Salient to Investors: Bill Gross at Pimco said the Fed can do nothing but continue its accommodative monetary policies even with the U.S. economy adding more jobs than forecast last month. Pimco bought Spanish and Italian bonds on speculation that Draghi will come to the rescue. Mohamed El-Erian at Pimco said
READ MORE... →Salient to Investors: Li Jun at Central China Securities said investors think the economy may have bottomed, especially since the PMI showed positive signs, but we need more liquidity for any gains to last. Lu Ting at Bank of America sees increasing evidence for green shoots in China – upped Q4 GDP growth estimate to
READ MORE... →Salient to Investors: The biggest Chinese ETF in the US climbed to a six-month high on expanding factory output. Chinese manufacturing expanded for the first time in three months in October. Audrey Kaplan at Federated Global Investment Mgmt said confidence in Chinese equities is picking up and it looks like the beginning of a
READ MORE... →Salient to Investors: Gold traders are the most bullish in 10 weeks. Holdings in gold-backed exchange-traded products gained the past three months to a record, the best run since August 2011. Options traders are bullish. Gold is heading for a 12th straight annual gain, the longest winning streak in at least
READ MORE... →Salient to Investors: Graham Bishop at Exane BNP Paribas said equities will advance in 2013 as investors who missed this year’s gains try to chase the rally, driven by a reversal of investor pessimism, near-zero US interest rates, accelerating economic growth, and favorable market valuations. Bishop said this phase of the cycle supports a strong
READ MORE... →Salient to Investors: Adam Challis at Hamptons Intl said: UK home prices will rise 2 percent next year driven by gains in the Midlands and northern England, then will climb another 2 percent each year through 2015 and 4 percent the following year. Values have fallen to a point where homes are
READ MORE... →Salient to Investors: Philippe Bacchetta at University of Lausanne and Eric van Wincoop at University of Virginia found that: Global trade and financial linkages weren’t strong enough by themselves to have caused the global recession in 2008 – self-fulfilling panics, not contagion, were to blame. The large losses of leveraged financial
READ MORE... →Salient to Investors: Emeralds are rarer than diamonds but cheaper. IDMA said at current growth rates, emeralds could take more than 20 percent of diamonds’ market share within two decades. Red, green and blue stones comprise just 10 percent of global gem sales and lack standardized pricing. The colored gem market was equal in size
READ MORE... →Salient to Investors: Warren Buffett said that book value is the best available proxy for intrinsic value. Meyer Shields at Stifel Nicolaus said book value is a number you can hold on to and a reasonable depiction of company worth. Tom Lewandowski at Edward Jones said it’s harder to move the needle when
READ MORE... →Salient to Investors: Former IMF deputy managing director John Lipsky said: Efforts to rescue Greece have failed to provide the basic structural reforms needed. The austerity measures are exacerbating economic pain and won’t found a lasting recovery. Little is being discussed about the truly seminal issue of progressive loss of competitiveness in
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