Forecasting where the market will end up in 2016 is a very difficult task, as innumerable variables will intercede over the course of the next twelve months. The actions of the Federal Reserve in particular are going to be a heavy influence on income investors as they seek to position their portfolios for capital preservation…
Silver prices are currently trading in the $13.95/82 area where a bounce has developed on three occasions since November 23rd. Can it make it a fourth? At the immediate moment the benefit of the doubt must be given to the short-term downward trend dating back to the Monday high at $14.62. A break below the 12/2…
Amid the biggest weekly collapse in high-yield bonds since March 2009, Carl Icahn gently reminds investors that he saw this coming… and that it’s only just getting started! As we warned here, and confirmed here, something has blown-up in high-yield… With the biggest discount to NAV since 2011… The carnage is across the entire credit complex… with…
There are times when you can distill the utterly complex into something elegantly simple. This is one of those times, as there really should be no doubt as to “what” and “why” about December so far. From repo to crashing EM’s to crude oil, the common theme is both eurodollar and Asian “dollar.” In that…
This morning Dow Chemical Co (DOW – Analyst Report) and DuPont (DD – Analyst Report) announced they will merge to form DowDuPont. This merger will fuse two of the oldest companies in the U.S. into a chemical giant worth roughly $130 billion. Why Merge? Both companies have been under pressure as of late from shareholders who are looking for…
It turns out the hard-to-believe rumors were true. The two titans of the U.S. chemical sector — DOW Chemical (DOW) and Dupont (DD) — announced on Friday that they were planning to merge, and then eventually break up into three separate enterprises. This largest-ever deal in the chemical sectors brings together two of the oldest and…
“the balance sheet deserves more attention than Wall Street has been willing to accord it for many years past” Benjamin Graham, Security Analysis This statement is just as true today as it was when Ben Graham wrote it in 1934. When an investment is going well, understanding the balance sheet seems unimportant. But when things go…
Glaukos Corporation (NYSE:GKOS) – Sell or Short Recommendation – PT $21.75 December 22, 2015 concludes the 180-day lockup period on Glaukos Corporation. We previewed this event for GKOS on our IPO Insights platform. When the lockup period ends for GKOS, its pre-IPO shareholders, directors and executives will have the chance to sell their ~24 million shares….
As amazing as it now sounds, companies deemed to be highly risky were able to borrow money from US investors for less than 6% as recently as June 2014. To put this in perspective, 6% is not far from the US government’s average 10-year borrowing rate for the past 50 years. And here were frackers,…
The word play in the title is in reference to the ridiculous fuss over COMEX gold inventory and other promotions masquerading as fundamentals put out by cartoons masquerading as analysis. 30 year divided by, and 30 year minus 5 year are neutral at best. Yield spreads would be rising in a gold-positive environment. As a side note, this spread also tends…
