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January 15, 2013
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<Click on picture to view video> Yahoo Finance – Treasury Nominee Jack Lew Can’t Speak Our Language: Jim Bianco “The Treasury secretary’s position is supposed to be the President’s eyes and ears to the financial markets. He’s supposed to know what’s going on in the markets, interpret it, explain it to the President,” says Jim… Continue reading Jack Lew
<Click on chart for larger image> Yahoo Finance – Is the Crowd’s Cheery Mood Reason to Fear the Rally’s End? On Wall Street, it typically pays to fear the cheer. When a broad enough selection of professional and individual investors starts to feel happy about the stock-market outlook, it often means risks are being overlooked,… Continue reading Everybody Loves Stocks
Reuters – No clear path for Obama to act alone on U.S. debt cap: experts The White House would be taking a risk if it tries to make a constitutional end-run around Congress’ authority to raise the debt ceiling, legal experts said. The “public debt” clause of the 14th Amendment is being cited by a… Continue reading The Debt Limit
<Click on graphic for larger image> The New York Times – Our Economic Pickle For millions of workers, wages have flatlined. Take Caterpillar, long a symbol of American industry: while it reported record profits last year, it insisted on a six-year wage freeze for many of its blue-collar workers. Wages have fallen to a record… Continue reading Is Productivity Holding Back Job Growth?
The Wall Street Journal – Inflation Alarms May Signal Real Threat We have all heard of the boy who cried wolf. A similar charge is being leveled against pundits who warned of runaway inflation as a result of the Federal Reserve’s extraordinary stimulus. Economist Paul Krugman, for example, pilloried “Austrian/Ron Paul types” for being so… Continue reading Inflation
Bloomberg.com – Fed’s Little-Noticed Escape Clause Allows for U.S. Growth Federal Reserve Chairman Ben S. Bernanke is giving himself an escape clause from his latest stimulus steps in case the economy finally gains momentum. He’s made his third round of quantitative easing open-ended — meaning the program doesn’t have a set time frame — and… Continue reading Parsing Fedspeak
<Click on graphic for larger image> The Wall Street Journal – Moving On Up: Stage Set for Rents to Go Higher The surge in apartment rents since the downturn has sparked development across the country. But tenants pinched by rising rents shouldn’t expect relief soon from the new apartments for a simple reason: Demand is… Continue reading Rents On The Rise
Business Insider – Wall Street’s Stock Pickers Are Way More Bullish Than Wall Street’s Strategists Wall Street strategists publish targets for the markets as a whole from their big picture analysis (i.e top down analysis). Then there are the Wall Street’s equity analysts who publish price targets on individual stocks based on their analyses of… Continue reading Top Down vs. Bottom Up Analysis
MarketWatch – IRS postpones tax season For once it’s the IRS — and not taxpayers — doing the procrastinating. The agency postponed the start of tax-filing season to Jan. 30, officials said Tuesday, a delay that will push back refunds issued to early filers by more than a week. The 8-day delay was necessary to… Continue reading The Tax Man Cometh…But Not Yet
Forbes – It’s Official! Gurus Can’t Accurately Predict Markets What do you do when the industry’s most popular investment gurus show less market-timing accuracy than flipping a coin? You start flipping coins, or better yet, stop trying to time markets. CXO Advisory Group has been collecting data from market forecasters since 1998. The firm has… Continue reading Predicting Market Movements Proves Difficult
The Washington Post – Erza Klein” Treasury: We won’t mint a platinum coin to sidestep the debt ceiling The Treasury Department will not mint a trillion-dollar platinum coin to get around the debt ceiling. If they did, the Federal Reserve would not accept it. That’s the bottom line of the statement that Anthony Coley, a… Continue reading The Trillion Dollar Platinum Coin Infatuation Is Over