Tag Archives: Treasury

Debate of QE Termination a Head Fake Expect Market Rallies Upon Completion of QE2

“The USSR had two newspapers, Pravda and Izvestia.  In the Russian language, “pravda” means truth and “izvestia” means news.  The saying amongst the Russian people put the situation in a nutshell:  “There’s no Pravda in Izvestia and there’s no Izvestia in Pravda”.” – The Privateer ‘You heard it here first’ and ‘Mark my words’ are the hackneyed phrases that come to […]

Stalking The Bear – Part 2: A History Lesson: When Equity Prices Ignore Treasury Weakness Trouble Brews

Before I begin, I’d like to make clear the purpose of this post. I am not attempting to call the top of the equity market nor am I suggesting a portfolio should be aggressively short at this time.  Take a good look at the mission statement above. These posts are designed to make you think, stay aware and avoid the […]

Rosenberg: Anniversary of 666 & Government Sponsored Volatility

March 10th, 2010 Two remarkably well thought-out pieces by David Rosenberg, brought to us by Zero Hedge, demand our immediate attention.  Yesterday, Rosenberg used the anniversary of the S&P 500 low of 666 to draw some meaningful comparisons. Today, his discussion on Government sponsored volatility is spot on and needs to be absorbed if a successful investment strategy is to […]

Lending Falls, Bad Loans Haunt Big Banks, Mass Layoffs Surge, Greece vs California

The equity markets dropped on average 1.5% Monday and this morning another 1.5% decline is underway.  I mentioned, in A Review of the RCM Investment Strategy, the defensive posture we at RCM have taken. I said, “We have deployed our assets in a manner we feel most appropriate for the environment we are experiencing.” The following news items should help illustrate what […]

Fed Discount Rate Increase Exposed, Gold’s Anomalous Strength

A maelstrom of misinterpretation dominates the financial media outlets today in regards to last night’s Fed action. Click here for my audio post on the recent decision by the Fed to increase the discount rate. After listening to the above post, Gary Rosenthal had the following comments on the Fed move: 1) Federal Reserve banks currently have a record high of $1.14 Trillion […]

Too Big To Learn

            With a bad habit of ignoring profound systemic problems, Federal Treasury officials are now securing a system that encourages the same careless risk-taking that originally got us into this mess. With this week marking the one-year anniversary since Lehman Brothers imploded, it is only appropriate to discuss the faulty system that protects and rewards failing financial institutions.             The […]