Filed under: Bad News
The market is wildly overvalued given the trajectory of the economy and is being driven by traders.
The trade of the day continues to be dollar/commodities/China, but more and more,...
Reason #5 to Short the U.S.: The Market Is Overvalued
Reason #4 to Short the U.S.: The Banks
Filed under: Bad News, Goldman Sachs Group (GS), Morgan Stanley (MS)
Banks are the kink between the financial markets and the Main Street economy. They are also the lubricant -- when they are...
Reason #3 to Short the U.S.: The ‘New Frugal’
Filed under: Bad News
With reduced national income due to unemployment, reduced spending power due to tightened credit, reduced wealth due to falling home and stock market values and reduced confidence due to all of the above,...
The optimism on Wall Street about housing is surreal given all the public data on housing values, mortgage defaults, foreclosures and new home starts.Reason #1 to Short the U.S.: Public Debt
Filed under: Bad News, ETF Investing
Large and rapidly growing deficits and public debt at the federal and state level will eventually lead to a rise in interest rates and to the crowding out of...
Five Reasons to Short the U.S.
Filed under: Bad News, Goldman Sachs Group (GS), Morgan Stanley (MS), ETF Investing, Housing
I love my country: the chaos, the hurly-burly of democracy, the hard work of quiet people and the...
Lie #11: The Palm Pre Is the Ultimate iPhone Killer
Filed under: Palm Inc (PALM), Smartphones
This little gem was perpetuated by tech guru and investor Roger McNamee. Of course, he is a member of the Palm (PALM) board of directors, and...
Lie #10: China Experienced Double-Digit Growth in 2009
Filed under: China
If you think China saw double-digit growth this year, you may also believe swine flu is spread via flying pigs.
The London-based Lombard Group, using energy data from the International Energy Agency -- which...
Lie #9: The U.S. Dollar Is Dead
Filed under: Financial Crisis
Monetary neurotics, led by the polite, appealing and economically brain-damaged Ron Paul, believe the U.S. dollar is dead because of our growing debt and the Fed running the printing presses, which must lead to...
Lie #8: The Fed Only Buys AAA-Rated Bonds and Securities
Filed under: Harley-Davidson (HOG), Federal Reserve
This is a cornerstone of the Fed, a true shibboleth (Google that one). But one of the first set of bonds the Fed bought under the TALF...
Lie #7: Consumer Spending Is Returning to Normal
Filed under: Consumer experience, Black Friday
With 70% of the GDP driven by consumer spending, Wall Street wants to believe this lie so badly that it has convinced itself it's true. Even worse-than-expected Black Friday...
The headline consensus on Wall Street is that the banks are stable and no markets are melting down. In short, things are returning to normal.