Salient to Investors: A. Gary Shilling at A. Gary Shilling & Co. says 5 of the 7 varieties of deflation are present in the US economy. Commodity price deflation will continue as oversupply continues to swamp demand amid weak global growth and a hard landing in China, which remains export-driven. The slow global
READ MORE... →Salient to Investors: A. Gary Shilling at A. Gary Shilling & Co writes: There is an important distinction between good deflation caused by excess supply – as after the Civil War and in the 1920s – and bad deflation created by deficient demand – as in the 1930s and Japan over the last
READ MORE... →Salient to Investors: Paul Farrell writes: We are at a market top and an economic turning point. Bernanke’s non-stop cheap-and-easy-money printing presses are loved by Wall Street banks but are bad for the rest of America. His reappointment – certain to become Obama’s greatest domestic blunder – so shocked Nassim Taleb
READ MORE... →Salient to Investors: Quest Offshore Resources estimate spending on subsea equipment to build underwater oilfields will grow 66 percent in 2013: spending on subsea trees in 2013 is expected to be more than double the amount spent in 2005, and rise another 29 percent by the end of 2017. James Crandell at
READ MORE... →Salient to Investors: Real Capital Analytics said non-US firms bought the most Houston office buildings in the past 3 years, spending 4 times more than US REITs, which ranked second. In 2012, Houston made the top five global cities surveyed by the Association of Foreign Investors in Real Estate for the first
READ MORE... →Salient to Investors: Hedge funds are making the biggest bet against copper on record as global inventories expand to a 9-year high, while concern that Europe’s debt crisis will spread spurred the biggest gain in gold bets since 2008. Jack Ablin at BMO Private Bank cites unprecedented stockpiles of copper and other metals
READ MORE... →Salient to Investors: Masahiro Koshiba at United Managers Japan said investors who had written off Japan are finally starting to take a look at it again. David Baran at Symphony Financial there is a lot of idle cash looking for what has not performed and is still cheap. Farhan Mumtaz
READ MORE... →Salient to Investors: The MSCI Emerging Markets Index is up 22 percent since its October 2011 low versus the 33 percent advance for the MSCI World Index – the first time since 1998 they have underperformed during a global rally. Bulls say emerging markets will lead the next stage of the global rally
READ MORE... →Salient to Investors: China’s swap market is signaling interest-rate increases for the first time since 2011 after inflation accelerated to a 10-month high and the housing market defied government-cooling efforts. Hedge funds are making the biggest bet against copper on record. Edward Meir at INTL FCStone said China’s growth story remains intact, but
READ MORE... →Salient to Investors: A. Gary Shilling at A. Gary Shilling & Co writes: The current fiscal and monetary offsets to the powerful deflationary forces are temporary. When deleveraging ends and normal economic growth resumes, the Fed will be forced to eliminate the huge excess reserves. General price deflation is the likeliest
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