Which Way Wednesday: Topping Or Popping? [View article]
I agree with some of the things Phil says, but I'm not sure I can make the analogy of ice cream to gasoline. We can't cut driving to school, work, etc. It is closer to being a necessity than a luxury. If we cut leisurely activities, then ultimately, that is a deflationary act by consumers since it is those same activities that translate into more shopping and spending. Ice cream can easily be substituted for another recreational good or service.
The remaining solutions would be to car pool or use public transportation, and unless pushed to limits of poverty, some people simply will never sacrifice the personal space they have grown accustomed to.
Electric cars cost too much and ultimately, you get a higher home electric bill to substitute for less gasoline you put in your car. Solar cells for your home? Prohibitively expensive and they don't exactly beautify your house.
Corporations are hoarding cash because they don't see demand picking up--that's my guess, anyway. They're not in a hurry to hire, but I agree that if that ever changes, the pace of economic activity would skyrocket... it is a store of monetary energy just waiting to be unleashed into the economy.
However, I have to think these corporations are onto something, especially since they pay people a lot smarter than me to prognosticate this stuff.... and if you can simply print your way to prosperity, why doesn't the FED just keep printing forever? In fact, that should be a 3rd mandate! (if you don't count the covert one of boosting the stock market)
More on ADP jobs: January's job gain is revised higher by 23K jobs to 215K. At 198K in February, job growth has slowed from the previous 3 reads, but is ahead of all the prints from March through October last year. (full report) [View news story]
We could have 25% REAL unemployment and negative job growth month after month and stocks could still go up non-stop--oh wait, that's only been the case for most of the past four years, so replace "could" with "WILL".
If you've been on the sidelines during the market's recent run, don't worry, there's more upside to come, says Goldman's Abbie Joseph Cohen. This rally's real, and the fundamentals are there to support it Cohen says. She pegs fair value for the S&P 500 at 1,575 — a 4% premium to yesterday's close. "There are other models, including the Fed model, that show fair value as high as 1,700 or 1,750." [View news story]
Mark it down, then. The SPY will hit 1575 GUARANTEED! Not long after, maybe another 50 points or so, it will tank into the ABYSS. By the time you think about getting out, it will be too late.
Sequestration Thursday: Oh The Horror! [View article]
I tend to agree Jcarti, as far as long-term outlook. You cannot make gold from water (okay, let's assume pure water and not the oceans which contain tens of $trillions in dissolved gold), just like you cannot magically print money and say it has value.... corporate profits are up, but relative to the value of money, it is down, and that's one reason you may be seeing companies hoard cash, because they see the inevitable deflation coming--cash is king in deflationary environments!
The AAII Investor Sentiment Survey for the week ended yesterday shows the bulls melted away last week, falling 13.4 points to 28.4%. Bears gained 4.1 points to 36.6%. The survey clearly reflects the knee-jerk response to the perceived-as-hawkish Fed minutes (as captured with Dennis Gartman's classic "Sell" call). [View news story]
I doubt this is right or has any value. Everywhere I look people are still gidddy about this market.
Individual Investors! Get Your Share Of Profits From The Fed [View article]
Can I ask what happens after "many, many months?" Is it just a "profit-taking" correction, and then back up we go forever, or is it something much worse?
National gasoline prices - up $0.50 just in the last month - have hit the $3.75-$4.00 zone known in the past for being "problematic" for stocks, says BTIG's Dan Greenhaus. The most worrisome part, he says, is the increase has come before the demand of spring driving season arrives. Instead of worrying, why not go with the flow and buy the refiners? [View news story]
Yes, GO LONG ENERGY! Because we all know input energy costs have noooottthing to do with the cost of production, right? I think Goldman Sachs and the rest of the "investment" Cartel can't go a day without laughing at everybody.... they love the fact that the more they push up stock prices the more you guys buy!
At least I'm hoping you will be smart enough to realize that when the NEXT stock market collapse happens, to stay away from stocks for at least a decade, maybe two.
That giant sell-off the other day attributed to another BS excuse out of Europe --when all else fails resort to rumors or even better, Europe--was actually an algo test by the guys who run the show (rules of supply and demand determining stock price don't apply since the guys behind your computer screen have access to an unlimited supply of stock, "purchased" with non-existent money)... a MUCH bigger selloff is in the works, but they really need you muppets to keep buying with your hard-earned REAL money first.
Goldman Sachs (GS) plans to begin a fresh round of job cuts commencing as early as this week, reports Reuters. Thinning of the herd by about 5% is typical at this time of the year for Goldman, and it's likely the equities side will face larger cuts than fixed income (the opposite of last year). [View news story]
They are preparing for a renewed backlash against stocks. In about a year, the unemployment rate for stock brokers will be about 90%
U.S. stocks turn decidedly lower in the day's 2nd half thanks to the big turn in Europe on the Italian election results, or the maybe it's the President's borderline apocalyptic warnings should $85B be trimmed from the $4T federal budget. The S&P 500 -0.7%. [View news story]
Don't fool yourselves. None of this has anything to do with Europe. All of the news is after-the-fact (i.e., after the market has made its move for the day) spin jobs... for once, I'd like to see someone give me news I can use to make a trade. Then again, the Market Cartel wouldn't like that very much.
Sorry Bears, We're In A Secular Bull Market [View article]
Yes the economy is improving but only because free un-backed fiat is pouring in at record speeds. This is a last hoorah of the US stock market F-O-R-E-V-E-R. This will be the final top until we invent something along the lines of time travel.
Get in while the gettin's good, but beware they will pull the rug out before YOU can jump off!
Amid worries that rising gasoline prices are on the verge of pushing the U.S. into a recession, an MIT study makes the case for even higher taxes at the pump. If the goal is to get Americans to drive less and use more fuel-efficient vehicles, and to reduce air pollution and greenhouse gases, the study says higher gas taxes are at least six times as effective as stricter fuel-economy standards. [View news story]
Academia = narrow-mindedness
Top academic institute like MIT = maximum narrow-mindedness
Which Way Wednesday: Over Or Under S&P 1,520 Tells The Tale [View article]
Gas prices are about to surge past $4 avg nationally. People have already STOPPED shopping (my wife and I have, at least, as well as many we know) because of even a minor cut in our paychecks. The problem is we, as middle class consumers, have seen this movie before, and this time, we're not sitting around for the closing credits.
Without us spending, the bigwigs make NO money. Corporate insiders have been selling stock like there is no tomorrow. They know the deal as well. I don't think this market lives a day past March, but of course, I suck at predicting, so please ignore this post entirely.
Which Way Wednesday: Topping Or Popping? [View article]
The remaining solutions would be to car pool or use public transportation, and unless pushed to limits of poverty, some people simply will never sacrifice the personal space they have grown accustomed to.
Electric cars cost too much and ultimately, you get a higher home electric bill to substitute for less gasoline you put in your car. Solar cells for your home? Prohibitively expensive and they don't exactly beautify your house.
Corporations are hoarding cash because they don't see demand picking up--that's my guess, anyway. They're not in a hurry to hire, but I agree that if that ever changes, the pace of economic activity would skyrocket... it is a store of monetary energy just waiting to be unleashed into the economy.
However, I have to think these corporations are onto something, especially since they pay people a lot smarter than me to prognosticate this stuff.... and if you can simply print your way to prosperity, why doesn't the FED just keep printing forever? In fact, that should be a 3rd mandate! (if you don't count the covert one of boosting the stock market)
More on ADP jobs: January's job gain is revised higher by 23K jobs to 215K. At 198K in February, job growth has slowed from the previous 3 reads, but is ahead of all the prints from March through October last year. (full report) [View news story]
Is The Stock Market Cheap? [View article]
If you've been on the sidelines during the market's recent run, don't worry, there's more upside to come, says Goldman's Abbie Joseph Cohen. This rally's real, and the fundamentals are there to support it Cohen says. She pegs fair value for the S&P 500 at 1,575 — a 4% premium to yesterday's close. "There are other models, including the Fed model, that show fair value as high as 1,700 or 1,750." [View news story]
Sequestration Thursday: Oh The Horror! [View article]
The AAII Investor Sentiment Survey for the week ended yesterday shows the bulls melted away last week, falling 13.4 points to 28.4%. Bears gained 4.1 points to 36.6%. The survey clearly reflects the knee-jerk response to the perceived-as-hawkish Fed minutes (as captured with Dennis Gartman's classic "Sell" call). [View news story]
Individual Investors! Get Your Share Of Profits From The Fed [View article]
National gasoline prices - up $0.50 just in the last month - have hit the $3.75-$4.00 zone known in the past for being "problematic" for stocks, says BTIG's Dan Greenhaus. The most worrisome part, he says, is the increase has come before the demand of spring driving season arrives. Instead of worrying, why not go with the flow and buy the refiners? [View news story]
At least I'm hoping you will be smart enough to realize that when the NEXT stock market collapse happens, to stay away from stocks for at least a decade, maybe two.
Market recap: Stocks staged a broad rebound a day after the year's biggest drop, as Bernanke signaled Fed stimulus would continue. Home Depot led the Dow after its better than expected quarter, and home builders rallied on improved housing data (I, II, III). Gold staged its largest one-day percentage gain since November, rising 1.8% to $1,615.20, but oil futures marked their lowest settlement so far this year. [View news story]
Goldman Sachs (GS) plans to begin a fresh round of job cuts commencing as early as this week, reports Reuters. Thinning of the herd by about 5% is typical at this time of the year for Goldman, and it's likely the equities side will face larger cuts than fixed income (the opposite of last year). [View news story]
U.S. stocks turn decidedly lower in the day's 2nd half thanks to the big turn in Europe on the Italian election results, or the maybe it's the President's borderline apocalyptic warnings should $85B be trimmed from the $4T federal budget. The S&P 500 -0.7%. [View news story]
Sorry Bears, We're In A Secular Bull Market [View article]
Get in while the gettin's good, but beware they will pull the rug out before YOU can jump off!
Amid worries that rising gasoline prices are on the verge of pushing the U.S. into a recession, an MIT study makes the case for even higher taxes at the pump. If the goal is to get Americans to drive less and use more fuel-efficient vehicles, and to reduce air pollution and greenhouse gases, the study says higher gas taxes are at least six times as effective as stricter fuel-economy standards. [View news story]
Top academic institute like MIT = maximum narrow-mindedness
If You Think Microsoft Is Dying, You Need A Reality Check [View article]
Which Way Wednesday: Over Or Under S&P 1,520 Tells The Tale [View article]
Without us spending, the bigwigs make NO money. Corporate insiders have been selling stock like there is no tomorrow. They know the deal as well. I don't think this market lives a day past March, but of course, I suck at predicting, so please ignore this post entirely.