Investing Strategies & Updates

New Year Lands New Faces at the Fed

January 16, 2017

Not only will the New Year bring a new president and new administration, it will also usher in a new Congress and Federal Reserve with some fresh faces. The next Federal Open Market Committee (FOMC) meeting will take place Jan. 31 – Feb. 1, which is shortly after the inauguration. That meeting will mark a […]

Concerns about Bond Yields Warrant Investor Attention

January 9, 2017

Of the many news feeds and funnels of research that I pan through every day, once in a while an article or note will send off a warning flare that gets my attention. Late last week, FINSUM (Financial News Summarized) reported that Larry Summers, of Harvard University, had been warning lately about market dangers. However, […]

Fearlessly Forecasting a Formidable 2017

January 2, 2017

There are no doubt endless resolutions, predictions and forecasts galore as the New Year approaches, and I have one of my own. With the seismic shift in power at 1600 Pennsylvania Avenue, investors have wasted no time placing their bets on the front-running investment themes. Broad deregulation, lower corporate and personal income taxes, immigration reform, […]

The Reality of Rising Rates, a Rising Dollar and a Rising Trade Deficit

December 26, 2016

This is the season that reminds us of how much we as Americans should be thankful for our blessings. Those who are invested in the stock market have an extra measure of holiday blessings that came almost universally unexpected. Benchmark U.S. stock indexes have rallied sharply in anticipation of fiscal stimulus measures proposed by the […]

Bulls Face a Definite Market Headwind

December 19, 2016

For five weeks the stock market has rallied substantially, fueled by a huge boost in investor sentiment that has rewarded most sectors save for the bond market and its equity bond equivalents. All the while, the U.S. Dollar Index (DXY) that trades against a basket of five major currencies has traded to a new all-time […]

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Picking up Yield through the Minefield

December 12, 2016

There is a Wall Street term used when a sector or stock gets hammered for both legitimate and irrational reasons. It’s called getting “worked,” and amid the Trump rally, this has seemingly floated boats. And I’m not speaking of the bond market, which is an obvious loser when the yield on the 10-year Treasury Note spikes […]

Seismic Shift in the Bond Market

December 5, 2016

Following a huge sell-off in the U.S. bond market that coincided with the sharp rally in cyclical stocks, when the dust settled as of last Friday’s close, the yield on the benchmark 10-year Treasury had risen to 2.29% after briefly tagging the 2.45% level. All manner of dividend stocks tied to defensive sectors have come […]

Seismic Shift in Asset Allocation Fuels Massive Sector Rotation

November 28, 2016

Within the lyrics of the global hit “Wind of Change,” by the German rock band the Scorpions, are the words, “the future’s in the air, I can feel it everywhere.” For stock and bond investors, it would be hard to find a better way to pretty much say it all. As the great unwinding of […]

Time to Consider the Pros and Cons of ‘Trump Economics’

November 21, 2016

Goldman Sachs has put out the 10 market themes it is forecasting for 2017 and, unsurprisingly, they are heavy on Donald Trump. With each forecast, I’ll lay out my view as to whether they seem rational or hold fast to the Goldman Sachs culture of being very anti-Trump. First, they don’t expect returns to be […]

Trump’s World View of Taxes and Income — A Wet Ink Blueprint

November 14, 2016

The world of taxation both at the personal and corporate level are about to go through a radical overhaul. For the most part, the forthcoming changes will be positive in my view for the greater good. Trump promised to re-work the tax system and, with a Republican House and Senate, he has a good shot […]

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