Uncategorized | timiacono.com - Part 30

Friday Morning Links

MUST READS
Putin rebuffs Obama, crisis escalates – Reuters
Chaori Solar in landmark Chinese bond default – BBC
China Chaori Solar Default: A Risky Experiment – WSJ
Satoshi Nakamoto: The Face Behind Bitcoin – Newsweek
Did Newsweek validate Bitcoin conspiracy theory? – Fortune
The Fed and Financial Stability: Three Questions – Brookings
Euro Rises to 2-Year High on ECB Bets; Dollar Drops Before Jobs – Bloomberg
Moody’s Downgrades Chicago, Lowest Of Any Major City Except Detroit – CBS
Record 71% Of Household Net Worth Is In Financial Assets – Zero Hedge
Did Flow of Funds Report Predict the Fed’s Next Confession? – Cyniconomics
Five years of daylight robbery – Real Asset Co.
HELOCs made a comeback in 2013 – MarketWatch

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MARKETS/INVESTING
Stocks: Not budging ahead of jobs report – CNN/Money
The market is up 170% since 2009, but are you? – MarketWatch
New CFTC Chair Supports Commodity Speculation Limits – Bloomberg
Valuation Multiples At Bull-Market Highs (excerpt) – Dr. Ed’s Blog
S&P 500 ends at record on jobless data; payrolls eyed – moneycontrol
Treasuries Set for Steepest Weekly Decline of 2014 Before Jobs – Bloomberg
Gold marks time ahead of U.S. data, set for 5th week of gains – Reuters
Gold: Why the Fast Money Flinches at the Remarkable 2014 Rise – Barron’s
India talk lifts gold price above $1,350 – Mining.com
China’s Road To Secret Gold Accumulation – In Gold We Trust
Gold: In a fix, Mr Bond – Economist

ECONOMY/WORLD/HOUSING/BANKING
What to look for in February jobs report – MarketWatch
Unemployment, Wages, Inflation, and Fed Policy – Fed Watch
Puny Income Growth Holding Back The Recovery – Comstock Funds
Wanted: German Inflation – Gloomy European Economist
Italy and France on EU’s economic ‘watch list’ – euobserver
ECB rate change unwarranted, says Draghi – Irish Times
According to Draghi, the euro is an ‘island of stability’ – Telegraph
CoreLogic: 4 Million Properties Returned to Positive Equity in 2013 – CR
Fed officials see high hurdle for changing course on QE taper – Reuters
15 Vermont Towns Vote to Start a Public Bank – Contributor
Banks may be lending too much – Fortune

 

Thursday Morning Links

MUST READS
Staples to shutter 225 stores as sales move online – AP
How to Avoid Another Global Financial Crisis – Greenspan, American
As E.U. Meets, Crimea Moves to Hold Vote on Joining Russia – NY Times
Europe’s Russia Gas Flows Jump to Month High as Buyers Hoard – Bloomberg
Fed chair vows to ‘do all that I can’ to boost weak U.S. economy – Reuters
Fisher: Fed bond buying could be distorting financial markets – Reuters
BOE Heard Traders’ Currency-Rigging Concerns Years Ago – Bloomberg
Father of bitcoin living reclusive life in California: Newsweek – CNBC
Winklevii Spend Their Bitcoin Fortune on Space Travel – Businessweek
Minimum Wage Boost Would Cut Food Stamp Tab by $4.6 Billion – WSJ
Military Gateway to the Middle Class is Vanishing – Fiscal Times
How to tell your kid you can’t afford her dream college – CNN/Money
SF heist at turn of century may explain buried gold – SF Gate
Another Go – auconrarian

MARKETS/INVESTING
Stock Futures Gain Before Jobless Claims – Bloomberg
The Relentless (for now) Bid – Above the Market
Is the bond market rigged? – Fortune
What this bull market needs to live a 6th year – MarketWatch
Treasuries Remain Cheap Relative to G-7 Peers – Bloomberg
Gold edges lower, focus shifts from Ukraine to U.S. – Reuters
London Gold Broker: Price Swings No Sign of Manipulation – Bloomberg
Gold is Heading Back to a Bull Cycle, Nomura Says – Barron’s
Five banks sued for manipulating gold price – Channel News Asia
Gold Almost Back In Long Term Trendline – GoldSilverWorlds

ECONOMY/WORLD/HOUSING/BANKING
Lowflation and the Two Zeroes – Krugman, NY Times
Silicon Valley boom eludes many, drives income gap – AP
Service sector growth tumbled to four-year low last month – LA Times
In 10 Years, Hangzhou Will Have More Millionaires Than L.A. – WSJ
U.K. Budget 2014: Enough already, Help to Buy must go – Telegraph
Zimbabwe says its only reserves are $500,000 in gold coins – Reuters
UK house prices see fastest growth in five years in Feb – Halifax – Reuters
Why higher truck sales are good for the housing market – Washington Post
Michael Milken: How Housing Policy Hurts the Middle Class – WSJ
Beige Book: Economic activity increased at “modest to moderate” pace – CR
Bernanke has the most profitable week of his life – CNN/Money
Monetary policy: Five years on – Economist
ECB, BoE leave rates unchanged – CNBC

 

Wednesday Morning Links

MUST READS
EU offers €11 billion in aid to Ukraine – CNN/Money
Crimea Crisis Haunted by Ghosts of Bungled WW I Diplomacy – Bloomberg
The four charts Putin should consider as he plots his next move – Quartz
So Russia is going to abandon the dollar as a reserve currency? – Telegraph
London gold-fix banks accused of manipulation in U.S. lawsuit – Reuters
Obama’s budget: Help for workers, taxes for the rich – CNN/Money
Obama budget sets up election-year clash with Republicans – Reuters
In First Post-Fed Public Appearance, Bernanke Defends Crisis Record – WSJ
Bernanke Harbors Regret on Main Street’s View of Bailout – Bloomberg
Bernanke Reveals, In One Word, Why The Financial System Crashed – Zero Hedge
28 Year Old CEO Of Bitcoin Exchange Dead After Possible Suicide – Newswatch
Why it’s easier to rob bitcoins than banks – Bloomberg
Clap Along if You Feel Happiness is the Truth – E-piphany

MARKETS/INVESTING
After two volatile days, markets settle down – AP
The Relentless Bid, Explained – Reformed Broker
Stock markets bust past big round numbers – USA Today
A Semi-Defense of the Efficient-Market Hypothesis – Bloomberg
Why you’re stuck with single-digit stock returns for years – MarketWatch
Treasuries Drop a Second Day Before ADP Report – Bloomberg
Gold treads water as flight to safety demand eases – Reuters
Deutsche Bank Hires Consultancy to Review Gold Fix Role – Nasdaq
Gold Model Calculates Gold Price Of $2400-$2900 In 2017 – GoldSilverWorlds
Gold price may rise to $1,400/oz near term, says SocGen – MoneyControl
China’s Physical Gold Demand Surges – Investing.com

ECONOMY/WORLD/HOUSING/BANKING
Jobs report: Expect more winter blues – CNN/Money
UK companies hire staff at record rates – Telegraph
China promises steady 7.5% growth, cleaner air – CNA
About That Endless Smartphone Market in China… – WSJ
China gears up to trade more of the world’s commodities – Quartz
ECB May Repeat Japan Mistake That Triggered Lost Decade – Bloomberg
Wealthy mainlanders threaten to sue after Canada scraps visa scheme – SCMP
More Canadians willing to enter bidding war to buy a home – Globe & Mail
Troubling Trends in the Housing Market – Black Knight – MND
Wall St. Has Found Its Latest Dangerous Financial Product – HuffPost
Risk Aversion, Global Asset Prices, and Fed Tightening Signals – NY Fed
Why Fed Inflation-Phobia Mattered – Uneasy Mone

 

Dow 6,000 by 2016?

In this interview with CNBC (that comes off sounding a lot like someone telling the Pope there is no God), author Harry Dent cites demographic trends in his rather alarming forecast that the years ahead will prove to be “the most dangerous period in peoples’ lives to invest”.

Come to think of it, years ago, there was lots of talk about how the baby boomers would, someday, start retiring and sell a lot of their stocks in favor of the income and relative stability afforded by bonds. With the boomers now starting to exit the workforce en masse, you don’t hear much about that any more.

Anyone who, today, says “Dow 6,000″, is going to attract a lot of attention and, of course, that’s exactly what both CNBC and Harry Dent are counting on in stories like this. Nonetheless, it’s kind of fun to see CNBC hosts on their back feet a little bit when confronted with the possibility of a third major asset bubble popping within 15 years.

I guess the only good news here for stock investors is that, according to Dent, the 17,000 level is likely to be seen first, before returning to much lower levels.

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