Free Republic

Let me start out by saying I hate market comparisons.While history certainly does “rhyme,” they are never the same. This is especially the case when it comes to the financial markets. Chart patterns may align from time to time, but such is more a function of pattern-fitting than anything else.However, when it comes to fundamentals, standard-deviations, extensions, etc., it is a different story. A recent article by Ryan Vlastelica brought this to mind. “While the strategy of investing in internet-related companies will likely always be first associated with the dot-com era, the long-lived bull market has proved to be just...

Myles UdlandOctober 8, 2014 Stocks rallied in a big way after the Minutes from the latest Federal Reserve monetary policy meeting showed that the Fed remains particularly cautious about raising interest rates in the face of a strengthening US dollar and a slowing global economy. First, the scoreboard: •Dow: 16,989.69, +270.3, (+1.6%) •S&P 500: 1,968.86, +33.8, (+1.7%) •Nasdaq: 4,469.60, +84.3, (1.9%) And now, the top stories Wednesday: 1. The biggest story on Wednesday was the release of the Minutes from the Federal Reserve's September monetary policy meeting. The minutes were interpreted as "dovish," by the market, essentially meaning that the...

If the stock market were a transatlantic flight, the ride just went from uncomfortably bumpy to white-knuckle turbulence. The Dow plunged 335 points on Thursday, its worst day of the entire year on a point basis. What's behind all of this volatility? Market moves aren't always logical, but it's clear that investors are growing increasingly nervous about the fate of the European and Chinese economies. And they don't know how that will change the Federal Reserve's plans to remove the easy-money punchbowl. The violent swings in the market confused professionals and retail investors alike. "Everyone who thought they were in...

Myles UdlandOctober 9, 2014Markets had a rough day on Thursday, with the Dow falling more than 300 points and each of major stock indexes giving up all of their gains from yesterday's huge rally while bond yields fell around the world as the US 10-year Treasury bond fell to its lowest level in 15-months. First, the scoreboard: •Dow: 16,659.3, -335, (-2%) •S&P 500: 1,928.2, -40.7, (-2%) •Nasdaq: 4,378.3, -90.2, (-2%) And now, the top stories on Thursday: (snip)

By now you’ve probably heard about the “scary parallel” chart that some analysts were using to compare the current equity market with the period right before the 1929 crash (left). But how about the chart that’s so great for stock investors that it’s scary? In a twist on the oft-used — and oft-criticized — method of overlaying one chart on top of another to predict what the future holds for stocks, one firm finds that stocks have quite a climb ahead of them. The investment outlook, from Stansberry Research, compares the market returns since the S&P 500 index SPX +0.72%...