Stock Market Crash 2013: Four Factors Investors Need to Watch
Special Report from Money Morning
by Garrett Baldwin, Money Morning
Some call it a "
perfect storm" and others a "
financial apocalypse," but it doesn't matter what you call the fiscal headwinds facing the U.S. economy - just that you watch them, and thestock market "crash talk" they're stirring up.
With talk of theHindenburg Omen,credit crunches, and strugglingemerging markets, it's important to prepare for the potential impact of bumps ahead.
Despite a strong rise for the stock market so far in 2013, many of the structural and political concerns highlighted during periods of political convenience in Washington have not gone away. Every year it seems that Congress kicks the can down the road, only to act shocked when the economy stalls and the can is back at their feet.
Markets Close Mixed on Low Volume, Investors Cautious
Closing Market Commentary For 09-19-2013
The markets have melted off their morning highs, but in reality, by 2:30, it is less than 25% of Wednesday's gains and that part is bullish, but that appears that is the only good news. Investors are understandably cautious and concerned about Mr. Market's next move now that we are virtually sitting at a top.
By the market close the averages had melted off the morning highs and the averages closed mixed generally the large caps down15% to 25% and the small caps up 15% to 20%. Tomorrow will not have any significant financial news to report, so be prepared for rumors and innuendos to run the markets.
What We Read Today 19 September 2013
Econintersect: Click Read more >> below graphic to see today's list.
The top of today's reading list comes from Syria Deeply describing what some Syrians think about the coiuntry ........ and the last article shows why obesity has been increasing: Caloric intake has risen almost 25% per person since 1980.
Median Income Improves Marginally in 2012
from US Census 2012 American Community Survey
From the 2000 ACS to the 2012 ACS, real U.S. median household income decreased 6.6 percent. The U.S. median household income increased marginally (0.09% or 9 parts per thousand) from $51,324 in 2011 to $51,371 in 2012.
Averages Melt Off Morning Highs, Markets Flat And Unattractive
Midday Market Commentary For 09-19-2013
The markets have melted off the morning highs and appeared to be weakening as I type. Red volume spikes showing some investors getting out while they can, but I do not see any waterfall action at this time.
By noon there isn't much to expound on and investors will have to wait this one out for a while, perhaps as long as the next FOMC meeting in December. A correction is warranted, but is this a trip down from the 'top' or just a wind up for the next pitch.
September 2013 Philly Fed Business Outlook Dramatically Improves
Written by Steven Hansen
The Philly Fed Business Outlook Survey improved strongly and remains in positive territory. This survey has been negative for 9 of the last 17 months. Key element new orders strengthened in expansion territory.
Read more >>
Rebels vs. Radicals: Infighting Erupts As US Intervention In Syria Halts
The 2 year civil war in Syria has changed beyond recognition from the initial conflict. Rebel forces and al-Qaeda-linked factions that once fought side by side in the anti-Assad push are now pitted against each other in violent battles.
August 2013 Existing Home Sales Soft But Remains In Strong Growth Trend Lines
Written by Steven Hansen
The headlines for existing home sales say that sales growth improved in August month-over-month. Our analysis shows sales were soft compared to last month, but overall growth remains strong and in line with 2013 growth trends.
Read more >>
Party Is Over, Move Along, Nothing To See Here
Opening Market Commentary For 09-19-2013
Yesterday was a sad day showing explicitly that Bernanke and his band of golden monkeys did not have a plan nor have they had one - ever! Without a doubt, these foolish academic Keynesian scholars have made up every decision they have executed on a whim, making up what to do as they go. The unintended consequences of this imbecility looms ahead but first sell all of your long term bonds.
The premarket numbers, up fractionally, remained where they were after yesterday's close even after the USD Current Account Balance came in at -98.9 billion. The markets opened mixed with the DOW down 10 points and everything else up but flat and on anemic volume. By 10 am the averages were poised to melt down; the bull's party from yesterday looks like it is turning out to be a hangover.
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14 September 2013 Unemployment Claims 4 Week Average Continued Improvement
Blue Line 4 Week Average
The weekly claims were the lowest since the beginning of 2006. The market was expecting 335,000 to 340,000 vs the 309,000 reported. The more important (because of the volatility in the weekly reported claims and seasonality errors in adjusting the data) 4 week moving average
improved, moving from 321,250(reported last week) to 314,750.
Read more >>
Stratfor: What to Expect After Germany's Elections
from Stratfor
Much of Europe is eagerly anticipating the results of Germany's Sept. 22 parliamentary elections, but this anticipation may be somewhat misplaced. Of course, Germany's importance to Europe is well founded. It is Europe's largest economy and its main bailout creditor to struggling eurozone countries, so Germany's economic health is vital to the economic health of Europe as a whole.
Read more >>
Can China Lead Emerging Markets Out of "The Valley"?
The Middle Kingdom Breaks Ranks Investing Daily Article of the Week
by Ben Shepherd, Investing Daily
The MSCI Emerging Market Index is down by about 12 percent since May, but it has regained some ground as good economic news emerges from China.
Chinese trade growth ticked up in August, with exports rising 7.2 percent year-over-year. Notably, exports to the US rose 6.1 percent. Import growth remained slightly sluggish, though, up 7 percent from the same month last year but down from the 10.9 percent reading in July.
An improving Chinese economy helps allay growth concerns in emerging markets, but a lot still hinges on when the US Federal Reserve decides to start stepping back its quantitative easing efforts. Much of that hot money has flowed into emerging markets, which have barely had to work for it as investors sought out yields, and a reversal of those flows will undoubtedly cause problems.
Housing Smoke and Mirrors (16) - 'Name That Tune'
Written by Adam Whitehead, KeySignals.com
In Housing Smoke and Mirrors 'Re-tuning the HARP', several dissonant tones were heard in relation to the condition of the housing market. The discord has been created by the 'Taper' talk and the consequent sharp rise in interest rates. As the term structure of interest rates stabilizes, after its sharp upward adjustment, commentators with different axes to grind are making their new projections for the future. The incoming data signals how bad the collateral damage has been in the housing market; and provides clues to existing and new trends.
Read more >>
Yet More Mischief from Cheap Money (Part 379)
Bullion Vault Article of the Week
Written by Adrian Ash, Bullion Vault
Nothing is safe - not student loans, emerging markets, or London flats...
Did you enjoy your monthly dose of non-farms nonsense a couple of weeks ago?
Gold and silver both erased Thursday's drop when the latest US jobs figures were released. Set your gold or silver chart to one-week (1w) to see the silliness.
Bill Gates is Still America's Richest Man By Far
by Felix Richter, Statista.com
For the 20th year running, Bill Gates has been named America's richest man by Forbes Magazine. The well known business magnate and former CEO of Microsoft has a massive fortune of $72 billion. Even though he stepped down as Microsoft's CEO in 2000, he remains the company's chairman.
Is The Traditional Office Going The Way Of The Dinosaur?
Written by Harry Grant
The idea that a person must go to a physical office where they have a computer and phone to do their job is slowly fading. Neil Shah with the Wall Street Journal states that more than 13 million people work at home at least one day a week. Technology and flexible work structures mean more people will work remotely instead of in a prefab office cube. Companies are beginning to see how this new work culture can benefit them due to the following changes.
Infographic of the Day: The U.S. Government's Misadventures And Mishandling Of Spending
The U.S. Government Accountability Office (GAO) said they cannot render an opinion on the 2012 consolidated financial statements of the federal government because of widespread material internal control weaknesses, significant uncertainties, and other limitations.
France: Ask, Don't Tell
Written by Hilary Barnes
Many people shake their heads over the excesses of the popular press in Britain, but it might have a beneficial effect on life in France if the French press adopted the same manners and customs.
Fear at the Fed and the Magazine Cover Indicator
Written by William Kurtz
The Fed has elected to continue its asset-buying program "as is." There is no "tapering" in sight.
Some observers have expressed "surprise." Why should it have been a "surprise?" The surprisees must have been reading the wrong tea leaves.
The Music Industry is First to Arrive in the Digital Age
by Felix Richter, Statista.com
The music industry is two steps ahead of other industries in the ongoing digitization of media distribution. Download and streaming services accounted for almost 60 percent of recorded music revenues in the U.S. in 2012, while other media industries struggle to find a viable strategy for digital distribution.
