Salient to Investors: Ed Yardeni at Yardeni Research said a common worry was that the drop in bond yields may be predicting economic slowdown. Investors Intelligence’s percentage of bulls is at the highest level since January 2005. The conventional wisdom, at least among fixed-income traders and the smartest stock traders,
READ MORE... →Salient to Investors: John Larkin at Stifel Nicolaus said: Railroad stocks are overvalued at 10.9 times enterprise value to EBITD on a trailing 12-month basis versus an average of 9.4 since 1993. The biggest gains are behind them. Their cyclical earnings power will diminish, especially in a mediocre economic environment,
READ MORE... →Salient to Investors: Bloomberg and Birinyi Associates data show stock buybacks have increased each of the last 4 years and were 6.4 percent of daily trading in the Russell 3000 Index by value through September, exceeding 2007’s level of 4.1 percent and reflect a seven-year decline in equity volume. Birinyi
READ MORE... →Salient to Investors: Jeffrey Kleintop at LPL Financial said US companies announced $275 billion of repurchases this quarter, the highest in more than 5 years. 79 percent of buyback orders at Goldman Sachs corporate trading desk were active yesterday, the most in 2013. Jim Welsh at Forward Mgmt said the overall buy-the-dip
READ MORE... →Salient to Investors: Laszlo Birinyi at Birinyi Associates says: The S&P 500 rally has a good year to go as investors give up their pessimism and buy. The bull is very much alive given this sort of hesitancy or reluctance instead of acceptance. There is nothing troubling in view unless people start talking
READ MORE... →Salient to Investors: Jeffrey Kleintop at LPL Financial said: One year or more of gains lie ahead for US stocks if history is any guide. This bull market is the 7th to last at least four years since World War II, 4 of which ran for 5 years or more,
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