Chicago Newsletter - Trusted Financial Guidance in Chicago

Market Snapshot

Broad Indices ended last week mostly flat as slow summer months and light news-flow led to low trading volumes and a relatively directionless market. Within equity markets, safety once again was the name of the game with utilities and healthcare the top two performing sectors, while their more beta-heavy brethren, technology and materials, were the laggards. European markets were flat to slightly down but Asian markets were notably weak as fears of Chinese economic weakness persist. Gold was roughly unchanged but other commodities continued their recent rally on the back of record level drought conditions in much of the Midwest, sending corn prices to highs not seen since the fall of last year.

Here in the U.S., economic data was relatively light, highlighted by a welcome downtick in the weekly jobless claims number after several months of a worrying uptrend. Consumer confidence, as measured by the University of Michigan Consumer Sentiment Index, reported a relatively weak number, but these readings tend to generally track employment trends (newsflash: when people have jobs, they are happier!) which have also been subpar. Last week's market losses were snapped on Friday by sharp gains driven by positive earnings reports from JP Morgan and Wells Fargo. JP Morgan was particularly encouraging, as worst-case fears around their recent trading losses did not materialize and underlying business fundamentals proved strong. Financials are usually first out of the gate during earnings reporting season and all eyes will be on the corporate sector's 2Q reports that begin in earnest over the next several weeks.

In international news, Spanish sovereign yields tipped back over 7% early last week around fears that the key details of their recent bank bailout deal were still up in the air, the most notable of which whether Spain would still be on the hook for outside funds used to bail out their banks - thus negating much of the benefit of the bailout package. However, Spanish yields came back in on Spain's announcement of further significant austerity measures and the fact that they would receive the first €30B of their bank bailout package by the end of July. Over in China, a host of economic data was released last week including inflation readings, GDP and consumer spending. In general, the data proved better than feared, but still exhibited slowing trends. While lower inflation readings in China may give the government more room to provide further stimulus, so far the market seems to be taking the track that they are one step behind an increasingly deteriorating economic picture.

Market Performance

Week ended 7/13/12

Play With Passion, Live With Purpose 

Recipe of the Week

Chipotle Lime Bacon-Wrapped Shrimp 

Ingredients

• 12 large, raw, peeled and deveined shrimp  
• 2 Tbsp olive oil  
• Zest from 1 lime  
• Juice from one lime (about 2 Tbsp)  
• 1/4 teaspoon chipotle powder (or more to taste)  
• 6 strips thin bacon, cut in half (12 pieces)  
• Skewers (for grilling) or toothpicks (for oven)  

Directions
Mix in a small bowl the lime zest, lime juice, olive oil and chipotle powder. Put the shrimp in the lime chipotle mixture; make sure each piece is well coated. Spread the bacon out over several layers of paper towels on a microwave-safe plate. Cover with another layer of paper towel. Microwave on high until the bacon fat begins to melt but the bacon is still pliable, about 1.5 minutes.

Prepare grill on high, direct heat (if grilling) or preheat the oven to 450°F. Working one at a time, wrap a half piece of microwaved bacon around each piece of shrimp. If you are grilling, thread the shrimp onto long, flat skewers (flat skewers make turning the shrimp on the grill easier). If you are using the oven, secure the bacon onto the shrimp with toothpicks. Place the bacon-wrapped shrimp on a slotted baking pan. Brush remaining lime chipotle mixture on the outside of the bacon-wrapped shrimp.

Grill uncovered for 5 to 7 minutes on each side, or bake in the oven for 10-14 minutes, until shrimp is pink and the bacon is crisp.

Yields: 12 pieces. 

Source: SimplyRecipes.com           

Tips for Green Living 

How to Save Money on Air Conditioning

The typical U.S. home spends 17% of its annual energy bill on cooling. And summer is the time when electricity demand spikes, stressing the grid and pumping copious air pollution into the atmosphere. These tips will help you reduce the amount of energy you pay for to run your air conditioner. 

1. Adjust the thermostat. 

If you have central air controlled by a thermostat, use a programmable thermostat to save energy by increasing the heat significantly during the day when the house is empty. You can give up a couple degrees at night, too - especially on the hottest days.

2. Clean the air filter.
Whether you have central air or a room air conditioner, a dirty filter will reduce its efficiency, making it use more energy and cost more money to do the same job.  

3. Think small.
Cooling one room with a window air conditioning unit requires much less energy (and investment) than a central air system. Ask yourself how you'll use your new air conditioner, and choose the smallest option that works.

4. Buy Energy Star.
Whether you're buying a central air conditioner (which could qualify for a tax credit) or a room unit, efficiency matters. An Energy Star central air system will use about 14% less energy than minimum government standards, and a room air conditioner will save at least 10%

Source: TheDailyGreen.com