Stock market faces the most ‘massive misallocation’ of ‘capital in the history of mankind,’ says ARK’s Cathie Wood

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Description: Cathie Wood, the star fund manager and chief executive of ARK Invest, took to CNBC to defend the woeful performance of the manager’s suite of disruptive innovation funds. Source: MarketWatch.com Date: Feb 18, 2022 Link: https://www.marketwatch.com/story/stock-market-faces-the-most-massive-misallocation-of-capital-in-the-history-of-mankind-says-arks-cathie-wood-11645123885?siteid=yhoof2 Questions for discussion: What does Cathie Wood say is happening in markets? What is her advice to investors?… Read more »

Minutes show Fed ready to raise rates, shrink balance sheet soon

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Description: Federal Reserve officials set plans into motion at their most recent meeting to begin raising interest rates and shed the trillions of dollars in bonds on the central bank balance sheet, according to minutes released Wednesday. Source: CNBC.com – video report Date: Feb 16, 2022 Link: https://www.cnbc.com/2022/02/16/federal-reserve-releases-minutes-from-its-january-meeting.html?__source=iosappshare%7Ccom.apple.UIKit.activity.Mail Questions for discussion: What are the indications… Read more »

Oil’s spectacular COVID crash set the world up for US$100 crude

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Description: The two-year COVID crisis put many markets on a wild ride—just look at U.S. treasuries—but few have had a crazier time than crude oil: from total collapse in 2020 to the brink of US$100 a barrel today. Source: BNNBloomberg.ca – video report Date: Feb 17, 2022 Link: https://www.bnnbloomberg.ca/oil-s-spectacular-covid-crash-set-the-world-up-for-us-100-crude-1.1724555 Questions for discussion: Summarize the key… Read more »

How Should Investors Value Gold?

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Description: Investors of all kinds have always been lured by the king of metals, and even the most hardnosed of them know it holds extra value for those who adorn themselves with it. Wharton finance and economics professor Urban Jermannhas devised a new approach to capture that extra value in gold jewelry, allowing investors a better… Read more »

Buy stocks like Whirlpool — not NFTs, asset manager says

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Description: Investors should be looking to pick up stocks like Whirlpool and avoid assets like CryptoPunks NFTs, according to Jeff Henriksen, CEO and founder of Thorpe Abbotts Capital. Source: CNBC.com – video report Date: Feb 07, 2022 Link: https://www.cnbc.com/2022/02/07/buy-stocks-like-whirlpool-not-nfts-asset-manager-says.html Questions for discussion: What is wrong with valuations, according to this report? What advice is presented to investors?… Read more »

Analyst cuts five of Big Six banks to sell on rate-hike fallout

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Description: A Bay Street analyst who hasn’t shied away from going bearish on the banks is doing it again. Source: BNNBloomberg.ca – video report Date: Feb 09, 2022 Link: https://www.bnnbloomberg.ca/analyst-cuts-five-of-big-six-banks-to-sell-on-rate-hike-fallout-1.1721005 Questions for discussion: What is the current status of bank stocks, according to the reports? Why is D’Souza suggesting a fall-back in stock prices? Do you agree… Read more »

Payrolls show surprisingly powerful gain of 467,000 in January despite omicron surge

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Description: Job growth rose far more than expected in January despite surging omicron cases that seemingly sent millions of workers to the sidelines, the Labor Department reported Friday. Source: CNBC.com – video report Date: Feb 04, 2022 Link: https://www.cnbc.com/2022/02/04/jobs-report-january-2020-.html?__source=iosappshare%7Ccom.apple.UIKit.activity.Mail Questions for discussion: What does this data suggest is happening – economically speaking? What does this… Read more »

Inflation and Deficits Don’t Dim the Appeal of U.S. Bonds

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Description: Treasury rates remain strikingly low, partly because of the safety government debt offers corporations and retirees. Whether that endures is crucial to federal spending. Source: NYTimes.com Date: Jan 30, 2022 Link: https://www.nytimes.com/2022/01/30/business/economy/inflation-bonds-treasury-yields.html? Questions for discussion: Summarize the key points made about the direction of bond prices, interest rates and inflation. Do you agree with… Read more »

It’s Jerome Powell time — and one Wall Street bank warns the S&P 500 could fall another 20%. Goldman Sachs says the bull market will continue.

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Description: Markets have reeled since the Federal Reserve announced, through the release of the December minutes, that the central bank would like to take a big whack at its $9 trillion balance sheet rather than keep it at that lofty level. In just the last month, the S&P 500 SPX,  has dropped 9%, while the ARK Innovation… Read more »

Wood, Buffett Post Similar 2-Year Gain With Divergent Strategies

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Description: (Bloomberg) — The investment approaches of Cathie Wood and Warren Buffett couldn’t be more different. But over the past two years, their investors have ended up with almost exactly the same results. Source: Yahoo.Finance.com/Bloomberg.com Date: Jan 25, 2022 Link: https://news.yahoo.com/wood-buffett-post-similar-2-112314999.html Questions for discussion: What is being suggested by this comparison? What influence, if any,… Read more »