As written several times, the $50 drop in crude has transferred about $1.5 trillion from oil consumers to oil producers. It is a defacto stimulus to Europe, Japan and US, a stimulus that is more powerful than any government program given the monies saved goes...
The Russell 2000 surged 1.8% yesterday on the strength of commodity companies, more specifically the energy issues that rose 6.1%. Unless one has been living in a cave, all commodity companies have been crushed, decimation that has not spared the debt. Bloomberg writes the Russell...
Will 2015’s be the carnage of Treasury and investment grade rated bonds, carnage similar to the one that is occurring today in the energy sector? Many, me included, have been decimated by the collapse of oil, a collapse that few had suggested even as recent...
In my view November’s unemployment report was strong in all dimensions, a strength few had expected. The large 321,000 gain in non-farm payrolls, together with the 44,000 upward revision to the two proceeding months increases the odds the FOMC will increase interest rates sooner than...
Perhaps the biggest surprise of 2014 is the collapse of oil prices. In June crude was around $110/barrel. At one juncture yesterday, prices were around $65/barrel following a 2 day 10% plunge, the result of the OPEC meeting where production was not cut....
Welcome to December. According to Bloomberg the S & P 500 has advanced each December for the past six years. Will 2014 make it seven?...
The unexpected strength of third quarter GDP growth, which was revised up to 3.9% annualized rate from 3.5%, is further evidence the economy is on the verge of finally reaching escape momentum. Consensus had expected a nominal downward revision to 3.3%. The past six months...
Today third quarter GDP is revised. Consensus is now expecting third quarter growth to be 3.3% versus the previously reported 3.5% rate. Is this of any significance?...
As noted several times the entire industrialized world is or has experimented with QE. China, which is the second largest global economy, lowered interest rates for the first time since 2012 on Friday....
Stocks rose following an increase in German investor confidence as that country averted a recession as its economy unexpectedly grew during the third quarter. Equities were also positively influenced by the suspension of the increase in the Japanese sales tax, the cause for that country’s...