<Click on graphic for larger image> MoneyBeat – Bullishness on Europe ‘Has Reached Uncharted Territory’ — BAML For the first time since 2009 some think the buck is overvalued. But only 2% of them. Overall, 80% expect the greenback to keep climbing against major currencies. One nagging concern: it’s just such a popular bet. Over… Continue reading Bullish On Europe
Financial Post – Expected U.S. Federal Reserve rate hike fuels global exit from U.S. stocks, surveys show Global investors are getting more bearish on U.S. stocks while also showing an interest in Canada ahead of an expected U.S. Federal Reserve rate hike this year, new surveys show. The Bank of America Merrill Lynch global fund… Continue reading Bearish On U.S. Stocks
The Financial Times – High-yield debt market defies sceptics In a low global interest rate environment, investors appear prepared to keep pushing their luck and buying into junk bonds after periods of weakness. Powering this year’s solid performance was the sharp back-up in yields, which move inversely to price, during the final months of 2014.… Continue reading The High Yield Debt Market
Bloomberg Business – The Fuzzy, Insane Math That’s Creating So Many Billion-Dollar Tech Companies Startups achieve astronomical valuations in exchange for protecting new investors Snapchat, the photo-messaging app raising cash at a $15 billion valuation, probably isn’t actually worth more than Clorox or Campbell Soup. So where did investors come up with that enormous headline… Continue reading Valuations In Silicon Valley
<Click on chart for larger image> CNN Money – 86% of investment managers stunk in 2014 People pay investment managers a lot of money to do one thing: Beat the market. The skills and expertise of fund managers are supposed to give them the ability to select better stocks and bonds than an index like… Continue reading Active Manager Returns In 2014
<Click on chart for larger image> Barron’s – Is Oil in a Free Fall? For a while it looked like the price of oil might be firming up after declining for much of last year. But that’s apparently not the case. The latest data about growing U.S. stockpiles have taken the price of light sweet… Continue reading Crude Oil Continues To Fall
The Financial Times – BIS warns on risks from big fund groups Decisions taken by only a few big fund managers could determine how well bond markets function in future crises, researchers at the Bank for International Settlements have warned. Worries about bond market liquidity — the ease with which buyers can be matched with… Continue reading The Risks Of Big Funds
Bloomberg.com – Oil Bonds Lose Investors $7 Billion in 10 Days Investors lured back into junk-rated energy bonds by their juicy yields are getting burned. Oil prices have fallen more than 15 percent since March 4 to a six-year low of $43.5, wiping out $7 billion of market value of high-yield debt issued by energy… Continue reading Junk-Rated Energy Bond Investors Lose Billions
The New Yorker – The Biggest Threat to America’s Future Is … America In a country of plentiful resources and vast acreage, America’s decentralized political system was, for a long time, a major advantage. It allowed policies to be tailored to local needs and prevented the emergence of an overweening state, while still enabling the… Continue reading The Decentralized Political System In The U.S.
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<Click on chart for larger image> Bloomberg.com – Housing Starts Plunge by the Most in Four Years Housing starts slumped in February by the most in four years as bad winter weather in parts of the U.S. prevented builders from initiating new projects. Work began on 897,000 houses at an annualized rate, down 17 percent from… Continue reading Why Are Construction Jobs and Housing Starts Telling Different Stories? Is The Problem Non-Farm Payrolls?
CNBC – Steve Liesman: First rate hike now likely in August: CNBC Fed Survey The 38 respondents, who include economists, analysts and money managers, also now see the first rate hike coming in August, a month ahead of the prior survey, and it forecasts a somewhat steeper rate of interest rate increases over the next… Continue reading The Fed Meets