Tag Archives: US economy

Monday Morning Links: Why Are Stock Futures Down Over 300 Points*? (January 4, 2016)

As we head into 2016 the economic news out of China leaves something to be desired! And if China sneezes, does the rest of the world catch a cold? ‘Asian markets tumbled Monday on the first day of trading in 2016, with declines so steep in mainland China that authorities halted trading there for the […]

If Money-Printing Equals Inflation, Why Don’t We Have Any?

inflation,federal reserve balance sheet

Summary: Real estate and stocks have been doing very well but… Economics 101 says we should have inflation after the amount of money the Federal Reserve has put into the system! But we don’t and this article explains why… The global central banks have injected many trillions of dollars into their given economies looking for […]

Federal Reserve Gradualism: A Dangerous Game?

In a move many market participants felt was long overdue, at its most recent meeting the Fed raised the fed funds rate .25%! And, after parsing the language in Janet Yellen’s statement, the belief is that 2016 may see two or three more hikes of .25% each leaving the fed funds rate in the .75%-1% range at the end of […]

Crude Oil At 11-Year Low While The S&P 500 Is, Well…Not Even Close!

stock market,real estate,crude oil,recession

This morning Brent crude hit its lowest level since 2004 while West Texas Intermediate hasn’t had spot prices this cheap since about 2003 (see chart above)!  Market experts are in general citing surging levels of crude supply with no appreciable decline in that supply anywhere on the horizon as the major reason for the price drop. A popular […]

US Economic Calendar: Christmas Week 2015

These are the U.S. economic releases expected during this Christmas-shortened week! Key among them are 3rd Quarter GDP on Tuesday, Existing Homes Sales on Tuesday, November Durable Goods Orders on Wednesday and New Home Sales also on Wednesday. Data Courtesy of Investing.com Time Cur. Imp. Event Actual Forecast Previous Time Cur. Imp. Event Actual Forecast Previous Monday, December 21, 2015 04:30  USD Investing.com […]

Is The Declining Price Of Crude Oil Actually Responsible For The Declining Stock Market?

CRB Index chart

The pundits on TV have all glommed onto the common argument that declining crude oil prices are responsible for declining stock prices! I, however, am of the opinion that declining crude coupled with the overall decline in the CRB, are merely symptomatic of a greater potential problem. That is the real possibility for the US economy […]

Fed Decision: It’s The Final Countdown (Video)

Fed December rate decision,interest rates,Janet Yellen,FOMC

Summary: Fed rate hikes, like eating Lay’s potato chips, are rarely done just once. Will the Fed raise rates tomorrow as expected and then what will be its plan going forward? ‘Fed Decision: It’s The Final Countdown (Video)‘ Today the Fed begins to deliberate about what will likely be the first interest rate hike in nine […]

Study: The American Middle Class Is Shrinking!

lifestyle,middle class,politics

In 1971 61% of Americans were living in middle class households while only 4% were in the category termed the wealthiest! In a significant shit, today middle class households in the United States account for  50% of the total while the wealthiest households have grown from 4% to 9%. At the same time those households in the income category labeled […]

Is Distressed Debt A Harbinger Of A Declining US Economy?

distressed debt,bonds,high yield

Summary: At levels not seen since the financial crisis, is the distressed debt ratio sending a clear signal about the health of the US economy? Will the Fed or won’t the Fed and, in fact, at the end of the day does it even matter when considering the health of lower rated companies? High Yield Bonds: ‘A […]

Will The Fed or Won’t The Fed? Five Reasons It Likely Won’t!

Come the December Fed meeting and after the strong jobs report that was recently released, does the Fed have any choice but to raise rates? The betting in the futures market leans to the side of a Fed tightening, or raising, of rates. But some of the actual economic evidence may seem to indicate that […]