Stocks broke down in a big way last week as the situation in Europe has become truly dire. I’ll be addressing that situation in greater detail tomorrow, but for now,…
Graham’s note: The following is an excerpt from my most recent Private Wealth Advisory newsletter. In it I explain how the Fed’s moves have changed investor appetite for various asset…
Without trust, the financial system cannot work. The regulators and Federal Reserve have done nothing to assuage these concerns. Instead they’ve shifted all trust onto their own shoulders: the defining…
There are two primary stories for the markets today. They are: 1) The political/ financial reality facing Europe 2) The US stock market rally Regarding #1, it is clear as…
During Round 1 of the Crisis, the US tried to combat the collapse of the private banking sector (especially the TBTFs) by shifting debt onto the public’s balance sheet and…
I’ve been warning for days that stocks are the last to “get it” and that this latest rally should not be trusted. Well, by the look of things, stocks are…
Few if any commentators understand what is happening in the US today. The reason for this is that the vast majority of investment professionals believe that what they’ve experienced in…
Stocks continue to remain in la-la land. I really cannot find another way to put it. Europe has now gone from a relatively small problem (Greece) to a HUGE problem…
Thus far, my analysis of Europe has focused on the super-leveraged banking system (26 to 1). At these levels, even a 4% drop in asset prices wipes out equity. That…
One of the items few investors seem to be focusing on is the fact that while the system is awash with liquidity, there is very little capital available. Indeed, the…
As I have stated time and again, stocks are last to “get it.” Well, they sure got it in the last 24 hours as it became clear that the leveraged…
So the financial world has collectively woken up and realized that the latest EU bailout scheme is fraught with problems and loose ends. Amongst the various problems are: 1) The…
So now that one day has passed and we’ve seen a ridiculous 3% move in stocks based on a “bailout” that is nothing short of moronic (Greece is still insolvent…
The markets are exploding higher this morning on news of the expanded Euro Bailout. The numbers at the moment are A 50% haircut for private Greek bondholders European banks have…
So… by now everyone realizes that the Euro is in major trouble and will no longer exist in its current form for much longer. However, the common view is that…
While the world is awash in liquidity, no one seems to notice that it’s actually in the form of leverage or cheap debt, NOT real capital or equity. The US…
Last week’s moves were entirely based on the fact that stocks are now tracking the Euro almost tick for tick. And last week, the Euro hit “take off,” despite the…
“Is this even food? How can food taste so good?” My wife and I are sitting at Table #1 of Citronelle, the flagship restaurant of Master Chef and award-winning culinary…
It’s time to settle the debate regarding Europe’s banking system. I know that the mainstream media keeps talking about another round of bailouts or an expansion to the Emergency Financial…
Let’s take an honest look at Europe. Merkel and Sarkozy claim they’ve got everything under control. They’re lying. Anyone who uses common sense can tell this. The reason… They’ve never…
