Succinct Summations week ending October 10th
1. Despite the recent bout of volatility, the S&P 500 is just under 5% off its all-time highs.
2. The national price of gasoline fell to $3.24, the lowest since December 2013.
3. Initial jobless claims came down to 287k while the 4 week average is at the lowest levels since ’06.
4. MBA refi applications rose 5% w/o/w as mortgage rates hit a 4-week low.
5. Japanese machine orders rose 4.7% m/o/m, above the 0.5% expected advance.
1. It was a bad week for the global stock market. The MSCI ACWI has a three week losing streak for the first time in 14 months.
2. Rough data out of Germany sent the Dax and other indices tumbling as they missed expectations on exports, industrial production and factory orders.
3. Japan consumer confidence fell to a 4-month low.
4. Eurozone retail PMI fell to 44.8, glued below the neutral levels.
5. Volatility is back, the S&P 500 was up/down 1% in six of the last eleven sessions.
6. The Russell 2000 is down for the sixth straight week, just one away from a record.
I am a fan of Morgan Housel, columnist at the Motley Fool. His writings evince a strong understanding of behavioral issues, and he has a gift of sifting through the nonsense to get to what really matters. Only on rare occasions do I get to disagree with him. Today is one of those times. Housel has…Read More
Time flies when the market swings — and today looks rough as well. Your morning reads have arrived just in time: • Why did the stock market plummet Thursday? (TRB) see also Stocks Worldwide Extend Selloff as Brent Falls With Metals (Bloomberg) • Monetary policy: An unconventional tool — The Fed’s quantitative easing raises questions about…Read More
Category: Financial Press
Bloomberg Surveillance I am going to be appearing on Bloomberg TV this morning with Matt Miller from 8:00 am – 9:00 am. Subjects we are discussing: 1. Markets: Signs of a Bull Market Turning Bear 2. Interview: Elon Musk 3. China and the changing world economy . . . The live TV streams here.
From Classic Driver: Lamborghini has just unveiled its first plug-in hybrid car at the Paris Motor Show, but this is no radical hypercar. Designed as a ‘technology demonstrator’ for now, the Asterion LPI 910-4 is reminiscent of the Estoque concept, which also debuted at Paris back in 2008… Source: Classic Driver Lamborghini is best known…Read More
Demographic Trends and Growth in Japan and the United States Thomas Klitgaard and Preston Mui Liberty Street, October 08, 2014 Japan’s population is shrinking and getting older, with the population falling at a 0.2 percent rate this year and the working-age population (ages 16 to 64) falling at a much faster rate of almost 1.5 percent. In contrast,…Read More
Category: Think Tank
My afternoon train reads: • Pimco shows that star investors are not really solo artists (FT.com) • Making a Move with Bond ETFs: What do you do when you want to sell one of your investments, but aren’t sure what to do next? (BlackRock) see also Bad Habits in Asset Allocation (Chief Investment Officer) • RailPen, BT…Read More
Category: Financial Press