Posts filed under “Markets”
Over the course of each month, I end up with quite a few random thoughts. They are the interesting tidbits that are not quite meaty enough to be worthy of a full column. But they often are interesting enough to stimulate thinking and provoke discussion.
Rather than toss them out, I save them up over the course of each month. Here is what October’s random thoughts look like:
• Americans spend more than $2 billion on Halloween candy each year; we spend even more than that on costumes.
• The Bank of Japan surprised everyone by upping its stimulus to 80 trillion yen ($717 billion). Previously, it was more than 60 trillion yen.
• Tomorrow begins the best six months of the year for stock markets. Since 1950, almost all of the market’s gains have come between Nov. 1 and April 30, according to the “Stock Trader’s Almanac.”
• No, Tim Cook didn’t come out of the closet yesterday as gay. He was already “out” in 2011 when he took over as chief executive officer of Apple. He just didn’t talk about it.
• Although gold tumbled today, it is down less than 4 percent so far this year.
The crash in 1929 followed a 6 year bull market that saw the Dow gain some 350% in just 6 years. The 89% crash wiped out just about all of it.
On October 29, 1929, Black Tuesday hit Wall Street as investors traded some 16 million shares on the New York Stock Exchange in a single day. Billions of dollars were lost, wiping out thousands of investors. In the aftermath of Black Tuesday, America and the rest of the industrialized world spiraled downward into the Great Depression (1929-39), the deepest and longest-lasting economic downturn in the history of the Western industrialized world up to that time.
Black Thursday brings the roaring twenties to a screaming halt, ushering in a world-wide an economic depression.
Succinct Summations week ending October 24th Positives: 1. S&P 500 rose ~ 4% for the week — amazingly is now down less than 1% for the month. 2. Initial jobless claims came in slightly higher than expected but the 4-week moving average fell to the lowest levels since 2000. 3. Mortgage refinance applications rose 23.3%…Read More
Source: Research Affiliates Rob Arnott of Research Affiliates writes: In a world of low bond yields and slow economic growth, historically realized 5-6% real (7-8% nominal) asset class returns may be unrealistic expectations for the future. In other words, assets with above-average valuations may not deliver the sort of returns people came to expect…Read More
Succinct Summations of Week ending October 17th Positives: 1. Initial jobless claims came in at 264k, their lowest numbers since 2000. 2. Gasoline prices fell to their lowest levels since 2011. 3. Russell 2000 actually finished up 2.8% on the week. 4. U of M consumer confidence came in at 86.4, the best since 2007….Read More