March 1st Update: Headwinds from trade wars are on the way. This, as indicated in the February Stock State, is our biggest stock market worry. Why are tariffs on steal and aluminum such a problem? Trade theory, not stock market talking heads, is the answer. Tariffs on specific commodities imposed by a large nation such… Continue reading March 2018 Stock State
Tag: Economy and Markets
February 2018 Stock State
February 12 update: The correction or pull-back of about 10% is running its course. Much of the attention focused on headwinds created by higher interest rates (as the 10 year government bond heads for 2.9% is an overstated concern. Imagine you are flying a small airplane into a headwind. The FED has helped you (the… Continue reading February 2018 Stock State
February Stock and Fund Picks
Week 1 (Feb. 1 – 9): I am always amused when I hear a stock described as “poised for explosive growth.” It’s a catchy line but the same holds for any stock in the market. Odds are, you will be right some of the time. The only thing I will say about my stock picks… Continue reading February Stock and Fund Picks
Activist Monetary Policy Conundrum
Recently, many economic and FED commentators point out that if we have a recession we will need a tighter FED balance sheet and higher interest rates in order to fight the recession using stimulative monetary policy. At the same time, others have pointed out that if interest rates get to high it will cause a… Continue reading Activist Monetary Policy Conundrum
January 2018 Stock State
The economy continues to do well, but not too well. That is, it is chugging along rather steadily but not so fast as to suggest closing in on the next recession any time soon. The stock market is not always in lock step with the economy because it rests on not only fundamentals, but such… Continue reading January 2018 Stock State
January 2018 Weekly Stock Picks
Week 1 (Jan 2 – 5): The conservative strategy is to not chase stocks when they are up, but buy on the dips instead. Maybe wait for a 1% – 2% pull back in the market or a given stock or fund. For growth, take a look at OLLI, MULE, EDIT, GBT, HUN, AME, NUAN,… Continue reading January 2018 Weekly Stock Picks
December 2017 Stock State
December 1, 2017 update: Do not follow the herd, especially if it appears panicky. You’ll just run off the cliff with everybody else. If spent all your cash because you thought this correction would be like previous ones that were short in duration, just act like Warren Buffett and be patient. All good things come… Continue reading December 2017 Stock State
November 2017 Stock State
November 15 update: We keep doing what works until it doesn’t. Be careful about buying on small dips while assuming that tomorrow the market will upon on the upside. This may quit working with tomorrow becoming another down day. This is characteristic of a stock market that rolls-over into a larger correction . . .… Continue reading November 2017 Stock State
Weekly Stock Picks for November 2017
Week 1 (Nov. 1 – 10): Goldilocks global economy and the three bears are no where in site. Consider SQ, INTC, MMM, GRUB, MB, SAFM, ASIX, LAZ, and CRL for growth. Some of these like MMM, and LAZ also pay dividends that offer more growth. Keep cash on hand for any corrections, or for buying… Continue reading Weekly Stock Picks for November 2017
Some Thoughts on Modern Day Democracy
I’ll start with the premise that most people, including those with resources in the markets, do not want or need overregulation. Social progressivity is therefore are desirable agenda. So too is classical liberalism in which there are free markets and limited government. With regard to economics, the limited government only addresses resource misallocation caused by… Continue reading Some Thoughts on Modern Day Democracy