Judging by the LinkedIn IPO, “going public” may be fashionable again. Investors lucky enough to own LinkedIn shares (i.e., employees and a small number of wealthy, well-connected investors) saw their…
T-Bills, Munis Are Hot … Compared With Everything Else
You could say that the yield on three-month Treasury bills has quintupled this month, which would explain why they are in demand. Or you could say that yields on three-month…
Day Traders Returning
The Wall Street Journal recently noted that day traders are returning to the market. When speculative traders start betting on the market, it’s typically a sign of trouble ahead. Their…
Pick One: High Risk or Low Returns
Here’s your choice: Take on lots of risk and hope for the best or watch your standard of living erode. The stock market has been soaring, thanks to the Federal…
The Myth of Market Efficiency
“Belief in myths allows the comfort of opinion without the discomfort of thought.” – John F. Kennedy The current stock market is exposing the myth of market efficiency. The myth says…
“Buy and Hold” Is NOT “Still A Winner”
Investors are being advised by Princeton Professor Burton G. Malkiel (“ ‘Buy and Hold’ Is Still A Winner”) to hang in there, even when the market drops 60% of its…
When Good News Is Bad News
Sometimes investment managers live in Bizzaro world, the place in the old Superman comics where everything is the opposite of what logic would dictate. A case in point is the…
Are You Ready For Another “Flash Crash?”
Investors have plenty of reasons to be skittish. The “flash crash” in May demonstrated that the stock market doesn’t always behave the way it’s supposed to. Human error, deliberate manipulation…
Signs Of A Market Breakout
While nothing is ever certain until it happens, the stock market appears to be ready for a major breakout from its recent short-term trading range. If the S&P 500 closes…
Jobs Report
Bloomberg reported that private payrolls rose by 71,000 in July, which is less than forecast. The S&P 500 declined 13 points on the news. In addition, bond yields continue to…