Bond yields hitting 3%? Not so fast!

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Description: Fewer jobs were added than expected in August, which may be a sign that the economy is not strong enough yet for the Fed to start tapering its monthly asset purchases. Source: CNNMoney.com – video report Date: Sep 06, 2013 Link: http://money.cnn.com/video/investing/2013/09/06/investing-the-buzz-us-bonds-taper-jobs-report.cnnmoney/index.html Questions for Discussions: Explain the connection between bond prices and the interest… Read more »

A Social Entrepreneur’s Quandary: Nonprofit or For-Profit?

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Description: In 2002, at the age of 18, Saul Garlick started a program to fight poverty by building schools in rural South Africa. Source: NYTimes.com Date: July 10, 2013 Link: http://www.nytimes.com/2013/07/11/business/smallbusiness/a-social-entrepreneurs-dilemma-nonprofit-or-for-profit.html?ref=smallbusiness Questions for Discussions: What are the financial advantages and disadvantages of the switch to for-profit in this case? What would your advice be?

Why We’ll Be Better Off if the Walmart Protests Fail

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Description: Employees of the big box store are planning a national day of protest for higher wages. Economist Richard Vedder on why we’ll all be in trouble if they get their way. Source: Thedailybeast.com Date: Sep 05, 2013 Link: http://www.thedailybeast.com/articles/2013/09/05/why-we-ll-be-better-off-if-the-walmart-protests-fail.html Questions for Discussions: How would a jump in minimum wage to $12/hour affect companies now… Read more »

Syria needs liberal capitalism, not missiles

Posted by & filed under Economic Analysis, Governments & Regulators, Growth & Valuation.

Description: Revolutions, wars and the emergence of totalitarian movements are rarely just about grand ideals, political philosophy or theological disputes. Source: Telegraph.co.uk Date: Sep 04, 2013 Link: http://www.telegraph.co.uk/finance/economics/10284077/Syria-needs-liberal-capitalism-not-missiles.html Questions for Discussions: Summarize the political economic arguments presented in this report. Do you agree with the assessment? What role do western investors play in this situation?

A Treasury Shortage Squeezes the Heart of the Market

Posted by & filed under Governments & Regulators, Market Analysis.

Description: Considering the trillions of dollars of Treasury bonds the federal government has been selling to pay for its budget deficits, you’d expect there to be plenty of them for use by dealers in the financial markets. Instead there’s a drought, one that’s likely to get worse before it gets better, and it’s already interfering… Read more »

High speed trading showdown

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Description: Citadel’s Jamil Nazarali and former high speed trader David Lauer weigh the pros and cons of computerized stock trading for investors and society. Source: CNNMoney.com – video report Date: August 14, 2013 Link: http://money.cnn.com/video/investing/2013/08/14/investing-high-speed-trading-good-or-bad.cnnmoney/index.html Questions for Discussions: What does this report say about high speed trading? What do you think regulators’ roles should be… Read more »

Quit worrying about a 1987-style crash

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Description: More and more I am hearing and reading about the coming of a 1987-style crash. There are interviews in which the subject chats about how we have to prepare for it. Articles are being published telling us that this year’s percentage gains rival those of 1987 with the clear implication being that another crash… Read more »

The charts that point to an imminent Fed taper

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Description: Week in charts: Inflation nudges higher to Fed target rate Source: Marketwatch.com Date: August 16, 2013 Link: http://www.marketwatch.com/story/the-charts-that-point-to-an-imminent-fed-taper-2013-08-16?siteid=nwtwk Questions for Discussions: What does this report suggest is happening? What do the charts mean to you?

BlackBerry buyout unlikely

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Description: Smartphone maker BlackBerry Inc. (BBRY) is “open” to going private, according to Reuters. How delightful. In related news, my toddler is “open” to getting a pony for her next birthday. Source: Fortune.com Date: August 09, 2013 Link: http://finance.fortune.cnn.com/2013/08/09/blackberry-buyout-unlikely/ Questions for Discussions: Summarize the financial conditions at the firm. Why is a buyout unlikely, according to… Read more »

Japan’s Nikkei dips into bear market territory

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Description: After shooting into the stratosphere, Japanese stocks have tumbled back to Earth. Source: CNNMoney.com – video report Date: June 07, 2013 Link: http://money.cnn.com/2013/06/06/investing/japan-stocks/index.html?iid=HP_River Questions for Discussions: Describe the investment climate in Japan and why markets soared. Why has the Nikkei dropped so suddenly? Would you be a buyer of Japanese stocks or the Yen?