Curve Watchers Anonymous is investigating the yield curve following Janet Yellen’s exceptionally dovish FOMC announcement on Wednesday. Yield Curve 2-yr, 3-yr, 5-yr, 10-yr, 30-yr 30-year in black and red 10-year in orange 5-year in blue 3-year in green 2-year in purple Change From Year Ago Above rate table from Bloomberg. Futures Suggest No Rate Hike…
by Christopher Pavese, The View from the Blue Ridge. A few more thoughts on recognizing where we are in the cycle, illustrated by SG: The US has now “enjoyed” its longest bull market since WWII. Over this period, the S&P gained over 200%, making it the third-strongest six-year run since 1900. The two others, 1929…
Why we need to stop ignoring the U.S. debt problem? Video Length: 00:13:14
Illinois pension plans are in extremely dire shape, especially given the stock market returns over the past few years. The Illinois Spendaholics have proposed a huge array of tax hikes to make up the shortfall. Ben VanMetre at the Illinois Policy Institute explains in this guest post. Illinois politicians propose $100B in tax hikes over…
As negative interest rates spread from Switzerland, Japan and Germany to the rest of the developed world, people with money to invest face some life-defining issues. Retirees who need to generate 6% to avoid dipping into principal can’t get there with bank CDs. Pension funds that have promised an 8% return in order to meet…
Well, that escalated quickly. Just a week ago it appeared Washington had managed (for the time being at least) to convince the US’ closest allies to refrain from joining the Asian Infrastructure Investment Bank, a sinocentric institution aimed at promoting development across Asia that is meant to rival the US/Japanese-led ADB and begin a seismic…
The stage is set for website host and Internet domain registrar, GoDaddy, to raise as much as $418 million. On Thursday, it priced its planned IPO at $17 to $19 per share. This gives the company a valuation of $2.87 billion (At the high-end of the $17-$19 range). GoDaddy is set to offer 22 million…
Amazon.com, Inc. (NASDAQ:AMZN)’s “Prime Air” concept, which would use drones to deliver Amazon products, is taking back to the skies, and this time with FAA approval. Less than a year after the FAA dashed Amazon’s Prime Air program, aviation authorities are now allowing Amazon to go forward with testing. Last summer the FAA shot down Amazon’s drone…
Everyone loves a winner and that applies to stocks as well. While the popular finance theory “Random walk” states that the past movement of the price of a stock cannot be used to predict its future movement, history shows that recent past performance can be a pretty good predictor of short-term future performance. (Read: 3 Biotech…
The current bull market for U.S. stocks is the fourth longest in history. Two others journeyed into a seventh year, while one other (1990s) enjoys the distinction as having traveled into an eighth year. Even if one subscribes to the idea that “bull markets never die of old age,” probability alone suggests that we are…
