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How Taxes Affect The Incentive To Invest In New Intangible Assets

How Taxes Affect The Incentive To Invest In New Intangible Assets

from the Congressional Budget Office A business’s worth includes not only its tangible assets, such as equipment, structures, land, and inventory, but also its intangible assets. In contrast to tangible assets, intangible assets have value because of attributes that have no physical substance. For example, the value of a typical book resides in its content, […]
Cryptocurrencies Apocalypse Underway

Cryptocurrencies Apocalypse Underway

In the investment world, confidence is one of the most important aspects. It is confidence that makes people invest in small unprofitable companies with the hopes that they will improve. It is also confidence that makes investors like Warren Buffet buy and hold stocks for years. They believe in the company’s products and management. Therefore, […]
Nvidia Turns Positive As Citron Sees Opportunity To Buy

Nvidia Turns Positive As Citron Sees Opportunity To Buy

Shares of Nvidia (NVDA), which were trading in negative ground to start the session, have reversed and moved into the green after a tweet from short-selling focused research firm Citron Research. In the tweet, Andrew Left’s Citron said: “Citron buys $NVDA. This is the first time in 2 years stock offers an appealing risk-reward to […]
Oil Crashes Over 7% In Biggest Drop In 3 Years, Triggering CTA “Max Short” Programs

Oil Crashes Over 7% In Biggest Drop In 3 Years, Triggering CTA “Max Short” Programs

There’s something about Tuesdays. Exactly one week after oil plunged on November 13, tumbling over 7%, West Texas Intermediate is being thrown out with the bathwater, and on Tuesday afternoon it has plunged another 7.5% sliding from $56.76 to below $52… … the lowest price since November 2, 2017, its WTI’s biggest drop since Sept. […]
October 2018 Residential Building Slowed

October 2018 Residential Building Slowed

The headline residential building permits slowed and construction completions slowed relative to last month. But we keep our eyes on the rolling averages which confirms the slowing trend. Analyst Opinion of Residential Building The backward revisions this month were slightly upward.The nature of this industry normally has large variations from month to month (mostly due […]
Bitcoin To Reach Outlandish Levels?

Bitcoin To Reach Outlandish Levels?

Bitcoin went berserk. At least in the eyes of cryptocurrency bulls. But what’s happening now is an extension of what’s been going on in the Bitcoin market for months. And the current situation, with all its extreme signs, actually points to one more likely specific outcome. You have got to love it. As Bitcoin depreciates, […]
Is This The Perfect Time For Calendar Spreads?

Is This The Perfect Time For Calendar Spreads?

Calendar spreads are essentially volatility trades. You’re buying the back-month volatility and selling the front month volatility. The issue with this is that most of the time, markets are in what is called Contango, where back month volatility is higher than front month. So, you end up buying expensive volatility and selling cheap volatility. Here […]
Mediocre Housing Numbers: Single-Family Starts And Permits Down, Multi-Family Up

Mediocre Housing Numbers: Single-Family Starts And Permits Down, Multi-Family Up

Today’s construction report shows permits fell 0.6%, single-family starts fell 1.8%, but multi-family starts rose 1.6%. Here are some more details from the Census Bureau’s Residential Construction Report for October. Building Permits Privately‐owned housing units authorized by building permits in October were at a seasonally adjusted annual rate of 1,263,000. This is 0.6 percent below the revised […]
Bitcoin Hits A 13-Month Low As Crypto Bloodbath Continues

Bitcoin Hits A 13-Month Low As Crypto Bloodbath Continues

With tongue fully in cheek, I feel a bit like the editor of a local news outlet this morning – “Which of these many disasters do I cover today?” So far today, we’ve seen global stocks sliding across the board, previously high-flying tech stocks getting hit particularly hard, and WTI crude oil dumping another 5%, […]
Here’s How The Fed’s Bloodletting Sucks The Life Out Of Bloated Asset Bubbles

Here’s How The Fed’s Bloodletting Sucks The Life Out Of Bloated Asset Bubbles

The Fed increased its scheduled bloodletting of the banking system to (up to) $50 billion per month in October.  We’ve seen the effects. The Fed calls this program “normalization” but I call it “bloodletting”, in honor of the medieval medical treatment for a disease. That barbaric treatment used leeches to suck the blood from sick […]