Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.
Tuesday, April 08, 2008
US Fed Prepares for More Bank Failures In Wake of Housing Market Collapse / Stock-Markets / Credit Crisis 2008
By: Dr_William_R_Swagell
It seems that the Federal Deposit Insurance Corporation is getting ready for more financial institutions to fail as world credit markets convulse in the wake of the US housing collapse and a flight from SIVs... structured investment vehicles which are highly leveraged, complicated, based on assumptions now proven to be plain wrong, and now considered “toxic”.
“The FDIC is looking to bring back 25 retirees from its division of resolutions and receiverships.
Many of these agency veterans likely worked for the FDIC during the late 1980's and early 1990's, when more than 1,000 financial institutions failed amid the savings-and-loan crisis.‘Regulators are bracing for well over 100 bank failures in the next 12 to 24 months'...” Damian Paletta, Feb.27, 2008 Wall Street Journal .
Tuesday, April 08, 2008
Looking to be Long the Russell 2000 Stock Market ETF / Stock-Markets / US Stock Markets
By: Mike_Paulenoff
During the past three months, the Russell 2000 Small-Cap ETF (AMEX: IWM) has carved out an impressive base-like pattern in the aftermath of its 25% correction (bear phase?) off of the July 2007 high at 85.74. Although the 72.00 area represents serious resistance, the size of the base pattern is just about as large as the size of the Aug-Nov top pattern that triggered the powerful decline.Read full article... Read full article...
Tuesday, April 08, 2008
Watch the Stock/bond Ratio– Poll Results / Stock-Markets / Stock Market Valuations
By: Prieur_du_Plessis
I posted an article on the stock/bond ratio a few days ago, discussing the likelihood of the period of safe-haven buying of bonds coming to a close and the underperformance of stocks since the middle of last year being in the process of reversing. In essence, the post asked whether we were seeing a turning point of any importance in the stock/bond ratio.Read full article... Read full article...
Tuesday, April 08, 2008
Commodity-based Emerging Markets Continue to Strut over S&P 500 / Stock-Markets / Emerging Markets
By: Donald_W_Dony
With the declining U.S. dollar and the steady growth of natural resource prices, many commodity-based world markets are feeling considerable buoyancy during this current bear market.
As the secular commodities bull market continues, its affects can be felt even during the global bear market. Many natural resource world economies are not feeling the same downdraft that has gripped the more blue chip and financial-based indexes.
Tuesday, April 08, 2008
Stock Markets to be Hit by Sharp Fall in Corporate Earnings / Stock-Markets / Stock Market Valuations
By: John_Mauldin
For the last few months in my regular letter I have been pounding the table that corporate earnings are going to decline this year, which is always a negative atmosphere for stocks. Since today is the beginning of the earnings season for the first quarter, I thought it would be helpful to look at this piece from our old friend James Montier, head of equity research at Societe Generale based in London. It seems that analysts are behind the curve when it comes to predicting future earnings. James shows us why and then goes on to demonstrate that even the meager earnings reductions that are projected are not priced into the market as many bullish commentators suggest. This should make for an interesting Outside the Box. Read full article... Read full article...
Monday, April 07, 2008
Fed Bailouts vs. the Free Markets / Stock-Markets / Credit Crisis 2008
By: Money_and_Markets
Mike Larson writes: The Wall Street Journal 's website — once again — pretty much summed up the current state of the housing and mortgage markets this week.
One key headline: "Fannie Mae Tightens Rules for Mortgages"
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Monday, April 07, 2008
The Federal Reserve Playing a Dangerous Game / Stock-Markets / Credit Crisis 2008
By: Dr_Martenson
Be careful what you believe - television ad for Morgan Stanley's brokerage service flickers across the screen, showing a retired couple walking across a beach with a dog and their grandchildren. Smiles and ease and comfort drip off the screen. It is a happy, shiny future they are selling. Separately, a letter goes out from Morgan Stanley to their private clients warning of a “50% chance of a systemic crisis." Which do you believe?Read full article... Read full article...
Monday, April 07, 2008
Banking Crisis- You Can Fool Some Of The People Sometimes / Stock-Markets / Credit Crisis 2008
By: Captain_Hook
But you can't fool all the people all the time. This is a truism that will become increasing trite in coming years as more and more people discover the vulgarities being perpetuated on them by the banking / investment community. As an example of this, without solicitation last week Visa informed me I will soon be receiving my ‘First Class Travel Infinite Card', which apparently has ‘no credit limit'. Now for some this might be ‘good news' if planning to live increasingly off credit. But for me, the message I got was the credit givers want people who pay their bills on time to take on even more of the credit growth burden until they too are overextended, which is the brand of thinking that has gotten us into the precarious position we are in today. In this respect credit givers should know they are barking up the wrong tree with people like me if they expect a run-up in balances that can be taxed at exorbitant rates, as most like minded people pay their balances off each month and don't plan on altering this practice. Read full article... Read full article...
Monday, April 07, 2008
Credit Crunch To Spill Over The World / Stock-Markets / Credit Crisis 2008
By: Regent_Markets
Despite slew of negative headlines, stock markets around the world still managed to close the week up around 4%. The FTSE and CAC managed 4.7% and 5.4% gains while the Nasdaq 100 was the pick of the US markets, closing the week up 5.2%. The rally was sparked by Lehman Brothers announcing the sale billion of dollars worth of shares late on Monday night.Read full article... Read full article...
Monday, April 07, 2008
Stock Market Presidential Cycle Calls for Strong Bull Run into US Election / Stock-Markets / US Stock Markets
By: Andre_Gratian
Current Position of the Market
SPX: Long-term trend - Election years that fall in the 8th year of the Decennial pattern call for consolidation in the early part of the year followed by a strong finish. But the 6-yr cycle which is scheduled to bottom in late Summer/early Fall could also play a restraining role, followed by an eventual bull market top in 2009-2010.
SPX: Intermediate trend - an extended intermediate-term consolidation is in the process of ending and may already have ended.
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Monday, April 07, 2008
Stock Market Update: Gotta Have Faith / Stock-Markets / US Stock Markets
By: Dominick
In typical fashion, the week closed at a crucial area that will determine whether there's still one more new high in this rally or it's now time for consolidation, leaving the decision to next week. Still, we have the ultimate resistance level for this move and the numbers below that will trigger a more serious correction.Read full article... Read full article...
Sunday, April 06, 2008
Contracting US Economy to Hit Corporate Earnings / Stock-Markets / Financial Markets
By: Prieur_du_Plessis
A sense of relative calm descended upon financial markets over the past week. Although fears about the outlook for the US economy persisted, a perception crept into markets that much of the bad news related to the credit crisis was now out in the open, with the result that the equity bulls had reason to feel rather pleased with their performance by the close of the week.
In his testimony on the economic outlook on Wednesday Fed chairman Ben Bernanke told the Joint Economic Committee he thought the US economy would not grow much, if at all, and could even contract slightly in the first half of 2008. Market participants took Bernanke's testimony in their stride, cognizant that he was not telling them anything they had not already feared.
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Sunday, April 06, 2008
The Real Reasons for the Credit Crisis / Stock-Markets / Credit Crisis 2008
By: Clif_Droke
I've purposely kept my comments concerning the credit crisis at a minimum since it began dominating the daily news headline. My reasoning for this is because I knew the crisis was overblown and overstated in the press and that there had to be a very good reason for it. The only problem is I didn't know exactly what the reason was.
Time tells all, however, and I knew that sooner or later the truth must out!
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Sunday, April 06, 2008
Stock Market Dow Theory Positive Developments But no Buy Signal / Stock-Markets / Dow Theory
By: Tim_Wood
In today's update I want to look at the market from a couple of different perspectives. Recently, I have heard it said that the Dow Theory is now giving a “Buy Signal.” This is not exactly true. In order to explain where we are from a Dow Theory perspective, I first have to explain where we have been. Read full article... Read full article...
Sunday, April 06, 2008
Investment Perspective- What to do in a Tough Investment Climate? / Stock-Markets / Stock Market Valuations
By: Brian_Bloom
When the going gets tough, the tough get going. From an investment perspective, times are getting tougher; so what do we do?
Well, “step 1” is to straighten out our thinking so that we can face the future with clear heads. There are times when an investor's orientation should be to increase his/her wealth; and there are times when that orientation is more appropriately focussed on preserving what you have. In this analyst's view, we are now facing a time when stock market investor orientation should be defensive.
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Sunday, April 06, 2008
Stocks Bull Market on the Back of Rapid Money Supply Growth / Stock-Markets / US Stock Markets
By: Mike_Burk
The good news is: Money supply is growing at the fastest rate in years.
Short Term The market is over bought; many of the indicators are at or near extremes.
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Saturday, April 05, 2008
Is Our Financial System Out Of Control? / Stock-Markets / Financial Markets
By: Anthony_Cherniawski
The financial crisis that started in 2007 had its genesis in the deregulation of the financial markets. This began in the mid-90s when Travelers Insurance Company bought Citibank, forming Citigroup, thumbing its nose at the Glass-Steagall Act , which separated Commercial banks from owning other financial institutions. This led to its repeal by the Gramm-Leach-Bliley Act that implied that Citigroup would not be held accountable for flaunting the law. Read full article... Read full article...
Saturday, April 05, 2008
Market Manipulation on Hedge Funds Margin Calls to Trigger Distressed Selling / Stock-Markets / Credit Crisis 2008
By: John_Mauldin
- Thoughts on the Continuing Crisis
- If the Rules are Inconvenient, Change the Rules
- Let's Re-arrange the Deck Chairs
- Regulations Coming to a Hedge Fund Near You
- More Fun in the Unemployment Numbers
- A Muddle Through Recession
- How Much do we Borrow for a $1 growth in GDP?
There is so much that is happening each and every day as the Continuing Crisis moves slowly into month 8, so much news to follow, so many details that need to be followed up that it can get a little overwhelming. Where to begin? Maybe with a "minor" change of the rules on how we value assets, then a look at the proposed changes in regulations, some comments to my hedge fund friends, a quick look at the employment and ISM numbers which are clearly showing we are in a recession and then finish up with some thoughts as to what it all means. There is a lot of ground to cover, so we will jump right in without a "but first" today.
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Friday, April 04, 2008
US Government Assault on the Free Markets / Stock-Markets / Market Manipulation
By: Peter_Schiff
Those blindsided by the recent financial meltdown are now loudly blaming the free market for its failure to police its own excesses, and are calling for greater regulation to prevent future disasters. But for those who clearly observed the problems developing (in high definition slow motion) the blame can be directed squarely at the policies of the Greenspan/Bernanke Federal Reserve. As has been the case countless times in history, the free market will now pay the price for government incompetence. Read full article... Read full article...
Friday, April 04, 2008
Worst of Credit Crisis Over? Watch the Stock/ Bond Ratio / Stock-Markets / Credit Crisis 2008
By: Prieur_du_Plessis
Is the worst of the credit crisis behind us? Some of my perma-bear friends will probably think of hospitalizing me for merely raising the question. The short answer, however, is that nobody actually knows. Sure, one can deliberate the fallout of the subprime saga to the nth degree, but even a crystal ball regarding the economic variables doesn't necessarily mean getting the markets right. Read full article... Read full article...