With no strong trend out of today's market, stocks hang on tomorrow's news flow
Bounce or rally? We still don’t know. The U.S. stock markets started with a strong bounce this morning. The Standard & Poor’s 500 index moved up 1.1% off the starting line. Key was “news” from Europe that suggested Ireland might be closer to a rescue deal. That...In China's dip it's domestic consumer stocks 1 and overseas export stocks 0
If you only look at U.S. stocks, the equities markets looked calm yesterday, November 17. The Standard & Poor’s 500, for example, was up 0.02%. The Dow Jones Industrial Average was down 0.1%. Quite a contrast to the day before, November 16. But not if you look at...So exactly how serious is Beijing about slowing China's economy?
Have China’s biggest banks been banned from making further loans to property developers this year or not? The answer isn’t just of interest to real estate developers and investors who hold their shares. Lending policy in this sector is a good indicator of how serious...Core consumer price inflation is still on track for 0%
Inflation at the consumer level was nowhere to be seen in October. The CPI, Consumer Price Index, edged upward by 0.2% for October. In September the CPI climbed 0.1%. Economists had been projecting a 0.3% increase for October. Core inflation, that’s inflation...Think what you're missing by not subscribing to Jubak Asset Management
Today, for example, subscribers to my Jubak Asset Management site, got an exclusive video of my talking head, with baseball cap, of course, explaining the cause of the day’s plunge in China’s stock market and in the euro and projecting how long each decline might...China gets the worries big time over inflation fixes
The news is that China’s government is drafting policies to fight inflation. Chinese Premier Wen Jiabao said so on November 15 from a supermarket in Guangzhou. The comments were broadcast on state TV so they count as solid news. The rumor is that China’s central bank...Go domestic with your international stocks
At the end of October China’s Communist Party formally endorsed the country’s new12th five-year economic plan. For 2011-2015 the plan envisions changing China from the world’s factory to the world’s market. During this period, China’s leaders intend to change the...The Euro Zone gets desperate to push Ireland into a bailout deal
Take this bailout money, please. The European Union is so anxious for Ireland to take a bailout package that it’s offered to sweeten the deal. The Irish government so far has said it doesn’t need a bailout yet since the government debt is funded through mid 2011. And...Stocks take a lickin' and keep on tickin'
Cue the plague of locusts and the rain of frogs. The market has had just about everything else thrown at it today. And at the close the Standard & Poor’s 500 has held at its 20-day moving average of 1195 or so. Want a list of what hit the fan today? The leaders of...If we may be headed to a bubble and bust, what should we do about it?
Double double toil and trouble. The world’s financial market are only facing two witches stirring the pot, but between them they’re quite capable of adding a third bubble and bust in 2011 to the run that began in 2000 and continued with 2007. I’d be a lot less worried...Inflation continues to accelerate in China, hits 4.4% in October
Those economists and traders who thought that the November 10 increase in the reserve requirement for China’s banks was a sign that inflation in October had soared have turned out to be absolutely correct. But too conservative. After the People’s Bank of China raised...Coming your way tomorrow–a new, improved JubakPicks.com (Still free, by the way)
Announcing a new and improved JubakPicks.com starting tomorrow morning, November 11. It’s been busy what with launching a subscription site (Jubakam.com) and a mutual fund. And, of course, there’s that stock-picking thing. But I just want you to know that we haven’t...Now you can invest in my mutual fund through E*Trade too
Another week, another way to invest in Jubak Global Equity Fund (JUBAX) directly through a brokerage account. This week the wait is over for those of you who have asked “When can I invest in the Jubak Global Equity Fund through E*Trade?” The answer is now. Today. When...Whoops! Is the Fed about to do it again? Create another asset bubble, I mean
2000. 2007. 2011. Is the Federal Reserve about to do it again? Is the Fed about to preside over the creation of another financial bubble? Asset prices in the world’s emerging economies are climbing on the crest of a flood of dollars from the Federal Reserve. Central...Expectations for higher gold prices are getting baked into India's huge jewelry market
A minor sign that inflation expectations are starting to become embedded in economies and markets. Minor but important. Especially for investors in gold. Typically, when gold prices rise, the demand for physical gold from the jewelry market falls. Buyers of gold for...Think the U.S. elections lowered the odds of a national energy policy? IEA report puts some oil barrels a day numbers in a scenario
The soon to be concluded U.S. mid-term Congressional elections—it could take weeks to certify the results for the Senate seat in Alaska—has certainly lowered the odds for any significant national energy policy passing the House of Representatives. According to...U.S. adds jobs in October but not enough to lower unemployment
Quantitative easing is working. Not only is it driving down interest rates, creating stock market rallies around the world and making whites whiter, but the $600 billion Treasury-buying spree announced by the Federal Reserve on November 3 produced greater than...So who won the elections?–which stocks? I mean
The U.S Chamber of Commerce had spent $35 million on the mid-term elections as of November 2, according to the Center for Responsive Politics. American Crossroads, another independent organization, spent $22 million. The Club for Growth $8 million. The National...Financials come alive–raising the odds for a fourth quarter rally
I’ve posted repeatedly in the last few weeks that it would be hard for this rally to extend a lot further unless we got leadership from financial stocks. Financials jumped yesterday, November 4—and that may mark the leadership I’ve been looking for. The Financial...Everybody loves Ben's $600 billion–at least in the short term
The reviews are in: Global financial markets love the Federal Reserve’s $600 billion program to buy U.S. Treasuries. And why not? In the short term, the logic goes, the Fed has pledged to support global asset prices with $600 billion in U.S. dollars. So overnight in...Cash flows reverse and money finally starts to go back into stock mutual funds
Does this make you nervous or confident? Individual investors have finally decided to stop withdrawing money from equity mutual funds in order to buy bond mutual funds. Since the start of September $13.3 billion has flowed into U.S stock funds and $1.2 billion back...Are global markets happy with the Fed's move? We won't know until tomorrow
$600 billion by June. Add in the re-investment of interest and you get about $110 billion a month. The Federal Reserve’s announcement on quantitative easing came in at about the Wall Street consensus of $100 billion a month in Fed buying And as you’d expect from an...Will Wall Street be happy with $500 billion from the Fed?
The morning before the Federal Reserve announces its decision on quantitative easing, Wall Street has reached a consensus on how much the Fed will say it will spend on buying Treasuries to drive down medium term interest rates and stimulate the housing market and the...Welcome to central bank week–where the monetary policy fun never stops
Wednesday’s announcement from the U.S. Federal Reserve—how much quantitative easing and when—kicks off what I‘d call central bank week. The most important central banks–among the developed economies anyway–are set to announce interest rate and monetary...Is a real estate tax finally on the way in China? It would sure shake up the stock market there
China is edging toward a national property tax system. The Ministry of Finance expects to get approval for a pilot program in December to roll out in 2011 in cities such as Shanghai and Chongqing, according to Caixin Online. There won’t be any decision until after the...I'm dreaming of a green Christmas–for these five retail stocks
Should you be getting your portfolio ready for Christmas? If you’re like a lot of us, you’ve noticed that the stocks to own in this rally were things: commodity producers and the companies that made machinery for commodity producers. Brazilian iron ore miner Vale...Watch for a chance to add Banco Bradesco (BBD) on a dip
Sell on the news isn’t limited to the U.S. markets. The preferred shares of Banco Bradesco (BBD), the second largest bank in Brazil by market cap, dropped 4% on October 27 in Brazil and the ADR fell 5.3% in New York after the company reported a 40% increase in...Even before the Fed acts, the long bond is signalling rising inflation worries
Something odd is happening in the bond market on the way to the Federal Reserve’s second program of quantitative easing: Interest rates at the long end of the Treasury market have started to rise. From one perspective this is counter-intuitive. The Fed is about to...Foreclosures slow to a crawl as banks are forced to refile faulty paperwork
So how much of a delay in foreclosures is the robo-signing fracas causing? Freddie Mac, the now essentially taxpayer owned company that with Fannie Mae, finances or guarantees about half of all U.S. mortgages, told the Financial Times on October 25 that its now taking...Jim’s Daily Email Alerts:
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