Just released from FT.
Bernanke warns on excessive risk: Fed chairman’s comments highlight danger of asset bubbles
May 6th 2010 Stock Market Crash!!!
Across the five valuation methodologies that Goldman's David Kostin uses to consider the S&P 500's richness, the current price (around 1600) represents the average. While the Fed Model (bond vs stock value) is the one significant 'framework' suggesting upside potential but as Kostin notes, it is bonds that are more mispriced than stocks and the gap could close from bond side (significantly reducing the upside potential of this model). His macro-valuation framework, as well as the ROE vs P/B relationship and the Discounted Dividend Model all suggest year-end 2013 fair value at around the current price (i.e. 0% upside). And remember, as we noted recently, this 'expectation' still relies on the H2 2013 rebound in GDP and implicitly EPS (+28% in Q4 2013!) that is so hoped for.
S&P 500 is at 'fair-value' (and rich against macro and earnings reality)...
Protestors are now targeting individual politicians and others perceived to have created the current fiscal mess; a new and troubling twist in the debt saga. All politicians, bankers and other power brokers around the globe are watching this new societal development with grave concern.
the Algo-Bots are going to be able to melt this market higher across the next 3-4 months.
then the real interesting question is just how low will $VIX be...
$VIX back in the 12s represents a market that is entirely fearless. It is a market that knows the QE-POMO is very likely to continue for at least another 3-6 months.
Fed said may increase or decrease bond buying and ECB says the bond-buying program may not be needed going forward since yields have calmed. BOJ maintains the pledge for stimulus but data shows the deflation continues.
$SPX will be target 1648 next week
Spokesman Carl Fillichio says the agency's monthly employment report will be released as scheduled Friday. Department employees and members of the news media involved in the release of the report will be allowed in the building as usual.
But all other Labor employees who were scheduled to work in the building will receive administrative leave.
Fillichio did not immediately have information on what caused the fire at the Frances Perkins building or how extensive the damage was. The building on Constitution Ave. opened in 1975.
Well, there go all the "on paper" jobs saved or created during the "recovery."
Now 1700 will be next and Massive Bear layoffs are coming
2000 at the end of the year 2013. Cashin said this is bad year.
by next few hours
Very Strongest & Strongest Buy now till My Term Is Over
Very Strongest & Strongest BUY with BOTH HANDS
The Coinage Act of 1792 called for the death penalty for debasement of the currency. Hang the lot of them.
Markets are markets, unless someone lost monies in markets that he made some explosion to warning Bernanke's QEs
Every morning Bernanke manufactures "GOLD" from his bath house before going to work
Reported Boston Explosion Suspect In Custody, Is A "Saudi National"
Authorities have confirmed to The Post that they have identified a suspect in the Boston Marathon bombing.
The suspect — a Saudi national who suffered shrapnel wounds in today's blast — is currently being guarded in a Boston hospital.
A law enforcement source confirmed to The Post that 12 people were killed and nearly 50 were injured in today's blast.
The two day decline of $SPX from 1597 is now 45 points down.
Time for "Bomb Control Law"