When high finance first comes to mind, one immediately thinks of the excesses. The $10M birthday parties, the “wolves” of Wall Street, and the Goldman bonuses. However, the financial services industry, as has been the case with numerous others, is finally experiencing a seismic shift in power. Innovation, transparency, and even lower fees are becoming the…
Intel is in a distinct H&S topping pattern and is losing its neckline today. For those interested, especially those bearish for fundamental reasons, here is a simple short setup. It looks almost too obvious, but our job here is to present setups, not over think. Sell Short Target: 29-30 Measured Pattern Target: 21 Stop…
The seasonally adjusted (SA) headline number for the monthly-error-times-12-annualized version of new home sales in June was 482,000. Wall Street analysts had guessed that the number would be 550,000. The Wall Street Journal went into apoplectic excuse-making mode, almost foaming at the mouth to try to find pundits to explain away the bad number. The…
After being net long all the way from $1900 to $1100, Bloomberg reports Hedge Funds Are Holding First-Ever Gold Net-Short Position. Hedge funds are holding the first ever bet on a decline in gold prices since the U.S. government started collecting the data in 2006. The funds and other speculators shifted to a net-short position of…
US equities continued to slide today as the recent makeover rally designed to put some lipstick on some new tech pigs has continued to retreat. Stock had their worst week of the year. I hope you were able to take something off the table. New housing sales slumped badly according to this morning’s economic data….
The recent Wall Street Journal article, Silicon Valley Doesn’t Believe U.S. Productivity Is Down, notes the widespread improvement in technology that should be improving productivity across the economy, but isn’t showing up in the statistics. The article notes that plenty of good free apps are not included in output statistics, but also points out that if productivity were…
Deflation is back on the front burner and it’s going to destroy all of the careful central planning and related market manipulation of the past 6 years. Clear signs from the periphery indicate that a destructive deflationary pulse has been unleashed. Tanking commodity prices are confirming that idea. Whole groups of enterprises involved in mining…
The last time crude dipped as fast and as sharp as it has this year was in the 2008-2009 financial crisis. But, the silver lining in that dip is that investors who bought shares of this ETF that tracks master limited partnerships tripled their investment. Tim Plaehn shows you why now is the best time…
There are a number of great companies in the market today. By using the ModernGraham Valuation Model, I’ve selected the five most undervalued Dow stocks reviewed by ModernGraham which are suitable for the Defensive Investor or the Enterprising Investor according to the ModernGraham approach. This is a sample of the types of screens included in ModernGraham Stocks & Screens,…
The discount on CEF is remarkable. The gold to silver ratio is quite high. Both metals are oversold. If the precious metals rebound silver will have quite a bit of catching up to do, and will likely outperform to the upside as they have outperformed to the downside. Beta giveth, and beta taketh away. Silver has done…
