Investing and Analysis

The Techno-Utopia of Bitcoin has failed for Now

It seems like a mere year ago around this time we were lauding the advent of the soon to be Bitcoin revolution, challenging all the financial precepts and eventually rising to the biblical status of the “One-World Currency.” In many ways the rise of Bitcoin invokes a spiritual experience for its believers that is deeper than the potential economic wealth ...

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Huge Shift to Bonds Could Be a Good Sign for Stocks

Bank of America Merrill Lynch released its monthly Global Fund Manager survey on Tuesday and the results showed a huge shift in asset allocations. The allocation to bonds jumped by 23 percentage points and that is the biggest one-month rotation ever. The survey also showed that the equity allocations dropped by 15 percentage points. Given the way equity markets have ...

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Natural Gas Markets not for the Faint of Heart

A turbulent market known for its volatility has erupted again this week. The U.S. futures on natural gas measured in price per British thermal units operates on the Nymex commodities exchange, part of the CME Group. The operator of large derivative and futures exchanges took “emergency action” to maintain orderly trading in natural gas contracts as wild price swings gave ...

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General Electric’s Woes Ripple through Corporate Bond Market

New CEO of GE Larry Cup

A feeling of angst is in the air in the credit markets on Wall Street. The venerable blue chip General Electric Co. will sell assets with “urgency” to reduce its high debt, Chief Executive Officer Larry Culp (just appointed 1 October) said on Monday, as GE shares tumbled as much as 10 percent and the cost of insuring its debt ...

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Current Sector Statuses and What They Can Tell Us

With the sharp selling we saw on Monday and Tuesday, some analysts and institutions were declaring that we are in a bear market while others were still saying that we are in a correction. Personally, I don’t really care to waste time on such a distinction. I would rather try to figure out where we are going next and how ...

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I Wouldn’t Look for Oil to Move Too Much Lower

One of the big stories in the investment world over the last week or so has been the sharp decline in oil prices. The commodity has seen prices fall for 12 straight days and that is longest losing streak ever. There is also a weekly losing streak of six straight weeks, but that isn’t a record. While the financial news ...

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