Financial Sense

Coal Facing Worst Year Yet in 2015
Oil Price's picture

2015 is shaping up to be a fateful year for the coal industry. After coal prices tumbled from their highs in 2011, the industry hit a rough patch. Years of buildup in mining capacity hit the markets at the same time, sending...

Q1 GDP Second Estimate Goes Negative
Doug Short's picture

The Second Estimate for Q1 GDP, to one decimal, came in at -0.7 percent, a decrease from the 0.2 percent of the Advance Estimate. Today's number was not entirely a surprise, as had a forecast of -0.8 while...

Introducing the Zero Labor Factory (90% Free Actually)
Michael Shedlock's picture

In the strive for zero labor factories we are nearly there. Is 90% good enough? China Daily reports Manufacturing Hub Starts Work on First Zero-Labor Factory. There is no shortage of labor. There is no shortage of skills either.

Euro Area Corporate Fundamentals on the Mend
BCA Research's picture

The Euro Area Corporate Health Monitor (CHM) moved further into ‘improving health’ territory in the fourth quarter. Our Corporate Health Monitors (CHM) for the U.S. and Euro Area are a composite of six key financial ratios...

New Highs in Cumulative A/D Is Not Confirmation of a Healthy Market
Urban Carmel's picture

In September 2014, the cumulative advance-decline (A/D) line for the S&P hit a new high. A month later, the stock index was down 10%. Twice in December 2014 and again in February 2015, the cumulative A/D line...

Another Look at the Year Five Phenomenon
Clif Droke's picture

Most investors are familiar with the Year Five Phenomenon, which assumes buoyant stock prices in the fifth year of the decade. Yet few realize that there are also corollaries to this phenomenon, viz.

Pressures From China, Greek Markets
Sheraz Mian's picture

Chinese stocks have been red hot lately, but they fell sharply on Thursday, with the Shanghai composite down -6.5% in Thursday’s session. There is no one factor that drove the sell-off, though a number of small factors...

How Healthcare Is Dooming the U.S. Economy (Three Charts)
Charles Hugh Smith's picture

As it stands now, U.S. healthcare will bankrupt the nation and doom it to permanent stagnation and recession. That healthcare alone is dooming the U.S. economy is not news to Of Two Minds readers, as I have been...

Global Dynamics Playing Larger Role in Fed Policymaking
Global Risk Insights's picture

The Federal Reserve has little appetite to make policy based on the economic situation outside of the US, but minutes from its most recent meeting show that it is being forced to. Early in her tenure as Chair of the Federal Reserve...

Making Sense of the Latest Unemployment Data
Andrew Zatlin's picture

The great minds in economics can’t seem to agree whether the labor market is showing signs of tightness, or if it’s easing up. If labor is tight and tightening, why aren't wages rising? Why isn't inflation rising more than 2%?