Salient to Investors: The financial foundation of leading-edge boomers is stronger in the aggregate than commonly assumed, and is likely to improve in coming years. A study by Alan Gustman at Dartmouth, Thomas Steinmeier at Texas Tech and Nahid Tabatabai at Dartmouth found that the inflation–adjusted wealth of people aged
READ MORE... →Salient to Investors: Daragh Maher at HSBC said Moody’s downgrade was not unexpected, and the drop in the pound in 2013 is small when framed in the context of a longer time-frame, so further falls would not represent an overshoot. Maher said the comfort expressed by the gilt market is largely built
READ MORE... →Salient to Investors: Moody’s said the U.K.’s high and rising debt burden means deterioration in the government’s balance sheet is unlikely to be reversed before 2016, and while the U.K. has considerable structural economic strengths, expected slow growth of the global economy and the reduced speed of debt reduction in the
READ MORE... →Salient to Investors: A paper written by Frederic Mishkin at Columbia University, David Greenlaw at Morgan Stanley, James D. Hamilton at the University of California in San Diego, and Peter Hooper at Deutsche Bank Securities said: The Fed’s hold on policy may weaken should possible losses on its balance sheet coincide with high US budget
READ MORE... →Salient to Investors: 5 of the 8 most accurate forecasters of the US economy in the two years ended in December 2012 were outside the US. International forecasters use methods based on tracking sales and factory reports and largely ignore public surveys of confidence. Joshua Shapiro at Maria Fiorini Ramirez consciously try to
READ MORE... →Salient to Investors: Adam Klopfenstein at Archer Financial Services said the world is not falling apart, and gold is no longer indispensable – that the US is talking about ending the stimulus program tells us that the economy is doing relatively better. Read the full article at http://www.bloomberg.com/news/2013-02-22/gold-poised-for-weekly-loss-as-haven-allure-fades-dollar-jumps.html Free email alerts
READ MORE... →Salient to Investors: Bill Gross at Pimco said: Treasuries gained this week for the wrong reason – speculation economic growth will slow as the Fed reduces its stimulus efforts, when instead yields, certainly in the mortgage market, and the Treasury market might rise as well. The Fed will buys bonds through 2013 and says
READ MORE... →Salient to Investors: Adrian Mowat at JPMorgan said emerging-market stocks may enter a significant correction because fundamentals and technicals are weakening – investors should use options that protect against stock losses and sell equities that are most sensitive to market swings. Mowat sees no near-term changes to these conditions and expects emerging markets to
READ MORE... →Salient to Investors: Allan Yu at Metropolitan Bank & Trust said easing the US stimulus will siphon away some of the liquidity that fueled the rally in emerging stocks. Adrian Mowat et al at JPMorgan said fundamentals and technicals are weakening and emerging-market stocks may enter a more significant correction after underperforming
READ MORE... →Salient to Investors: John Silvia at Wells Fargo Securities said the economy has legs, many people are much more confident, the housing pick up is sustainable. Ken Goldstein at the Conference Board said the underlying economy remains relatively sound but sluggish – the biggest positive factor is housing. The median price of an existing
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