Equities Archive

Athens Stock Exchange

They have certainly had their ups and downs: Click here for larger version ...Read More

Answer to question on stocks

>    >   (email exchange) >    >   Warren, what do u think stocks do here? >    Been bearish all along from mid March and still thinking same. Euro zone still melting down. US coming off Q4 rebuild of Japan’s pipeline. And now unemployment benefits expiring in 9 states with more to come? State and local ...Read More

Global themes

Austerity everywhere keeps domestic demand in check and export channels muted Non govt credit expansion pretty much stone cold dead in the US and Europe Rising oil energy prices subduing global aggregate demand US federal deficit just about enough to muddle through with modest GDP growth Rest of world public deficits also ...Read More

Corporate profit margins

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euro zone update- markets yet to discount the discounts

The issues I’ve been discussing over the last year or two while now crystallizing, remain highly problematic. The idea of Greek default transformed from being a Greek punishment to a gift, with the pending question: ‘If Greece doesn’t have to pay, why do I?’- threatening a far more disruptive outcome that is ...Read More


Once again, management is quick to sell the shareholders down the river with a fat coupon, low strike, dilutive preferred. This is one of the inherent risks of being a common shareholder under current law. It keeps stocks cheaper than otherwise, which makes them more attractive as takeover candidates, as when you ...Read More

Equity storm over for a bit

From Goldman: Published August 8, 2011 * Following Friday’s downward revisions, we now expect real GDP to increase just 2%-2½% (annualized) through the end of 2012 and the unemployment rate to rise slightly to 9¼% during this period. This is still higher than the first half, so presumably corporations will have a ...Read More

quick update

Below are various commodity indices. If China was in fact melting down in the second half of this year due to cut backs in state spending and lending, and that front loaded into the first quarter, it would look something like that before breaking further. The Australian dollar is likewise falling, indicating ...Read More

SCM Client Note: S&P Downgrade, Monday Market Action

I tend to agree with this update from Art. The global equity sell off seems beyond anything related to the S&P downgrade and more likely China and commodity related. Note the recent fall in the $A for example. There’s a new post on our site discussing the terrible performance of Asian stock ...Read More

Consumer credit up, Friday update

It doesn’t look to me like anything particularly bad has actually yet happened to the US economy. The federal deficit is chugging along at maybe 9% of US GDP, supporting income and adding to savings by exactly that much, so a collapse in aggregate demand, while not impossible, is highly unlikely. After ...Read More