A short interview with Jeremy Siegel by Robert Huebscher in Advisor Perspectives. Siegel touches on a number of interesting topics: The US stock market is fairly cheap at 16 times next year's earnings - as long as interest rates are around 3%. The volatility we've been seeing lately is...
Stocks have gone up a lot in this expansion but so have earnings – on an almost one for one basis. But earnings are volatile and we’ve seen this plenty of times before. In this article at Project Syndicate, Robert Shiller compares the current period to the 1920s and other...
Howard Gold had an article last week at Marketwatch: Why is the US stock market weak? Because the economy is too strong. What does it mean for the economy to be "too strong"? Isn't growth supposed to be good for stocks? Gold's reasoning is that Fed tightening is driving up the...
Elon Musk's lack of self control has finally bought Tesla a real problem. Does Tesla survive without Musk? That's a harder question to answer than it seems at first blush. The stock price is intimately intertwined with the aura of Elon Musk. Without him, Tesla is just a money...
Most everyone has heard of the Chinese proverb – or curse – that wishes one to live in “interesting times”. You’ve probably also heard that in Chinese the word “crisis” is composed of two symbols, one that denotes “danger” and another that means “opportunity”. Well we certainly live in...
Stocks took another beating last week as the scope of the coronavirus shutdown started to sink in. The S&P 500 was down 15% last week with most of that coming on Monday after the Fed’s emergency rate cuts. Our accounts performed much better than that, but were still down...
As I sit here Monday evening with the Dow having closed down 2000 points and the 10-year Treasury yield around 0.5%, the title of this update seems utterly ridiculous. With the new coronavirus still spreading and a collapse in oil prices threatening the entire shale oil industry, recession is now the expected outcome. Most...
I have been a fan of Japan as an investment for quite a while now. Shinzo Abe's economic reforms are, for now, paying large dividends. There are questions of course about monetary policy as implemented by the inventors of Quantitative Easing, taking monetary policy where it has rarely been....