By Nico Isaac
1/12/2012 4:45:00 PM
On the financial playground, long-term bonds are generally the last picked for the winning team -- well behind equities, commodities, high-yield (junk) bonds, even the barely established emerging markets. The reason being: the amount of time it takes to actually reap the fruits of your return. BUT, as a January 5, 2012 CNBC articlereveals, the asset that supposedly nobody loves has outperformed them all.
Filed Under: conquer the crash, credit crisis, debt, debt crisis, deflation, Elliott wave, emerging markets, hyperinflation, inflation, Interest Rates, liquidity, prechter, QE2, quantitative easing, social mood, Treasury bonds, U.S. Federal Reserve (the Fed), U.S. Treasuries
Category: U.S. Economy
By Bob Stokes
11/30/2011 4:30:00 PM
Fifteen major U.S. and European banks were just downgraded by Standard & Poor's. Please consider this insightful excerpt from a recent Elliott Wave Theorist titled, "The Coming Worldwide Bank run"...
Filed Under: bailouts, central banks, Club EWI, credit crisis, debt downgrade, european central bank, European debt crisis, liquidity, Robert Prechter, soverign debt crisis, stimulus package
Category: U.S. Economy
Will Commodities Save Your Portfolio? Connect the Dots
If stocks and hard assets are "supposed to" move in opposite directions, how do you explain this chart from Bob Prechter's "Conquer the Crash"?
By Nico Isaac
10/6/2011 5:45:00 PM
In 2008, the mainstream experts were dead set on the idea that commodities would provide shelter from the maelstrom raging within stocks and bonds. Their outlook was based on expectations for a repeat of the 1970's inflation and the theory that stocks and commodities always move in opposite directions. YET -- from its July 2008 peak, the Reuters/Jefferies CRB Index of commodities plummeted 58% in its biggest decline in 28 years -- right alongside plunging stock markets.
Filed Under: 1929 Stock Market Crash, Robert Prechter, CRB index, deflation, Elliott wave, Elliott Wave Theorist, fundamental analysis, history, inflation, liquidity, technical analysis
Category: Commodities
By Bob Stokes
9/15/2011 11:00:00 AM
Bursting of the "debt bubble": It's the financial story of our age and it's happening before our eyes. The full scope is hard to keep up with because it's unfolding at various levels, such as...
Filed Under: Club EWI, conquer the crash, consumer credit, debt crisis, European debt crisis, foreclosures, liquidity, Robert Prechter, soverign debt crisis
Category: U.S. Economy
By Bob Stokes
6/28/2011 6:15:00 PM
The fact that a substantial percentage of U.S. based money market funds have holdings in European banks doesn't mean a given money market fund will suffer a loss. Yet exposed money market funds may be at risk if the sovereign debt crisis escalates...
Filed Under: conquer the crash, Elliott Wave Theorist, European Union (EU), Greek debt, Irish debt crisis, liquidity, mutual funds, Robert Prechter, safe haven, soverign debt crisis
Category: U.S. Economy
What Will Happen to the Stock Market When QE2 Ends?
Club EWI's free "Independent Investor eBook, 2011 Edition" offers you an unorthodox view of the Fed's quantitative easing program
By Vadim Pokhlebkin
6/27/2011 12:00:00 PM
Club EWI's free "Independent Investor eBook, 2011 Edition" offers you an unorthodox view of quantitative easing and its "effects" on stocks and the economy...
Filed Under: Ben Bernanke, Elliott wave, Federal Open Market Committee (FOMC), liquidity, market manipulation, monetary policy, monetization, Robert Prechter, QE2, quantitative easing, Robert Prechter, stimulus package, U.S. Federal Reserve (the Fed)
Category: Stocks
Money in the Bank: Does It Still Mean "Safe and Sound?"
Elliott Wave International's free report "Discover the Top 100 Safest U.S. Banks" explains the true risk that you may face when a bank fails.
By Hope Welborn
6/8/2011 3:15:00 PM
Some economists claim we're in a recovery, yet hundreds of smaller financial institutions still suffer from the debt crisis that began a few years back.
Filed Under: Robert Prechter, central banks, Club EWI, conquer the crash, Federal Deposit Insurance Corporation (FDIC), foreclosures, housing prices, liquidity, personal finance, recession, unemployment
Category: Classic Prechter
By Vadim Pokhlebkin
3/23/2011 9:30:00 AM
During hyperinflation, interest rates typically rise to double digits per month. Inflationists find it difficult to reconcile the Fed’s massive balance sheet growth since August 2008 with short term rates at zero. But deflationists understand why investors are willing to hold government paper at such low returns...
Filed Under: Ben Bernanke, Robert Prechter, credit crisis, crude oil, deflation, earnings, Elliott Wave Theorist, gold futures, hyperinflation, inflation, liquidity, M3 money supply, market manipulation, monetary policy, monetization, Robert Prechter, quantitative easing, stimulus package, U.S. Federal Reserve (the Fed)
Category: U.S. Economy
By Bob Stokes
1/7/2011 4:45:00 PM
And when the time does come to consider a high-confidence opportunity, you'll be ready to employ the trading strategies which Diamond personally uses. During his seminars, he does more than tell students how they work. He SHOWS them. For example, Diamond believes in placing trades which have at least an 80 percent chance of succeeding. He calls this his 80/20 rule...
Filed Under: Dick Diamond, Dow Jones Industrial Average (DJIA), forex trading, liquidity, online trading, oscillators, risk management, successful traders, technical analysis, technical indicators, Traders, trading lessons
Category: Stocks
By Gary Grimes
12/15/2010 1:45:00 PM
Despite near-unanimous endorsement among mainstream advisors, the strategy of portfolio diversification has a huge, glaring flaw: Namely, when large sums of liquidity begin to flow into global investment markets, formerly disparate trends become strongly correlated. And markets that go up together ultimately go down together; in turn, the value of diversified portfolios goes down with them.
Filed Under: buy and hold, Campaign for Independent Thinking, diversification, liquidity, risk management
Category: Stocks
By Jill Noble
11/23/2010 4:45:00 PM
We've written about this market insight many times since its introduction in 2002. You can see and read about it yet again in the November Elliott Wave Theorist: The evidence for the EWI's "All the Same Markets" analysis continues to build.
Filed Under: conquer the crash, Elliott Wave Principle, market forecasts, liquidity
Category: Stocks
By Vadim Pokhlebkin
9/8/2010 1:30:00 PM
At the time when almost everyone is bullish on gold, it pays to listen to someone who has dispelled many myths about precious metals over the years: EWI President Robert Prechter. For example, his original research proves wrong the idea that gold reliably rises during recessions.
Filed Under: Robert Prechter, gold futures, silver futures, liquidity
Category: Gold and Silver
By Bill Fox, Senior Bonds Analyst
6/10/2010 1:15:00 PM
U.S. banks are hoarding cash rather than loaning money; excess reserves at the Federal Reserve remain stubbornly high. Now European banks are hoarding cash, too: The European Central Bank is reporting that its overnight deposits are surging well above the historical average. To solve the liquidity crisis, Europe looks to the Fed and U.S. banks, but the new financial regulations are at odds with such lending. That means that European companies are forced to pay punitive rates in the open market -- and borrow less as a result. In other words, this is an engineered liquidity crisis: Tighter regulations are stimulating deflation, the opposite of what regulators intended.
Filed Under: liquidity, Robert Prechter, european central bank, deflation, inflation
Category: Deflation
By Editorial Staff
3/30/2010 11:15:00 AM
Think back to the fall of 2007. The deflationary "liquidity crunch" that over the next year-and-a-half cuts the DJIA in half, decimates commodities, real estate and world markets is only starting. Almost no one believes that the crash is coming -- to a large degree, because everyone is convinced that the U.S. Federal Reserve Bank, with Ben Bernanke at the helm, will never allow deflation to happen: It can just print money! Well, take a look at these two charts EWI's president Robert Prechter's published in October 2007.
Filed Under: deflation, Robert Prechter, U.S. Federal Reserve (the Fed), U.S. Federal Reserve (the Fed), Ben Bernanke, liquidity
Category: U.S. Economy
Real Estate’s Latest Chapter
The problems of the commercial real estate market are too large to ignore.
By Jason Farkas
11/5/2009 3:45:00 PM
Large commercial buildings are illiquid. This is especially true during an economic contraction and credit crunch. Although roughly half the size of the residential housing market, the commercial real estate market is still twice the size of the total U.S. stock market, so its problems are too large to ignore. They include...
Filed Under: Robert Prechter, conquer the crash, liquidity
Category: Real Estate
By Susan C. Walker
7/17/2009 4:15:00 PM
Today you can buy twice the house, twice the stock shares and twice the gasoline that you could a short while ago. So, are you holding some safe cash or cash equivalents?
Filed Under: liquidity, stimulus package, U.S. Treasuries, cash
Category: Classic Prechter
A Bear Market That Lasts Forever?
Is there really "a negative feedback loop between the financial system and the broader economy"?
By Vadim Pokhlebkin
1/14/2009 5:15:00 PM
Is there really "a negative feedback loop between the financial system and the broader economy"? Allow us to suggest that they don't exist. Why? Because if they did, both bull and bear markets would last forever: Good times would perpetuate everlasting euphoria, and bad times would propagate eternal pessimism. But that's not how it works in real life... and that's why there is a light at the end of this tunnel.
Filed Under: liquidity, Bear market
Category: Stocks
By Vadim Pokhlebkin
12/29/2008 6:15:00 PM
Well, here we are – a year-and-a-half since the start of the crisis, and hardly out of the woods. While we at EWI take pride in having prepared our subscribers, we take no pleasure in watching the devastation that this crisis has been causing. But it is here. And, probably like you and lots of other people, I keep asking myself these three questions...
Filed Under: foreclosures, subprime lending, liquidity, deflation, South Sea Bubble
Category: Stocks
By Vadim Pokhlebkin
10/20/2008 9:30:00 PM
Once again, I sit down to talk with Jeffrey Kennedy, Elliott Wave International's Senior Commodity Analyst and editor of our Futures Junctures Service. -- Jeffrey, the ongoing credit contraction – a.k.a. liquidity crisis – has not spared commodities. Just glancing at the long-term charts you show in the Wave Watch section of your October Monthly Futures Junctures, I see that prices of markets like coffee, corn, wheat or soybeans that were flying high just months ago, are down hard – and I mean, hard! -- Jeffrey Kennedy: Yes, while some commodities have suffered less, corn prices, for example, got cut in half since June...
Filed Under: coffee futures, corn futures, wheat futures, soybean futures, Fibonacci, liquidity
Category: Commodities
By Vadim Pokhlebkin
8/20/2008 8:45:00 PM
By claiming that there is a "negative loop between the financial system and the broader economy," the International Monetary Fund is essentially saying that we will be stuck in this bear market forever – literally. Think about it...
Filed Under: International Monetary Fund (IMF), liquidity
Category: U.S. Economy