Salient to Investors: Corporate creditworthiness in the US is deteriorating at the fastest pace since 2009 with earnings growth slowing as yields rise from record lows. Moody’s said the ratio of upgrades to downgrades fell to 0.89 times in the first 5 months of the year after reaching a post-crisis
READ MORE... →Salient to Investors: William Pesek writes: No country is more vulnerable to the dreaded slowdown in China than resource-rich Australia, as the mining boom that fueled nearly all of Australia’s recent growth is nearing a cliff of economic risk. Exporting natural resources led to the neglect and atrophying of other critical
READ MORE... →Salient to Investors: Gold dropped 23 percent this quarter, heading for its biggest loss since at least 1920 in London. A lack of accelerating inflation and mounting concern about the strength of the global economy is hurting silver, platinum and palladium, which are used more in industry than gold. Bart Melek at
READ MORE... →Salient to Investors: Justin Wolfers at University of Michigan writes: Jan Hatzius at Goldman Sachs estimates that it takes $1 trillion in bond purchases to move long-term interest rates by 0.4 percent. So the market’s recent overreaction to Benanke’s tapering comments is equivalent to cutting back on QE by $1 trillion versus $255
READ MORE... →Salient to Investors: John Kilduff at Again Capital said the terrible GDP number gives the Fed room to continue QE and there won’t be a tapering anytime soon. balance these Read the full article at http://www.bloomberg.com/news/2013-06-26/wti-crude-rises-on-speculation-fed-to-keep-stimulus.html Click here to receive free and immediate email alerts of the latest forecasts.
READ MORE... →Salient to Investors: Caroline Baum writes: The Wall Street Journal’s Jon Hilsenrath is widely viewed as Bernanke’s unofficial spokesman. Bernanke was crystal clear when he communicated the Fed’s objectives. The rise in interest rates can be easily overwhelmed by better earnings as a result of stronger growth, so if the Fed’s optimistic
READ MORE... →Salient to Investors: Bill Gross at Pimco said: Bond yields and risk spreads were too low 2 months ago and global markets that were too leveraged are now reducing risk The Fed tilted over-risked investors to one side of an overloaded and over-levered boat when discussing tapering, so don’t panic.
READ MORE... →Salient to Investors: Nassim Nicholas Taleb says: The UK and the US have a fantastic history in risk-taking, in trial and error, without shame in failing and starting again. We must honor the “ruined” risk-takers with as much respect as we do soldiers – there is no such thing as
READ MORE... →Salient to Investors: Jim Rogers writes: China has a major water problem and the only way the China story runs into big problems is if they run out of water. They will solve it so buy companies that are working to fix that problem. The Chinese stock market is getting
READ MORE... →Salient to Investors: Jim Rogers writes: Malaysia is making positive dramatic changes. All Asean countries are going in the right direction. Pay Day Direct Lenders When the huge currency turmoil comes, bet with the creditors and not the debtors. There is no such thing as a sound currency and no
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