Markets soar when the Fed hints at more money, and crash when it hints that it will sit still. When you operate with an elastic currency, and expand credit 50 times in 50 years, Bill Bonner warns, don't be surprised when the market inevitably falls over.
The Fed met today to discuss possible further reforms. But how will the new kinder, gentler and allegedly more transparent Fed communicate to the public this momentous decision?
The June Survey of Fund Managers has been released by Bank of America Merrill Lynch, and it shows some classic late-stage downtrend behavior, as well as a new emphasis toward strongly risk-averse behavior.
Goldman Sachs, Bank of America and Morgan Stanley among the Wall Street giants that have continued to buy up bonds in debt-laden Italy and France. Hopefully these risky moves pay off. Because Wall Street never makes bad decisions.
Activists can wield power by targeting corporate sponsors of groups they don't like. But one group warns that such boycotts harm commerce and discourage companies and workers from getting involved in politics.
The impressive luck of one hedge fund manager has The Reformed Broker reminding investors that the stated return should never be the focal point - it should always be a question of "how was this return produced."