Sunday, July 17th, 2022 If investors needed another reminder that if something sounds too good to be true, it probable is, they got a big wake-up call this week. Crypto lender CELSIUS, which 9 months ago, said that they had $25 Billion, with a “B” in assets, under management, this week filed for bankruptcy, leaving…… Continue reading Too Good to be True?
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Buffett Builds Oxy Position
Despite the weakness in the Energy Sector, the past few weeks, Warren Buffett’s Berkshire (BRK.A)(BRK.B) continues to add to its significant position in Occidental Petroleum OXY ($61). What’s Up? Does Buffett see another surge in oil prices or just sees this a good place to put some of his growing cash balances? Is he thinking…… Continue reading Buffett Builds Oxy Position
Can Bitcoin Hold $20,000 Level?
Several weeks ago a number of market observers pointed out that a few hedge funds, and corporate CEO’s, were using Bitcoin as their preferred cash equivalent, rather than Treasury Bills and Money Market Funds. In fact, it was reported that Michael Saylor the CEO of MicroStrategy (MSTR) had a Billion Dollar position in Bitcoin, which…… Continue reading Can Bitcoin Hold $20,000 Level?
“Don’t Fight the Fed”
This is a simplistic, but highly useful, Wall Street investment guide that strongly recommends that you adjust your portfolio’s balance among Stocks, Bonds, and Cash in harmony with the Federal Reserve’s (“The Fed’s) monetary policies. This market wisdom was mentioned in Martin Zweig’s book “Winning on Wall Street” published in 1970. Still worth reading today.…… Continue reading “Don’t Fight the Fed”
A Wake-Up Call?
It only took a few hours for most stock and bond market investors to realize that increasing interest rates, as outlined yesterday by Fed Chairman Powell, would not be good for stock or bond markets. Yesterday’s short covering rally, was based on hope that it would only take a little more adjustment to interest rates…… Continue reading A Wake-Up Call?
Powell to the Rescue?
After several days of speculation, Federal Reserve Chairman Powell raised interest rates 3/4’s of a point, in a determined effort to choke off inflationary forces. Although this shows how determined the members of the “Fed” are in trying to bring inflation back under control, concerns are starting to grow, that this may also produce a…… Continue reading Powell to the Rescue?
Have we Reached Bottom?
Usually, after a panic sell off like the selling we saw on both Friday and Monday, the market could have a substantial snap back rally to scare the short sellers. However, I still see that the usual jump in volatility that usually occurs with temporary bottoms, has not happened yet. Also, I am very concerned…… Continue reading Have we Reached Bottom?
Thinking the “Unthinkable”
As stock market and bond market participants wait for this week’s interest rate decision by the Federal Reserve, the debate continues whether it needs to be 1/4 point or 1/2 point increase, in the Federal Funds Rate, to show the Fed’s determination to fight inflation. That is, until Friday’s Bureau of Labor Statistics release of…… Continue reading Thinking the “Unthinkable”
Record Inflation!
The U.S. Government announced today that inflation rose 8.6% in May; highest reading since 1981. The yield on the two year Treasury Bills surged to 2.9%: (A note to readers) When I started this inflation watch website, I was only planning on posting once, or maybe twice, a week. Now, events may require more frequent…… Continue reading Record Inflation!
In Gold We Trust?
Some readers have asked, in today’s inflationary environment, is gold, something worth owning? No simple answer to that question, but for this observer having a small portion of one’s assets in Gold/Silver, as inflation protection, could make sense. Along the same line, although I don’t fully trust, or understand, the unregulated world of cryptocurrencies, a…… Continue reading In Gold We Trust?