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Russ Koesterich is head of investment strategy for the U.S. market at Barclays Global Investors. He previously served as chief North American strategist for State Street Bank in Boston. He is a frequent contributor to major publications and has appeared often on CNBC and Bloomberg Television.
The Altman Group's Closed End Fund Conference at the NYSE - webcasted replay Presenting Funds: Zweig Fund(ZF) Zweig Total Return Fund(ZTR) The Asia Pacific Fund(APB) The Greater China Fund (GCH) Japan Equity Fund, Inc.(JEQ) Blue Chip Value Fund (BLU) The Mexico Fund Inc.(MXF) Adams Express/Petroleum & Resources (ADX/PEO)
A new report by NY state comptroller Thomas DiNapoli entitled "Highway Robbery: State's ailing road and bridges robbed; State siphoned money to pay for operations and debt service" tells you all you need to know about just how prosperous the ailing economy really is.
Sounds frothy- "The avalanche of money pouring into junk funds is creating a virtuous cycle: As cash pours in, shaky companies are able to refinance debt by selling new bonds, heading off defaults and adding fuel to the junk bond rally."
A more realistic scenario might be that the insurers survive in some form under Obamacare, but see their profitability curtailed. If cash flows are cut in half and never grow with inflation after 2013, the six large insurers still might be worth 40 per cent more than the market now assumes. The patient is in bad shape but should pull through.
When will the bond bubble burst? During the current risk rally, central banks have been pumping liquidity into banks to the tune of 6-8 per cent of GDP. Instead of lending this money onto the real economy, banks have either hoarded it in excess reserves or invested it in government bonds. Risk-averse individuals have also been piling into government bonds. That keeps everyone happy: the politicians get cheap money, the commercial banks make money and the central banks keep the sys
State and local governments led by California sold more than $12 billion of fixed-rate bonds this week, the most in six months, pushing 20-year benchmark tax- exempt yields to their highest level since late August.
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ETFDesk Top News and Investment Ideas 10/30/2009 0 comments
The Coming Collapse of the Municipal Bond Market
Posted: 29 Oct 2009 02:10 AM PDT
ETFDesk users see this as a potential opportunity to: sell iShares S&P National Municipal Bond Fund;
Check out how others are using ETFs to capitalize on this news or add your own opinion
Register for Conference Call- Market Perspective Update with Russ Koesterich
Posted: 29 Oct 2009 02:27 AM PDT
Check out how others are using ETFs to capitalize on this news or add your own opinion
SNAP ANALYSIS: Will Q3 U.S. GDP be as good as it gets?
Posted: 29 Oct 2009 03:41 AM PDT
ETFDesk users see this as a potential opportunity to: sell DJIA DIAMONDS; sell S&P 500 SPDR; sell Nasdaq-100 Index Tracking Stock; buy iShares Lehman 10-20 Year Treasury Bond Fund; sell iShares Russell 2000;
Check out how others are using ETFs to capitalize on this news or add your own opinion
F.D.I.C. Chief Criticizes Reform Plan
Posted: 29 Oct 2009 06:16 AM PDT
ETFDesk users see this as a potential opportunity to: sell SPDR-Financial;
Check out how others are using ETFs to capitalize on this news or add your own opinion
How The Home Buyer Tax Credit Inflated The GDP Number
Posted: 29 Oct 2009 07:26 AM PDT
ETFDesk users see this as a potential opportunity to: sell DJIA DIAMONDS; buy UltraShort Real Estate ProShares; sell S&P 500 SPDR; sell Nasdaq-100 Index Tracking Stock; sell iShares DJ US Real Estate; sell iShares Russell 2000;
Check out how others are using ETFs to capitalize on this news or add your own opinion
Closed End Fund Conference Webcast
Posted: 29 Oct 2009 08:24 AM PDT
ETFDesk users see this as a potential opportunity to: buy Zweig Total Return Fund; buy Greater China Fund, Inc.; buy Japan Equity Fund; buy Mexico Fund; buy Asia Pacific Fund; buy Zweig Fund;
Check out how others are using ETFs to capitalize on this news or add your own opinion
Highway Robbery NY State
Posted: 29 Oct 2009 01:46 PM PDT
ETFDesk users see this as a potential opportunity to: sell iShares S&P New York Municipal Bond Fund; sell Van Kampen Trust for Inv NY Muni; sell BlackRock New York Municipal Income Trust;
Check out how others are using ETFs to capitalize on this news or add your own opinion
US junk bond demand hits fresh record
Posted: 29 Oct 2009 11:48 PM PDT
ETFDesk users see this as a potential opportunity to: sell iShares iBoxx $ High Yield Corporate Bond Fund; sell SPDR Lehman High Yield Bond ETF;
Check out how others are using ETFs to capitalize on this news or add your own opinion
Foodservice Traffic Declines for Fourth Consecutive Quarter
Posted: 29 Oct 2009 11:51 PM PDT
ETFDesk users see this as a potential opportunity to: sell PowerShares Dynamic Food & Beverage Portfolio;
Check out how others are using ETFs to capitalize on this news or add your own opinion
US health insurers
Posted: 30 Oct 2009 12:13 AM PDT
ETFDesk users see this as a potential opportunity to: buy iShares Dow Jones U.S. Healthcare Providers Index Fund;
Check out how others are using ETFs to capitalize on this news or add your own opinion
Why sovereign bond yields will explode
Posted: 30 Oct 2009 12:14 AM PDT
ETFDesk users see this as a potential opportunity to: sell iShares S&P/Citigroup International Treasury Fund;
Check out how others are using ETFs to capitalize on this news or add your own opinion
Municipal Bond Yields Rise as Week’s Sales Reach Six-Month High
Posted: 30 Oct 2009 12:20 AM PDT
ETFDesk users see this as a potential opportunity to: sell iShares S&P National Municipal Bond Fund;
Check out how others are using ETFs to capitalize on this news or add your own opinion
Disclosure:No positions
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