Star News

U.S. companies added 42,000 workers in July, exceeding all estimates according to figures released by ADP Employer Services. In the same period, service industries expanded at a faster pace than forecast, reflecting an increase in employment that eases the likelihood U.S. economic growth will slip in the second half of the year.

The Institute for Supply Management's index of non-manufacturing businesses, which covers about 90% of the economy, rose to 54.3 from 53.8 in June. Readings above 50 signal expansion, and the median estimate of economists surveyed called for a drop to 53. Another report showed companies added more jobs than projected last month.

Record-low mortgage rates may hold off a significant slump in housing; while July's rebound in stock prices, the first gain in 3 months and the biggest in a year, will support consumer confidence. Coming on the heels of ISM's manufacturing data this week that showed factory rebounds have cooled, the report diminishes the risk that the recovery will subside.

Payrolls [excluding government agencies] climbed by 42,000 workers last month after an increase of only 19,000 in the month of June, according to additional figures from ADP Employer Services. Economists surveyed had forecast a gain of 30,000, according to the median estimate. We will keep you posted…

Non-Recourse Lender Seeking Low Leveraged Loans at 5.0% Fixed

Penstar identified a capital provider actively funding loans on low leveraged properties fixed at 5.0%. The lender is seeking loans ranging from $5 million to $50 million at a maximum LTV of 55% on office, industrial, and anchored retail located nationwide. Loans are fixed for 10 years, non-recourse, and amortized over 25 years. To learn more, please contact Steven Hamermesh at (818) 883-9609 or hamer@penstaradvisors.com.

Helpful Humor

“Giving Birth”

A man took his pregnant wife to the hospital to give birth to their first child. The doctor informed the couple that he'd developed a new machine that would transfer the woman's pain to the father, thereby easing the new mother's burden. He asked the young parents-to-be if they were interested in trying it.

The couple thought it was a good idea and agreed to give it a try. The doctor set the gauge at 10%, informing the father that such a low level was likely more pain than he had ever felt. The young father was surprised at how little pain he was feeling and asked for the setting to be increased. The doctor turned it up to 20%, with the same results. This trend continued until the machine was set at 100%.

After the delivery both mother and father felt fine. The young mother was relieved at having an almost painless labor and the father was amazed at how little pain was actually involved. When they brought their newborn home, they were startled to discover the mailman lying dead on their doorstep.