How to Profit in the Last Great American Bull Market

Turn on any television, click on any hyperlink, and you'll be bombarded with... "versus." It's tiring: Bulls versus bears, expansion versus recession, and, of course, red versus blue.

Well, we can put that polarizing debate to bed, once and for all... The old rules of economics and approaches to investing - the tired old sacred cows of the pundit class - are rapidly receding in the rearview mirror. And investors who align themselves with that kind of thinking are, to be blunt, doomed.

Even now, we're way past talk of "bulls and bears." I'll show you in a minute how the Fed and its renewed money-printing - $278 billion and counting fast - are pushing us toward what old sailors and cartographers used to call "terra incognita."

The edge of the map. The Twilight Zone. Think "Australia in 1603." Unknown land. "Here be dragons." Strange territory, indeed.

And just like those early modern explorers found, there are almost unimaginable riches to be had. Peril, too, but I'll show you why you don't have to worry about that.

The Fed's unprecedented - let's call it what it is, folks - stimulus has created a gravity-defying, absolutely gangbusters market melt-up; a colossal opportunity for making money. One that we may not see again in our lifetimes.

If that sounds strange to you, I agree. The fundamentals don't support a market like this, but the Fed is the market now, and this market is having a melt-up for the history books.

And I don't want you to miss a red cent of the profit potential ...
Read more »

Why I Don’t Feel Sorry for the Fed

I almost feel sorry for the Fed. Almost.

Even after last week's much-anticipated rate cut, Powell has been getting hammered by White House tweets for not cranking rates "competitively" faster and lower at levels equal to those of Europe and Asia - which is to say, zero or below.

Such pressure is the logical equivalent to: "If our neighbors are jumping off a bridge, we should, too."

Sending interest rates to the bottom of history (and then below that) has done nothing for the countries who have pursued this suicidal policy except buy more time, kick more cans, and fatten the size of the debt land mines buried beneath their teetering economies.

This is not an opinion; it's a mathematical and historical fact.

Let's explore... Read more »

Canadian Banks – A Fat Pitch You May Want to Swing At

As the July 4 festivities gear up in the U.S., I've been traveling and focusing on other parts of the global economy as part of an ongoing hunt for risk/reward opportunities as well as broader risk management themes.

Recently, we reported on Deutsche Bank's headline-making balance sheet risks. We looked as well at the cracks in the ice of Australia's credit woes with regard to residential mortgage and consumer debt, all of which bodes for continued trouble ahead as country after country lines up for a credit cycle domino fall.

Earlier this week I was in London talking to investors about Brexit, which is a political and economic hot potato worthy of its own, separate report as we head closer to the October deadline.

For now, however, I want to turn our attention toward another country close to my heart yet often overlooked by the talking heads on the financial media, namely Canada.

So let's get to it... Read more »

Will This Bond Bubble Ever Pop?

Below, we look at the US debt, the Fed, the bloated bond bubble, our debt ceiling, inflation, real estate, interest rates and what may lie ahead for bears and bulls alike at Signals Matter. Things Feel Good, No? Despite record... Read more »