Salient to Investors: Alan Greenspan said that if we get out of the fiscal cliff with a moderate recession, the price is very cheap. The CBOE OEX Volatility Index has risen 56 percent since its low on Sept. 21, the highest level since August 2011 relative to the CBOE Volatility Index of S&P 500 contracts.
READ MORE... →Salient to Investors: MacNeil Curry at Bank of America Merrill Lynch said an Ending Diagonal Triangle trading pattern indicates the 2-month rally in the US Dollar Index is poised to end. The Ending Diagonal Triangle indicates a weakening trend that is on the verge of reversal. Read the full article at http://www.bloomberg.com/news/2012-11-15/dollar-index-faces-ending-diagonal-triangle-technical-analysis.html
READ MORE... →Salient to Investors: Saumil Parikh at Pimco said equities will return an annualized 4 percent to 5.1 percent over the coming 5 to 10 years verus their historical rate of almost 10 percent as the economy grows at a slower pace due to more retirees than workers and productivity decline due to less
READ MORE... →Salient to Investors: David Goel at Matrix Capital Mgmt said DeMark’s algorithms are much more predictive than any other system. Tom DeMark’s says fundamentals do matter, and markets are governed by waves that crest and fall based on Fibonacci numbers and the closely related golden mean, or golden ratio 1.618. DeMark can’t explain why his
READ MORE... →Salient to Investors: Money managers said fears that the US economy will slow as Obama and Congress fail to avert the fiscal cliff are overblown. Volatility across markets has declined, signaling investors are less worried about the economic outlook. Bettina Mueller at Deutsche Bank is astonished the market is turning so quickly, and expects
READ MORE... →Salient to Investors: Brazilian equities saw the biggest outflows in the past two months since Lehman’s collapse in 2008. EPFR Global said emerging-market equity funds attracted $10 billion during the same period, while Mexican stock funds had inflows of $179 million. Brazil’s domestic stock funds had inflows of $2.5 billion so far in 2012 versus
READ MORE... →Salient to Investors: A huge stockpile of cash is meaningless in analyzing a stock – leadership matters more. Payment of cash hordes out as dividends are the exception, not the norm. Read the full article at http://slant.investorplace.com/2012/11/cash-stockpiles-might-be-meaningless-on-wall-street/
READ MORE... →Salient to Investors: Wu Kan, a fund manager at Dazhong Insurance said the market focus is returning to the fiscal cliff. The MSCI Emerging Markets Index trades at 11.4 times estimated earnings versus 13.2 times for the MSCI World Index. 57 percent of MSCI Emerging Markets Index companies so far reporting have missed
READ MORE... →Salient to Investors: Brian Jacobsen at Wells Fargo Advantage Funds and Bruce Bittles at RW Baird said Obama will continue to support the Fed’s interest-rate policy. Bittles said Obama’s victory will make the fiscal cliff more difficult to deal with. Jacobsen said Bernanke will serve another term because his academic writings recognizes that
READ MORE... →Salient to Investors: Credit-derivatives traders are being replaced by machines as automated trading makes humans too expensive. Michael Karp at Options Group said that as late as 2005, managing directors on credit-derivative trading desks were being paid an average $250,000 in salaries and $1.75 million in bonuses. Peter Tchir at TF Market Advisors said
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