Dear Fellow Expat, With momentum negative, it’s a good day for a haircut, a tall drink, and a trip to the beach with a great friend from college. In the world of writing, we're advocates of this idea called the “Power of One.” You write about one specific issue. But today is not the day […]
Archives for August 2023
August 2023 - Page 2 of 7 - Money Morning - Only the News You Can Profit From
Here's How To Deliver Consistent Returns With A Higher Success Rate
Success in trading and investing rests on three critical pillars: a sharp understanding of market mechanics, an appreciation of the role of probabilities, and, not least, a strong handle on risk management. That last one can be… challenging, to put it politely. Consider what happens when you're buying a call option… Here, you're essentially signing […]
When Seeing Red is Seeing Green… And Shorting the Market is Cool, Again
“Short sellers are the market’s police officers. If the idea of short selling were to go away, the market would levitate even more than it does.” — Seth Klarman What’s in a “narrative” anyway? Over the past few weeks, we’ve been preoccupied with summer stuff… a few conferences…college visits… getting new apartments set up… some […]
Here’s Why No One Is Coming to Save Us
Dear Fellow Expat, Fort Myers Beach sits five miles from my home. Last year, the beach town suffered a direct hit from Hurricane Ian. A nine-foot wall of sea pushed through the entire area, wiping out buildings, taking innocent lives. And even now, it’s fueling a desperate sale of property on one of the most […]
Chart of the Day: August's "Unofficial" Fed Day
If you thought you could catch your breath because there’s no Federal Open Market Committee (FOMC) meeting this month… guess again. All the Fed officials and plenty of the world’s wealthiest elite are hunkered down in Jackson Hole, Wyoming. They’re attending the annual Federal Reserve Bank of Kansas City’s Economic Policy Symposium, which kicks […]
America’s Latest Epidemic is Sinking This Sector
It was a beautiful, sunny, spring morning. The type of morning California is famed for. I was sitting outside a café digging into a delicious – but grossly overpriced – plate of steak and eggs. It’s the breakfast I always have when I’m on the road. And as I savored each bite, I watched a […]
Jerome Powell Can’t Explain Inflation – Here’s Why
Dear Fellow Expat, What does the Federal Reserve do? That’s a basic question we must understand. The central bank has two jobs as its so-called “dual mandate”: to pursue maximum U.S. employment and ensure price stability. Ignore maximum employment for now. Today’s unemployment rate is cooked worse than your least favorite aunt’s Thanksgiving dinner. The […]
A Perfect Opportunity to LEAP(S) Ahead
I’m often asked, “Matt, are Long-Term Equity Anticipation Securities really that complicated to understand?” First, don't call them that. All the cool kids just call them “LEAPS.” And if you do too, you’ll get invited to more parties. Maybe even fancy ones. Second, LEAPS are extremely simple to incorporate into your portfolio. And they can […]
Is Nvidia an Offer You Can’t Refuse?
The S&P 500 slid for a third consecutive week. Many analysts and investors are looking to the sky for clearing clouds. Well, there may be no more likely hero for the markets than Nvidia (NVDA), which is set to report its second quarter earnings after close today. Up roughly 200% year to date. The chipmaker […]
Hemingway Was Right About America (Turns Out He Had Paul Krugman Figured Out, Too)
Dear Fellow Expat, Ernest Hemingway once wrote: "The first panacea for a mismanaged nation is inflation of the currency; the second is war." Imagine what Key West’s finest author would say about the United States today, as it barrels relentlessly through both conditions. You feel it. I feel it. We’re sending tens of billions of […]