It’s Really Quiet Out There

The S&P 500 made a new high last week, finally closing over the 1900 level. European stocks were also higher on the week and have continued the rally today even after election results over the weekend showed an uncomfortable gain for some parties that are, well, let’s just say that some of their ideas are .. read more

The Unearned Age of Certainty

In continuing yesterday’s pointed critique of the current state of monetarism, there is another element to consider here. To reiterate, last year the yen devaluation was unquestionably seen as a catalyst toward rebirth of Japan Inc, and thus Japan economically (and maybe even demographically). This sentiment was as ubiquitous as it was accepted on faith: .. read more

A Not So Happy Labor Day

Labor Day in the US has been celebrated since 1894 when Grover Cleveland, in an effort to appease labor unions in a mid-term election year, signed the bill making it an official holiday. His administration had put down a number of strikes in the first two years of his second term, most notably the Pullman .. read more

Bear Out On A Limb

Like most investors, investment advisers are a consensus seeking lot. Most of them are not willing or psychologically able to do anything that is outside the accepted current trend. That doesn’t make them evil or dishonest or anything else bad; it just makes them human. It is always hard to stick out from the crowd .. read more

The Consequences of Detroit

The city of Detroit filed for Chapter 9 municipal bankruptcy last week and the S&P 500 made a new high. There was a time when those two headlines could not have happened in the same week. Detroit and the auto industry it represented were once a symbol of all that was right with America and .. read more

Sunday Gold Fix – Unfortunately, Gold Lost

The majority of investors that are attracted to gold are those that view the metal as real money. Money is a supposed to be a limited, scarce object that is not subject to the whims of human interference. But, to the dismay of true money believers, gold long ago lost the war of the modern .. read more

Tactical Update

The 21st century, global, economic saga continues to provide plenty of nuance.  The past few weeks, we’ve been introduced to a few new characters, Cyprus and Russia.  There is a bit of a rogue element with Russia.  Regardless, the same common themes are present for analysis: leverage, speculation, global capital imbalances and the accompanying political, .. read more

Sequester The Fed

“If Congress allows this meat-cleaver approach to take place, it will jeopardize our military readiness. It will eviscerate job-creating investments in education and energy and medical research. It won’t consider whether we’re cutting some bloated program that has outlived its usefulness or a vital service that Americans depend on every single day.” President Obama on .. read more