Recent
economic reports indicate the U.S. economy continues to show improvement.  Home prices as measured by Case-Shiller rose
1% month over month and 13.3% year over year in September as all 20 cities
surveyed saw gains. Jobless Claims fell another 10,000 to the lowest level
since early October.  Manufacturing
activity is rebounding after the government shutdown in many parts of the U.S.  Consumer confidence increased just in time
for the all important holiday shopping season.

On
the negative side, Durable Goods orders remained sluggish.