MarketWatch.com – There’s limited scope for Yellen to move markets with Hill appearance Federal Reserve Chairwoman Janet Yellen always has the attention of Wall Street, but if ever there’s an appearance that seems unlikely to move markets, it will be her upcoming presentation on Capitol Hill. Yellen will be in front of committees of the… Continue reading Yellen Speaks To Congress Today
Blooomberg Business – Big Investors Are Holding the Highest Amount of Cash Since Lehman’s Collapse Cash is king, according to the results of the latest Bank of America Merrill Lynch fund manager survey. The survey was conducted from July 2 to July 9 as worries over Greece, China, and an impending interest rate hike by… Continue reading Cash Is King For Investors
MoneyBeat – Brace for More Days of Extreme Volatility, Icap’s Chief Says As the U.S. Federal Reserve moves toward its first rate increase in nine years, and banks bow to regulatory pressure, the world’s largest currencies broker is bracing for more days of market turbulence. “We will see more extraordinary moves,” said Michael Spencer, chief… Continue reading Volatility In The Markets
The Wall Street Journal – Aging Americans Boost Share of Population Who Receive Government Benefits Nearly half of Americans, 49.5%, lived in a household where at least one person was receiving some type of government benefit in the fourth quarter of 2012, according to Census Department data. That number ticked up slightly from 49.2% at… Continue reading More Americans Than Ever Receive Government Benefits
MoneyBeat (WSJ Blog) – Surge in Cash M&A a Warning Sign for Stocks? Might we be at or near a market top? TrimTabs Investment Research is wondering that as it notes $175.7 billion of cash was committed in May and June to buy U.S. companies. That’s the biggest two-month total outside of April and May… Continue reading M&A Activity
The Economist – The Federal Reserve: Easy, now THE American economy faces a crucial turning point in the coming months. After over six years of near-zero interest rates and three rounds of quantitative easing, the Federal Reserve is poised to begin tightening. Is 2015 the year for liftoff? The Fed seems to think so. According… Continue reading More On The Federal Reserve vs The Market
MoneyBeat – Stronger Dollar Casts Shadow Over Second-Quarter Earnings The figures highlight the impact that a stronger greenback has had on the earnings of S&P 500 companies this year. A strong dollar can hurt U.S. companies in a number of ways. Most typically, it makes the value of overseas sales look smaller when converted back… Continue reading Will A Strong Dollar Hurt Q2 Earnings?
<Click on chart for larger image> Bloomberg Business – China May Tip World Into Recession: Morgan Stanley Forget about all the shoes, toys and other exports. China may soon have another thing to offer the world: a recession. That is the prediction from Ruchir Sharma, head of emerging markets at Morgan Stanley Investment Management, who… Continue reading China And The Possibility Of A World Recession
Bloomberg View – Greece and Europe: An Unhealthy Affair Remember the birth of the euro, when countries had to clear a set of economic hurdles to be considered worthy of membership? Those thresholds on debts and deficits had two purposes: to prevent profligate nations from tarnishing the new currency, and to make sure each country,… Continue reading The Timeline For Greece
Comment At the 2:14 minute mark in the clip above, Art Cashin said “China’s policy of rally or you will executed is showing itself to be very effective, for now”. We believe Art is correct in his assessment of Chinese stock market policy. The LA Times – China’s response to a stock market plunge? Censor,… Continue reading China’s Harsh Stock Market Policy
<Click on chart for larger image> Wells Fargo – Time to Worry Again About Falling Labor Force Participation? Despite the labor force participation rate hitting a new cycle low in June, recent trends in participation among different agegroups point to some cyclical progress when viewed in the context of longer-term trends. Given that the trend… Continue reading The Low Labor Force Participation Rate