The fact we have the lowest interest rates in 5000-years is indicative of the economic challenges we face.

On Monday, stocks solidly cracked below the 50-dma, but the bounce off the lows has investors asking if it’s “time to buy?”

After 40-years of economic erosion, there are still deficit deniers.

We don’t disagree the S&P 500 could well hit a target of 5000. But, let us be honest about the reasons why...

Gold. What’s wrong with it? From spiking inflation, falling real interest rates, and massive money printing, it seems logical that gold, a touted inflation hedge, should be rising. Yet, so far this year, gold has done little.

As the Fed started to talk about “taper,” the “bulls” sent a stern warning with a 2% “crash” they shouldn’t. After a couple of weeks of several Fed speakers discussing the need to reduce monetary accommodation, a quick sell-off brought had Powell singing a “dovish” tone at the recent Jackson Hole summit.

The question of Japanization in the U.S. continues as the S&P 500 tracks the Nikkei of 1980.

Young investors are taking on personal debt to invest in stocks.

“Pet Rocks” first appeared in the mid-70s as a novelty item. Just recently, digital NFT’s of “pet rocks” sold for over $100,000.

In the fastest bull market in history, the S&P 500 doubled from its pandemic lows.

Did the Fed’s “monetary policy experiment” fail?

The question I get most often is “when is the next bear market?” There are three specific items that tend to predict bear markets and recessions with some accuracy.

The data shows the Fed is behind the surging wealth gap.

Was the second quarter the peak of economic growth and earnings?

“Past Performance Is no guarantee of future of results.” Such is the disclaimer below every performance chart produce by the financial marketplace.

A few years ago, Paul Wallace penned an article entitled: “GDP Is A Grossly Defective Product.” The recent release of the Q2-2020 report reminded me of it as the media fawned over the 7.6% print.

In this past weekend’s newsletter, I discussed the issue of the markets next “Minsky Moment.”

It’s now official that the recession of 2020 was the shortest in history.

Monetary policy is not expansionary despite widespread belief otherwise.

Knowledge vs. experience. When it comes to investing, such is what separates long-term success from failure.

Is the retail investor rampage over?

Bond yields are sending an economic warning as this past week 10-year Treasury yields dropped back to 1.3%.

“Warnings From Behind The Curtain” almost sounds like the title of a good “Cold War” fiction novel.

In Part-2 of “Capitalism” does not equal “Corporatism,” we delve into why bailouts support corporatism and how to fix the system.

Wall Street is once again in the midst of a “money heist” from naive investors.

A couple of weeks ago, in “Warning Signs A Correction Is Ahead,” we said quite a few indicators set the stage for a pick-up in volatility.

Bull markets always seem to end the same – slowly at first, then all at once.

Much like “Humpty Dumpty,” despite the Fed’s best efforts, you can’t create permanent inflation from artificial growth.

Over the last couple of months, the Fed started its campaign to prepare markets for a “taper” of its asset purchases.

After a decent rally from the recent lows, there are multiple warning signs a correction approaches.

The media is buzzing with claims of an “Economic Boom” in 2021.

Bear markets matter, and they matter much more than you think.

I can understand the confusion when this past week I discussed the issue of “If everyone sees it, is it still a bubble?”

“The strong economic recovery will not get interrupted by inflation or a credit crunch, and the market will soon reach 4,500.” – Ed Yardeni via Advisor Perspectives

Over the long term, confusing market crashes and bear markets can be detrimental to investor outcomes.

“If everyone sees it, is it still a bubble?” That was a great question I got over the weekend.

The recent NFIB survey suggests we are only in an economic recovery, not an expansion.

One of the interesting aspects of “bull markets” is the further they go, the lower forward returns fall.

There has been much commentary suggesting bonds have gotten overvalued due to historically low rates.

When there is a discussion of low future returns due to valuations, what gets missed is that such requires a bear market.

During a recent CNBC interview, Jeremy Siegel suggested stocks could rise another 30% before the boom ends.

There is no way this bull market doesn’t end very badly.

As markets surge to record highs, analysts are rushing to ratchet up earnings estimates as optimism explodes.

Recently, the March jobs report showed a whopping 916,000 new jobs.

In retail investing, do the “blind lead the blind?” Such was a question I asked recently about young investors who are “Long Confidence And Short Experience.”

I recently discussed why “Free, Isn’t Really Free” regarding the retail investor. While “free trades” have certainly reduced the transaction costs, the selling of data to the highest bidder has likely cost investors more than they saved.

Since the “Financial Crisis,” the hope was that inflating asset prices would trickle down into economic growth.

The fleecing of retail investors continues as “payment for order flow” expands.

In a “market mania,” retail investors are generally “long confidence” and “short experience” as the bubble inflates. While we often believe each “time” is different, it rarely is. It is only the outcomes that are inevitably the same.