Salient to Investors: Obama’s proposal to change the basis for Social Security raises to chained CPI is all about saving money by slowing the growth rate of benefits because chained CPI gives a lower measure of inflation. From December 1999 through February 2013, the price rise in goods and services used
READ MORE... →Salient to Investors: John Overstreet writes: Real commodity prices are highly correlated with equity yields. The most significant breakdowns in the correlation between equity yields and bonds occurs when short-term yields approach or break below 1.0 – as during the Depression, and for the last decade: i.e. the “risk premium”
READ MORE... →Salient to Investors: Doug Short at Advisor Perspectives writes: Statistics says that 99.7% of all daily movements should fall within three standard deviations of the mean, but Deutsche Bank research shows that three standard deviation movements are not as rare – some instances, like the 2008 financial collapse, happen over 25% of
READ MORE... →Salient to Investors: Bank of America Merrill Lynch’s MOVE index, which measures price swings based on options, fell to 55.6, the least since June 5, 2007. The yield gap between yields on 10-yr notes and 10-yr TIPS fell to 2.35 percent, the lowest in almost 10 weeks and versus the average 2.18 percent over the
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