Last week the Dow came close to hitting a new high threshold. What happens next depends on a host of factors. In this January 9, 2017 Market Week Recap that closed as of Friday, January 6, we look at what shaped the week and what to expect in the near term. The Market Week Recap (as of market close January 6, 2017) The markets regained their swag as each of the indexes listed here posted ... Read More
Fed
Cash Flow the Source of Many Debt and Financial Crises
Shakespeare was right. In Hamlet, one character, Polonius, counsels his son "neither a lender or borrower be." While not entirely realistic, then or now, it does have a grain of truth in it. Too much debt limits one's flexibility and options. If you borrow too much, you are forced to service that debt with resources that can't be used for other things. If you lend too much, you are at risk of ... Read More
How to Ride a Bond Bubble and Survive a Secular Bear Market
After the Dow Industrials reached their peak on October 9, 2007, there was a long, painful decline to the trough reached on March 9, 2009. During that time the DJIA lost 54% but was followed by a rally of 70%. Even with this spectacular run up through 2009, the index never reached it peak. While closer now after a good 2010 it, the peak is still a long climb up the mountain. In fact, to break ... Read More
Inflation and the Rising Tide: Protecting Your Assets
For individuals in retirement living on a fixed income, it can devastate one’s savings and lifestyle. As a bond or CD-holder, the purchasing power of regular interest income gets hit. As a stock investor, stock prices can suffer as profit margins and earnings of your equity holdings are hurt by the higher costs for inputs like energy, precious metals and labor. Right now, Wall Street is in a ... Read More