Valentine Capital's 30 year interest rate ladder--30 rungs up and 30 rungs down
The Interest Rate Wave Will Bottom Out in 2012-13
by John Valentine, with Genevieve Valentine
Before we leap into the details behind our bold interest rate prediction, we would like to state that the consensus opinion thus far has been wrong. Every news channel, every newspaper, and every anti-Obama commentary which has claimed that the banking bail out will flood the market with money causing interest rates to spike is incorrect. Furthermore, the theory that there will be a new spark of inflation and a dramatic raise in interest rates is hogwash. In fact, these theories do not hold water nor can it hold oil. Why?
[FULL STORY]
|
Fear Investing Creates Market Wildfire
VCAM'S Seven Economic G's: Gold, Greenbacks, Goldman, GM, GE, Greece and the Gulf
by John Valentine and Genevieve Valentine
“We simply attempt to be fearful when others are greedy and to be greedy only when others are fearful”-- Warren Buffet. These words couldn’t be more accurate. Fear and greed are the most powerful emotions driving human behavior. Although these two emotions can cause an emotional roller coaster for the gut wrenched investor, it also drives “abnormal” investment decisions, thus causing drastic market swings. In other words, when one emotion is dominating the market, watch out. It is vital for investors to be vigilant when markets are driven by emotion, especially fear. When fear is sparked, it spreads like a wildfire-- bad things happen and can happen in a hurry. Over the last few weeks, the US market has had positive news and yet the good is being overshadowed by the turmoil ignited by fear in the marketplace. U.S. investors are so consumed with fears of inflation, anxiety towards the European debt crisis, and the uncertainty about the Gulf oil spill. Despite positive news about the state of the economy, we have seen consistent market drops.
[FULL STORY]
|
