The important point is not agreement or disagreement with the author, but rather that a eurozone exit is now openly presented as a...
The Q1 earnings report card that has been the market’s focus in recent days is showing at best an ‘average’ or even ‘below average’ grade. The spotlight today is on the economy, with the Q1 GDP report this morning providing an image of improved health after the mediocre performance in the preceding quarter, even though the report itself came short of expectations.
For the past few months, there have been some catalysts that have depressed commodity prices. The number one reason has been the rally in the dollar caused by Italian elections, Cyprus’ banking issues, strong U.S. economics, and anticipation of Japanese easing monetary policy.
In the spirit of Rahm Emanuel, who famously said, “You never let a serious crisis go to waste,” it is time to get ready for the next shoe to drop in the sequestration soap opera.
Absolutely nothing within the Status Quo can possibly be truly reformed until the default option of doing nothing will guarantee collapse.
Deflation works both ways, it can either help or destroy. Right now it's helping investors and consumers and we explain why. Also, we discuss Goldman Sachs putting the bottom on gold.
Earlier in the month I suggested that we would likely hit a soft patch in Q2 and projected that the markets would remain weak through most of May. However, given the risk of recession remains a remote possibility, any pullback in the markets would serve as a buying opportunity. I believe the U.S. economy is still on a growth trajectory and if an economically weak Europe can re-energize in the second half, then the markets should head higher with cyclical sectors leading the charge.
Friday, April 11th, 2013, began like so many before it, with gold at $1561, about $5 above its opening price on the previous Monday, having traded as high as $1590 and as low as $1550. In short, it had been an uneventful week.
David Stockman’s The Great Deformation is a tour de force work of historical revisionism that demolishes the conventional economic and political wisdom prevailing both prior to and in the aftermath of the 2008 global financial crisis.
Here’s what’s going on with the markets, in my honest opinion. It’s a bull market in stocks, according to both the Dow Theory and the PTI, and has been since mid-2009.