YES or is it actually NO?
UBS Group, developed a portfolio called Yield Enhancement Strategy (YES) aimed at conservative investors searching for income from their investments. At its peak, the portfolio boasted $6 billion in holdings. The YES brochure claimed that the strategy limits exposure...
Which indicator will trip the markets?
Every state has started to reopen its economy, which will give us the first true indications of the current economic direction, outlook into the full impact of the downturn and nature of the recovery. Of course, a spike in deaths from the virus will put us back in a...
Printing Money – How that works…
Every week, we hear that the Fed’s goal is to keep markets functioning after they had previously seized up in fear. But, the way they are doing it is - virtually "printing" money and injecting it into the commercial banking system. By the end of the year, the Fed is...
Why the divorce?
At the onset of the coronavirus crisis, Wall Street had a meltdown. Stocks plunged amid fears of the disease’s spread and its potential impact on the global economy. But in recent weeks, the market has recovered — the S&P 500 is hovering around where it was last...
The bear is on the prowl….
It took only five weeks for the U.S. economy to wipe out all the job gains it added over the last 11 years. Combined with the four prior jobless claims reports, the number of Americans who have filed for unemployment over the previous five weeks is 26.45 million. That...
A deceptive rally masks some real pain
With the recent rally, common sense appears to have to been put to the test. Many believe that correction was misstated. Why? The market declined 34% but already has been back up 25% so it's now really only down 9%, barely enough to call it a correction. Really? If...
Are we in a recession or not?
A typical recession does not just wipe out the economy but cleans out all bullish investments and gets everyone into cash. This time, it appears to be different. Despite mounting deaths and climbing unemployment numbers, the stock market has begun a rally that defies...
WHO is to blame?
April 10th marked 100 days since the WHO (World Health Organization) was first notified of the novel corona virus outbreak in China. WHO’s mission statement reads “To publish and disseminate scientifically rigorous public health information of international...
A quarter that must be forgotten
March felt like an eternity. It all started well in Jan and then we had a furious rally till Feb but then, everything fell apart. S&P declined and kept declining until it fell 35%. Even after decline this week, the indices are notably off their worst levels seen...