Author Archive: Jeremy Parkinson
Passive Investors Don’t Need No Stinkin’ Votes
People are still losing their minds over “passive investing”. Here’s the CEO of a high fee fund management company complaining: “Passive investors don’t engage the market with finely tuned attention to each company. They don’t help allocate capital specifically to well-run companies with competitive advantages and long-term growth prospects. Nor do they invest in discovering price disconnects […]
Gold Prices Struggle To Maintain March Gains- US CPI On Tap
Fundamental Forecast for Gold: Bullish Gold defends monthly open support post-NFP; near-term outlook constructive Gold prices are poised to close the week fractionally high with the precious metal trading at 1323 ahead of the New York close on Friday. It’s been a volatile week for bullion but the precious metal continues to hold a well-defined range […]
9-Year U.S. Bull Market Run: Will We See A10th?
Each candle on the following five charts of the Major U.S. Indices represents a period of one year. You can see at a glance that we’re still ensconced in a bull market that began in 2009 when the Fed first began their QE monetary policy. In fact, both Tech indices closed at new all-time highs on Friday and haven’t experienced much of a pullback, so far, this […]
SPX Intermediate Support Challenged But Holds
VIX challenged the two-year trendline and mid-Cycle support on Friday morning to complete an extended Master Cycle low. The correction finally appears to be complete and a rally above Short-term support/resistance at 15.82 may put the VIX back on a buy signal. The next Cycle Top may occur in the next 2-3 weeks. (ZeroHedge) Heading […]
$21 Trillion And Rising: How Central Banks Are LBOing The World In One Stunning Chart
Back in late 2016, we showed the unprecedented domination of capital markets by central banks using a chart from Citi, which had put together a fascinating slideshow asking simply “Where is the utility in marginal QE” and specifically pointing out that the longer unconventional monetary policy such as QE continues, the bigger its marginal cost, […]
Some Economics Of Place-Based Policies
When it comes to public policies for helping the poor, economists have tended to favor a focus on individuals who are poor, rather than on places that had a higher share of poor people. This seemed like a better way to target scarce public resources. There was some fear that if the focus shifted to […]
Canadian Dollar Relief Rally After Tariff Exemption
Canadian Dollar had a relief rally last week after the U.S. excluded Canada and Mexico from steel and aluminum tariffs. President Trump’s administration enacted these tariffs under section 232 Trade Expansion Act of 1982 on the ground of national security. President Trump said that the importation of steel and aluminum was “in such quantities and […]
Cursed By Momentum
Edgy Investors Although most investors have no edge on the market there’s a proportion of them that persist in trading actively, the main effect of which is to enrich their brokers. There are various explanations of why this occurs, but it seems to come down to some combination of inherent overconfidence and a perverse refusal […]
China Prices Include Lots Of Base Effect, Still Undershoots
By far, the easiest to answer for today’s inflation/boom trifecta is China’s CPI. At 2.9% in February 2018, that’s the closest it has come to the government’s definition of price stability (3%) since October 2013. That, in the mainstream, demands the description “hot” if not “sizzling” even though it still undershoots. The primary reason behind the […]
