The Rooster
"Okeydoke"
Let's see. What gave me the biggest laugh this week? Oh, yeah, Walmart's warehouse drones.
June 2, 2016
By Anne D'innocenzio
Wal-Mart Stores Inc. (click here) is testing drones that it says will help it manage its warehouse inventory more efficiently, and which it said Thursday could be rolled out in the next six to nine months across its distribution centers.
The move is another sign of how the nation's largest retailer is seeking to compete against online leader Amazon.com, which is testing drones to deliver packages.
During a media tour Thursday at a distribution center, Wal-Mart offered a peek at a drone that flies around the massive center, captures images in real time and flags the misplaced items. The drone takes 30 pictures per second....
That alone wasn't what made me laugh. First there was the Walmart thing, then came the jobs report. It isn't the fact that new jobs feel in May, it is that Wall Street reacts to the jobs market. I thought jobs were irrelevant to Wall Street. Jobs are on the wrong side of the balance sheet.
June 5, 2016
By Jeffery Bartash
The U.S. economy is expanding faster (click here) than it did earlier in the year, but a jolt out of the blue from a weak jobs report in May calls into question whether the pickup in growth can last.
The number of new jobs created last month totaled just 38,000, the smallest gain since 2010. Even if a major strike at Verizon that kept almost 40,000 people out of work is set aside, hiring was unusually soft.
The U.S. had been averaging more than 200,000 new jobs a month since 2014 until a recent slowdown since March that’ seen hiring taper off to a 116,000 range. That’s the worst three-month stretch in four years....
The entire issue is, "Why does Wall Street care about job growth?" Wall Street doesn't really like people, especially American people because they take a share of the monies paid for a product. The cheaper the labor the better Wall Street likes it. So, what is the big deal with jobs numbers in the USA?
Could it be I am exceedingly correct about local economies? Could it be that Wall Street CEOs don't at all know what they are doing? On one hand they cut jobs and salaries to employees while expecting a good jobs report to dictate the well being of the financial markets.
So, let me get this right. Amazon and Walmart are competing for the reduced cost of maintaining accurate warehouse inventory records by instituting drones. Drones are an expensive investments, but, in the long run they pay off. So, drones cut down on labor costs for greater profitability to make stockholders happy or in the case of Walmart, the family happy.
But, on the other hand when assessing the jobs market and it is fallen Wall Street is unhappy about that. So, Wall Street rids itself of employees and at the same time is worried about the lack of job growth. Some kind of dim wit if you ask me. Walmart and Amazon should be asking themselves how many jobs they added to the growth rate of the USA?
In order to have job growth there has to be jobs return to the USA such as GM's return to Flint, Michigan or ending the domination of drones in direct sale places like Amazon or merchandisers like Walmart.
As a side note, the drop in jobs is not due to the lack of economy, the local economies seem to be fine. But, the jobs market dropped in anticipation of the rate hike.
...Still, almost everyone acknowledges companies are not hiring as fast as they did in the past few years.
What next, then? Federal Reserve Chairwoman Janet Yellen is set to deliver a major speech on Monday in which most observers believe she will scale back expectations for an increase in interest rates this summer. Before the May jobs report, Wall Street was penciling in a rate increase by July....
The Federal Reserve needs to go ahead with the rate hike, the damage to jobs is already done. This is just an example of the draconian methods of Wall Street. In thinking it has to pay more for borrowed monies, it isn't reining in borrowing, it is eliminating employees. Wall Street is again shooting itself in the foot. It is keeping the borrowing with higher rates but ends employment to balance it out on a spread sheet. Those CEO bonuses must be difficult to turn away from even when it means carrying out good business practices that provides growth and increase sales.
When does this mess end? I am livid Wall Street can pull a stunt like this and dictate to the Federal Reserve.
I laughed for many reasons, but, mostly because I was so very correct in my economic view of the American local economies.
