Economic growth continued at a robust rate in the third quarter, supporting the case for both a continued bull market in stocks and further rate hikes from the Fed. While we might make minor adjustments when we get Thursday's data on durable goods, international trade, and inventories, right now our model forecasts real GDP expanded [...]
As far as Harvard economist Martin Feldstein is concerned, we're all doomed. Feldstein says that the low interest rates of the last several years have created a stock market bubble rivaling the housing bubble that precipitated the last crisis. As interest rates keep rising, he says, the stock market bubble will eventually burst, sending the [...]
It is ingrained in our societal message regarding investments that stocks are risky and bonds are safe. We all “know” this because we are told it, explicitly and subtlety, every day. Because of this, individuals in our country, and indeed around the world, have tens of trillions of dollars invested to earn 3% or [...]
In my last blog I mentioned I would follow up with example of not only why the financial press is virtually always wrong, but why they have to be wrong. Again, in this vitriolic time I feel compelled to remind you that this is not a political commentary of any kind. Any comments made here [...]
"Wealth creation" versus "the redistribution of wealth" is an age-old political/economic battle. And once again, Senator Elizabeth Warren - among others - has capitalism in the crosshairs. Adam Smith defended capitalism in 1776. Karl Marx attacked it in the 1800s. William Jennings Bryant attacked it; Grover Cleveland defended it. FDR attacked it; Ronald Reagan defended [...]
One of the hardest things for me to put aside when writing blogs and similar posts is the focus on the big picture. The “Why”. Why do we plan? Who is this money ultimately for and when do they need it? Most of you know we have spent decades warning about the misinformation in the [...]