O’Shaughnessy sees big upside, S&P 500 at 900

From a story on Yahoo News. A rising savings rate and an improved housing market, while not completely healed, point to brighter times ahead in the U.S. economy, O’Shaughnessy told Reuters in an interview. “I do think that as all that coalesces, you see a good chance for the S&P 500 (at) 900 out of […]

Q1 S&P 500 earnings are toast

The latest numbers from Standard and Poors are even worse than yesterday.  Now, even Operating earnings are negative, not just as reported earnings. Check it out here.  Link will open an Excel spreadsheet. Notice the Operating earnings for Q1.  The total for the S&P 500 is now negative 56 cents.  As reported earnings are now […]

Today’s top news

Here are the top 10 news stories today from Reuters Business News as of 4:55 PM ET.  Notice a pattern? Wall St pulled lower by banks, S&P below 700 - 14 minutes agoStocks fell in volatile trading on Tuesday, with the S&P ending below 700 for the first time since October 1996 as persistent uncertainty about the amount […]

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 […]

Bye-bye to buy and hold

As if the past few years haven’t been proof enough, the recent plunge in stock prices may finally shut up the chorus of buy and hold investing proponents.  I’ve been saying it for a long time, but maybe hitting people in the pocketbook is the only way to make them understand. Buy and hold is […]

Buy and hold is dead

I posted this in a MarketWatch.com comment a bit ago and decided it was worth putting here.  This post was in response to another comment about the importance of having a long term (10 years) time horizon when investing.  I disagreed.  Here’s the post: So if you put $100,000 into the S&P 500 10 years […]

Knoxville Area Economy Heading Down

It’s been a bad week for business in the Knoxville area to say the least.  Here are some headlines from just this past week: Goody’s shutting doors after 55 years in business (800 jobs lost) Sea Ray plant closing (575 jobs lost) Officials ‘in shock’ as Alcoa announces layoff of 450 (450 jobs lost) ImagePoint […]

What moves the stock market?

I don’t know what news people are seeing that encourages them to buy stocks.  I meant to post this last night but didn’t get the time, so here goes. The DJIA went up over 500 points yesterday and I’ll be damned if I can figure out why.  I kept an eye on the news headlines […]

Financial Bailout Plan

This needs to be read by more people, so more people can contact congress to let them know what they think of it.  I’ll post the reasons for my own thoughts later (I think it sucks!) but for now, here’s the text of the proposed plan according to the NY TImes.  Please read it and […]

Deja Vu

Does this sound familiar?  According to the story, Bank of America CEO Ken Lewis says “that he sees no need for the largest U.S. bank to raise capital or cut its dividend.” I don’t know why, but it sounds like I’ve heard that before….  Oh yea, now I remember.  Citi Group said that on November […]