Market Report: Dow closes at record high, falls short of 14,000

Although the DOW did not finish above 14,000, it did cross the mark several times today.  In an interesting article, CNBC reports that this is the third time in one year that the DOW has crossed a millenial mark.

October 2006: 12,000

April 2007: 13,000

July 2007: 14,000

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 As earnings week continues, numerous corporations tout double digit rises in profits:

Merril Lynch: ↑31%

State Street: ↑61%

Sallie Mae: ↑33%

Infosys Tech.: ↑51%

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As always, the price of oil is signficant, finishing today at $74 a barrel.

Politics: A look at the RI 2008 U.S. Senate Race

Recent discussion on many of the blogs and forums across the state have been speculating between a Jon Scott run for U.S. Senate, Jack Reed as the Secretary of Defense in a Democratic White House in 2009, and how the General Assembly would respond to a Senate vacancy if this were the case.

 

N4N reports transcripts from a 10 News Conference quote Jack Reed ruling out a possible Cabinet position:

 TARICANI: Let’s talk a little bit about your future, we’ve asked you this before, should a Democrat get elected president in 2008 and should you be requested or nominated to be Secretary of Defense, would you accept that position?

REED: No. My intention and hope is that I will be re-elected by the people of Rhode Island.  I am very privileged to serve as a United States Senator and I hope they will give me the opportunity to serve the state and the nation for six more years.

TARICANI: So you are ruling that out.

REED: Yes.

I believe this response resembles the classic, political, diplomatic answer.  Reed knows he should not be discussing this possibility with assertiveness while it is still 2007 and the speculation of this circumstance has no grounds for verity.  Regardless, he will be running a re-election campaign in 2008 and his loyalties lie with the people of Rhode Island at this time.  However, if all the circumstances fall the right way for Reed…meaning a 2008 Democratic White House…I have a hard time believing Reed would give up a Cabinet position.

…Or would he if it meant a Republican would fill his seat?

Tom Shevlin at RIReport wrote last week about a possible Jon Scott run for United States Senate in ‘08.  With little to lose, and everything to gain, Scott should be thinking very seriously about this possibility.  The biggest question I would be asking if I were Scott would be if this comes too prematurely in my political career.  Voters don’t like unsuccessful, perennial candidates.  While a Scott for Senate run would position him nicely if the Democrats win in 2009, and if the new President appoints Reed, and if Reed accepts the position, it otherwise could tarnish Scott’s fresh persona and make him appear to be a true “politician” who essentially runs for office for its own sake.  A lower profile run for State Senate or City Council would not affect Scott’s image and credibility as much as a high profile, U.S. Senate race would.  Scott has demonstrated interest in National politics so I personally believe a low profile run would be less likely.

Of course, Scott’s success at filling Reed’s seat in the Senate largely depends on whether the Governor exercises his executive privilege to appoint the vacancy or if the General Assembly would attempt to strip the Governor from this power.  In a state where politics is a spectator sport and Republicans are despised, I would bet the Democratic General Assembly would not go down without a fight. 

While 2009 seems far away, the campaigns and strategy necessary for a successful U.S. Senate campaign need to be gearing up quite soon.  It will be interesting to watch this situation play out.

College Republican Federation of RI Spending Fiscally Irresponsible

The College Republican Federation of Rhode Island is an umbrella organization serving student-run clubs on campuses throughout Rhode Island, and is a state federation in the larger College Republican National Committee.  At least according to the website.  

This organization, of which I was once the two-term Treasurer, is still in its infancy as it has been wrought with divisiveness and has had little to no funds.  

Last week marked the national College Republican’s convention, of which Rhode Island had three voting delegates.  I am quite disappointed in the newly elected executive board’s decision to send all five of its members to this event when only three were necessary. 

I understand the way the national convention works and am also very familiar with the inter-workings and dynamic of the Federation here in Rhode Island. While I understand the importance of Rhode Island having all three votes present for the convention, I do not understand why two additional members of the executive board needed to attend at the cost of the Federation.

In an internal memo from the current chairman, Ryan Bilodeau, I was told all members would be reimbursed for travel expenses.  However, according to RIReport, this trip marks the first time the Federation will be able to finance all attendees.  

As the former treasurer, I am aware of several hundred dollars of outstanding debt for previous national meetings. According to the memo I received, the extra cost for these two delegates to attend is estimated to be at the least $1000.  With the cost of plane tickets, metro cards, busses, etc. as well as the additional registration fees, the Federation should not be spending extra money when it is not necessary or sufficient for the health of our organization in Rhode Island.

Votes at the national convention are allowed to be proxied and the alternate delegates should only have gone if some unforeseen circumstance arose that did not allow one of the chosen delegates to go to D.C. in enough advance to not cause the Federation additional expenses.

Republicans typically place high value on fiscally conservative decisions. This was not an example of this ideal.

I am not fully aware of their fundraising efforts, and I hope that enough has been raised to cover this and still carry out the rest of the Federation’s plans.  However, this was a fiscally irresponsible move on part of the Federation and a waste of its donor’s funds, considering only three delegates were necessary.  An extra thousand dollars could have been spent on RI’s College Republican chapters and grassroots activism across the state rather than on two members of the executive board luxuriously attending the convention on the Federation’s bill.   I believe this was selfish and should not be tolerated of our state leaders who represent nearly 500 College Republicans statewide.