Because of the diminished long-terms returns-on-invested-capital and the inability for many commodity companies to build what Mr. Buffett and Morningstar call the “sustainable moat”, clients have never owned substantial positions in commodity companies for longer periods of time. Yes, Alcoa … Continued
Here is 6-year detail (both historical and prospective) of SP 500 earnings growth: 2020: +9% (est) 2019: +10% (est) 2018: +22% (est) 2017: +12% 2016: +1% 2015: -1% Source: Thomson Reuters IBES The Excel table just above shows … Continued
Europe is weak, China seems to be weakening, trade and tariff issues have suddenly made everyone nervous even though the dollar amounts seem to have been reduced so does that mean Treasuries are poised for a decent rally here ? … Continued
https://www.frbsf.org/education/publications/doctor-econ/2013/march/federal-reserve-interest-balances-reserves/ One article read this weekend – think it was from the CNBC app – noted that the surprise with this week’s FOMC announcement could be that that the Fed starts paying interest on member bank deposits ? I have … Continued
In the weekly SP 500 Earnings update this weekend, some thoughts were given on the Technology sector’s earnings, forward growth estimates, and the influence Apple has on the sector. Readers should quickly look at this blog post from a few … Continued
The above was cut-and-pasted from Friday, June 8th’s “This Week in Earnings” and the table shows how SP 500 expected earnings growth has tracked by sector since Jan 1 ’18. Q2 ’18 will obviously benefit from tax reform and … Continued
After the recent slippage in the forward estimate the last few weeks, a couple readers emailed and noted the decline and made some additional comments about the drop the forward estimate, which from a historical perspective, was almost immaterial. Readers … Continued
The Emerging Markets ended a 10-year bear market in Q1 ’16, as the EEM (iShares MSCI ETF) peaked in the $55 area in October, ’07, the VWO (Vanguard EM ETF) peaked near $58 in November ’07, where both bottomed in … Continued