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International Perspective, by Marshall Auerback China Tightens - The Beginning Of The End Of Global Reflation? September 2, 2003 There is much anecdotal and statistical evidence to support the notion of an incipient global recovery now underway, in marked contrast to last spring's dire talk about deflation.  Germany's IFO index (a leading indicator of business confidence) has now exceeded expectations 4 months' running, Canadian home sales are booming, the UK is still in the midst of a mortgage refi boom, and the economies of emerging Asia continue to upgrade their respective GDP growth estimates.  With American economic growth recently revised...

By JONATHAN CLEMENTS Published on 8/24/2003 So much for good intentions. Total mortgage debt has soared over the past five years. That's been partly driven by rising home prices, low interest rates and foolish consumers tapping their home's equity to pay for their next shopping spree. But I believe this rash of mortgage borrowing has also been fueled by some flawed financial thinking. Many homeowners have convinced themselves it's smart to load up on mortgage debt. But trust me: It just isn't so. • Losing Interest: House prices are up a cumulative 39 percent over the past five calendar years,...

It was another week of “adventure” for unsettled global financial markets. The dollar enjoyed its largest gain in 2 ½ years, Semiconductor stocks surged 11%, unleaded gasoline jumped almost 10%, and the two-year Treasury yield traded this week to the highest level since December. As for the stock market, equities continued their upward momentum, led by episodes of buyers’ panic (semiconductor and tech stocks). The Dow Jones Industrial Average gained 0.3% for the week, and the S&P 500 added 0.2%. The Transports added 0.7% and the Utilities dropped 0.5%. Economically sensitive issues outperformed, with the Morgan Stanley Cyclicals gaining...