The Next Depression: It’s worse than they think
“Beyond the Crisis… With most of the world’s economies officially out of recession, the FT launches a series examining the legacy of worst global economic crisis since the 1930s,” says the FT. But according to the figures below the headline, the crisis wasn’t so bad. The US economy walked backward only 3.5%. Now, it’s making progress again.
The FT editors should keep their eyes on the road. The ‘recession’ did more damage than they think. And it isn’t over… There’s more trouble ahead.
Cashflow Quadrant Rich Dads Guide to Financial Freedom
Cashflow Quadrant Rich Dads Guide to Financial Freedom
Are you tired of living paycheck to paycheck?
In the [...]
Unorthodox Exit Plan – what the Fed has up its sleeves
“In the old days … the Fed controlled the federal funds rate with open market operations,” Antulio Bomfim, a former Fed economist now with Macroeconomic Advisors LLC in Washington told Reuters. “Now, at least in this period when reserves are over-abundant, the way the Fed hopes to raise the federal funds rate will be primarily by raising the interest rate it pays on reserves.”
Goldman Sachs – Defending the biggest kid on the block
Resident voice of reason at The Daily Reckoning, Bill Bonner takes a hard look at Goldman Sachs and replaces jealousy with admiration.
“We pick up sword and shield, ready to fight for Goldman, after reading the Financial Times. The FT has devoted a whole page to Goldman bashing. It’s time someone stood up to say a kind word for the firm.”
Is the economic roller coaster at the bottom?
If there is one economic report I look forward to every month, it’s the Conference Board’s Leading Economic Index. Most of the stuff written by economist is so full of statistics, formulas, tables and graphs that by the time you weed through it all you…
What economic recovery?
By InvestorPlace’s Michael Shulman.You hear it all around you. The economic recovery this, the economic recovery that. Only problem is we’re not in an economic recovery.In fact, we are not at the end of this recession, we are in the middle of it. This …
Recession’s over, several gurus say
My investment philosophy is rooted in the idea that beating the market is less about reinventing the wheel and more about listening to the right people. That’s how I came to develop my Guru Strategy computer models, and it’s why I take a look every Fri…
What Google’s blowout quarter means
Google’s (GOOG) strong earnings report indicates something, but just what?
On October 15th, after the market’s close, Google reported earnings of $5.89 a share, 47 cents a share above the consensus estimate of $5.42. Revenue, after traffic acquisitio…
Crude pushes back toward $75
If a very minor recovery in the global economy pushes oil back toward $75, what will a robust expansion do? Crude moved to $73.79 on the New York Mercantile Exchange. The reason for the rise appears to be a belief that a pick-up in business spending an…
A giant cash machine
Why? That’s always the first question to ask when you see a common stock like Verizon (VZ) trading with a dividend yield of 6.52%.
That’s so much higher than the yield on the Standard & Poor’s 500 index (2.1% as of last week) that any reasonable i…
Pepsi’s good, but not great, news
Before the stock market opened on Thursday, PepsiCo (PEP) reported third-quarter earnings of $1.08 a share on revenue of $11.08 billion.
The earnings were five cents a share above Wall Street earnings estimates — although up just slightly from the $1…
We’re Back to Growth… For Now
Just one bit of meaningful economic data so far this week: The American service sector grew in September for the first time in a year. The Institute for Supply Management’s nonmanufacturing index scored 50.9 last month, just 9/10ths of a point above the growth/contraction tipping point. That certainly isn’t a booming service sector, but having contracted for the last 11 months… we’ll take it.
“The Chicago Fed’s national activity index,” notes our macro adviser and fellow data dork Rob Parenteau, “continues to point to a second-half 2009 real GDP recovery. With the September release, investors focused on the index — a composite of more than 80 monthly indicators that provides a reasonably good proxy for real GDP momentum — slipping to…
Taxi investments fare well
Even in this down economy, one investment out there still soars. It can claim a 179% jump in value this decade — let’s see your measly stock match that!What would bring such divine returns? Owning a New York City taxi medallion, according to Crain’s N…