Investment Grade

Nasdaq Crack: Sharp Slowdown In Tech Funds

One doesn't need to see the recent fund flows to know that the tech euphoria of the past seven months appears to be ending - one look at the recent underperformance of the Nasdaq is sufficient - but it helps.

WTF Chart Of The Day: Draghi's 'Markets' Have "Totally Gone Nuts"

If you want to earn a yield of about 2.4%, which instrument would you rather have in your portfolio, given that both produce about the same yield, and given that one has a significant chance of defaulting and getting you stuck with a big loss, while the other is considered the safest most boring financial investment out there?

22 Troublesome Facts

Below are 22 troublesome facts explaining why the herd may, in fact, have it wrong.

BIll Gross: Beware The "Unknown Consequences Lurking In The Shadows"

"the adherence of Yellen, Bernanke, Draghi, and Kuroda, among others, to standard historical models such as the Taylor Rule and the Phillips curve has distorted capitalism as we once knew it, with unknown consequences lurking in the shadows of future years."

High Yield IED

The high yield bond market has come to resemble an IED in the financial markets for investors with risks that are both disguised and highly destructive. Awareness of these risks is the first step toward defusing them.

Illinois House Approves Historic 32% Tax Increase, Governor Vows Veto

Late on Sunday evening the Illinois House approved the most controversial element of a budget package, a tax hike which will increase the income tax rate by 32% from 3.75% to 4.95%, and the corporate income tax rate from 5.25% to 7%, to try and end a historic budget impasse. The bill passed 72-45.

"From Horrific To Catastrophic": Court Ruling Sends Illinois Into Financial Abyss

“Friday’s ruling by the U.S. District Court takes the state’s finances from horrific to catastrophic,” Comptroller Susana Mendoza, a Democrat, said in an emailed statement after the ruling. "Ppayments to the state’s pension funds; state payroll including legislator pay; General State Aid to schools and payments to local governments will likely have to be cut.”