Salient to Investors: Bill Gross at Pimco said: Stocks and bonds will return less than 5 percent in 2013 due to a sluggish economy as the effect of Fed stimulus diminishes Structural headwinds lower real GDP to below 2 percent in the US and other developed nations. Bernanke is not Rumpelstiltskin and can
READ MORE... →Salient to Investors: At the current pace, the US population will grow by 7.3 percent during the decade, the lowest level since the 1930s. William Frey at Brookings said mountain states in the West were among the fastest-growing places. Read the full article at http://www.bloomberg.com/news/2012-12-31/u-s-on-pace-for-slowest-decade-of-population-growth-since-1930s.html. Click here to receive free email alerts of articles as soon as they
READ MORE... →Salient to Investors: Ryan Sweet at Moody’s Analytics said businesses are worried but not panicked, and expects much stronger employment gains in half2 2013. Read the full article at http://www.bloomberg.com/news/2012-12-30/job-market-probably-held-gains-in-december-u-s-economy-preview.html Click here to receive free email alerts of articles as soon as they are posted.
READ MORE... →Salient to Investors: US government securities have returned 2 percent in 2012 versus 17 percent for the MSCI All-Country World Index including reinvested dividends. Hiroki Shimazu at SMBC Nikko Securities expects investors to shift money from the bond market to the stock market in 2013 as the economy becomes much stronger. Economists expect 10-yr yields to rise
READ MORE... →Salient to Investors: Neil Dutta at Renaissance Macro Research said the economy is holding up just fine with no feared year-end cataclysmic economic shock, and the steady housing recovery will continue. Dutta said we’re in the early stages of a positive feedback loop of cheap credit, tight inventory and rising prices. John Ryding at RDQ Economics
READ MORE... →Salient to Investors: Joseph Brusuelas at Bloomberg said households are increasingly confident about their finances, which will sustain the improvement in consumer sentiment in 2013, albeit at low levels. Lynn Franco at the Conference Board said consumers are quite negative short-term, but more upbeat about current business and labor market conditions. Read the full
READ MORE... →Salient to Investors: Global M & A in Q4 rose to the highest level since Q3 2008. Gene Sykes at Goldman Sachs said the pickup may extend into 2013 once the fiscal cliff and euro crises find a solution, with driven by continuing consolidation in natural resources, industrials, technology and financial services. Corporations sit
READ MORE... →Salient to Investors: Corporate profits are at all time high of almost 12 percent of GDP versus real wages at a record low of almost 2%. Companies have almost $4 trillion in cash, or 13.6% of total assets. Watch the video at http://www.bloomberg.com/video/are-we-facing-a-permanent-decline-in-real-wages-rskODOU8Tzm4u811JZzHQg.html Click here to receive free email alerts of articles as soon as
READ MORE... →Salient to Investors: The S&P/Case-Shiller index of property values increased 4.3 percent from October 2011, the biggest 12-month advance since May 2010. David Blitzer at S&P/Case-Shiller said the housing recovery is gathering strength, confirmed by strong performances in the southwest and California. Property values will keep rising as record-low mortgage rates, a growing
READ MORE... →Salient to Investors: China increased its Treasuries holdings in October to a 5-month high. Liu Dongliang at China Merchants Bank said US treasuries are a good choice for China because the dollar is expected to appreciate and the credit risk is lower than for European and Japanese bonds. Read the full article at
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