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No Cause For Concern For ECB Rates

No Cause For Concern For ECB Rates

While global conditions have been less than optimal, inflation in the Eurozone should not be a point of concern at the moment, especially in its impact on the regions monetary policy. The four countries in the chart below account for about 80% of the Eurozone, and only one of which (Germany) has a 3m/3m annualized […]
Why Bitcoin May Be On The Verge Of A Powerful Move

Why Bitcoin May Be On The Verge Of A Powerful Move

After its powerful surge in late-2017 and stunning plunge in early-2018, Bitcoin’s volatility has died down significantly as it settles into a narrowing range just above its key $6,000 support level. This narrowing pattern appears to be a descending triangle, which has very bearish implications if the cryptocurrency breaks below the key $6,000 support level in […]
Are The Millennials About To Get Slaughtered?

Are The Millennials About To Get Slaughtered?

The other day I wrote a piece “When will chasing the hot stock no longer work?” which outlined how “price momentum” was the main driving factor during the recent stock market rally. I went through how value stocks have been sucking wind ever since the Great Financial Crisis. The article got a lot of feedback, but there […]
Household Incomes: The Value Of Higher Education – Monday, Oct. 22

Household Incomes: The Value Of Higher Education – Monday, Oct. 22

What is the value of education for household income? The Census Bureau’s annual survey data for 2017 published last month gives us some interesting insights into this question. The median income for all households with a householder age 25 and older was $62,625. The chart below shows the median annual household income for nine cohorts […]
Stocks And Precious Metals Charts – Skittish

Stocks And Precious Metals Charts – Skittish

Stocks were a bit weak today, having opened quite a bit lower than Friday’s close in the futures market. Jitters over the Chinese economy were the putative cause in spokesmodel land. Gold and silver were off a bit on a stronger US Dollar as shown in the chart below. The DX Index is topping 96. […]
This Will Cause The Next Financial Crisis

This Will Cause The Next Financial Crisis

Rumors of a future financial crisis are spreading once more, as subprime mortgages have made a return under new labels such as “impaired credit” or “complex prime”. On an international level, the latest report by the IMF warns against the “risks of rollback, waning multilateralism, and regulatory fatigue” that may bring about a slowdown in global economic activity and […]
Stocks Are Doing Something They Haven’t Done Since The Dot Com Bubble

Stocks Are Doing Something They Haven’t Done Since The Dot Com Bubble

Third quarter earnings season is set to be another blockbuster for bottom-line growth, with EPS expected to grow above 20% Y/Y for the third quarter in a row, and yet some problems are emerging as traders begin to fret what happens in 2019 after the anniversary of the Trump tax reform pushes earnings growth sharply […]
Q3 FAANG Earnings Likely To Be Solid: 5 ETFs To Play

Q3 FAANG Earnings Likely To Be Solid: 5 ETFs To Play

The so-called FAANG stocks — Facebook (FB – Free Report) , Amazon (AMZN – Free Report) , Apple (AAPL – Free Report) , Netflix (NFLX – Free Report) and Alphabet (GOOGL – Free Report) – which were once investors’ darling and the biggest driver of the nine-year bull run, were hit hard recently on investors’ cautious approach. In fact, this approach compelled them to shun […]
This Utility Got An Upgrade… But Is Its Dividend Safe?

This Utility Got An Upgrade… But Is Its Dividend Safe?

The last time I looked at Southern Company(NYSE: SO), I mentioned that negative free cash flow and a lot of debt put the company at risk for a dividend cut. I also said that Southern Company isn’t alone. Most utilities are in the same situation and have low dividend safety ratings. Today, only three out of 37 utilities ranked by SafetyNet […]
End Of The Rate Hike Cycle In 2019?

End Of The Rate Hike Cycle In 2019?

In a previous article, we showed a chart which had central bank tightening listed as a contributing factor for 29 out of the past 45 recessions in G7 nations. This article will review the latest Fed policy in a quantitative manner. First, let’s review the policy prescription that has all investors and economists talking. The concept is […]