In just a little more than six months, the U.S. national debt has grown by a $1 trillion dollars. Today, Congress will debate on a $1.3 trillion “Omnibus spending bill” to fund the government through the end of September of this year. As noted by Robert Schroeder: “Last week, the debt hit $21 trillion for the […]
“Sex” and “Money” are probably two of the most powerful words in the English language. First, those two words got you to look at this article. They also sell products, books, and services from “How To Have Better Sex” to “How To Make More Money” — ostensibly so you can have more of the former. Unfortunately, they are also the two primary […]
Just recently, a report was released discussing why you should NOT try to time the market, but rather “just stay invested for the long haul.” To wit: “Periods of high volatility and occasional bouts of uncertainty are a part of the investing process. When markets correct, you can’t control their length or severity, but you CAN control how […]
On the “Real Investment Hour” on Tuesday night, I addressed the issue of price versus fundamentals. In the short-term, a period of one-year or less, political, fundamental, and economic data has very little influence over the market. This is especially the case in a late-stage bull market advance, such as the one we are currently […]
In “Part 1” of this series, I discussed at length whether Dr. Robert Shiller’s 10-year cyclically adjusted price-earnings ratio was indeed just “B.S.” The primary message, of course, was simply: “Valuation measures are simply just that – a measure of current valuation. If you ‘overpay’ for something today, the future net return will be lower than […]
Shiller’s Cape – Part 2 “Price Is What You Pay. Value Is What You Get.” – Warren Buffett One of the hallmarks of very late stage bull market cycles is the inevitable bashing of long-term valuation metrics. In the late 90’s, if you were buying shares of Berkshire Hathaway stock, it was mocked as “driving Dad’s old Pontiac.” In […]