Ctrl BG: A Shortcut to Financial News 11/7

It was another turbulent week in the markets.

It started off with a rally as election day approached and everyone was filled with hope for change. On Tuesday, America finally voted for our next president- President Barack Obama. Even though the result seemed obvious in the last few weeks, it was still a very exciting day here in Chicago. Everyone in the streets were hyped, retailers like Starbucks and Ben & Jerry's were giving out free coffee and ice cream, roads around Grant Park were closed for the rally, the over all atmosphere was just very exhilarating! Unfortunately I wasn't one of the lucky few to get tickets to Grant Park, but I actually thought that both Obama's victory and Mcain's concession speech were really well done. Mcain's speech was very touching and gracious (though whoever dressed him with an ugly yellow tie should be shot), while Obama's speech was very inspiring- yes we can!

The next day after this pleasent distraction though, the market turned its attention back to the economy and it went downhill from there.

• Retail chains posted the worst monthly sales data in more than 3 decades! Retailers are closing stores. Circuit City for instance is closing 155 US stores. Jewelers were also hit especially hard. Many, such as Whitehall and Friedmans, are being forced to hold liquidation sales, which in turn is creating temoporary price competition for its healthy peers
• As sales drop, so did unemployment. The job report this week showed that in October, 240,000 jobs were lost, taking the unemployment rate up to 6.5% from 6.1% in September, hitting all sectors. Companies such as GS, Circuit City, Mattel, Time Warner, Yahoo, Ford and GM have or are planning to cut back their workforces
• GM in particular posted worst than expected earnings and have called off their merger deal with Chrysler in order to focus on its own financial health. Chrysler is now in talks with Hyundai. The auto industry as a whole is not doing well in this economy (except Porsche, which posted a 46% rise in pretax profit) and the big three (GM, Ford and Chrysler) have approached the government for a $50 billion aid. The auto industry is in fact one of Obama's top priorities to save/ I guess since it takes up 3% of overall GDP it will have immense effects both directly and indirectly on the economy, and not just affect Detroit

Outside of the US, there was another gloabl rate cut, with the Bank of England cutting a whooping 1.5% and the European Central Bank cutting 0.5%.

The outlook is pretty pessimistic. Bonuses are slashed (ironically Bear and Lehman survivors are actually getting better deals from their retention package than their counterparts in other firms like Goldman). The next domino to fall seems to be consumer loans, such as credit card and auto loans. Predictions of when this will all be over just keeps getting postponed. Last week, it was middle of 2009. Now we're hearing beginning of 2010!!

Obama is already looking into all this at a meeting of the transition economic advisory board, which included a high-powered collection of business, academic and government leaders, such as Buffet, who called into Chicago from Obama- just like Charlie in Charlie's Angels! His priorities are to get a second stimulus package out asap (maybe even before Christmas!) and saving the auto industry.

All this talk about presidency and campaigning just reminded me that I've forgotten to watch Brothers and Sisters this season. Better go catch up!

Oh, Kate

Has anyone watched Stylista? I watched the Pilot and all I could see was Tyra Banks making Elle Fashion News Director, Anne Slowey, appear to be an exact copy of Miranda Priestly of The Devil Wears Prada. Example: Anne Slowey enters the office by throwing her coat on the receptionists desk...really? It was so utterly unrealistic that all I could do was sigh and skip chunks throughout the episode to see what the point of the show was. They call it "Stylista" except it's less about style and more about editing and seeing if people can figure how to do a nice layout on a page...using scissors and glue. Boring and just terrifyingly superficial.

BUT! The wonderful Kate Lanphear was their first guest judge, and I find Lanphear simply stunning. Usually makeup-less (except on the show) her style speaks for itself: strong, elegant and a risk taker. She pulls off androgyny extremely well. Lanphear was the only redeeming factor, even if all she said was at most two sentences.





Her outfit in that first photograph is just amazing! These beautiful photographs are from Jak & Jill.

Loyalty in Design

I'm one of those people that once I find a brand, I stick to it. Then if they change designer I feel betrayed and angered until I find something else to feast my eyes (and empty my pockets) on. But it takes me a while to get over my loss.

One brand that I am extremely loyal to is Kookai. I found a simple black dress for a high school formal and I still wear it to this very day. Their cutting fits my body type perfectly and their cool relaxed style is something I'm very fond of, eclectic and different. Their pieces are very versatile, which is by far one of their greatest qualities. Buy only a few things and you will be able to churn out a multitude of looks with whatever else you have in your closet.

I absolutely love their colours of their Fall collection, I would wear every single one of these runway looks.

Those grey trousers up there on the right, I'm definitely going to go find myself a pair.

Image Source: Kookai

I want it all and I want it now

Standing five feet eight inches, I'm not that tall. But slap on a pair of 4 inch heels and I will tower over you, which is actually a great feeling; that is until my knees fail, my feet fumble, and suddenly it's impossible to find the ground beneath me. Even with the training of classical ballet in my back pocket, balance (or shall we say off-balance) always gets the best of me.

However, in all seriousness, adding heels tends to make you feel empowered. Your posture will be better, because that’s the only way you can walk in them, that leads to your head being held higher and ultimately you’ll be walking the streets flooding them with your confidence. This can then result in feeling a rush of greatness, which is the most important part.

I believe in always looking put-together, and neat and tidy when leaving the house. And a good pair of heels (or kitten heels, or flats, or boots), styled properly, can really make an outfit.

And just a little something for you to lust after…

My great obsession with Giambattista Valli is only increased with this pair of beautiful red shoes. And look at that beautiful shattered crystal heel detail, Versace.






A tad dramatic, but nonetheless, platforms are amazing. Gucci, Louis Vuitton & Marni



Christian Louboutin does no wrong [ever] at Rodarte.

Lacroix, oh Lacroix, tout ce que vous créez est beau. I have a strange affinity to those white sandals by Emilio Pucci. And do you SEE what I mean when I said I don't know what I've been doing NOT looking at Celine?

A good pair of heels always make a woman look powerful, strong, elegant and sexy. So don't worry about being "too tall." Enjoy your new found height - or as long as your feet will allow it.

Image Source: Style.com

Youthful or Sophisticated?

This weekend, I came across a dilemma. I found two very very good bargains and can only get one. Both are 70% and both are very hip this season items. They are also very different however and cannot exactly be compared apples to apples, but here I go trying anyway.
I first came across this skirt on the Marc by MJ sales rack at Bloomies. It is not exactly my usual style, and in fact, if I saw this picture (above) I wouldn't even consider it (you got to admit, it doesn't look that great). But I decided to try it on anyway, along with a bunch of other stuff, for fun. It was one of those items where you put it on and WHAM- you look great in it and you really want it! Thats what happened for me anyway. I've never owned a pencil skirt, cause I always thought they'd make me look short, but this one was just hot. The cutting was flattering, it is different from what I already own and it definitely has hip edge to it, with its shiny fabric, fishnet pattern and zips. And then I got out of the changing room and the skirt accosted me again on the mannequinn. So despite the hip being just a tinsiest bit loose on me, I bought it 40% off at Bloomies.

Afterwards, of course I went online and googled it up and sent it to HG and all my other girlfriends for their opinion. Most thought it was not me, but HG thought it was really cool. The two of us then proceeded to spend all night analyzing its pros and cons and how to wear it. It's tough, because it's a bit in between officey and casual, being too hip for the office but too formal for the streets. I was originally thinking just a black top and boots will do the trick. HG pointed out that it would look very officey and too formal looking, and that I got to wear it "hip" with bright colors like in the picture above. As I said before though, I'm not very fond of the styling above. A good alternative would be to wear it with black and add on a large pink scarf like this one. But I'm not about to spend more so I can wear a skirt. Oh, guess what else I found? I found that Saks was selling the same skirt for 70% off! Yes, I am the type of girl who must have best deal in town. So I made the trip to Saks (good thing everything is so close together) and I came across this:
This tulip shaped pink skirt also 70% off, also from Marc by MJ. As I said, they're not exactly an apples to apples comparison. This one is more youthful, fun and punk, while the pencil skirt is more sophisticated and rock. This one is also easier to pair though. Since it is already so colorful by nature, wearing all black everywhere else is a given. I can even pair a hip short jacket with it. Plus, this skirt can definitely not be mistaken for office wear!

So in the end, I opted for the fun, youthful and easy to wear skirt instead and decided to leave sophistication for later. It all sounds very logical now, but trust me, it took a LOT of debate for me to get to this stage!

Image Source: Saks

Guns Up

Texas Tech 39 - Texas 33

From purely a fan's perspective, that was maybe the best football game I've seen in a long while. Wild, erratic, well-played, well-coached, hard fought, with everything on the line between two unbeatens. The game was of course won on a magnificent pass from Graham Harrell to Michael Crabtree, who -- twisting, turning, ripping -- not only caught the ball but scored a touchdown. Below are a few more specific observations regarding the game.

Clock Management

First, clock management. Immediately after the game, a reporter asked Texas Tech quarterback Graham Harrell, when he saw that he was down with only a minute twenty-nine remaining, what he was thinking:

HARRELL: We're gonna win the game. . . . They left us too much time.

The successful offense Tech runs was of course the predicate for having any success on a drive like that (gotta throw and catch), but you have to give yourself a chance. Tech did it exactly right: They did not stupidly try to spike the ball, instead calling all the plays at the line (and without an excessive amount of communication); they did not overdo it with downfield passes nor all dump-offs to the running back (you generally just need to throw most passes past the first down marker); and although they didn't end up needing it, they preserved their time out.

It was a great drive, and it was well-orchestrated. I saw a commentator say something along the lines of "they had failed to use all their time outs" and further that "had Crabtree been tackled on the final play, they would have lost." Not only were both statements wrong (or at least carried the wrong sentiment) they also didn't flow together.

Tech intelligently kept their final timeout; had it been anyone else besides Michael Crabtree (assuming he caught it) he would have been tackled, and the time out would have allowed them to get their field goal unit on the field. And the rest -- the no spikes, the efficient communication -- was an application of the trappings of good clock management teams that I have previously described.

Texas's 91 yard stop-and-go

Second, I may draw this up in more detail later, but Texas's ninety-one yard TD was well designed and it was a good call. Throughout the game, the Longhorns had run the traditional curl/flat combination: the outside receiver would run a twelve-yard curl back to the quarterback, while a slot or running back would run to the flat. The play is designed to pull the flat defender to the sideline and to be completed in front of retreating defensive backs.

The base play had seen only marginal success: McCoy had completed a few of these, but this was also the combination that he had tried to throw on the pass intercepted and returned for a touchdown (the flat defender had drifted to the flat but had stayed in position to come back under the throw to the curl).

The touchdown was not only a stop-and-go, it was curl/flat and go. The slot ran the flat route and the outside receiver ran downfield and put his foot in the ground at about ten to twelve yards. This is a big reason why the cornerback bit so hard: he was not only reacting to a receiver but he was also reacting to what he thought was a route combination. It was a good call.

Mike Leach

Leach, for all his oddities, is a heck of a coach. Tech outplayed Texas the entire game, and it's a cliche, but there's only a handful of guys on Tech's roster who could have made Texas's. Also, Tech's defense played well, and much has been made about Tech's ability to run the ball better.


But this game's ending was fitting: A frantic last minute drive, all passes, and a touchdown pass on the sideline. And even further, the play itself was typical Leach: a basic play that Tech runs all the time (four verticals), but it was a play they had practiced so often that it was going to work.

Which gets back to the macro story about what Leach does. Leach and his offense are sui generis. As a result, a lot of coaches do not like Leach. Not on a personal level, but they are dismissive because he's so different. His success undermines their traditional approaches to the game. Too many football coaches are walking stereotypes right out of central casting; whereas sometimes the fact that Leach is head football coach for a major program seems like a Seinfeld plotline.

And that offense. As Michael Lewis described in his great New York Times Magazine piece on Leach (of somewhat renewed interest now), it's not an "offense" in the traditional sense: Leach's offense is "in effect, an argument for changing the geometry of the game."

It's funny that even fans who only casually watch the game immediately realize that Texas Tech is not the same "spread" that is so in vogue across football (in fact, it is Texas's offense that resembles that "spread"). It's his brainchild. It's a pass-first offense that is actually almost amazingly staid (Leach runs the same plays that he ran when he got there; the same plays he ran at OU; the same he ran at Kentucky; which all are mostly the same ones they got from BYU in the 1980s), but with lots of slight variants. New tags to move a guy here and there, to flip the play, and others. But always the freedom and variance with the offense has come by allowing the quarterback to find the right play and the receivers to get open.

In Leach's offense, the receivers do not really run "read-routes," but he does give them plenty of freedom to beat their men and settle in zone holes.

In the end, I'm not sure if you can really emulate Leach's offense per se. The current BYU staff has lots of ties to Leach and they are having great success and Sonny Dykes is the offensive coordinator at Arizona with mixed results. There are others. But Leach is just plain a "different" guy, so he could care less whether his offense looks like other offenses -- and in fact I'm sure he wants it to be different -- and this allows him to always push football's boundaries in ways other coaches cannot.

So the season is long, success in football is always ephemeral, but for now, in Leach's ongoing case against the football traditionalists (Leach has a law degree), his argument against the "geometry of the game" looks pretty persuasive.