In the 1990s, cellular telephones were known as the best form of wireless technology. In addition to the cell phone, consumers began to network their homes using wireless technology to avoid line installation. Since then, consumers have relied more and more on wireless technology. Wireless technology companies were the darlings on Wall Street in the late 90s of which many portfolios courted.
Recently, I read up on how Iceland is doing—surprisingly well, actually. Unemployment is down, the Krona is going back up. Good balance of trade, good fiscal balance sheet. Quite the turnaround, after its troubles over the last couple of years—
Based upon history and the known hubris of most CEOs, there will ultimately be thousands of vacant rotting rat infested big box eyesores dotting the landscape over the next ten years. Maybe they can be converted to shelters for homeless delusional Boomers who forgot to save for their retirement.
Bonds have been on a roll delivering double-digit returns for many investors as interest rates kept falling. With the Federal Reserve's quantitative easing II program and another government stimulus program in the works, bond investors might finally believe that fall in interest rates is nearing an end.
I hate to be a wet blanket during this festive holiday season, but the truth is that there is no self sustaining recovery happening. The powers that be, with the help of their lackeys in the mainstream media are desperately trying to convince you that everything is alright. It is not alright. It is getting worse by the day. The only people spending are Lloyd Blankfein and his ilk, while middle class Americans sink further into despair and debt.
Commodities in 2010 have risen on their own and largely without the help of a weak US dollar. Year to date the CCI (continuous commodity index) is higher by 19% while the US Dollar is higher by 3%.
The word out of Washington is no new taxes! In what is being hailed as a huge compromise between the two parties, the Bush tax cuts have been extended for another two years. What is missed in the analysis is that taxes will be unchanged, and therefore little new economic activity is likely in the next year, as we’ll have to revisit the extension in two years.
