My afternoon train reads :

• A quick lesson on market tops (TRB)
Alpha addict: the amazing career of Leon Cooperman (CNBC)
• The Timelessness of Greed, Fear, and Bad Decisions (Motley Fool) see also Data Rich, Information Poor: Improving Your Cognitive Environment (TraderFeed)
• 7 market myths that make investors poorer (MarketWatch)
• The intellectual cesspool of the inflation truthers (WonkBlog)
• Bill Gross: Economic inequality threatens capitalism (USA Today)
• Learning From Darwin (Seeking Wisdom)
• A Former Comcast Employee Explains That Horrifying Customer Service Call (Slate)
• Why 104 Kansas Republicans just endorsed a Democrat for governor (Vox)
• The Rise of Cafe Culture in New York (The Upshot)

What are you reading?



After Dizzying Rally, REITs May Be Overheating

Source: WSJ



Category: Financial Press

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

6 Responses to “10 Thursday PM Reads”

  1. RW says:

    Dean Baker “beats the press” when they deserve a beating — when they muddle/mangle economics and mislead their readers (which is relatively often) — but he also offers praise when it is deserved.

    Morning Edition Gets It Right on Patents

    David Kestenbaum of the Planet Money team had an interesting piece on whether patents are an impediment or spur to innovation. The immediate issue was the decision by Tesla Motors to put all its patents in the public domain with the hope of helping to create a mass market for electric cars. However the piece went further and asked the question of whether patents actually promote innovation. …

    The piece includes an interview with David Levine and Michele Boldrin, who have been warning of the economic harms of patents and copyrights for more than a decade. They also maintain the fascinating website

  2. rd says:

    Bill O’Reilly is quite adamant that the Us should have built its own Berlin Wall to keep illegal immigrants out.

    He seems to be unaware of a handful of minor facts:

    1. East Germany built the Berlin Wall more to keep their citizens in than keep other people out.
    2. The wall was fairly porous and was designed more to slow people down to give the guards time to shoot them than to completely prevent them from crossing over.
    3. The border length it covered was short compared to the Mexican border.

    Between the NSA trying to be like the Stasi and folks like Bill O’Reilly looking to adopt East German border policies, I am trying to figure out just where things like the Constitution and Declaration of Independence fit into the big picture.

  3. rd says:

    Fabulous news from Bill Gross. I assume his statements mean that I will see the expense ratio of his PTTRX bond fund in my 401k drop a bunch more points so we can equalize some of that income inequality thing.

  4. rd says:

    The Comcast call, the VA scandal, and much of the financial crisis is what happens when you tie employees pay to single point metrics without other quality measures tied to other organizational values (the things touted in every mission statement and TV commercial)..

  5. BoKolis says:

    Clicking through the TRB link to JB’s lunch with Gundlach reminded me about seeing increasing number of UHNW taking bond positions on margin, with the rub being that the margin rate is (negotiated) so low that the yield on the bonds significantly outstrips the margin rate.

    The increased use of margin to finance things other than stocks by people with a little bit of coin may be a phenomenon of the QE era. But, while the aforementioned use it as a cheap and convenient (no-doc) source of capital, the UHNW use it as a way to print money.

    Now, what has this done for a bond market that had seemingly run its course? I think you know. Is this part and parcel of Gundlach’s “circular financing scheme?”