Salient to Investors: Fareed Zakaria said: The purpose of ISIS’ execution videos was to provoke the US and it worked. Al Qaeda tries to appeal to all Muslims while ISIS is distinctly sectarian and anti-Shiite and hostile to Kurds, Christians and many others in the Middle East – if they all fight in
READ MORE... →Salient to Investors: Andrew Garthwaite et al at Credit Suisse say there is a 25% chance Scotland will choose independence on September 18, while markets will price in a 35% chance, so recommend buying Scottish stocks 2 days before the vote because investors tend to overact to political uncertainty. If independence wins, they
READ MORE... →Salient to Investors: Naoki Kamiyama and David Cui at Merrill Lynch said: China is weaker than it appears, resembles Japan in 1992, and may enter an asset-deflation phase. China’s imbalanced growth, government stimulus, overcapacity, overwrought housing market, and severely under-capitalized financial system may be a more serious problem than Japan’s was in the
READ MORE... →Salient to Investors: Since 2011, online investors since 2011 have helped drive a 50-fold increase in financing through peer-to-peer websites, and are turning to property as falling home prices prompt China to ease curbs aimed at stamping out speculation. China is trying to revive local-government revenues at the risk of
READ MORE... →Salient to Investors: Martin Connaghan at Aberdeen Asset Mgmt said: Buying industrial stocks with stable revenue and selling health-care stocks as uncertainty about the global economy has caused cyclicals to lag pharma and other defensive stocks by a margin that is too wide to ignore. The outlook for cyclical stocks
READ MORE... →Salient to Investors: More than half of US adults are single versus 37% in 1976. Singles need bigger emergency funds more insurance protection. Couples who wait to have kids in their 30s end up with three big financial burdens all at once: retirement planning, saving for a house and saving for college.
READ MORE... →Salient to Investors: Jeffrey Gundlach at DoubleLine Capital said: The Shanghai Composite Index is worth a speculation, but his favorite stock market long-term is India. Yields on 10-yr US Treasuries may reach 2.65% this year. Does not own any foreign currency bonds – the biggest risk in a rise in yields
READ MORE... →Salient to Investors: BLS said 50.2% of those 16 years or older in the US were single in August, versus 37.4% in 1976. Edward Yardeni at Yardeni Research said: The rise in singles exaggerates income inequality in the US and has implications for our economy, society and politics. Singles, particularly younger
READ MORE... →Salient to Investors: Most oil drillers are spending money faster than they make it; an average of $1.17 for every dollar earned in the 12 months ended on June 30, 2014. Only 7 US-listed firms in the Bloomberg Intelligence’s E&P index made more money than it cost them to keep
READ MORE... →Salient to Investors: Fareed Zakaria said: Islamic terror is not the isolated behavior of a handful of nihilists but a broader culture that has been complicit in it or at least unwilling to combat it. Zawahiri’s effort to recruit Indian Muslims will fail. The Arab world produces fanaticism and jihad
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