This is Going to End Badly for Many

Just like Bitcoin and other crypto currencies are clearly a bubble manifestation of the millennial generation, the ETFs and index funds so popular with baby boomers are a manifestation of  their own bubble.  We have been tracking insider buying and selling since 2001 as closely as anyone in the country.  When we started our strategy for the Insider Fund, we suspected that focusing on companies that significant t insiders (C- level officers and directors) buying would help us avoid financial disaster we could not recover from.  This has proven to largely true.  It is the bedrock of our philosophy.  In … Read more

Analysis: Obama presidency great for stocks. Will it help him? – Yahoo! Finance

Reuters – Barack Obama often gets slammed for his stewardship of the U.S. economy, but for stock investors, hes been one of the best presidents since World War Two.At 1,400, the S&P 500 on Friday was closing in on a four-year high and was up 74 percent since January 20, 2009, the day Obama took office. Not since Dwight Eisenhowers first term has a president had such a strong run for their first term.That rally might be just enough to get Obama re-elected, making him the first sitting president in the post-war era to win a second term with a … Read more

Stock Market’s Sharp Swings Grow More Frequent – NYTimes.com

Market Swings Are Becoming New Standard By LOUISE STORY and GRAHAM BOWLEY Published: September 11, 2011 The stock market just can’t seem to make up its mind. Enlarge This Image Paul Taggart/Bloomberg News A trader at the New York Stock Exchange last week, where significant swings were seen almost every day. Multimedia Graphic Era of Higher Stock Volatility Related Investors Brace as Europe Crisis Flares Up Again (September 12, 2011) Renewed Worries About Europe Shake Asian Markets (September 13, 2011) Add to Portfolio Barclays PLC Go to your Portfolio » Day after day, stocks swing sharply by hundreds of points. … Read more

FRBSF Economic Letter: Boomer Retirement: Headwinds for U.S. Equity Markets? (2011-26, 8/22/2011)

Boomer Retirement: Headwinds for U.S. Equity Markets? By Zheng Liu and Mark M. Spiegel Historical data indicate a strong relationship between the age distribution of the U.S. population and stock market performance. A key demographic trend is the aging of the baby boom generation. As they reach retirement age, they are likely to shift from buying stocks to selling their equity holdings to finance retirement. Statistical models suggest that this shift could be a factor holding down equity valuations over the next two decades. via FRBSF Economic Letter: Boomer Retirement: Headwinds for U.S. Equity Markets? (2011-26, 8/22/2011).

US stocks rise after unemployment report

NEW YORK (AP) — Stocks are rising after news that fewer people joined the unemployment line last week and word that a technology bellwether’s profit beat expectations. The Dow Jones industrial average is up 256 points, or 2.4 percent, at 10,972 at 11:45 a.m. in New York. The S&P 500 is up 30, or 2.8 percent, at 1,151. The Nasdaq is up 73, or 3.1 percent, at 2,454. For the first time in four months, the number of people filing for unemployment benefits for the first time fell below 400,000 last week. Analysts say it may be a sign that … Read more

Obama Under Pressure

Stock market turbulence demands serious action on US deficit The Global market turbulence may force Washington’s politicians back into session to find real solutions to the Nation’s skyrocketing debt and deficit, according to an economics expert. C. Fred Bergsten, director of the Peterson Institute for International Economics, said the debt-ceiling legislation Congress passed last month was just a set of procedures aimed at reducing the deficit over time but did not actually take effect by itself. “That is not good enough,” Mr. Bergsten in an interview Tuesday. “The markets are responding in part to the failure of the legislation to … Read more