Five Things: Revisiting the "All-One-Market" Theme

Kevin Depew  Jun 29, 2009 12:45 pm

Five Things: Revisiting the
 
Record correlation hints of herd collapse.
 

The article sums up these deflationary forces rather tidily:

"Higher inflation in the early 1980s and 1990s meant employers could simply freeze wages or raise them more slowly than prices to achieve real cuts in pay. This still dented employees’ standard of living but without the humiliation of a smaller paycheck. Now inflation is lower (in fact, negative because of a big drop in fuel costs). So, in the absence of big increases in productivity, wage cuts may be less avoidable. With households carrying big debts, falling incomes could heighten financial stress and, at worst, initiate a cycle of wage and price deflation."


4. Gold for Sell


Late last week, the first message came through. Subject: "Gold for sell."




I shrugged it off. Probably just a central bank representative looking to dump some gold. But then another came in...


52 of 55 (95%) found this helpful
Rate this article:  (55 Votes)
Comments (4) See All Comments »
06-29-2009, 2:50 pm
interesting, hadn't really thought of that; mostly, when a bottom-bottom came, i'd look then - but this sounds more reasonable...

keep us up-todate on your thoughts - thanks!
Read More
06-29-2009, 3:05 pm
Common thread? Density.
Read More
06-29-2009, 4:56 pm
With govt debt crowding out private Capital needs and more regulation of business, the economy should really take off, no?

More stimuli to follow (meaning more govt jobs). Big improvement in productivity is sure to follow, no?
Read More
06-29-2009, 8:53 pm
Did Nana get your e-mail address mixed up with widdle wancie wewis?
Read More
discuss this article and more on the mv exchange
No positions in stocks mentioned.

Get real-time options trading ideas from Steve Smith, veteran options trader and newsletter author, plus let him show you the way to cut risk and boost your returns through the strategic use of options.  Click here for a free 14 day trial to OptionSmith by Steve Smith.



The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2009 Minyanville Media, Inc. All Rights Reserved.

Ticker Talk
Popular Tickers:
F »AMZN »HIG »
Select
  •  
Talk Now
Share this Talk on your site:
Send us your feedback

Our Professors

rss article alert