<Click on graphic for larger image> The Economist – Discounting the bull: Sell-side share analysis is wrong But in reassuringly predictable ways “SELL-SIDE” analysts, whose firms make money from trading and investment banking, are notoriously bullish. As one joke goes, stock analysts rated Enron as a “can’t miss” until it got into trouble, at which… Continue reading What To Do With Sell-Side Analysts
<Click on graphic for larger image> The Wall Street Journal – James Mackintosh: Imagining a Dystopia of the Dying Dollar But alternatives to the greenback are hard to identify In a dystopian vision of the future published earlier this year, novelist Lionel Shriverportrayed a U.S. plunged deep into depression after an incompetent U.S. president triggered… Continue reading A Dollar Alternate Reality
Bloomberg.com – Gross Warns That Trump Rally Built on False Promise of Growth Bond fund manager says investors should move to cash 10-Year Treasuries may near 2.5% by end of this month Bill Gross isn’t buying the Trump rally and the prospects for growth driving it. As President-elect Donald Trump’s economic team takes shape, led… Continue reading Bill Gross Speaks
Bloomberg.com – Boosting Wages Is Really Hard to Do So what raises wages? If you ask most economists, they’ll give you a simple answer: productivity. The more a worker produces, the more he or she should be able to charge in exchange for his or her services. For this reason, economists generally recommend education as… Continue reading Wage Growth
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Comment Today at 9 AM CT (10 AM ET, 7 AM PT and 15:00 GMT) Bianco Research, in conjunction with Arbor Research & Trading, will be hosting a webcast/teleconference moderated by Jim Bianco. Please join us today as we discuss the markets in the wake of the election. Stocks, interest rates, industrial commodities and the dollar are… Continue reading What to Make of the Trump Reflation Rally
<Click on graphic for larger image> Bloomberg.com – Global Bonds Suffer Worst Monthly Meltdown as $1.7 Trillion Lost The 30-year-old bull market in bonds looks to be ending with a bang. The Bloomberg Barclays Global Aggregate Total Return Index lost 4 percent in November, the deepest slump since the gauge’s inception in 1990. Bonds in… Continue reading Bonds’ Lousy Month
<Click on graphic for larger image> The Federal Reserve Bank of Atlanta – GDPNow The GDPNow model forecast for real GDP growth (seasonally adjusted annual rate) in the fourth quarter of 2016 is 2.4 percent on November 30, down from 3.6 percent on November 23. The forecast of the combined contributions of real net exports… Continue reading An Early Look At GDPNow
<Click on graphic for larger image> AQA – Peter Forbes: No Relief for Long Treasuries The post-election shifts toward higher UST yields and a stronger US Dollar are reasserting themselves. USTs have cast aside oversold conditions, weakening further on today’s comments from potential Treasury Secretary Steven Mnuchin. Many have been expecting an oversold bounce for USTs,… Continue reading Can The Dollar Rally Continue?
Bloomberg.com – Mnuchin Says He’ll Consider Longer Maturities as Treasury Chief Steven Mnuchin, President-elect Donald Trump’s pick for U.S. Treasury secretary, said he’ll explore issuing debt maturing in more than 30 years to cushion the effect of rising interest rates. “Interest rates are going to stay relatively low for the next couple of years,” Mnuchin said… Continue reading Mnuchin Wastes No Time Laying Out His Plan As Treasury Secretary
<Click on graphic for larger image> The Wall Street Journal – Home Values Rebound, But Not For Everyone U.S. home prices finally topped their precrisis level in September according to the Case-Shiller National Home Price index. The home-price crash and recover that spanned this 10-year period may have been experienced differently for homeowners of varying… Continue reading A Closer Look At The Rebound In Home Prices
The Financial Times – Opec agreement: the winners and the losers Opec has won a deal that should, if properly implemented, go a long way towards easing a supply glut that has hammered prices for two-and-a-half years. But it will not come for free, and some members of the cartel will pay a higher price… Continue reading The Winners & Losers In OPEC’s Deal