December 21, 2024

As Global Markets Stabilize, Wall St. Slips

United States stocks fell for a third day on Friday, putting indexes on track for their first negative week since mid-April, on lingering concern the Federal Reserve may scale back its support to the economy.

In afternoon trading, the Standard Poor’s 500 Index dropped 0.4 percent, the Dow Jones industrial average fell 0.2 percent, and the Nasdaq Composite Index was 0.3 percent lower.

The three major indexes were on track to post their first negative week in five.

Global markets looked vulnerable to further falls on Friday, with better economic news from Europe doing little to encourage investors who are worried that central bank stimulus may curtailed.

MSCI’s world equity index, which shed 1.4 percent for its second biggest daily loss of the year on Thursday, was virtually unchanged, with losses in Europe canceling out a rise of nearly 1 percent in Japan’s turbulent Nikkei.

Trading has been choppy in the second half of the week as market participants assess the Federal Reserve’s evolving stance toward markets. The Fed’s stimulus measures have been instrumental in a rally that has driven stocks to record highs this year.

“We’ve had some volatility this week that we really haven’t experienced in a month or so, so it’s got a little bit of uncertainty here,” said Joe Bell, a senior equity analyst at Schaeffer’s Investment Research in Cincinnati.

Friday may also be a natural time for investors to take profits heading into the long weekend, with markets closed on Monday for the Memorial Day holiday, Mr. Bell said.

Even as there is some fear that the Fed will exit too soon, many analysts say the eventual tapering of the central bank’s stimulus will come with an expansion of the economy and corporate earnings, which will continue to support equities.

“A lot of people have only been giving the Fed credit for this rally and not been talking about some of the improvement in the labor market or housing data,” Mr. Bell said. “The economy in general has been on a lot better footing than perhaps people have given it credit for.”

Procter Gamble shares rose 4 percent after the company, the world’s largest household products maker, brought back A.G. Lafley as chief executive Thursday, replacing Bob McDonald, in the midst of a major restructuring.

Abercrombie Fitch was the S.P. 500’s biggest loser in the morning after the teen clothing retailer cut its profit forecast and said quarterly comparable sales fell 15 percent, which it blamed in part on inventory shortages. Its stock lost 10.2 percent.

Shares of Sears Holdings tumbled 14 percent after the company reported a bigger-than-expected quarterly loss on Thursday. Sears said cooler spring weather hurt its results.

Over all, the Wall Street’s pullbacks have been short and shallow since November as traders have taken any weakness as an opportunity to increase long positions.

Since Wednesday, the markets have been focused on the possibility that the Fed’s $85 billion per month in bond purchases will be scaled back later this year, in the wake of recent congressional testimony by the Fed chairman, Ben S. Bernanke, and the minutes from the Federal Open Market Committee’s latest meeting.

The minutes showed a degree of fracture among the committee’s members “in terms of the approach moving forward, specifically the time frame” of the unwinding of the Fed’s stimulus efforts, said Peter Kenny, chief market strategist at Knight Capital in Jersey City.

The Wall Street losses came despite a Commerce Department report that said durable goods orders rose 3.3 percent last month, exceeding expectations for an increase of 1.5 percent. Previous readings for orders were revised to show a smaller decline in March than previously estimated.

Thursday’s sell-off was concentrated in Japan’s stock market which suffered its biggest one-day percentage drop in two years, but also rattled European and American markets and sent the yen to near two-week highs against the dollar.

Japanese shares have gained nearly 70 percent in the last six months on the back of Japanese Prime Minister Shinzo Abe’s prescription of aggressive monetary and fiscal stimulus.

“The fact the market has had such a huge run over a relatively short period has left it incredibly vulnerable,” said Shane Oliver, strategist at AMP Capital.

Europe’s broad FTSE Eurofirst 300 index fell again, declining 0.2 percent after posting its biggest one-day fall in nearly 12 months on Thursday.

Although a key business survey showed sentiment in Germany was better than expected, this reduced expectations the European Central Bank would cut rates.

The Ifo survey found optimism over the economic outlook in Europe’s largest economy may be improving. A view reinforced by earlier data on German consumers.

The euro rose to hit a day’s high of $1.2959 after the German survey data, while German Bund futures cut some of the gains they had seen from the sell-off in equity markets.

Article source: http://www.nytimes.com/2013/05/25/business/daily-stock-market-activity.html?partner=rss&emc=rss

Dow Closes Above 15,000 for the First Time

Good economic reports, strong corporate earnings and fresh support from central banks have apparently eased investors’ concerns about another economic slowdown. Many had been on the lookout for signs of a spring swoon in the markets, as happened in each of the last three years.

Instead, the Dow has climbed almost 15 percent since Jan. 1, with other market indexes also showing strong gains.

“The thing that’s been driving stocks is rising confidence,” said James W. Paulsen, chief investment strategist at Wells Capital Management. “Economic growth, job creation and the housing market have been better than expected.”

A stronger-than-expected April employment report briefly propelled the Dow over 15,000 on Friday, but it ended the week below that mark.

The Dow industrials rose 87.31 points, or 0.6 percent, to close at 15,056.20. The Standard Poor’s 500-stock index added 8.46 points, or 0.5 percent, to 1,625.96. Both indexes first reached nominal highs earlier this year, then kept climbing.

“We don’t think people are giving enough credit to the strength of the economy,” said Ryan Detrick, a senior technical strategist at Schaeffer’s Investment Research. “We still like the market.”

The Nasdaq composite rose 3.66 points, or 0.1 percent, to 3,396.63. It still remains well below its nominal closing high of 5,048.62, reached during the dot-com boom in March 2000.

A report on Tuesday showed that consumer borrowing rose in March at its slowest pace in eight months. The Federal Reserve said borrowing rose $8 billion in March from February to a seasonally adjusted $2.81 trillion.

The increase was driven by more loans to attend school and buy cars. The category that measures those loans increased $9.7 billion to $19.6 trillion. A measure of credit card debt fell $1.7 billion to $846 billion, 17.2 percent below the peak of $1.02 trillion set in July 2008.

The stock market’s gains seem to have coincided with a growing belief among investors that the normal threats to rising stock prices — higher interest rates, falling profits, a possible recession — are unlikely to appear anytime soon. In any case, with interest rates near record lows, they see few other places to put their money.

Strong corporate profits have also been encouraging. More than 400 of the S. P. 500 companies have turned in first-quarter results, and more than seven out of 10 have beaten Wall Street’s expectations, according to SP Capital IQ. Those analysts estimated that earnings increased 5 percent in the first quarter and will improve through the rest of the year.

Among the stocks on the move, Fossil, a maker of watches and handbags, leapt $8.92, or 9 percent, to $107.88 after the company said higher sales had lifted its earnings.

DirecTV, the country’s largest provider of satellite TV services, surged $3.99, or 7 percent, to $61.95 after its earnings beat analysts’ expectations. The company reported more subscribers in the United States and Latin America.

In the bond market, interest rates edged higher. The price of the 10-year Treasury note slipped 5/32, to 101 31/32, while its yield rose to 1.78 percent from 1.76 percent late Monday. Yields increased over the last week, as traders shifted money out of the safety of the Treasury market. The yield on the 10-year note sank to its low for the year, 1.62 percent, on Thursday.

Article source: http://www.nytimes.com/2013/05/08/business/daily-stock-market-activity.html?partner=rss&emc=rss

Stocks & Bonds: Markets Close for Holidays in Slow but Hopeful Climb

Stocks closed higher Friday after a quiet, preholiday session that turned the Standard Poor’s 500-stock index positive for the year.

Traders were relieved by news that Congress extended emergency unemployment benefits and a payroll tax holiday for workers. Both programs were set to expire at the end of the year. Letting that happen would have reduced economic growth by about 1 percent, analysts said.

The final business day before Christmas also was the slowest full day of trading so far this year. Traders exchanged just 2.22 billion shares, about half of the recent average. The market will be closed on Monday because Christmas falls on Sunday.

Stocks have risen since Tuesday on hopeful signs about the pace of economic growth in the fourth quarter, which ends next week. New claims for unemployment benefits fell last week to the lowest level since April 2008.

A series of mixed economic reports Friday did little to derail that optimism. The S. P. added 11.33 points, or 0.9 percent, to 1,265.33. It started the year at 1,257.64.

The Dow Jones industrial average rose 124.35 points, or 1.02 percent, to 12,294.

The Nasdaq composite index gained 19.19 points, or 0.74 percent, to 2,618.64.

The Dow has risen 527.74 points, or 4.5 percent in the last four days. It was the first four-day winning streak for the Dow since mid-September.

The Treasury’s 10-year note fell 20/32, to 99 26/32. The yield rose to 2.02 percent, from 1.95 percent late Thursday.

Stocks could surge into the new year if the S. P. 500 passes a couple of crucial technical thresholds, said Todd Salamone, research director at Schaeffer’s Investment Research.

Fund managers currently hold relatively few stocks, Mr. Salamone said, and many of their funds have underperformed the market and are negative for the year. If the index rises farther above its break-even point for the year or its average over the last several months, fund managers might flood into the market in a last-ditch attempt to improve their annual returns, he said.

“The worst thing that can happen for a fund manager is to underperform and be in the red when your benchmark, the S. P. index, is in the green” for the year, Mr. Salamone said.

Bank of America was the Dow’s biggest gainer, adding 2.4 percent. All but two of the 30 Dow stocks rose, Alcoa and Boeing.

Earlier Friday, the government said that consumer spending and incomes barely grew in November. The weak gains suggest that consumers may have trouble sustaining their spending into 2012.

In another worrying sign, a measure of business investment decreased for the second straight month. Business investment has been a pocket of strong demand and spending amid a sluggish recovery. A tax break that encouraged companies to invest in new equipment and facilities expires at the end of the year.

Hopes for the economy remained high after this week’s encouraging news about the job market and strong holiday sales for retailers.

Rambus, the technology licensing company, jumped 12.2 percent after it said it reached a patent license deal and settled a lawsuit with Broadcom, the chip maker.

TripAdvisor rose 6.1 percent, the most in the S. P. 500, as traders reassessed the value of the newly spun off travel review Web site. The stock had fallen since it started trading on Wednesday. It recovered some losses on Friday as analysts weighed its growing revenue.

Eastman Kodak rose 9.5 percent after it said its general counsel, Laura Quatela, would become co-president on Jan. 1.

Article source: http://www.nytimes.com/2011/12/24/business/daily-stock-market-activity.html?partner=rss&emc=rss

Private Sector Job Growth Accelerates, Report Shows

Better-than-expected housing and regional factory data released on Wednesday reinforced the view that the economy should avoid recession, though growth is unlikely to be brisk.

“All of this confirms the economy, after slowing in the late spring and early summer, is back firmly at its 2 (percent) to 2.5 percent growth rate,” said Steve Blitz, senior economist at ITG Investment Research in New York.

Even so, Blitz added, “Firstly, I need to temper the enthusiasm that these numbers indicate that economic growth is accelerating, and secondly, it’s still a very dangerous world out there.”

Central banks around the world addressed some of that danger on Wednesday as they acted jointly to provide cheaper dollar liquidity to European banks facing a credit crunch.

The credit crisis in the euro zone is one of the biggest dangers to the U.S. economic recovery that is still highly sensitive to shocks.

Janet Yellen, the vice chair of the U.S. Federal Reserve, said earlier in the week the central bank still has room to ease monetary policy further. The Fed has bought more than $2 trillion in long-term securities in efforts to boost the economy.

CAUTIOUS OPTIMISM ON JOBS

The ADP National Employment Report on Wednesday showed private employers added 206,000 jobs this month, surpassing economists’ expectations for a gain of 130,000 jobs. It was the biggest gain since December 2010.

The data set an optimistic tone ahead of Friday’s more comprehensive government report on the labor market and some economists raised their forecasts.

“So far in the current U.S. economic expansion, the only period of relatively healthy job creation lasted for a few months from late last year to this spring,” Ryan Wang, U.S. economist at HSBC Securities USA, wrote in a note.

“Today’s job gain of 206,000 in November raises the possibility that we may be on the cusp of a similar period of job creation.”

The weak labor market remains one of the biggest hurdles for the economic recovery and is a major concern for U.S. President Barack Obama ahead of next year’s elections.

Friday’s non-farm payrolls report, which includes both public- and private-sector employment, is expected to show a rise in overall non-farm payrolls of 122,000 this month.

While economists often refer to the ADP report to fine-tune their expectations for the payrolls numbers, ADP’s track record as a predictor has varied.

Deutsche Bank raised its forecast for Friday to 150,000 from 125,000, while Capital Economics increased its expectations to 140,000 from 100,000.

One economist, however, cautioned that the ADP number has a tendency to overshoot in November and warned against building too much optimism before the Friday report.

“A seasonal adjustment quirk typically — six of the past seven years — generates November ADP readings well above the underlying trend,” Ian Shepherdson, chief U.S. economist at High Frequency Economics, wrote in a note.

“In 2010 and 2011, ADP was an average of 64,000 better than the prior three-month average, so applying the same margin today suggests the ‘real’ November ADP number was 140,000.”

Shepherdson said he was maintaining his forecast for a gain of 125,000 jobs.

Macroeconomic Advisers’ Joel Prakken said he didn’t see any evidence of seasonal effects in the day’s data.

“I don’t see any technical or seasonal reason to question the momentum in today’s numbers,” Prakken told journalists in a conference call. Macroeconomic Advisers jointly developed the report with ADP.

The data helped lift U.S. stocks, but investors were more focused on the moves from the central banks. The three major U.S. stock indexes jumped more than 3 percent, with the blue-chip Dow industrials up more than 400 points.

MIXED BAG ON HOUSING, PRODUCTIVITY

Meanwhile, a separate report showed the number of planned layoffs at U.S. companies edged down marginally in November, though job cuts for the year so far have surpassed 2010’s total.

On the housing front, the National Association of Realtors Pending Home Sales Index jumped 10.4 percent to 93.3 from 84.5 the month before. It was the biggest monthly gain since November 2010.

But that report was tempered as separate data showed applications for U.S. home mortgages slumped for the third week in a row last week, hit by a drop in demand for refinancing.

Business activity in the U.S. Midwest grew faster than expected in November, adding to expectations that national manufacturing data should show an uptick in growth when it is released on Thursday.

Separate data showed the rebound in U.S. non-farm productivity growth was not as strong as previously estimated in the third quarter, while wages declined for two straight quarters.

Productivity increased at a 2.3 percent annual rate, the Labor Department said, a downward revision to its previous estimate of 3.1 percent.

(Reporting by Leah Schnurr; Additional reporting by Lucia Mutikani and Jason Lange in Washington; Editing by Jan Paschal)

Article source: http://feeds.nytimes.com/click.phdo?i=32beebbdef812e85e13f5b43bbd853bc

Economix: The Role of Government Spending

As Congress continues to wrangle over a debt reduction bill that will inevitably cut government spending, Friday’s estimates of second-quarter gross domestic product provided a sobering look at how a decline in public spending and investment can restrain growth.

G.D.P. grew at an annual rate of just 1.3 percent in the second quarter, according to the Commerce Department, well below consensus forecasts. First-quarter growth was revised down sharply to just 0.4 percent from an earlier estimate of 1.9 percent.

The astonishingly slow growth rate from April through June was due in large part to sluggish consumer spending and an increase in imports, which subtract from growth numbers. But dwindling government spending also held back growth.

While federal government spending increased by 2.2 percent in the second quarter, that was all because of a jump in military spending. Excluding military, federal government spending and investment fell by 7.3 percent, a much larger fall than in the previous quarter. State and local government spending, which has been a crimp on growth throughout most of the official recovery, fell by 3.4 percent.

The figures will inevitably put further pressure on Congress as it tries to come up with a plan and figure out just how many billions of dollars can be shaved out of the government’s budget.

“A weak economy will only make the tough decisions on the budget even more difficult,” Nariman Behravesh, chief economist at IHS Global Insight, wrote in a research note Friday, “and the case for fiscal austerity in the near-term even weaker.”

On the other hand, said Steve Blitz, a senior economist for ITG Investment Research, policy makers have to decide whether to continue to pump up the economy through government spending or figure out a way to spur the private sector.

“We are probably at as important an intersection of policy and the economy as we were in late 2008 and early 2009 when the economy was collapsing,” Mr. Blitz said.

Mr. Blitz favors reforming tax policy and aggressively pursuing foreign markets for American goods. But, he said, the only real prescription is to wait. With so many households still working off the debt accumulated during the boom years, he said, “that’s just going to take time to work out, and you can’t cheat the process.”

Article source: http://feeds.nytimes.com/click.phdo?i=ce5b9dc83b7cd673f90d16f10683a65e

Stocks & Bonds: Optimism Pushes Dow to Best Week in 2 Years

The rally started Monday after Nike reported strong quarterly results. Revenue that beat analysts’ predictions indicated that shoppers were still splurging on more expensive sneakers and sportswear, despite the recent run-up in gas prices. On Thursday, Greece cleared its final hurdle before it receives its next round of loans to avoid defaulting on its debt. The same day, a report showed that manufacturing in the Chicago region had picked up unexpectedly.

A report on Friday from the Institute for Supply Management showed that manufacturing across the country had expanded, reinforcing the growing perception that the slowdown was temporary. The Federal Reserve chairman, Ben S. Bernanke, and a number of prominent economists have argued that the economy will pick up again once the effects of the Japan disaster waned and high gas prices recede.

Many economists and analysts began lowering their estimates for growth in May after a string of negative reports on manufacturing, consumer spending and hiring by private companies. A shortage of computer chips and auto parts from Japan, higher gas prices and severe weather in the South all contributed to what appeared to be a slowdown in the economic recovery. Stocks lost most of their gains for the year by mid-June.

Todd Salamone, an investment strategist at Schaeffer’s Investment Research, said the recent surge in stocks represented an “unwinding of the tremendous negativity that built up over the past few weeks.”

The Dow Jones industrial average rose 168.43 points, or 1.36 percent, to 12,582.77, on Friday. The Standard and Poor’s 500-stock index gained 19.03 points, or 1.44 percent, to 1,339.67. The Nasdaq composite added 42.51 points, or 1.53 percent, to 2,816.03.

All 30 stocks in the Dow index rose Friday. Companies that do well during times of economic expansion led the index. Alcoa and Caterpillar each gained more than 2 percent.

It was the fourth time this week that the Dow gained more than 100 points. The Dow’s 648-point gain for the week is its largest since the bull market began in March 2009. It is up 8.68 percent for the year, about 2 percent below its April high. The S. P. is up 6.52 percent for the year. It had been up as high as 8.4 percent.

A rebound in automobile sales also helped send stock indexes higher on Friday. General Motors and Ford both said their sales rose 10 percent over this time last year. Car companies have been forced to slow the production of some models because of the shortage of parts after the earthquake and tsunami in Japan.

Honda and Toyota said recently that their North American production was beginning to return to normal. That has helped push the national manufacturing index higher. The Institute for Supply Management’s index rose to 55.3 in June from 53.5 the month before, on a scale in which a number above 50 indicates growth.

Among United States companies, the for-profit education company Apollo Group rose 6 percent despite a steep drop in student enrollment. The company’s profits fell, but not as much as analysts had predicted. Darden Restaurants, the parent company of Red Lobster and the Olive Garden, also rose 6 percent after reporting that sales rose in all of its divisions. And Eastman Kodak lost 14 percent after a judge threw out some of its claims in a trade dispute with Apple and Research in Motion.

The Treasury’s 10-year note fell 6/32, to 99 17/32, and the yield rose to 3.18 percent, from 3.16 percent late Thursday.

Article source: http://feeds.nytimes.com/click.phdo?i=af96236f98ee2a517471a2c308a2243c

You’re the Boss: Senate Posturing Kills S.B.I.R. Renewal, For Now

The Agenda

Efforts to renew — and overhaul — the well-regarded Small Business Investment Research and Small Business Technology Transfer programs, which expire at the end of this month, may be in jeopardy now that the Senate appears unlikely to vote on its reauthorization bill anytime soon. And the person behind that bill’s demise, according to Democrats, at least, happens to be one of its chief architects — Senator Olympia Snowe, the top Republican on the Senate Small Business Committee.

S.B.I.R. requires federal agencies to set aside 2.5 percent of their grants to outside researchers for small companies. S.T.T.R. is a smaller initiative that requires the five agencies funding the most research to set aside additional money for partnerships between small firms and nonprofit institutions.

In March, Ms. Snowe proudly told colleagues on the Senate floor, “I authored this landmark, bipartisan reauthorization measure.” The bill had passed her committee by a vote of 18-1. (The lone dissenter was Senator Rand Paul, Republican of Kentucky.) In April, however, she objected when Harry Reid, the majority leader, sought unanimous consent for a path to a final vote. Mr. Reid proposed permitting votes on nine amendments to the bill, five from Democrats and four from Republicans, including one from Ms. Snowe. But his list did not include Ms. Snowe’s “small business regulatory freedom” amendment, far-reaching legislation that would dramatically expand the opportunity for small businesses to offer input on (or attempt to impede) new government rules.

Mr. Reid, arguing with Ms. Snowe on the Senate floor, said that both Democrats and unnamed Republicans objected to this amendment. “The legislation of my friend from Maine is not relevant or germane to this legislation,” he said. “If she objects to the request I have offered, this bill will not go forward.”

And that’s precisely what happened. The cloture vote, on May 4th, failed along party lines, 52-44. (Sixty votes are needed to end debate.) That day, Ms. Snowe decried on the Senate floor “a disturbing trend in this body over the past several years of disregarding the minority rights and flat out disallowing votes on our amendments.” She added, “we have voted on 11 amendments out of 137 amendments filed prior to the Easter recess, which hardly represents an open amendment process.”

Speaking to Politco, in an article describing an “increasingly nasty falling out” between Ms. Snowe and Mr. Reid as she prepares for a potential primary challenge from the right next year, the Maine Republican put the blame on the Democratic leader. “I have a right to insist on a position as much as the majority leader does or anyone else does in the United States Senate, and I want to vote on an amendment,” she said. “I don’t know how that is considered to be obstructionist.”

Of course, whether Ms. Snowe is really responsible for killing the bill is a he-said-she said matter. Jon Summers, a spokesman for Mr. Reid, said the majority leader had an agreement with Republican leaders on the proposal to end debate, which Ms. Snowe scuttled. John Ashbrook, a spokesman for Mitch McConnell, the minority leader, disputed that.

Still, even Senator Mary Landrieu, the Democratic chair of the Small Business Committee who has had a close working relationship with Ms. Snowe, faulted her colleague. The bill “reached a dead end because Ms. Snowe is so adamant about including her regulatory reform amendment,” said Ms. Landrieu’s spokesman, Richard Carbo. “Unfortunately, that amendment falls under the jurisdiction of numerous committees and so many have issues with it on both sides of the aisle. She is willing to kill her own bill over an amendment that is completely unrelated to the programs we’re reauthorizing.”

As Ms. Landrieu herself pointed out to Politico, and as Agenda readers may recall, this is the second case of legislative filicide by Ms. Snowe in recent months concerning small business. The first was last fall’s jobs bill, which she opposed after the Democrats added their small business lending fund. (There’s an irony here: in rejecting Ms. Snowe’s sweeping regulatory amendment, Mr. Reid argued that it had never been vetted in a Senate hearing, which is precisely how Ms. Snowe framed her opposition to the small-business lending fund.)

Of course, if the Senate does eventually reauthorize the S.B.I.R. program, its bill will still have to be reconciled with legislation from the House. Two years ago, when the two chambers last wrestled with the program, they could not come to terms, and the dispute has profound implications for the future of the program. The House wanted to open up the program to companies controlled by venture capital funds. (The Small Business Administration, which sets the rules for the S.B.I.R. program, currently only allows venture-managed companies to participate if the fund and the companies in its portfolio together have fewer than 500 employees.) The House bill also greatly raised the cap on the size of grants, but without increasing the total amount of money set aside for the program. In effect, it would have allowed more, and bigger, companies to vie for fewer opportunities.

The Senate responded with a bill to permit venture-backed companies to seek a small share (8 percent) of S.B.I.R. funds at most agencies and a slightly bigger share (18 percent) of program grants from the National Institutes of Health. It also proposed increasing both the award limit (though not as much as the House bill) and the S.B.I.R.’s slice of the overall pie.

This season, the chambers were inching toward compromise. The Senate bill raises the share of money available to companies backed by big venture funds — to 25 percent of total S.B.I.R. funds at the National Institutes of Health, the National Science Foundation, and the Department of Energy, and 15 percent at other federal agencies. The House bill sets the thresholds for these agencies at 45 percent and 35 percent respectively. (Though the House has changed hands, its approach, as in the Senate, enjoys broad bipartisan support among its members.)

Even though the S.B.I.R. and S.T.T.R. programs are set to expire legally, that doesn’t mean they are likely to end. Both programs are popular and are likely to be extended, temporarily, on their current terms. (Indeed, on Wednesday, Ms. Landrieu filed a bill to extend the programs for a year.) For advocates of the very smallest companies, who worry about their being crowded out by bigger, better-connected rivals, stasis may not be a bad outcome at all.

Article source: http://feeds.nytimes.com/click.phdo?i=c2c6e8e5421adfc81d57143705f4a7f2