Salient to Investors: Lawrence Summers’ current and previous work as a paid consultant to financial firms helped make him a wealthy man between the time he left government service in 2001 and when he returned in 2009. When Clinton nominated him to be Treasury Secretary, he listed assets of $900,000 and debts of $500,000, but
READ MORE... →Salient to Investors: Alan Patricof at Greycroft said: Real unemployment is worse than the data because it does not include the large number of part-time workers. Manufacturing usually employs far more than tech companies, but the tech business is so robust with thousands of start-ups. We are in a transformational economy
READ MORE... →Salient to Investors: Caroline Baum writes: Obama’s proposal to cut the corporate tax rate in exchange for new spending on education, training and infrastructure is a non-starter. 50 percent of economists say the Fed will taper in September but if economic conditions change, the Fed’s actions will change with them.
READ MORE... →Salient to Investors: Clive Crook writes: The crash will recede, confidence will come back and stronger growth will resume. The zeal of Americans to work hard and prosper will prevail over the weary incompetence of the political class. Inequality is rising, but the theory that the US system is fundamentally
READ MORE... →Salient to Investors: The US home ownership rate is 65% versus the record high of 69.2 percent in 2004, and back where it was two decades ago. Anthony Sanders at George Mason University said low down-payment loans coupled with exotic adjustable rate mortgages helped fuel the housing bubble, so do we want to
READ MORE... →Salient to Investors: The Fed, ECB, and BoJ responded to economic shocks by casting off institutional dogma and broadening their missions. Adam Posen at the Peterson Institute for Intl Economics said unconventional policy will have to become conventional, as central banks act on a wide range of assets and directly in credit markets. Michael Gapen
READ MORE... →Salient to Investors: William Pesek writes: Concerns that China is heading into a turbulent period are soundly based. No one knows if China is cascading into a crisis, not even Premier Li Keqiang. In July, the Broad Group broke ground on the world’s tallest building, expecting to build it in 90
READ MORE... →Salient to Investors: Fareed Zakaria said: For 340 consecutive months, the Earth has been warmer than historic averages. 28 years ago, the Arctic was covered by ice throughout the year as it had been for centuries, but every summer two-thirds of it melts to water. In 2012, 46 commercial ships were allowed
READ MORE... →Salient to Investors: Matt Busigin writes: Corporate profits are going to be weak over the next decade, but it won’t matter very much to assets, and even be beneficial to labor. Consensus analyst estimates call for S&P 500 EPS in 2014 of over $123, 20% above the present value. Corporate
READ MORE... →Salient to Investors: Vincent Reinhart at Morgan Stanley said investors are the little white lab rabbits in the central bank experiments. Gilles Moec at Deutsche Bank said the potential for the dialog between the central banks and the market to fail is significant. Nathan Sheets et al at Citigroup said the UK
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