Year: 2011

A Bear Market for Risk Assets and the Importance of Bonds

The last day of the Third Quarter and markets are ugly, there is no doubt about it. Bill sees a bear market for risk assets developing, shares some of the risks involved in exiting and re-entering markets like these, and why having bonds in your portfolio is important. To view this video on YouTube and

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Addressing The Markets Of Late…

I rarely do this, but this week in my blog, I’m sharing part of a recent communication that went out to clients about the recent market downturn.  It doesn’t reference any proprietary investments or trading instructions.  Rather, I’m sharing with you some of the fundamentals all investors can benefit from.  – BV Allow me to

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A Quick Market Update and Volatility vs. Volatility ETF’s

For the week of September 9, 2011, Bill provides a quick market update, looking at some improving technicals that might point the way to the future direction of the market. After that, Bill looks at the Volatility Index (VIX) and the long volatility ETF (VXX), and how “backwardation” and “contango” present inherent risks to their

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What Should I Do About My Gold?

  “What should I do with my gold?”  I’ve been asked that question a lot lately.  And for good reason.  Gold has been on a helluva run.  And in the last month, the chart’s gone hyperbolic. Turns out, quite a few people have a stash of gold somewhere, in one or more forms: bullion, coins,

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Is This a New Bear Market….Or Something Else?

With volatility up and investors looking for any kind of perspective, what should you make of the stock market of late?  Is this the start of the next Bear Market (and thus the end of the 2.5 year old Bull Market)?  Or is it something else.  If you look at the other Bear Markets of

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Stock Market Update – Shifting from BULLISH to NEUTRAL

The US stock market, as the preeminent global growth market and a proxy for all risk assets, has shown signs of the potential for a prolonged and material deterioration, owing to signs that US economic growth is faltering. On Project Syndicate, Kenneth Rogoff, Professor of Economics and Public Policy at Harvard University, observes that “the

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Debt Ceiling: Are Big Corporations and the Rich Paying Their Fair Share?

President Obama, speaking on the budgetary impasse, suggested that corporations and the rich pay their fair share.  This old saw of the class warfare guerrillas has a nice ring to it…but just how much is enough to rise to the level of “fairness”?  And are they paying a smaller share or a bigger share than

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The 3 Biggest Lies About the U.S. Dollar

  Fringe theories get more followers in the Information Age.  When a little economic knowledge combines with pessimism and conspiracy-theory, popular themes emerge.  One of them surrounds the U.S. dollar—and the views are just too far afield from reality today. Following are the three biggest, and oft cited, lies about the dollar. #1) THE DOLLAR

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Debt Ceiling 2011: President Obama and US Congress Should Avoid Creating An Economic Crisis

There has been much wringing of hands and gnashing of teeth around the debt ceiling and budget agreement in 2011.  Will President Obama and the US Congress raise the ceiling in time?  How important is it, anyway?  And what’s the right solution to avoid creating an economic crisis? Manu Raju of Politico says, “The Senate

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Everything You Need to Know About Inflation In Ten Charts

It seems everyone has an opinion on inflation these days.  Some say we currently have high inflation.  Others say we are actually in a state of deflation. Still more say we’re on the verge of Hyperinflation. So who’s right?  None of those folks. The fact is, and as these charts will show, we have a

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