Apple, Gold, the $ and Inflation
Apple’s stock price is up about 50% year-to-date, quite a remarkable achievement for the world’s largest company. In fact, it has more than doubled in one year! Last Thursday, after the market close, several of the big five (see below) announced big earnings...
China Update: July 2020
2020 is certainly going to be a year to remember. As Roseanne Roseannadanna famously said: “It’s always something. If it’s not one thing, it’s another!” I needed a good laugh this morning. Things in the world are looking pretty serious right now, even as capital...
Greater Capitalism
The second quarter was the best quarter for the S&P 500 since 1998, up more than 20%[1] since the end of March. Small caps were up more than that! Even bonds kicked in a few percentage points of return. Of course, after the terrible first quarter, this...
Profitability for Dummies
Once upon a time, there were two professors, a paper, a three-factor model, and ultimately a Nobel Prize. 1992 was a good year. The story was simple and powerful, the effects observable to the naked eye and remarkably persistent, if you could stand painful intervals...
A Look at May 2020
We just completed our second month of the second quarter of 2020, after the virus issue created a rapid bear market across the globe in Q1. Since that event we have been going almost day to day, hoping to see improvement and progress, against the virus itself and in...
Another interesting day!
Another interesting day, yesterday! How are you doing? We started the day with some exciting news. Moderna announced positive results for the first phase of human testing for its coronavirus vaccine. We have many vaccines in testing, as well as treatments. ...
Why Is the Stock Market Rallying When the Economy Is So Bad?
I have been reading this article from The Wall Street Journal for a week or more, updated as the market continues to rise. A client also sent it to me Sunday, which inspired me to share it. Bottom line: the markets seem to expect a relatively fast recovery for now....
Learning to Cope
Would you rather listen to this month’s client letter? Download “Learning to Cope” from our podcast. As we enter the next phase of the coronavirus event, we are in uncharted territory. We are not out of the woods yet, and we may make mistakes and...
A Brief Update on the Markets
This has been an eventful week. We had big new developments from the government, including the Fed’s announcement this morning of a multi-trillion dollar buying program to support fixed income markets. The latest projections on the spread of the virus have...
Two Crises and Long-Term Changes
Our friend Mohamed El-Erian¹ has been writing, tweeting and appearing on business shows at a record pace lately, for obvious reasons. As our readers know, we have followed him since his days running the PIMCO Emerging Markets Bond Fund in the 1990s. Without...
