Tag Archives: stock market

Risk is inevitably mispriced when unprecedented intervention suppresses risk [and, as such, the] policies that appear to have been successful for the past four years may continue to appear successful for a year or two longer but that very success comes at a steep, and as yet unpaid, price in suppressed systemic risk, cost, and consequence. [This article identifies 8] key dynamics that will continue to play out over the next two to three years [and an] understanding of the eventual consequence of such influential trends - that risk is inevitably mispriced when unprecedented intervention suppresses risk. Words: 1299

As Winston Churchill once said: “A pessimist sees the difficulty in every opportunity; an optimist sees the opportunity in every difficulty” and in that vain I challenge all readers to fight off the negativity, see long-term opportunity in global equity markets and, most importantly, remain invested. Your future self may thank you. Words: 732; Charts: 6

One couldn't imagine any better Christmas gift for hard assets and stocks than Ben Bernanke's surprise introduction of QE4 right on the heels of QE3. Call the duo QE7. "QE7" promises to expand the monetary base far faster than the markets had been discounting [which is great for gold] and also raises the floor under stocks. I suspect we'll close 2012 with a run at the highs, and possibly climb just short of 1,600 on the S&P 500 sometime in Q1. As for Treasury bonds, well, could this spell the end of the bond market? [Let's look at the ramifications of QE4 more closely.] Words: 516

The Dow Jones Industrial Average composite (DJIA) hitting a five year high early last month does not bode well for the bulls. Frankly, I am predicting that the recent five year high...(October 5th) will prove to be the cyclical high in an ongoing secular bear market that has not yet hit its bear market low for this secular bear and that...it will not get to an all-time new high until 2015 at the earliest. Prepare to be nickled and dimed in the meantime! Words: 995

BMO chief investment strategist Brian Belski went on Bloomberg TV yesterday and made a huge call: he told viewers that "we're on the verge of the next great bull market" in stocks ( see video here) outlining his bullish thesis based on 16 economic and market indicators he factored into his call which can be seen here.

A top analyst at Citibank has told King World News that global stock markets are set to plunge 27%...the panic will move global bond markets to extreme levels, but gold will remain firm.

We are now at the mercy of oil and the commodity markets. Bernanke's plan to print our way to prosperity is destined to fail. Ultimately, he is just going to spike inflation and collapse the global economy, resulting in a worse downturn than what we saw in 2008/09. Let me explain. Words: 510

MarketWatch's headine last Friday read You Have to Play to Win: U.S. stocks' stellar performance so far in 2012 is remarkable in part for the enemic trading volumns that have accompanied Wall Street's rise, and those on the sidelines, as with the lottery, stand no chance. I believe that this may be the single most deceptive and dangerous financial headline I have ever seen published by such an influential provider of financial information. [Let me explain why I think that is the case.] Words: 1232

In spite of all the bearishness out there - the S&P 500 falling to 1,000 (David Tice),the market is overbought (John Hussman), its looking like the bear market of 2011 all over again (David Rosenberg), for example - I tend to disagree for 4 fundamental reasons. Let me explain. Words: 595

Third-quarter reporting season is set to begin [and,] as a result, the troubles in Europe are about to become background music as investors once again focus on individual company fundamentals and when it does, here are the three most important statistics we need to track. Words: 545