“The four most dangerous words in investing are: ‘this time it’s different.'” Sir John Templeton In early May of 2013, I came across a presentation by David Rosenberg called “Bernanke: The Wizard of Potemkin”. The whole thing is great but there was one slide in particular that caught my eye… Rule #9 is especially interesting; […]
Deflation vs. Inflation Some people are expecting deflation… …Others are expecting inflation. So who’s right? Not Steve Liesman All of them. Deflation Investopedia defines deflation as “a general decline in prices, often caused by a reduction in the supply of money or credit.” While that’s not occurring everywhere, it is taking place in parts of […]
Ebola? ISIS?! What’s REALLY Behind Wall Street’s Volatility? By Ed Butowsky From the Front Lines Published October 22, 2014 FOXBusiness Pop quiz: In the past month the Dow Jones Industrial Average has swung from a high of 17,210.06 on Sept. 24, to a low of 16,117.24 on Oct.16. Although the numbers aren’t dramatic, the intraday trading has been extreme […]
BUYBACKS -Has Boosted Median Eaenings Growth by 100 bps for S&P 500 Money Well Spent? 10-12-14 FT There was no sign of Carl Icahn’s trademark aggression in the letter he sent last week to Tim Cook, Apple’s chief executive. The one-time corporate raider began by applauding Apple’s recent product launches and calling Mr Cook the “ideal” CEO for […]
Full disclosure: At the time of writing, the author was long the $TM Jan16’15 calls. Some people call Japan “the land of the rising sun”. Others might argue that “the land of setting sun” is a more appropriate title. Before we continue, let me first say that 1) I’ve never been to Japan and 2) […]
What’s Freaking Out The Billionaires Of The S&P 500? 09-08-14 Ironman at Political Calculations, Political Calculations Tyler Durden pays attention to the things that billionaire investors say and do so we don’t have to. And it would seem that a number of them are starting to freak out over stock prices: “The stock market is at an all-time, but economic […]
Same $#!+, Different #PIIGS Desperate governments call for desperate measures Unfortunately for us, citizens often end up paying for the mistakes of their governments. That’s not how it should be but, sometimes, that’s how it is. If and a when a government is no longer able to meet its obligations, capital controls, broad wealth […]
CITI: The Economy Has Entered Its Scary ‘Phase 3’ Where Bubbles Form Prior To A Crash 08-15-14 Citi via BI Citi analyst Rob Buckland has published this diagram of where he thinks we are in the economic cycle, and it’s slightly terrifying. (We first saw the note on FT Alphaville.) Basically, we’re in “Phase 3” of a four-phase […]
Fat CAT or CAT NAP? When you think about Caterpillar, Inc. what comes to mind? For me it’s economic growth. As my friend Gordon T Long likes to say “wealth is mined, grown, or built – not printed”. Often times, companies and individuals who are looking to mine, grow, or build will go to $CAT […]