Excessive Speculation Rarely Ends Well

Speculation drives market activity more today than it did at any previous moment in history. To wit, short-dated single stock option volume is now 5x greater than it used to be. Think about this for a moment. Rather than invest for a long-term stream of cash flows,...

Bearish on Bonds? Higher Rates Could Crush Stocks

The central bank of the United States, the Federal Reserve, creates digital dollar credits to buy bonds. If you buy bonds to depress interest rates and to inject money into the financial system, you get higher asset prices. Stocks. Bonds. Real Estate. Of course, the...

The Big Shift to “Value Investing”

The federal government continues to hand out borrowed money to stimulate the economy. It is running monstrous deficits to do so. One consequence of spending too much borrowed money? Inflation. Copper, lumber, oil, gas, livestock, agriculture — you name it. Stuff...

Can You Spare An Inflation-Adjusted Dime?

Inflation is ubiquitous. You are seeing it at the gas pump. You are seeing at the grocery store. You are seeing it when you dine out. Interested in building a patio? An addition to your home? You might be shocked by the cost of lumber. And it is not just wood. Get a...

The Roaring Twenties Redux?

The U.S. economy surged throughout the 1920s. With World War I in the rear-view mirror, consumers spent feverishly on autos, electrical appliances and movies. With the threat of coronavirus fading in 2021, might we be witnessing yet another Roaring Twenties? After...