Salient to Investors:
- Matt McCormick at Bahl & Gaynor says investors are bracing for more volatility on the basis that the economy and market are not as strong as they thought.
- Raymond James said equities are vulnerable to losses. Citigroup is concerned about a severe pullback.
- Christine Lagarde at IMF forecasts a cut in global growth forecasts on continued weak investment and US risks.
- Peter Tuz at Chase Investment Counsel expects increased volatility and says the extremely low VIX period is over.
- Frederic Dickson at D.A. Davidson says the rise in the VIX from 11 to 12 is just a technical correction and not a concern: going to 20 would be.
- Jason Brady at Thornburg Investment Mgmt says the market is relatively high-priced and vulnerable to a selloff, so is increasing cash and replacing riskier stocks with safer ones.
- The S&P 500 is at 18 times earnings, the highest since 2011. Analysts predict profit growth of 5 percent in Q2 2014. Over 130 S&P 500 companies report quarterly results in the next 2 weeks.
Read the full article at http://www.bloomberg.com/news/2014-07-09/stocks-calm-ending-as-earnings-season-brings-volatility.html
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