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Thursday, August 21, 2008
Cavuto: Good Economic News Bad for Obama
Neil Cavuto, Anchor and Managing Editor
FOXBusiness
Missed tonight's Cavuto? Catch "The Deal" right here on FOXBusiness.com
It's a trickle.
Hardly a tale.
But it's telling.
Ahead of his big convention, a big question for Barack Obama.
Why aren't you doing better?
The latest polls show the race a statistical dead heat.
A Fox News survey has Obama and John McCain little more than three points apart.
Virtually even in a Wall Street journal survey.
Ditto a CBS News/New York Times snapshot.
The upshot?
Something big is going on here.
I'm not saying it has nothing to do with some Obama missteps.
And some McCain lucky breaks.
I've reported a lot on both before.
But what if what's going on here is bigger?
What if the shift in opinions on candidates has more to do with shift in opinions...on us?
And how we're doing?
And how we're feeling?
What if what's going on here is so deceptive because it is simply so obvious?
What if...what if...things aren't perceived nearly so badly?
What if people are becoming more upbeat? About their own fortunes? Maybe even the country's fortunes?
What if...and i know, it's a big if...They're not nearly as dour as some consumer confidence surveys have reported?
What if, as a key survey language expert put it to me on this very show, the wrong questions are being asked, and the wrong answers are being gleaned?
That while most Americans have a decidedly dim view of the country's direction, they are much more upbeat about their own direction.
When asked how their neighbors are doing, most say...not well.
When asked how "they" are doing, most say...not bad.
I know, it's subtle. But nothing subtle about these polls that should show a Democratic blowout, but don't.
After all, the economy's awful, right?
Maybe not.
Maybe with gas prices coming down, retail layoffs slowing down, and the number of unsold homes inching down...something's up.
And Americans intuitively sense it, without even saying it...perhaps because pollsters never bother asking them it.
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It's time to let you in on a dirty little secret: You may not own the stock you own. That's right, if you invest with a brokerage firm, the shares you bought are almost certainly not held in your name. Technically, they're held in the name of the Wall Street firm you do business with, hence the term "street name."
No, you haven't been robbed. Ultimately, the decision to hold shares on the books under a different name doesn't affect the economic ramifications for you. You¿re listed as the "beneficial owner," even though the firm is the official owner of the shares. But, you are giving up some rights, and investors concerned about good corporate governance might want to get that stock back in their own names.
Here's the problem: If your stock is technically owned by, say, Merrill Lynch, then Merrill Lynch gets to do things with it that might work against your wishes. Take short selling. Investors who want to sell shares short need to first borrow those shares. The lenders are often the big Wall Street firms that are handing out Street-name shares. So, if you feel that a company you own is a victim of aggressive short selling, chances are your own shares are being used to fuel the shorting.
Also, your brokerage firm can cast ballots on some corporate matters affecting a company without getting your input. Technically, this can only happen in votes considered ¿routine¿ by securities regulators. But, there's a big catch: some big events, like board elections, are considered "routine" under law.
The good news is that you can easily fix the Street name problem: Just request that your brokerage firm makes you the listed owner of the shares. If they refuse, find a new firm.






