Archive - Aug 2013 - Blog entry

Leave your Birthday wishes to the Commander on Choom!

A discussion of this week's key events and data within the context of the investment climate characterized by shifting Fed tapering expectations, evidence still pointing to a soft landing of the Chinese economy, a cyclical recovery in Europe and renewed capital outflows from Japan, while foreign investors slow their purchases of Japanese equities.  

Voltaire, the French enlightenment philosopher, believed in the power of reason as a defense against the whimsical monarchies and religious doctrines of the 18th century. See any parallels?

If S&P had any guts it would lower the US another notch.

With manufacturing flatlining, I was surprised to find that Industrials were actually the only outperforming equity in the entire bunch. 

A very specific threat...

“China’s model, which depends on the export of lower-priced products, is coming to an end”

Many high profile investors, economists and companies got burned during China's recent woes. We look at the errors they made and what you can learn from them.

It's real simple, kids.  Consensus: we're Scrooged.

Discussion of recent and prospective price action in the foreign exchange market.

Now that Edward Snowden has been granted temporary asylum in Russia and he has been allowed to leave the airport, things are starting to hot up between the US and Russia. 

It's not just the level of actual credit being lent that is the problem, it's the patterned behavior tied to the hubris of rallies that allows people to rationalizing borrowing without the liquid assets to back it up.

Should we throw logic out the window and run with the bulls?

2013/84

Traders shot for and managed to hit 1,700 on the S&P 500. At this point, there is no real reason for this other than trader games (start of the month buying).