The Chinese stock market was one of the biggest surprises of the year without a doubt. After the summer months, the Chinese stock market surged out of the blue and many analysts were caught off guard. The Chinese economy, on the other hand, has been doing worse in recent months. You are probably…
Investing in the stock market will generate positive real returns on wealth over long periods of time. This is a much better alternative to holding cash, as inflation will erode the value of low-yielding cash; you lose value over time instead of gain. Different investors pay wildly different prices to take part in the market. …
Yves Smith adds her thoughts on possibilities of the market price decline for oil: When the Saudis announced their intention not to support oil prices when they were sliding towards $90 and plunged quickly through that level, we deemed the move to be a masterstroke. It served to damage both economic and political enemies. On the…
The National Association of Realtors (NAR) seasonally adjusted pending home sales index improved and remains in expansion for the third month in a row after a year in contraction. Our analysis of pending home sales however is darker – and we are projecting a bad month for December existing home sales. Pending home sales…
by Dr. Marc Faber, Daily Reckoning We know that “money printing” distorts the level of relative prices in an economy because, at certain times, some prices may increase faster than other prices. At other times, during another phase of monetary inflation, the prices of different goods, services and assets may increase while formerly rising prices might…
Back in the fall, former Federal Reserve Chairman Alan Greenspan stirred things up by making some public statements about the importance of gold, calling it “the premier currency, where no fiat currency, including the dollar, can match it…” Greenspan also indicated that he believes the Fed’s balance sheet will eventually catch fire and ignite some serious inflation. A good…
What do all of the tinted areas below have in common? Those are the zones where folks figured crude oil had “bottomed” and was, at long last, rallying. To my way of thinking, there is nothing to prevent oil going into the 40s…or the 30s…or the 20s. A few minutes of stability does not a…
This is a striking view of the increased oil production in the US since the 2008 financial crisis. Source: Trading Economics This is a view of Texas employment in Oil and Gas extraction payrolls over the same period. Source: St. Louis Fed And for effect, the prices of WTI and NatGas, each virtually cut in half in…
The dollar has been rising against the Swiss thanks to its peg to the Euro. Of course the Swiss would love to have a lower currency for that will help their exports. The Swiss is currently trading at 9934 and a merely year-end closing above 9785 will signal that indeed the 2011 low for the…
It has been an eventful year for Gilead Sciences Inc. (GILD – Analyst Report), a big name in the biotech sector. Gilead, which soared 100.11% in 2013, is up only around 30% year-to-date (YTD). Throughout 2014, the company was in the news mainly due to its hepatitis C virus (HCV) treatment, Sovaldi, which was approved by the…
