Toyota

All you need to read.

• Angela Merkel casts doubt on saving Greece from financial meltdown (Guardian)
• Germany Rejects ‘Indecent’ Call to ECB on Greece, Meister Says (Bloomberg)
• Obama Calls for Higher Taxes on Wealthy (Bloomberg)
• Fed set to push back timing of eventual rate hike (Reuters)
• Recession Looms As UK Economy Shrinks By 0.2%, more than expected (SKY)
• King Says BOE Can Increase Bond Purchases If Needed to Meet Inflation Goal (Bloomberg)
• When One Quadrillion Yen is not enough: Japan's first trade deficit since 1980 raises debt doubts (Reuters)
• Sarkozy to quit if he loses poll (FT)
• U.S. Shifts Policy on Nuclear Pacts (WSJ)
• ECB under pressure over Greek bond hit (FT)

• Fed Holds Off for Now on Bond Buys  (Hilsenrath)
• Bonds Show Return of Crisis Once ECB Loans Expire (Bloomberg)
• Greek Debt Talks Enter Third Day After ‘Substantial’ Discussions (Bloomberg)
• Sharp clashes at Republican debate ahead of vote (Reuters)
• Lagarde Joins Warning on Fiscal Cuts Before Davos (Bloomberg)
• Investors exit big-name funds as stars fail to shine (Reuters)
• Payday lenders plead case to consumer agency (Reuters) - the EFSF included?
• EU Toughens Fiscal Pact Bowing to ECB Objections, Draft Shows (Bloomberg)
• Minister Urges Japan to Use Strong Yen (FT)
• China Eyes Pension Fund Boost for Stock Market (Reuters)
• China Manufacturing Contraction Boosts Case for Easing: Economy (Bloomberg)

• Italy Is Biggest Risk to Euro, Says Fitch (WSJ)
• Greek Bailout in Peril (WSJ)
• Swiss Currency Test Looms for SNB’s Jordan in Race to Replace Hildebrand (Bloomberg)
• Daley to Depart as Obama Shifts Strategy From Compromise to Confrontation (Bloomberg)
• BOE Stimulus Expansion May Not Be Enough to Revive U.K. Recovery, BCC Says (Bloomberg)
• Geithner in China to Discuss Yuan, Iran (Bloomberg)
• China Won’t See Hard Landing in 2012, Former PBOC Adviser Yu Yongding Says (Bloomberg)
• Measures to boost China financial markets (China Daily)
• Obama Panel to Watch Beijing (WSJ)

All you need to know.

Remember the massive surge to world GDP courtesy of the Japanese disaster spouted by every idiot on CNBC? Well, here we go:

• TOYOTA SAYS WILL HAVE TO SHUT DOWN N. AMERICAN FACTORIES
• TOYOTA SAYS SHUTDOWNS MAY AFFECT 25,000 WORKERS

This is massively bullish for horse buggies and Flintstonemobiles.

Skip General Motors, which is getting over inflated through a combination of media and government hype. Today Toyota, the world’s largest car maker, has been slammed by the perfect storm. Toyota has become the BP of the auto industry. Since the company is Japan’s largest exporter, it would benefit greatly from any weakness in the yen. Buy when there is blood in the streets. (TM), (FXY).

There should be no excuses for a better than expected February for auto sales... Toyota is down (and the domestic competition would have you believing "out" as well...) But how did the other major brands perform in February, which is traditionally a shitty month to sell a car?

This is one of those poetic justice moments. After Toyota was dragged through hell and back (aka Congress) over a sticky accelerator issue, now it is the turn of the automotive division of the US government, better known as General Motors. The reason: the company "is recalling 1.3 million compact cars in North America to address a power steering problem that has been linked to 14 crashes and one injury, the company said on Tuesday." We can't wait to see GM's brand new consultant Fritz Henderson (paid the miserly stipend of $3,000/hour) sweat tungsten-filled bullets before Congressional grillings because after all in America justice is blind, especially when it comes to such things as past and potential car accidents, even if the unionized labor consortium in question is a protectorate of a feudal, post-capitalist, communist state (Toynbee is hopefully spinning in his grave).

Okay, maybe not something that would look good on a billboard- but today Toyota apologized for its safety issues- and how they handled them.

I've been trying to report the news as I see it come across, regarding the Toyota Bash-A-Thon that has been the media... But let me make myself clear. Let me clear my throat.

A silly story in a Japanese paper. Based on this you would have to conclude that our biggest creditor doesn't think too much of us.

A string of massive recalls. Losses in confidence, declines in sales, a halt in production. Now the Transportation Department is demanding (not asking) that Toyota hand over documents revealing how long the fallen company knew of the aforementioned issues- or face fines.

Maybe we don't follow product recalls as much as we should here in America, enough to write about them well (at least I don't) but one thing is for sure- when a consumer product gets recalled- you don't get a glimpse of the ins-and-outs in mainstream media as much as we're getting here with Toyota... Then again, we're talking over 8.5 million units... And in an industry we need to reclaim.

Toyota has been slammed by the perfect storm. Dozens of deaths, thousands of accidents, and a worldwide recall of 9 million vehicles. What happened to the serial killer of American car companies. Toyota has not turned into GM overnight.

Seems like the speed and acceleration of profitability is non-stop at Toyota; despite a myriad of product recalls failing to stop the all-mighty Japanese automaker.

Okay, okay... Bad pun. Or was that a metaphor?

Fourth quarter, Toyota posts a net profit of some 153.2 billion yen, $1.7 billion dollars...

But could this be one of the last profitable quarters in a long while for the troubled automaker? The Japanese remain optimisitc!