.S. areas by percentage of adjustable-rate mortgates. (The Washington Post)
• Many homeowners continue to refinance with interest-only mortgages. (The Washington Post)
• A tale of two keynotes: Steve Jobs vs. Bill Gates. (Globe and Mail)
• Cramer's "Mad Money" has a cult following on college campuses. (Boston Globe)
• Interview with CVS CEO Tom Ryan. (Boston Globe)
• Forbes' Fisher calls for 2007 to be a repeat of 2006 on the markets. (Forbes)
• Profile and outlook for Goldman Sachs. (Forbes)
• A credible recovery is underway at fund firm Janus. (Forbes)
• Fascinating look at mega-funds and the limits to growth and performance. (Los Angeles Times)
• Another magazine profiles the sucessful quants at BGI. (BusinessWeek)
• Russia is increasingly using oil as a political weapon. (Times)
• Barron's tips local TV programmers, YRC Worldwide and has its annual investment roundtable. (Barron's)
• Research: How the money illusion causes housing bubbles. (NBER)
• Research: Hurricane-related financial damages rise with the eighth power of maximum wind speed. (NBER)

1 What would best describe your stance heading into the coming week of trading? Bullish Bearish Neutral 2 Which of these sectors do you think is set to move up in the coming week? --Choose One--Aerospace and DefenseAirlinesAutomobilesBeverages and Food ProductsBiotechnologyCommercial BanksComputers and PeripheralsConsumer NondurablesEnergy Equipment & ServicesHMOs and HospitalsHomebuildingInsuranceIntegrated OilInternet, Software ServicesInvestment Bankers and BrokersMediaMultiline RetailPharmaceuticalsPrecious MetalsSemis, Semi EquipmentTelecom EquipmentTobacco and AlcoholWireless CommunicationsUtilities 3 Which of these sectors do you think is set to move down in the coming week? --Choose One--Aerospace and DefenseAirlinesAutomobilesBeverages and Food ProductsBiotechnologyCommercial BanksComputers and PeripheralsConsumer NondurablesEnergy Equipment & ServicesHMOs and HospitalsHomebuildingInsuranceIntegrated OilInternet, Software ServicesInvestment Bankers and BrokersMediaMultiline RetailPharmaceuticalsPrecious MetalsSemis, Semi EquipmentTelecom EquipmentTobacco and AlcoholWireless CommunicationsUtilities View the results without voting