We discuss: What would a vaccine mean for the markets? Is the vaccine a sell-the-news event? Could we potentially see a stock market bubble when this crisis is over? Why is Uber’s stock price up this year? Why people are so angry at the stock market Is private equity a retail killer? What happens to…
Government bond yields remain unbelievably low across the maturity spectrum: The correlation between starting yields and future long-term returns is very high, meaning you can use these rates as a decent approximation of forward bond returns. In other words, don’t expect much from the bond portion of your portfolio. When you compare today’s yields with…
This crisis is making inequality worse in a number of ways.
The importance of saving during down markets.
We’re back for show number two of this week. We discuss: Corporation inequality Retail spending is making a massive shift to online shopping Why aren’t video game company stocks up more? Deflation is here Inequality in the unemployment numbers Pain for even the very best restaurants Why the government needs to extend unemployment benefits and…
A reader sent me an old piece I wrote in early-2014 that contained a stat that made me do a double-take: The energy sector outperformed the S&P 500 by nearly 7% per year with nearly the same standard deviation. This seems almost impossible to believe at the moment. Oil prices went negative this year. Energy…
Michael and Ben discuss the survival of airlines, why PMs hate the Fed and more.
A country-by-country look at stock market performance in the year of the pandemic.
Robert Shiller and Burton Malkiel debate market efficiency.
Market prices are created by millions of different opinions, time horizons, risk appetites, investment styles and personality types. These differences are what make a market. Otherwise, there would be few transactions and a lack of liquidity. Investor sentiment is often based not only on what’s going on in the markets but also how people position…
