Salient to Investors: E. William Stone at PNC Wealth Management doesn’t expect massive impact from the impending spending cuts, but says there is fear of the unknown and an anticipation of increased volatility. William Murray at the IMF said sequestration means reevaluation of growth forecasts. Read the full article at http://www.bloomberg.com/news/2013-02-28/u-s-stock-index-futures-little-changed-before-gdp-report.html Free
READ MORE... →Salient to Investors: FRB of Chicago President Charles Evans said: The Fed must avoid removing accommodation prematurely, as the Japanese did. The US economy will grow 2.5 to 3 percent in 2013 and 3.5 percent to 4 percent in 2014, and unemployment will be at or slightly below 7 percent by year-end
READ MORE... →Salient to Investors: Goldman Sachs said gold’s cycle has turned as the US economy gathers momentum, and cut its 3-month forecast to $1,615 from $1,825 and expects $1,550 in a year’s time. Hedge funds are the least bullish on gold since 2008. Adrian Day at Adrian Day Asset Mgmt said confidence
READ MORE... →Salient to Investors: Danish central bank Governor Lars Rohde said world central bankers need to plan for monetary tightening to avoid feeding asset bubbles. Rohde said there is no short-term alternative to global easing, given the state of the real economy. Jacob Graven at Sydbank A/S said it will be the same
READ MORE... →Salient to Investors: Tim Schroeders at Pengana Capital said US housing is pretty good and is providing a huge catalyst to consumers via the wealth effect, so the buy-on-dips strategy is in play and we’re definitely pricing in a lot more good news in equities. The MSCI Asia Pacific Index is at 14.7 times
READ MORE... →Salient to Investors: Zhu Min at the IMF said the financial market structure did not change very much and we are not safer. Sanford Weill, John Reed, David Komansky and Philip Purcell have said that financial conglomerates could be more valuable and safer if split apart. Amar Bhide at Tufts University says no one can
READ MORE... →Salient to Investors: Bill Gross at Pimco said: Asset-price irrationality has risen to 6 on a scale of 1 to 10. Corporate credit and high yield bonds are somewhat exuberantly and irrationally priced, spreads are tight, profit margins are at record peaks with room to fall, and the economy is still fragile.
READ MORE... →Salient to Investors: 75 percent of the S&P 500 companies so far reporting quarterly results have beaten estimates. The S&P 500 is at 14.96 times reported earnings versus the average of 16.4 since 1954. Peter Nesvold at Jefferies says 2013 will be ‘The Year of Transports’. Read the full article at http://www.bloomberg.com/news/2013-02-27/u-s-stock-futures-fluctuate-before-home-sales-data.html Free email alerts
READ MORE... →Salient to Investors: The Bovespa stock index is down 6.6 percent in 2013, the worst performer in 94 indexes after Jamaica. The median analysts expects Brazil, the world’s second-largest emerging economy after China, to grow 3.5 percent in 2013 versus 1 percent in 2012. Read the full article at http://www.bloomberg.com/news/2013-02-27/mantega-says-currency-war-he-named-eases-for-recovering-brazil.html Free
READ MORE... →Salient to Investors: Gold futures are heading for the longest run of monthly declines in 16 years. Gold ETF holdings fell to a five-month low. Vedant Mimani at Atyant Capital Mgmt said the safe-haven premium is definitely falling. Credit Suisse said investors tend to buy less gold in an environment where
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