Salient to Investors: The Fed needs to be audited to determine if it has manipulated financial markets, which is not in its jurisdiction. Autonomy for the Fed ended when it started playing footsie with Wall Street. The bubble in stock prices was created by years of risky Fed policy. Even the
READ MORE... →Salient to Investors: Fareed Zakaria said: The US economy has recovered nicely. A 2014 UCLA study found that many black and Latino students face almost total isolation from white and Asian students and middle-class peers. Much more Saudi oil wealth has gone into pernicious causes over the last 30 years
READ MORE... →Salient to Investors: David Stockman writes: Expect a central banker to soon herald that more monetary heroin is coming, triggering a market rally and pronouncements that its “correction” is over. It will take time for the market to lose its unwarranted faith in central bank omnipotence. However, money will now be made by selling
READ MORE... →Salient to Investors: Raghuram Rajan at Reserve Bank of India said: Central banks’ use of cheap money to tackle economic problems, rather than painful reform, has to stop and continuation risks doing more harm than good. Central banks cannot carry the whole burden and may not have the tools to deal with demographic change
READ MORE... →Salient to Investors: Global growth is changing but we are not on the verge of a global recession. UK and US growth is solid, and the Eurozone is staging a weak recovery. China’s stock market drop says little about the health of the Chinese economy and matters little to investors outside China,
READ MORE... →Salient to Investors: More and more analysts are pointing to problems in China and other markets as posing a real threat to the American economy. Raoul Pal at the Global Macro Investor said the global GDP pie is shrinking and cites the dollar’s upward move against nearly all emerging-market currencies. In
READ MORE... →Salient to Investors: Ivan Martchev at Navellier & Assoc writes: Last week’s equity collapse was predicted by the dramatic increase in the spread between junk bonds and Treasuries. Credit spreads are good overall indicators. The sell-off in junk bonds was caused by weak commodity prices: new capacity in hard commodities and energy has
READ MORE... →Salient to Investors: David Stockman writes: The S&P 500 has sliced through both the 50-day and 200-day moving averages. 2130 on the S&P 500 will prove to be a generational high. CAT, China, European luxury brands, the NASDAQ Biotech Index are shorts. Expect the Fed to announce they are well short of
READ MORE... →Salient to Investors: Bill Bishop at Sinocism said: China’s stock market has historically been irrelevant both to the domestic Chinese economy and the global economy. China has tarnished its reputation with its bungled response to its stock market plunge. Damien Ma at the Paulson Institute said it is premature to conclude the
READ MORE... →Salient to Investors: Andy Borowitz reports that the University of Minnesota’s Opinion Research Institute found that Americans hold US billionaires in the lowest ever esteem, and the majority would like to see them deported. Read the full article at http://www.newyorker.com/humor/borowitz-report/sentiment-building-to-deport-nations-billionaires Click here to receive free and immediate email alerts of the latest forecasts.
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