Oil falls below $89 per barrel encouraging recession fears - February 6, 2008 10:03

Oil futures fell below $89 per barrel Tuesday (February 5) as concerns over recession gripped Wall Street.  Many economists believe that oil saw its peak after a brief stint over $100 early last month.  The major catalyst for Tuesday’s drop was a surprising report that showed the generally strong service sector may be weakening, indicating […]

Automobile Wreckage. It Isn’t Just Ford and GM - February 4, 2008 14:41

Contained, they said. No spillover from the financial collapse, they said. The consumer is resilient and will continue spending, they said. Who are “they” you ask? The politicians, bankers, Fed speakers, analysts, brokers, economists and talking heads on the financial and – of late – mainstream media. All out there telling you its going to […]

From Credit to Money, Part II - February 1, 2008 20:16

WHY DON’T we just do away with all the different currencies of the world, and settle on one single money to buy, sell, invest and light our cigars with? Because as it is, the Babel we live in – where 143 different kinds of currency either change hands or act as a way of measuring […]

Fed cuts funds rate again, bonds worry market - February 1, 2008 10:17

The Fed announced a ½ point rate cut Wednesday afternoon (January 30) to the Fed fund rate, reducing the rate it charges banks to 3%.  This was the second cut in a week following last week’s surprise .75 point cut.  Financial markets had been widely anticipating the ½ point cut and most economists believe the […]

US Government looks to tax rebates - January 30, 2008 11:10

The US House approved overwhelmingly today a $146 billion tax rebate stimulus package agreed to as a compromise between democratic and republican leaders along with Treasury Secretary Paulson, and President Bush.  The Senate will vote on the bill this week.  While there is some concern that party leaders on both sides may look to adjust […]

Financial Regulator Wanted! No Experience Needed - January 29, 2008 20:50

JEROME KERVIEL, fast-overtaking John Law as France’s worst-ever financial mishap, claimed on his most recent resumé to enjoy judo and sailing, as well as running up $7.1 billion in losses for his employers in his spare time. Something of a loner according to the world’s media (only 11 friends on Facebook – can you imagine!), […]

Long Term Indications - January 29, 2008 14:53

Today I want to look at some longer timeframe indicators that can help to confirm current sentiment and spot eventual potential changes. I am working from the premise that we are entering or are in a recessionary period globally.  How long this period lasts for and how deep the recession goes are questions that are […]

Citigroup – Opportunity or Death Rattle? - January 28, 2008 10:50

It’s not very often you will find me focusing on one share but something rather important has happened to Citigroup [C].  Firstly let me explain I am not, most assuredly not, recommending any position in Citi.  I don’t “do” recommendations and as most of you who read my articles know, I prefer to look for […]

Fed shocks Wall Street with .75 basis point rate cut - January 22, 2008 20:59

Although many financial analysts had been predicting and hoping for a .75 basis point Fed interest rate cut on or before the January 30th Central Bank meeting, today’s surprise cut announcement caught Wall Street off guard and contributed to one of the more volatile days the equity markets have seen.