Salient to Investors: Richard Hunter at Hargreaves Lansdown said unemployment and housing in the U.S. are the twin drags which need resolving. The S&P 500 at 14.1 times estimated earnings is close to its highest price multiple since the end of 2010. Read the full article at http://www.bloomberg.com/news/2012-09-19/u-s-stock-futures-rise-on-housing-market-outlook.html
READ MORE... →Salient to Investors: Joachim Fels at Morgan Stanley said: It won’t take much to tip the world into a global recession Central banks in Europe, China, U.K. and Japan will further ease, thereby supporting asset prices, preventing deflation, helping avert sovereign defaults and maintaining economic growth. Central banks on their own cannot bring a sustainable
READ MORE... →Salient to Investors: Net buying of long-term U.S. equities, notes and bonds totaled $67 billion during July versus $9.3 billion in June. Guy LeBas at Janney Montgomery Scott says European investors bought Treasuries et al to protect against deterioration in the euro financial markets, and this will continue into August. China holdings of U.S. Treasuries in July rose $2.6
READ MORE... →Salient to Investors: Thomas Nyheim at Christiana Trust expects the market to flatten out until the election, slowed down by the European debt crisis is not being handled except by Band-Aids. The S&P 500 is at 14.1 times estimated earnings, near its highest multiple since the end of 2010. Bearish index options contracts are the cheapest in more than
READ MORE... →Salient to Investors: The S&P 500 Index is up 82 percent since Obama took office, closer to its all-time high than any other stock markets, and at 14.9 times reported earnings, the biggest discount to MSCI’s global measure since March 2010, and 9.1 percent below the five-decade mean – the last two times the ratio
READ MORE... →Salient to Investors: Jeffrey Saut at Raymond James said the market will either correct its overbought condition by moving sideways or by falling to 1,400-1,422 support. Read the full article at http://www.bloomberg.com/news/2012-09-17/u-s-stock-index-futures-decline-after-s-p-500-rally.html
READ MORE... →Salient to Investors: Bellwethers FedEx and Intel expect lower quarterly profits because of weakness in worldwide demand. Wall Street expects quarterly profits at large American companies to decline for the first time since 2009. Ethan Harris at Bank of America Merrill Lynch said a lot of the profit gain over the past years came from a
READ MORE... →Salient to Investors: Russ Koesterich at BlackRock said the rally was due to policy makers delivering a bit more than expected. Bank of America expects U.S. stocks to hit a record in 2013. Savita Subramanian at Bank of America is bullish longer term on sentiment and fundamentals, predicts S&P 500 at 1600 by year-end 2013 on record profit growth. Tobias
READ MORE... →Salient to Investors: Contrarian fund manager Bill Smead is: Bullish on the U.S. but bearish on companies exposed to China. Looks for strong balance sheets, industries with high barriers to entry, long histories of profits and dividends, p/e ratios below their 10-year average, strong insider ownership, and shareholder friendliness with regard to
READ MORE... →Salient to Investors: Tobias Levkovich at Citigroup predicts the S&P 500 will hit 1,615 in 2013. Brian Belski at Bank of Montreal predicts the S&P 500 to hit 1,575 in 2013. Savita Subramanian at Bank of America expects the S&P 500 to hit 1,600, but straight up, in 2013 on record earnings, reduced concerns about the global economy, and
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