Oil Threatening To Break Its Rising Trend-Line
After breaking out of its recent base, oil has been on a roll, breaking out of its rising channel and crushing the hopes and dreams of bears wanting to see $20 oil. Now the question is, does the bears have a renewed sense of hope here with a possible break in the rising trend-line? We shall soon find out!
This Rally Is An Illusion: Two Market “Magic Tricks” Pushing Stocks Higher
Stocks have been on a tear. After looking weak in February, when the bottom could have fallen out, stocks have soared close to 13% in a matter of weeks, we’re finally here: positive for the year, above the market’s important moving averages, above resistance, and just plain sitting pretty. So why does it all feel […]
Japan’s Negative-Yield, Inverted Bond Market Close To Breaking Point
Japan’s dysfunctional bond market is not only inverted between three month and eight years, it also sports negative yields out to 10 years. The yield curve also inverts between 30 and 40 years, albeit in positive territory. Inverted means longer-dated bonds yield less than shorter-dated bonds. “It wouldn’t be surprising to see some BOJ operations […]
Warren Buffett Loves Coca-Cola Stock And So Should You
Legendary investor Warren Buffett remains a firm believer in Coca-Cola (NYSE:KO). The Oracle of Omaha’s latest letter to shareholders revealed that his company, Berkshire Hathaway (NYSE:BRK-A), which was already Coca-Cola’s single largest institutional investor, has seen its stake grow in the iconic beverage maker. 123RF In his annual letter to shareholders, Warren Buffett wrote that Berkshire Hathaway’s stake […]
EC A Simple Way To Reduce Seed-Stage Risk
The allure of early investing comes from seeing the companies you invest in reach valuations of hundreds of millions of dollars and/or eventually go public. But seed-stage investors have more immediate concerns. It’s so obvious that I think many early investors lose sight of its importance. It’s simply this: Seeing your startup get to the […]
NIRP Is Absolutely Crushing Big Parts Of The Finance World
Savers are the obvious victims of the past few years’ plunge in interest rates. But there are other casualties, including money market funds, which have no reason for existing if their yield is negative, and insurance companies, which price their policies on the assumption that they’ll earn good returns on their bond portfolios. As bond […]
Directional Views You Can Act On; Not Platitudes… Stocks, Bonds, Gold, Oil, And The Dollar
Below are the views we shared in our most recent issue of Key Market Strategies about the major markets. Comments: Near-term looking for stocks to stage a correction lower, commodities to follow; bonds to edge higher; and the dollar to work higher again in the wedge pattern. Stocks–SPY Daily [last 204.67]: Key juncture. Stocks rallied to bang on the 78.6% resistance level […]
The Investor Podcast – Macro Thoughts
I was on The Investor Podcast this past weekend with the very awesome Stig Brodersen and Preston Psyh. We covered a lot of ground in this one including: The implication of negative interest rates for banks and bank customers Why quantitative easing doesn’t work in the current environment Why focus should be fiscal policy rather than monetary policy […]
E Proof The Federal Reserve Was Responsible For The Housing Bubble And Crash
I hate to continue beating a dead horse (except this horse is a Trojan Horse and will come to life again), but clearly the Fed knew it was putting the financial system at unacceptable risk in the housing bubble. I offer the three charts again, together this time, showing that the Fed saw all this […]
Bull Of The Day: American Eagle
Based in Pittsburgh, PA, American Eagle Outfitters (AEO) is a specialty retailer of casual apparel, accessories and footwear. Their target consumers are 15–25 years old men and women. They currently operate under the AE Brand, Aerie by American Eagle and an online retailing channel – AEO Direct. The company operates more than 1,000 stores in the US, Canada, Mexico, China, Hong Kong and […]
