Archives for August 2015

Getting Started – The Hardest Part of Investing

  Getting Started – The Hardest Part of Investing Courtesy of The Banker “Let’s start at the very beginning, a very good place to start,” sings my children’s favorite nanny-from-the-movies, Maria. School started for my girls this week, so I’m in the mood for new beginnings. New school uniforms, freshly sharpened #2 pencils, and lined notebooks […]

Re: the Death Cross

Michael Batnick studies the "death cross" and finds that the 50-day moving average crossing below the 200-day moving average is a short-term bad sign but post-death cross life is not as bad as the name suggests.  Re: the Death Cross Courtesy of Joshua Brown Michael Batnick, our firm’s director of research, goes toe to toe with the […]

Say Goodbye to Normal

  Say Goodbye to Normal Courtesy of James Howard Kunstler The tremors rattling markets are not exactly what they seem to be. A meme prevails that these movements represent a kind of financial peristalsis — regular wavelike workings of eternal progress toward an epic more of everything, especially profits! You can forget the supposedly “normal” cycles of […]

Witch Hunt Victim “Confesses”: Word Police in China vs. Word Police in US

Courtesy of Mish. Witch Hunt Review As I noted earlier today China Starts Witch Hunt for Those Obstructing Government Efforts to Prop Up Stocks. Public Confession It took less than a day for a victim of the witch hunt to be rounded up for public display. The Financial Times reports China Reporter Confesses to Stoking […]

Nicole Foss Talks Energy, Psychology, Collapse and The Future

Courtesy of The Automatic Earth. Dorothea Lange Hoe culture in the South. Poor white, North Carolina July 1936 Nicole Foss recently participated in a live Google Hangouts (not Skype. I’m told) ‘forum’ discussion at the Doomstead Diner site that also included among others, Gail Tverberg, Steve Ludlum, Norman Pagett and Ugo Bardi. Apologies for […]

Guest Post: Stanley Fischer Speaks – More Drivel From A Dangerous Academic Fool

Courtesy of David Stockman of Contra Corner  With every passing week that money markets rates remain pinned to the zero bound by the Fed, the magnitude of the financial catastrophe hurtling toward main street America intensifies. That’s because 80 months—and counting—of zero interest rates are fueling the most stupendous gambling frenzy that Wall Street has ever witnessed. […]

Have Peripheral Colds Caused a U.S. Recession Flu?

  Have Peripheral Colds Caused a U.S. Recession Flu? Courtesy of Wade of Investing Caffeine At the trough of the recent correction, which was underscored by a brief but sharp -1,100 point drop in the Dow Jones Industrial Average, the Dow had temporarily corrected by -16.2% from its peak in May, earlier this year. Whether we […]

Wayfair is the Most Mispriced Stock Citron Research has seen in Years – Fair Value Under $10

  Wayfair is the Most Mispriced Stock Citron Research has seen in Years — Fair Value Under $10 Courtesy of Citron Reports by Stocklemon Citron Exposes Wayfair's Admission that their Business is Fatally Flawed. Wayfair (NYSE:W) makes Citron feel like apologizing to every company we have written about in the past 5 years. Compared to Wayfair, … […]

Inventory Grows in Economic Liftoff Anticipation

Courtesy of Mish. The Chicago PMI reading came in just shy of the Bloomberg Econoday Estimate of 54.9. The headline for August looks solid, at 54.4 for the Chicago PMI, but the details look weak. New orders and production both slowed and order backlogs fell into deeper contraction. Employment contracted for a fourth straight month […]

Dallas Fed Region Activity Plunges Well Below Any Forecast

Courtesy of Mish. Repeat after me “housing and cars and part time jobs, oh my”. There’s little else worth cheering about, not even the stock market lately. And housing is not all that strong either. Today, the Dallas Fed reported that activity in its region plunged to a reading of -15.8, well below any economist’s […]

Michael Hudson’s New Book: Wall Street Parasites Have Devoured Their Hosts – Your Retirement Plan and the U.S. Economy

Courtesy of Pam Martens. Michael Hudson The riveting writer, Michael Hudson, has read our collective minds and the simmering anger in our hearts. Millions of American have long suspected that their inability to get financially ahead is an intentional construct of Wall Street’s central planners. Now Hudson, in an elegant but lethal indictment of the […]

Economics 102: WalMart Cuts Worker Hours After Hiking Minimum Wages

Courtesy of ZeroHedge. View original post here. This year, some American executives who heeded loud calls for across-the-board wage hikes for America’s lowest-paid workers received a complimentary refresher course in undergrad economics courtesy of the free market.  Take Dan Price for instance, the 31-year old CEO of Seattle-based Gravity Payments Systems who found out the […]

The Real Refugee Crisis Is In The Future

Courtesy of The Automatic Earth Dorothea Lange Farm family fleeing OK drought for CA, car broken down, abandoned Aug 1936   Perhaps Angela Merkel thought we didn’t yet know how full of it she is. Perhaps that’s why she said yesterday with regards to Europe’s refugee crisis that “Everything must move quickly,” only to call […]

China Starts Witch Hunt for Those Obstructing Government Efforts to Prop Up Stocks

Courtesy of Mish. In China, a massive witch hunt is underway. Beijing regulators now seek individuals who  have destabilized the markets and spread rumors. Official want someone to blame after their Large-Scale Share Purchases failed to halt a huge stock market slide. China’s government has decided to abandon attempts to boost the stock market through […]

Donald Trump Versus Bernie Sanders?? The Political Bubble Is Bursting

Courtesy of John Rubino Now it’s not just Europe where formerly-fringe candidates are suddenly vying for power. The US presidential primaries, which were supposed to be coronations for the latest Bush/Clinton snoozfest, have turned interesting and in some cases surreal, as Donald Trump, who a few short months ago was viewed as a kind of […]

Greek Snap Election Confusion; Tsipras’ Questionable Gamble; Unwieldy Coalition Coming Up?

Courtesy of Mish. Questionable Gamble In the wake of reneging on major election promises, Greek prime minister Alexis Tsipras resigned and called for snap elections. He did so out of fear of losing a vote of confidence that would have forced the same result down the road. In addition, Tsipras wanted the vote out of […]

The Fat Pitch: Weekly Market Summary

  Weekly Market Summary Courtesy of  Urban Carmel, The Fat Pitch Summary: Waterfall events like the current one tend to most often reverberate into the weeks ahead. Indices will often jump 10% or more higher and also attempt to retest the lows.  Volatility will likely remain elevated for several months. But the fall in equity prices, […]

Cost of PUTs on Shanghai Index Hits Record vs. Calls; Sentiment vs. Valuation

Courtesy of Mish. In spite of the recent plunge on the Shanghai index, as recently as August 24, CALL options on the index were more expensive than PUT options. This Bloomberg headline “If the Options Market Is Right, China’s Stock Rescue Is Doomed” reads like something one would find in a tabloid, but the reverse […]

Three Keys to the Week Ahead

  Three Keys to the Week Ahead Courtesy of Marc To Market There are three things that will command investors' attention in the week ahead.  The first, and most important, is whether the global capital markets will continue to move toward stability after the huge drama over the past week or two. The instability appears […]

Nicole Foss Talks Energy Industry Issues and Oil Price Collapse

Courtesy of The Automatic Earth. Unknown California State Automobile Association signage 1925   Nicole Foss recently participated in a live Skype ‘forum’ discussion at the Doomstead Diner site that also included, among others, Gail Tverberg, Steve Ludlum, Norman Pagett and Ugo Bardi. Apologies for the fact that I haven’t watched the videos yet and I’m […]

Phil’s Stock World Trading Webinar 8-25-15

This week's major topics: 5% Rule, Short-term and Butterfly Portfolios, Trade Ideas, MSFT, NASDAQ, SPX, S&P, AMZN, WMT, BBY, AAPL, China, and Global Implications Subscribe to The Phil's Stock World YouTube Channel here. 00:00 Disclosure 2:40 Butterfly portfolio, review positions, MSFT, WMT trade ideas 17:28 Hedges 24:50 Short-term portfolio, review positions, hedging 35:00 NASDAQ, AAPL, S&P, AMZN, WMT, McDonald's, Uber […]

Dumb Money Redux

  Dumb Money Redux Courtesy of Joshua Brown Cartoon by XKCD Responses are pouring in from my post Computers are the new Dumb Money. A few of the quants I know told me the link was hitting their inboxes all day from friends and colleagues around the industry. A few desk traders I talk to had […]

With New Data Showing Housing Sales Slowing Here’s Why You’ll Want To Be In Cash

Courtesy of Lee Adler of Wall Street Examiner  NAR data on housing sales showed the largest July decline since 2011, cutting the annual sales volume growth rate by 47% since March. However, while the growth rate is slowing, total sales volume was the heaviest for July since the peak of the housing bubble in 2005. Heavy […]

Still “Too Early” to Decide on Rate Hikes: Let the Market be Your Guide

Courtesy of Mish. Still “Too Early” After all the hemming and hawing by nearly every Fed governor, and despite the fact the Fed has to do something in just over two weeks, the Fed still does not know what to do. Speaking in Jackson Hole Fed governor Stanley Fisher Keeps September Rate Hike Option on […]