Salient to Investors: JPMorgan report that stocks have retraced the pattern from the last two big market rallies and now face a decline in 2013 of over 50%. Nouriel Roubini at NYU says there is a chance of an economic “perfect storm” in 2013 due to a worsening eurozone crisis,
READ MORE... →Salient to Investors: John Manley at Wells Fargo Advantage Funds said valuations are far from excessive. Analysts expect S&P 500 Q4 profits to increase 2.9 percent. The VIX has fallen 40 percent over the past 6 sessions, the biggest decline since November 2008. Michael Riesner and Marc Mueller at UBS said the bull
READ MORE... →Salient to Investors: Barry Ritholtz at The Big Picture says: Obama has nowhere to go but up in selecting the new Treasury Secretary as Larry Summers and Tim Geithner were asleep at the switch when the crisis occurred and were there to help the banks and not service the taxpayers.
READ MORE... →Salient to Investors: Michael Riesner and Marc Mueller at UBS say the US bull market may rise to 1,570 on the S&P 500 and then end in 2013, followed by a cyclical bear market and drop of up to 30 percent by 2014. They say the S&P 500 long-term bear market that began in
READ MORE... →Salient to Investors: The 20 stocks with the highest short sales in the S&P 500 rose an average of 5.1 percent in December versus 0.7 percent for the Index, the widest performance gap since January 2012. Equities tend to rally when companies with the most short interest outperform – like in
READ MORE... →Salient to Investors: Mark Mobius at Templeton Emerging Markets says the Malaysian administration has been very good for the markets and will continue to be so, and is buying more Malaysian shares on the country’s economic growth prospects. Mobius is possibly cutting back on Indonesian banks and Indian natural-resources stocks due to valuations. The Jakarta Finance Index
READ MORE... →Salient to Investors: Justin Urquhart Stewart at Seven Investment Mgmt said the coming year depends a lot on the German elections, and the end to the boom in the bond markets is a matter of when rather than if. The fudging of the fiscal cliff issue means a few more crises
READ MORE... →Salient to Investors: Jay Schwister at Baird Advisors said Pimco underestimated how big the policy response would be and what type of positive impact it would have on financial markets, despite the new normal they forecast is playing out. Saumil Parikh at Pimco said policy distortions cannot continue indefinitely, so 2013
READ MORE... →Salient to Investors: The Shanghai Composite rose 3.2 percent in 2012 and trades at 9.9 times estimated earnings. Read the full article at http://www.bloomberg.com/news/2013-01-06/china-stock-rally-may-end-without-reform-shanghai-alliance-says.html Click here to receive free email alerts of articles as soon as they are posted.
READ MORE... →Salient to Investors: John Paulson said the euro would fall apart and bet against the region’s debt. Morgan Stanley predicted the S&P 500 would lose 7 percent and Credit Suisse predicted wider swings in equity prices. Warren Buffett called bonds dangerous. The largest banks and most-successful investors failed to anticipate how government actions would influence
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