The stock market rallied throughout most of yesterday’s trading session, then stumbled into the close. This pattern has become unnervingly familiar of late.
November 6th, 2009 | Eric J. Fry | 1 comment | ContinuedAll Posts Tagged With: "dow"
More Money in Cash Right Now Than Equity in U.S. Companies
Now, there is a very good reason investors are reducing their allocation to stocks. As we’ve said before, we think the equity premium – what people are willing to pay for stocks – is regressing to the mean. It was so high for so long because corporate cash flows in the second half of the last century benefitted so much from low interest rates and globalisation.
November 6th, 2009 | Dan Denning | 15 comments | Continued
Americans Aren’t Borrowing Or Buying
This is the story we’ve been telling here at The Daily Reckoning for two years. Americans have to cut back. They are out of time and out of money.
October 13th, 2009 | Bill Bonner | 1 comment | Continued
Economy Has to Grow at 1% to Stay Even With Population Growth
There are now about 131 million jobs in the United States…and about 15 million people who would like a job but can’t find one.
October 8th, 2009 | Bill Bonner | 4 comments | Continued
Aren’t You the Least Bit Suspicious that Goldman is Talking Up the Banks?
Goldman Sachs has raised its rating on large banks to “attractive.” In related news, Neal Barofsky, the special inspector general for the Troubled Asset Relief Program has said that the Feds may have, er, not quite told the truth about the health of the banks receiving TARP funds. He didn’t use the word, lie though. How are these two items related? We’ll explain below.
October 6th, 2009 | Dan Denning | 4 comments | Continued
When People Fear Inflation or a Falling Dollar They Find Refuge in Gold
Gold is also a target of greedy speculators sometimes, even when the going is good. According to a study done by the World Gold Council, you never know what gold will do.
October 5th, 2009 | Bill Bonner | 1 comment | Continued
US Federal Government Ran the Biggest Deficit in History
In theory, the US government could do the same. But, in fact, it never runs significant surpluses. There are too many people who want too much bread and too many circuses. And you don’t win votes by denying the voters…
September 30th, 2009 | Bill Bonner | 2 comments | Continued
We Expect No Recovery from the Economy
..how does it all work? We’re doing some serious thinking this week. What is it that actually causes a depression? A stock market collapse? Or too much debt?
September 29th, 2009 | Bill Bonner | 0 comments | Continued
Price of Gold Today is About Where it Was 26 Years Ago
For thousands of years gold has been the money of last resort. It is the money you can trust. They can’t make more of it. They can’t counterfeit it. They can’t put extra zeros on it and pretend it is worth more.
September 11th, 2009 | Bill Bonner | 1 comment | Continued
Should You Buy Gold Now?
The Trade of the Decade is still buy gold/sell stocks. And the decade isn’t over. If you have US stocks, this is a good time to sell. The Dow went up 63 points yesterday – a weak bounce after several days of losses.
September 7th, 2009 | Bill Bonner | 0 comments | Continued
Americans Have No Money to Spend Because They Already Spent It!
From Florida, comes news of the first drop in population in 60 years. “Unemployment is soaring,” reports USA Today. “Florida is second to California on foreclosures.”
Yes, dear reader, there is trouble in the sand states…
September 3rd, 2009 | Bill Bonner | 1 comment | Continued
Fed’s Balance Sheet Increases As Much As $2 Trillion
Ben Bernanke was put up for another term as head of the Federal Reserve. And the Obama administration said the downturn was a little worse than it had thought, so it’s estimate for the 2010 budget deficit had to be updated – increased by 19%…
August 27th, 2009 | Bill Bonner | 0 comments | Continued
Should You Buy Stocks Now to Take Advantage of Bull Market?
Stocks and oil are at their highest levels so far this year. With such profits at hand people figure they don’t need the dollar. Investors run to the safety of the greenback when financial storms approach. But now…they think it will be clear sailing.
August 25th, 2009 | Bill Bonner | 0 comments | Continued
Roubini Says United States Will Climb Out of Recession Towards End of Year
Maybe he will be right. Maybe this downturn will resemble Japan’s multiple recessions over the last two decades. Or maybe it will be a single, deeper and longer lasting slump – like the one in the early ’30s. We don’t know. Either way, it should be thought of as a depression…
August 19th, 2009 | Bill Bonner | 0 comments | Continued
Understanding What is Behind the Price Movements
Many analysts regard everything beyond the price data as noise. You never know whose ideas or whose explanation or whose predictions are correct, they say. All you really know for sure is the price.
August 18th, 2009 | Bill Bonner | 0 comments | Continued
