Greece will return to the international bond market this month, and other news capsules.
If you like bull markets, you better hope Janet Yellen is one of the most talkative Fed Chairs in history.
Margin debt, the amount of money people have borrowed to buy stocks, is not only at a record high – it’s accelerating.
The stock market crash this week that occurred five years ago this Sunday marks a solemn anniversary for U.S. stock markets.
Do you remember that Fannie and Freddie had to be bailed out by the government – I mean taxpayers – so their total implosion wouldn’t trigger a global depression? The guy who engineered their bailout is worried.
For months, Wall Street insiders have passed this chart around amongst themselves and nervously discussed whether it foretells a major stock market sell-off.
The chart compares the path of the current Dow Jones Industrial Average over the past year and a half to the Dow’s moves over the 1928-1929 period.
While the Dow is trading at a much higher level now than in the 1928-1929 period, the pattern is eerily similar to the path that led to the worst stock market crash in Wall Street history, right up to the recent stock market sell-off and recovery.
Between the stock market, bitcoin, and tech IPOs, today everyone seems in a race to spot the next biggest asset bubbles readying to pop.
The term “asset bubble” indicates that there is a marked, noticeable divergence between the market price of an asset and its fundamental value. In other words, something that people store value in – a coin, a house, a share of stock – is valued much, much higher than the thing itself could possibly be worth.
The warning signs of a stock market crash in 2014 are getting harder and harder to ignore…
Several prominent market watchers, including Ben Inker, head of the asset allocation group at GMO, and John Hussman of the Hussman Funds, say the markets are about 40% overvalued.
This year has seen the busiest U.S. IPO market since 2007, with 199 companies already going public.
Their performance has investors fearing we’ve hit IPO market bubble territory.
Nothing goes up forever. Not the Federal Reserve’s balance sheet, not global debt levels, and not stock markets… even when governments don’t shut down.