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Fed postpones taper, stocks applaud news

  Roaming the world as a foreign correspondent for more than a decade, I was able to observe how a variety of vastly different nations organized themselves economically. The inescapable conclusion was that no politician anywhere on the planet has ever actually created a rupee’s worth of prosperity. – Louis Rukeyser, Nov. 1996                                                                                                                       In […]

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Stocks resilient as they climb a wall of worry

The investment business is, by definition, a business of hope. Everyone hopes that he can beat the market, even if few people actually can. – Avi Nachmany     With news that a diplomatic solution to the crisis in Syria would be possible and that military conflict would probably be avoided, a sense of calm returned to […]

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Stocks close higher on favorable economic data

I own last year’s top performing funds. Unfortunately, I bought them this year. – Anonymous Maybe the month of September isn’t so scary after all. Since 1950, the worst month of the year for stock performance has been September, with an average negative total return. Although we have a long way to go before the […]

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Possible military conflict in Syria unnerves markets

There are two times in a man’s life when he should not speculate: when he can’t afford it, and when he can. – Mark Twain As if investors did not have enough to worry about already, talk of a possible military strike against Syria unnerved the markets last week and promises to add to the […]

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Federal Reserve uncertainty affecting stocks

No matter how thin you slice it, it’s still baloney. – Alfred E. Smith Will they or won’t they? That still seems to be the question on all investors’ minds after minutes of the Fed’s July 30-31 policy meeting were released last Wednesday. Sandwiched between mixed housing data on existing and new home sales for […]

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Stronger economic data leads to taper talk

Basically, we were guessing on interest rates … what we’ve come to believe is that no one can guess interest rates. – Fred Henning, head of fixed-income investing at Fidelity Investments, LA Times, July 7, 1997. Here we go again. Just when you thought that investors could finally put Fed tapering to rest, it reared […]

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Fed taper concerns weigh on market

Something that everyone knows isn’t worth knowing. – Bernard Baruch Apparently investors did not care for the view from up high as both the Dow and S&P 500 descended from their record levels set last week. After rising six consecutive weeks, the Dow finally turned in a losing week as economic data was sparse and […]

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Stocks strong on earnings and economic data

Our stay-put behavior reflects our view that the stock market serves as a relocation center at which money is moved from the active to the passive. – Warren Buffett After a week when the economic data could best be described as lackluster and the statement from the Federal Reserve was more of the same, the […]

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Calm before the storm….

Bull market: An upward movement in prices causing an investor to mistake himself for a financial genius. – Anonymous     Last week could best be characterized as calm before the storm as the importance of last week’s economic data pales by comparison with what is scheduled for this week. Although there was the release […]

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At the risk of sounding like a broken record…

It has been a problem since the dawn of the retail brokerage business: Brokers have a strong incentive to get customers to trade when it might be in clients’ interests to do nothing. – Business Week, July 14, 1997     At the risk of sounding like a broken record, Federal Reserve Chairman Ben Bernanke […]

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