U.S. Economy and Stock Markets, March 2018
Percent change in personal income excluding current transfer payments. The red line is the linear trend over the last two years of Obama’s administration, while the green line is the … Read More
Tag: Financial Markets
Issues involving banks and stock and bond markets
How Big A Problem Is Inflation For Stock Markets?
Inflation caused by increases in economic demand predicted by the law of Supply and Demand. Wikimedia Commons / SilverStar at English Wikipedia One often mentioned explanation for plunging stock markets has … Read More
Does a Falling Stock Market Presage Recession?
The trading floor of the New York Stock Exchange (NYSE) in the age of the internet. Note all the computer monitors. Wikimedia Commons / Ryan Lawler In case you have … Read More
U.S. Economy and Stock Markets, November 2017
US real GDP growth from Q1 2009 to Q3 2017. The green line is a linear fit to the GDP over the three years from Q1 2014 to Q1 2017. … Read More
U.S. Economy and Stock Markets, May 2017
Alas! Real GDP growth is still trending downwards. Data and Image credit: St. Louis Federal Reserve District Bank / FRED It is now time to take our periodic look at … Read More
U.S. Economy and Stock Markets, February 2017
Real U.S. Per capita GDP in chained 2009 dollars (blue curve) and its percent change year over year (maroon curve). The thick green line is a linear fit of the … Read More
How a Bursting Stock Market Bubble Will Hurt Everyone
OOPS! A Bear! (c) Can Stock Photo Approximately eight years ago, progressives were screaming that capitalists had with their avaricious, dishonest and selfish behavior thrown us into another Great Depression. … Read More
The Threat of the U.S. Stock Market Bubble
The New York Stock Exchange Wikimedia Commons The last time we were hit with a devastating recession, the Great Recession of 2007-2009, it was caused by the bursting of a … Read More
U.S. Economy and Stock Markets, October 2016
The time-evolution of the GDPNow statistic from the Center for Quantitative Economic Research of the Federal Reserve Bank of Atlanta. Image Credit: Federal Reserve District Bank of Atlanta/Center for Quantitative … Read More
U.S. Economy and Stock Markets, August 2016
Real quarterly, annualized GDP growth rate in percent from Q1 of 2009 to Q2 of 2016 Image Credit: St. Louis Federal Reserve District Bank/FRED It is time for me to … Read More
If Hillary Clinton Were President …
Hillary Clinton speaking at the Brown & Black Presidential Forum in Des Moines, Iowa on January 11, 2016 Wikimedia Commons/Arthur Skidmore Given how the bombastic Donald is increasingly sabotaging his own … Read More
Economic Freedom in the United States
World Map of the WSJ/Heritage Foundation Index of Economic Freedom Image Credit: Heritage Foundation It would distress many Americans to learn the United States does not have the greatest economic freedom … Read More
The U.S. Economy and Stock Markets, June 2016
Real quarterly, annualized GDP growth rate in percent from Q1 of 2008 to Q1 of 2016 Image Credit: St. Louis Federal Reserve District Bank/FRED Having just updated my Leading Economic … Read More
Stock Investors’ BIGGEST Enemy: Central Banks
The Shiller CAPE: The most trustworthy index on stock valuations Image Credit: gurufocus.com The question for the day is whether or not we should invest in the stock market. This … Read More
U.S. Stock Markets and the Economy, April 2016
Candle charts of Dow 30 index on top, S&P 500 on bottom. Blue overlay curves are 50 day moving averages, Red curves are 100 day moving averages. Images courtesy of … Read More
A Corporate Earnings Recession Continues
S&P 500 average earnings per share growth, year over year in % Image Credit: Bloomberg.com [Note on 3/26/2016: On Friday March 25, the U.S. Commerce Department announced corporate profits for … Read More
U.S. Stock Markets and the Economy, February 2016.
Investors in the stock market getting their thrills! Wikimedia Commons/Boris23 The last few weeks with the stock markets have certainly been an exciting roller coaster … Read More
The Fed is Losing Credibility (Duh!)
S & P 500 Index as of 11/18/15. Image courtesy of StockCharts.com Two posts ago in The Wall Street Casino Is … Read More
The Wall Street Casino Is Open Courtesy of the Fed
Casino slot machine winnings like stock market returns? Photo Credit: Wikimedia Commons/Raul654 By now it is common knowledge: Currently the results of the U.S. stock markets … Read More
Is It Even Possible for the Fed to Raise Rates?
Federal Reserve Chairman Janet Yellin with Sec. of Treasury Jack Lew PD-USGov Janet Yellen and other members of the FOMC have expressed their desire to raise interest … Read More
What is the Economy’s Condition?
Grizzly bears looking for a market to eat! Photo Credit: Flickr.com/wallyg We all know the U.S. stock markets are beginning to enter “Bear” territory, but are … Read More
Quantitative Easing and Its Effects
Federal Reserve Building, Washington DC Photo Credit: Flickr.com/wwarby Despite its impact on our economic well-being, few people seem to know much about Quantitative Easing (QE). QE was a … Read More
A More Accountable Fed
Much of what ails this economy was caused by the Federal Reserve. Not all that damages the economy can be laid at the Federal Reserve’s door, but much can be. … Read More
Monetary News from Jackson Hole
Grand Tetons at Jackson Hole, Wyoming Photo Credit: Freeimage.com/Jack Sanders A lot of vital news for the economy came out of two gatherings at Jackson Hole, Wyoming last weekend. … Read More
Collapsing Commodities Point To Hard Times
Lately there have been a number of blogs that have noticed the collapse in commodity prices, such as this one on businessinsider.com. Included in that post was a histogram display … Read More
Stock Market Continues Downward March
Have you been keeping track of our favorite canary-in-the-coal-mine for the economy? I refer to the current state of the stock market, of course. The last time we looked at … Read More
Lessons of the “Great Recession” Not Learned
The Obama administration believes in its own propaganda. Believe it or not, the U.S. federal government is currently mandating the same kind of bad behavior that caused the 2007-2008 financial crisis. The … Read More