Salient to Investors: Peter Oppenheimer at Goldman Sachs said: Quantitative easings have left little value in the credit markets, so investors should look for returns in European equities over bonds. The STOXX Europe 600 could see annual returns of more than 7 percent despite stagnation in the euro area. Because of a net absence
READ MORE... →Salient to Investors: Mohamed El-Erian writes: Analysts will be hard pressed to explain how equity markets ended unchanged on the day of an unprecedented policy announcement from the Fed. The Fed’s shift to employment and inflation thresholds was a surprise as most analysts expected this would not occur until March 2013 at
READ MORE... →Salient to Investors: Bloomberg and Strategas Research Partners report the average S&P 500 company cut interest expenses to 2.39 percent of sales in the 12 months ended Sept. 30, the lowest since at least 2002. With borrowing expenses at record lows, companies are finding it harder to squeeze costs, causing profit margins to
READ MORE... →Salient to Investors: David Rosenberg at Gluskin Sheff said: the economy is stuck in the mud and it will be a wageless recovery – the fiscal cliff would trigger a recession. Housing is bottoming out. and banking is on the mend and banks are more willing to lend money. likes gold-mining stocks and utilities, dividend-paying healthcare, utility and consumer-staples stocks. likes
READ MORE... →Salient to Investors: Jeffrey Gundlach at DoubleLine Capital says: The first phase of the coming debacle was the 27-year buildup of corporate, personal and sovereign debt to 2008. The third phase will be deeply indebted countries and companies defaulting sometime after 2013. Buy gemstones, art and commercial real estate and other hard assets. Chinese
READ MORE... →Salient to Investors: Andrea Guzzi at IST Investmentstiftung fuer Personalvorsorge said the global economy is recovering and healing, thanks to the US and the emerging markets – more people are becoming wealthy, less and less are poor. Guzzi said many countries have oversized banking sectors. Gala Prada at Fiatc Mutua de Seguros y Reaseguros expects
READ MORE... →Salient to Investors: Two-thirds of investors surveyed by Bloomberg described the global economy as either stable or improving. the most since May 2011. The investors said the US offered the best opportunity over the next year for the eighth straight quarter. Goldman Sachs recommended buying Indian stocks. Read the full article at http://www.bloomberg.com/news/2012-11-29/asian-stocks-gain-with-oil-on-u-s-budget-optimism-gold-rallies.html
READ MORE... →Salient to Investors: In a Bloomberg global poll of investors: 75% expect a short-term agreement to avert the fiscal cliff, 6% expect to go over the cliff and into a recession. 40% expect financial markets to rise after a short-term tax-and-spending deal, 28% see no significant market reaction, 26% say markets would fall. 7% see no sweeping accord, 50%
READ MORE... →Salient to Investors: Peter Sorrentino at Huntington Asset Advisors says the EU bailouts and US fiscal policy is enough reason to take risk off the table. Adam Parker at Morgan Stanley predicts the S&P 500 at 1,434 at yr-end 2013, saying the acuteness of issues such as the US deficit and debt levels, European crisis, and
READ MORE... →Salient to Investors: The S&P 500 gain for 2012 is at 12 percent. The S&P 500 has gained an average 0.6 percent during the week of Thanksgiving since World War II versus a 0.15 percent average gain in all calendar weeks. Brian Jacobsen at Wells Fargo Advantage Funds sees little downside even if we go
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