Salient to Investors: Author Mark Leibovich writes: Washington works extremely well for its most important citizens, the lobbyists. Money has trumped power as the ultimate currency. Atlantic magazine reported in 1974 that only 3 percent of retiring members of Congress became lobbyists. Today, that number is 42 percent for members of the
READ MORE... →Salient to Investors: James A. Kostohryz writes: Stock valuations are currently within or even slightly above a broad range that could be considered “normal” and not at bubble levels, but unprecedented levels of excess liquidity, declining liquidity preference, and a number of fundamental, technical and psychological indicators strongly indicate a bubble is forming. Probabilities favor
READ MORE... →Salient to Investors: Matthew C. Klein writes: The FRB of Chicago said it would take another 5 years to return to full employment at the June jobs pace, even with aggressive assumptions about aging, immigration and the birthrate that make the “employment gap” smaller than many believe. same day no fax
READ MORE... →Salient to Investors: Gennadiy Goldberg at TD Securities said the labor market is losing momentum, earnings were disappointing, and consumers need to see wage growth to accelerate their spending. Retailers and restaurants accounted for 53 percent of all net new hires in July. Joan Entmacher at the National Women’s Law Center said women
READ MORE... →Salient to Investors: Michael Vogelzang at Boston Advisors said the tone from central banks is that the economy is a little better but not yet at escape velocity without monetary support, and as long as there is strong accommodative policy, the market can go up a lot, driven by Fed
READ MORE... →Salient to Investors: William Pesek writes: Asia sits on almost $7 trillion in currency reserves, much of it in dollars as its central banks engaged in a kind of financial arms race after a 1997 crisis. Asia now has more weapons against market unrest than it knows what to do with
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: Automotive News reports that 3.27 million unsold cars sit on lots across the US, the most in almost 5 years and versus 2.7 million a year ago and 1 million more than in the summer of 2011. Interest rates are still relatively low, car loans are easy
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