Playing Defense All Around The World

Many investors today are feeling conflicted. In one respect, they see a U.S. stock market that appears completely unyielding in its persistence to the upside despite the fact that we will soon be entering the sixth year of what is currently the third longest bull market in history. As a result, they want to participate in any further upside stocks have to offer. On the other hand, they see a stock market that will soon be entering the sixth year of a bull market on what has been more than dubious fundamentals all along and that has just now lost the monetary policy fuel from QE related asset purchases that helped propel it higher for so many years. Consequently, they are reluctant to participate any further amid the fear that they might be committing fresh capital to the market just as the graying bull market is finally coming to an end. What is the conflicted investor to do? One possibility is to consider playing defense all around the world.

Please click on the link to read more of my article on Seeking Alpha.

Stocks: Considering Life Without The Fed ‘Put’

It is a belief that has been firmly ingrained in the minds of investors for nearly three decades. It is the Fed ‘Put’, which is the expectation that the U.S. Federal Reserve will intervene aggressively to support stock prices during any sustained correction or market crisis. But following nearly three decades of pursuing this monetary policy approach, it is reasonable to question whether the days of the Fed ‘Put’ may now be over under the direction of new Fed leadership. If this is indeed the case, it is worthwhile to consider the potential implications for the stock market going forward.

Please click on the link to read more of my article on Seeking Alpha.

A Once In A Generation Change For Stocks

The Federal Reserve is currently undergoing a monumental change in its monetary policy priorities. This shift marks a major departure from the focus that has defined the Fed’s work for more than a generation. And if the Fed actually follows through with this transition, it will have dramatic implications for years if not decades to come on financial markets that have become so heavily dependent on the persistently generous support of monetary policy for over a quarter century. Yet financial markets seem to hardly notice these recently explicit signs that we may be right now at the dawn of a new era for Fed policy. As for what lies ahead in the next phase, stock investors will almost certainly be required to work much harder to generate consistently positive returns than has been required over the past few decades.

Please click on the link to read more of my article on Seeking Alpha.

Stocks And Seasonality: Caveat Emptor

It is the most wonderful time of the year for stock investors. Over the last 70 years, the months of November and December have ranked among the best for stocks both in generating positive performance and achieving solid total returns. And it is has been the prospects of this seasonality that has helped assuage investor concerns following the recent correction. But while historical stock performance during the months of November and December is indeed impressive, it is not without risks that are worth considering as we move into the final two months of 2014.

Please click on the link to read more of my article on Seeking Alpha.

Victory For The Bears

The last two weeks has provided a pivotal and decisive victory for long suffering stock market bears. Heading into the past fortnight, I wrote an article entitled Stocks: The Most Important Week In 6 Years, and the markets certainly did not disappoint in this regard, as a series of market fireworks quickly followed and continued through the close of Friday’s trading. And in the aftermath of what has been an explosive two weeks, it has become increasingly likely that the end of the nearly six-year long bull market may soon be upon us.

Please click on the link to read more of my article on Seeking Alpha.


Get every new post delivered to your Inbox.

Join 5,974 other followers