Money and Finance
The current acceleration of credit via central bank policies will likely produce a positive rate of real economic growth this year for most developed countries, but the structural distortions brought about by zero bound interest rates will limit that growth and induce serious risks in future years.
- Hoisington Q2 2013 Letter
The secular low in bond yields has yet to be recorded. This assessment for a continuing pattern of lower yields in the quarters ahead is clearly a minority view, as the recent selling of all types of bond products attest. The rise in long term yields...
- Hussman Weekly Market Comment: All Of The Above
Notes on fruitless monetary policy The prospect of continued tepid economic growth, if not recession, might be taken as evidence that the Fed will not taper its program of quantitative easing anytime soon. I actually think this inference is incorrect....
- Bill Gross – April 2012 Investment Outlook: The Great Escape: Delivering In A Delevering World
When interest rates cannot be dramatically lowered further or risk spreads significantly compressed, the momentum begins to shift, not necessarily suddenly, but gradually – yields moving mildly higher and spreads stabilizing or moving slightly wider....
- Bill Gross – March 2012 Investment Outlook: Defense
Over the past 30 years, an offensively minded Federal Reserve and their global counterparts were printing money, lowering yields and bringing forward a false sense of monetary wealth. Successful investing in a deleveraging, low interest rate environment...
- Bill Gross – January 2012 Investment Outlook: Towards The Paranormal
The New Normal, previously believed to be bell-shaped and thin-tailed in its depiction of growth probability and financial market outcomes, appears to be morphing into a world of fat-tailed, almost bimodal outcomes. A new duality – credit and zero-bound...
Money and Finance
Bill Gross – May 2012 Investment Outlook: Tuesday Never Comes
The current acceleration of credit via central bank policies will likely produce a positive rate of real economic growth this year for most developed countries, but the structural distortions brought about by zero bound interest rates will limit that growth and induce serious risks in future years.
Not suddenly, but over time, gradually higher rates of inflation should be the result of QE policies and zero bound yields that will likely continue for years to come.
Focus on securities with shorter durations – bonds with maturities in the five-year range and stocks paying dividends that offer 3%–4% yields. In addition, real assets/commodities should occupy an increasing percentage of portfolios.
- Hoisington Q2 2013 Letter
The secular low in bond yields has yet to be recorded. This assessment for a continuing pattern of lower yields in the quarters ahead is clearly a minority view, as the recent selling of all types of bond products attest. The rise in long term yields...
- Hussman Weekly Market Comment: All Of The Above
Notes on fruitless monetary policy The prospect of continued tepid economic growth, if not recession, might be taken as evidence that the Fed will not taper its program of quantitative easing anytime soon. I actually think this inference is incorrect....
- Bill Gross – April 2012 Investment Outlook: The Great Escape: Delivering In A Delevering World
When interest rates cannot be dramatically lowered further or risk spreads significantly compressed, the momentum begins to shift, not necessarily suddenly, but gradually – yields moving mildly higher and spreads stabilizing or moving slightly wider....
- Bill Gross – March 2012 Investment Outlook: Defense
Over the past 30 years, an offensively minded Federal Reserve and their global counterparts were printing money, lowering yields and bringing forward a false sense of monetary wealth. Successful investing in a deleveraging, low interest rate environment...
- Bill Gross – January 2012 Investment Outlook: Towards The Paranormal
The New Normal, previously believed to be bell-shaped and thin-tailed in its depiction of growth probability and financial market outcomes, appears to be morphing into a world of fat-tailed, almost bimodal outcomes. A new duality – credit and zero-bound...