Buffett’s view on gold

I posted this last April, as I heard lot’s of people taking about a bubble in gold, and how gold “doesn’t provide a dividend” and how gold “doesn’t make a profit”.   After reading Warren Buffett’s annual letter to Berkshire Hathaway shareholders today, I felt compelled to update the numbers, as Buffett dissed gold pretty bad. […]

Why are stocks rising?

The S&P 500, DJIA, and NASDAQ are all up about 40% from their lows on March 9th.  Why?  Has the economy (and earnings) rebounded that sharply?  Or were the March lows an aberration?  It’s been a while since I talked about the stock market or the larger economic picture, so it’s time to revisit those […]

Closing the book on 2008 earnings

It’s been a while since I’ve had time to post any new info, and as I was reading through the news tonight, it occurred to me to close the loop on the dismal S&P 500 earnings in Q4 of 2008.  To sum it up, they sucked. Standard and Poors has the final numbers for 2008 […]

S&P 500 earnings update

Standard and Poors finally released an update for the 4th quarter earnings today, and the news is even worse than the last update on February 15th – and keep in mind that this does NOT include the nuclear loss that AIG dropped on the market this morning.  AIG announced the largest loss by any company […]

More bottom fishing on stocks

You’d think that the “experts” would eventually learn, but when I scan the news lately, almost everyone and their brother is calling this the bottom of the bear market.  If they’re not outright calling a bottom, they’re saying “near the bottom” or something similar. Just today I ran across these stories saying that we’re at […]

Confidence plunges – stocks soar

No, it doesn’t make sense to me either.  In a report from the Conference Board today, consumer confidence set a record low this month.  It plunged to 25 from a revised (lower) January number of 37.4.  That’s an all time record.  And yet stocks soared today, with the DJIA gaining over 236 points, to end […]

Stock market volatility is back

I’m not the only one saying the S&P 500 needs to drop.  An article at My Budget 360 has some good information and analysis about P/E ratios and why they matter. Some are arguing that the fair value of the S&P 500 should be somewhere around 440 if we take a multiple of 15 which […]

Listen to experts – and go broke

While reading through the news today, I saw several articles and stories talking about how now is a good time to buy stocks.  I’ve been reading this same type of story since mid 2007, and there’s one thing they all have in common – they’re all wrong. They’re wrong because the “experts” the writers quote […]

Are stocks cheap?

CNN seems to think stocks are cheap right now.  Really.  A story this morning is headlined New lessons from the crash and the lead in says  Finally, stocks are cheap. Really. So it may be time to break the rules – just a little – to take advantage of this opportunity. The story goes on […]

S&P 500 earnings in the tank

It’s been about a week since I posted an updated earnings report for the S&P 500, and there are a few new items. By far the biggest item is that S&P is now recognizing that Q4 earnings – well, there aren’t any.  This will be the first quarter ever where the 500 companies (which make […]