Yesterdays irresponsible action on the part of the Fed is now in the hands of the market. What makes Ben think that what has happened to interest rates in Spain, Italy, and Greece after their irresponsible actions cannot happen here? …Continue Reading →
Ever since the dollar bottomed in April 2011 the Fed has been relentless in pursuing a policy that tries to destroy the dollar. In the 17 months since April 2011 the Fed has pushed the long bond up 32 percent,…Continue Reading →
In my opinion the extreme low levels of the various volatility gauges witnessed yesterday attest to the markets desire to believe in utopia and to erase all fear as the market walks into a macro trap. This attraction is towards…Continue Reading →
Bill Clinton said it so well last night, we may not need to say anything more between now and the election. If you are in the markets and did not see it, here is the link: http://www.marketwatch.com/story/text-of-bill-clintons-convention-speech-2012-09-05
John Mauldin’s last outside the box commentary by George Friedman of Stratfor hit the mark in my opinion. Regardless of whether the stock indexes come back and make new highs on light volume, or not, everything has changed and the…Continue Reading →
Our generally defensive overall posture continues with our best position at the moment being the short T-Bond position. While this trade is part of a long-term perspective, we will take it off today as the good economic good news of…Continue Reading →
I’m back from vacation in Europe. My take on things there and how it will affect markets is that Gold is headed into low 1200 area. While the politicians talk about saving the euro, the European people are preparing for its…Continue Reading →
With the coming election and expectations that the Fed will step in aggressively if things get really bad, an alternative scenario is that the markets through the election are going to be a sideways affair. That would mean on the…Continue Reading →
We have seen the pattern in the US over the past couple of years, lower interest rates do not boost an economy or put people back to work. The opportunity to turn the world’s economy was missed in 2009 when…Continue Reading →
As all regular readers know, outside of my own analysis, I like to read John Mauldin and John Hussmann’s weekly comments, see links section. John Hussmann has a good article out this week, see here: http://hussman.net/wmc/wmc120702.htm The market in the…Continue Reading →