Salient to Investors: Jim Rogers writes: The heads of most central banks are all rock stars, but only a phenomenon of the last 20 years as they pump money into the markets. One day people will realize that they have led us down a terrible path. The Fed balance sheet
READ MORE... →Salient to Investors: Wall Street strategists are the most cautious in almost a decade. The average of 20 estimates predicts the S&P 500 will rise 5.8 percent in 2014 versus the average projection of 11 percent over the last 5 years. The mean estimate is 1,955. 116 S&P stocks are
READ MORE... →Salient to Investors: Joseph Engelberg and Christopher Parsons at University of California at San Diego found: A 1-day drop in equities of 1.5 percent is followed by a 0.26 percent increase in hospital admissions on average over the next 2 days, and that the impact on psychological conditions such as
READ MORE... →Salient to Investors: Doug Short writes: US stock indexes are significantly overvalued, a serious concern in a more normal market environment of business cycle, Fed policy, interest rates and inflation. CAPE is at 24.9 and the year-over-year inflation rate is 1.18%. The inflation range that has supported the highest CAPE
READ MORE... →Salient to Investors: Doug Short writes: The S&P 500 is at 18.7 times reported earnings versus the average since the 1870s of 15. In times of critical importance, the conventional P/E ratio often lags the index to the point of being useless as a value indicator because earning can fall
READ MORE... →Salient to Investors: Jim Rogers said a staggering artificial sea of liquidity is going into stock markets including the US, and Japan. Read the full article at http://jimrogersonthemarkets.blogspot.com/2013/12/liquidity-flowing-into-stock-markets.html Click here to receive free and immediate email alerts of the latest forecasts.
READ MORE... →Salient to Investors: William Pesek writes: I agree with Tom Holland at The South China Morning Post that China cannot both maintain 7 percent-plus growth rates and implement huge reforms. Thailand has seen 18 coups in the past 60 years. The whole reason for being bullish on Japan Inc. so
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: Gary Shilling at A. Gary Shilling writes: The Fed usually starts raising the federal funds rate before economic expansions are very old but this time will wait until the wave of de-leveraging, and the related slow growth, has ended. De-leveraging after major financial crises usually takes a
READ MORE... →Salient to Investors: Brad Kinkelaar at Pimco said: The underperformance of many high-dividend stocks in the past 8 months shows a sentiment shift already is under way. If rates continue to rise through 2014, albeit gradually, telecom, utility and REITs should continue to underperform the market. Look for stocks with
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