The Volcker Rule Surprises Wall Street – Thanks to JPMorgan
Federal regulators will vote tomorrow (Tuesday) on the Volcker Rule, and this latest draft includes stricter language than Wall Street had expected…
The Volcker Rule, proposed by former U.S. Federal Reserve Chair Paul Volcker, is a central provision of the 2010 Dodd-Frank Act reform law. It would stop banks that receive federally insured deposits from engaging in risky trading practices and force Wall Street banks to end or spin off proprietary trading operations. The goal is to prevent future taxpayer bailouts.close to clamping down on some of Wall Street's worst excesses...
Forget the Malls… The Really Great December Deals Are on Wall Street
The S&P 500 is up 157% since March 2009 and, until last week's pullback, the concept of value investing seemed deader than a doorknob.
Everything is too expensive, they say…
Stocks have been bid up to unrealistic levels, they insist…
Multiples can't support further growth, they challenge…
Believe it or not, there are actually plenty of companies that have been cast aside in this year's record-setting bull run. Even more are being put on sale right now.
Here are three firms to get you started right now.
Move quickly, though.This could be your last chance to take advantage of these "deals"...
What the November Jobs Report Means for "Dectaper"
Good news is actually good news on Wall Street today.
Stocks rallied Friday following a robust November jobs report that showed U.S. employers continued to add jobs at a steady pace last month, which pulled the unemployment rate down to a five-year low at 7.0%.To continue reading, please click here...
The Five Biggest Asset Bubbles in History
Between the stock market, bitcoin, and tech IPOs, today everyone seems in a race to spot the next biggest asset bubbles readying to pop.
The term "asset bubble" indicates that there is a marked, noticeable divergence between the market price of an asset and its fundamental value. In other words, something that people store value in – a coin, a house, a share of stock – is valued much, much higher than the thing itself could possibly be worth.
Bubbles usually end with crashes: double- or triple-digit percentage losses in the price of the inflated asset over a very short time.To continue reading, please click here...
Three Charts Obama Hopes You'll Never See
Today I'm going to show you three charts Obama hoped you'd never see.
You're about to get a very different view of the "recovery" picture that the administration keeps painting for us.
This one, for starters, is accurate.
It also explains why incoming Fed Chair Janet Yellen can't cut stimulus, which is one of the reasons you have an opportunity to make some money here… especially if you follow my "mid-December plan." More on that in a minute.
Let's start with the charts…The White House positively hates this first one...
- Is the Economy Slowing… or Growing?
Why the Fed's 100th Birthday Could Be Its Last
On December 23rd, the Federal Reserve will turn 100 years old.
We can look back on its few successes… but its many failures far outweigh any positives it may have achieved.
What's at stake now is the Fed's future. And it looks bleak.In fact, the Fed won't even exist in 100 years...
The Five Biggest Corporate Fines Ever in the United States
The JPMorgan Chase & Co. (NYSE: JPM) $13 billion settlement finalized Tuesday tops the list of the biggest corporate fines ever in the United States.
The Department of Justice, attorney general, and other agencies have said that the JPM deal will serve as a framework for resolving other lender issues, meaning more record-breaking fines could be on the way.To continue reading, please click here...
Don't Fall for This New Old Trick
Kmart has joined a long and "distinguished" list of retail chains who offer a rent-to-own program.
It's a sign of the times… Only, rather than being a sign of economic recovery, it's a sign of retail desperation.
Ostensibly, these programs are intended to benefit cash-strapped consumers who couldn't otherwise afford to buy big-ticket items. In reality, the program turns consumer goods like a $300 television into a $415 purchase, according to Bloomberg.
Talk about "the vig" …The imputed interest rate is more than 100%, annually.
It's absolutely appalling, and it ranks right up there with the exploitive subprime lending practices that lead to the financial crisis.And we're not falling for it...
Deflation Is Coming (and It's Not What You Think)
Be careful out there.
The stock market rally that started in March 2009… The one that's taken us out of the Great Recession and to new highs… The rally that's driving sentiment indicators of people who benefit from rising financial assets directly, peripherally, or because they hope all boats rise with the market…
The rally has never been loved.
The thing is, equity markets don't need love to go twice as high from here, or three times as high in the next 20 years. If they get what else they need, they'll keep going higher.
We could be on the verge of a generational bull market. That's if deficit-plagued, interconnected global sovereigns deleverage and, at the same time, re-capitalize middle and rising classes by making "recourse-sound" capital available and simultaneously reconstituting entirely the notion of taxation.
Too bad the likelihood of that happening is somewhere between slim and none.
That's one reason why I'm an increasingly reluctant bull.
But there's another reason too.And it has to do with deflation...