Next week is sure to be filled with fun and volatile market conditions. The highlight will be the Fed decision on key rates, due on Wednesday, April 30, following a two-day meeting. Anytime the Fed has the floor, the markets listen. Tuesday and Wednesday will be filled with speculation up until the time of the announcement of a cut or pause.

There are many possible outcomes for this meeting, as we have seen a substantial change in investor sentiment regarding the potential need for further rate cuts. The buzz on the street is for a cut of 25 basis points and then a wait-and-see attitude from there. I think that is the most likely direction.

There has been a great deal of concern that all the recent rate cuts have not provided the benefit to consumers the economy needs. Clearly, there is a fatty clog within our financial circulatory system. Traditionally, the Fed likes to see how its actions trickle into the economy before it continues too far down one path, which would argue for a pause now. Plus, the Fed does not want to run out of ammunition by cutting rates too far too fast. But there is no question that we are dealing with a more aggressive Fed than we have seen in decades, so I think we will see another small rate cut.

Continue reading The Week in Preview: All eyes on the Fed

The Week in Preview: All eyes on the Fed originally appeared on BloggingStocks on Sun, 27 Apr 2008 12:30:00 EST. Please see our terms for use of feeds.

MOST NOTEWORTHY:

• Friedman Billings upgraded Teva Pharmaceutical (NASDAQ: TEVA) to Outperform from Market Perform following Teva's better-than-expected Q3 report and guidance.
  
• Oppenheimer upgraded shares of Novavax (NASDAQ: NVAX) to Buy from Neutral based on positive expectations for Ph I/IIa pandemic influenza data, the start of clinical trials for seasonal influenza, and expected announcement of a vaccine product candidate in Q4.
  
• Corinthian Colleges (NASDAQ: COCO) was upgraded to Buy from Neutral at Merrill following its better-than-expected Q1 report and guidance.
  
• Citigroup upgraded of Fair Isaac (NYSE: FIC) to Buy from Hold shares to reflect the company's strong Q4 results and improved outlook.
  
• Tenneco (NYSE: TEN) was raised to Outperform from Market Perform at Wachovia based on valuation and revenue opportunities in commercial truck market.

• Energizer Holdings (NYSE: ENR) was upgraded at Bear Stearns to Peer Perform from Underperform.
  
• Key Banc upgraded Post Properties (NYSE: PPS) to Hold from Underweight.
  
• Morgan Stanley upgraded MetroPCS (NYSE: PCS) to Overweight from Equal Weight.
  
• William Blair upgraded LECG Corporation (NASDAQ: XPRT) to Market Perform from Underperform.

Analyst upgrades: TEVA, NVAX, COCO, FIC and TEN originally appeared on BloggingStocks on Wed, 31 Oct 2007 10:15:00 EST. Please see our terms for use of feeds.

The Motley Fool's Dan Caplinger takes a look at the issue of credit piggybacking, and what the industry is looking to do about it. Basically, someone with a low credit score can pay someone with a better score to add them to their accounts as an authorized user, without actually using the account. There are companies that offer this "service" and, needless to say, the credit card companies aren't happy about it because it distorts credit. It allows completely irresponsible people to buy good FICO scores. It's no different than buying SAT scores from someone else to get into a good college.

While it's hard to have too much sympathy for the credit card companies, they have a right to be upset here. Fair Isaac (NYSE: FIC) has simply elected to stop considering authorized users when calculating credit scores, which seems like a logical step.

A crackdown on piggybacking could also lead to the demise of one of the easiest ways for parents to build credit histories for their children: adding them as authorized users. I'd like to see this end as well because the principle is the same. People should not get credit for stuff they had nothing to do with. It also reeks of nepotism, and seems unfair to kids whose parents don't have good credit. Do we really need to give rich kids another advantage? By piggybacking off their parents credit, kids with responsible parents can have great credit scores without ever having a credit card. Kids with less fortunate parents don't have that opportunity, and that's wrong.

There's no intelligent reason that piggybacking on credit should be allowed, and it will probably be stopped soon.

Piggybacking for credit and the industry's crackdown originally appeared on BloggingStocks on Wed, 06 Jun 2007 20:00:00 EST. Please see our terms for use of feeds.

Does Google need to "reboot" its click-fraud prevention efforts? originally appeared on BloggingStocks on Wed, 23 May 2007 19:30:00 EST. Please see our terms for use of feeds.

When it comes to predictive data analysis and reporting, Fair Isaac (NYSE:FIC) is the stand out leader in that field. Fair Isaac offers statistics-based predictive tools for the consumer credit industry. You know their talents well. Predictive statistical analysis is the type of methodology used to collar you with your credit score. Fair Issac credit score analysis algorithms are utilized by the three big name credit reporting bureaus, Experian, Trans Union and Equifax. Basic FICO scoring systems have been in use since 1970. The current Fair Isaac credit scoring system has been in use since 1981. In addition to credit risk analysis, Fair Isaac also markets solutions for insurance applicant risk assessment, other financial risk predictors and data management solutions as well.

What might make Fair Isaac a good investment? Well, one thing is for sure. If the company is going to run into trouble they should be the first ones to know. I'll just give you some historical background on the company to enlighten you but I'll have to stop there because frankly when it comes to analyzing analytical analysis, I'd rather be sorting laundry or something exciting like that.

Continue reading Fair Isaac is helping to predict your future based on your past

Fair Isaac is helping to predict your future based on your past originally appeared on BloggingStocks on Tue, 05 Dec 2006 11:00:00 EST. Please see our terms for use of feeds.