Archive for March, 2009

• Tuesday links: contracts under assault
  abnormalreturns, March 31st, 2009 at 11:55 am, Comments: 0

  Why are we protecting bank bondholders at the expense of the larger economy and financial system?  (Clusterstock, Hussman Funds)
  Hitting bank bondholders remains the “nuclear option” rife with risk.  (Real Time Economics, Clusterstock, Baseline Scenario)
  What is an investor to do when diversification becomes “commoditized“?  (Zero Beta)
  Count the PBGC among those taken in by the conventional wisdom [...]

• Monday links: long run risks
  abnormalreturns, March 30th, 2009 at 1:31 pm, Comments: 0

  The bet on corporate bonds vs. stocks at this point is a deflation vs. inflation argument.  (FT Alphaville also Fortune.com, Capital Spectator)
  More on the risk of stocks in the long run and the death of buy-and-hold investing.  (Clusterstock, TheStreet.com)
  A graphical depiction of how diversification works, until it doesn’t.  (dshort.com)
  The strong performance of the BRIC markets [...]

• Monday links: long run risks
  abnormalreturns, March 30th, 2009 at 1:31 pm, Comments: 0

  The bet on corporate bonds vs. stocks at this point is a deflation vs. inflation argument.  (FT Alphaville also Fortune.com, Capital Spectator)
  More on the risk of stocks in the long run and the death of buy-and-hold investing.  (Clusterstock, TheStreet.com)
  A graphical depiction of how diversification works, until it doesn’t.  (dshort.com)
  The strong performance of the BRIC markets [...]

• Sunday links: stocks vs. bonds
  abnormalreturns, March 29th, 2009 at 11:28 am, Comments: 0

  Is the economic crisis ultimately going to be good for America?  (Time.com)
  Are stocks really less risky over the long run?  (NYTimes.com, Big Picture)
  Sell stocks, buy corporate bonds.  (Aleph Blog, Crossing Wall Street)
  The Bespoke Investment Group guys on trying to get a handle on the market when their indicators go “off the charts.”  (Barrons.com)
  Sentiment has turned.  [...]

• Friday links: equity culture crash
  abnormalreturns, March 27th, 2009 at 6:36 am, Comments: 0

  Due to travel, today’s edition of the linkfest is early and abbreviated. We will get back to it this weekend.
  “The challenges the United States faces are familiar territory to the people at the IMF. If you hid the name of the country and just showed them the numbers, there is no doubt what old IMF [...]

• Thursday links: simple but not easy
  abnormalreturns, March 26th, 2009 at 11:24 am, Comments: 0

  Despite an equity market rally, the bond market is still skeptical of sustained financial stability.  (WSJ.com)
  Bond auction failures.  Time to worry?  (MarketBeat, Free exchange)
  California sells some bonds, at a price.  (Dealbreaker)
  Color short-sellers skeptical of the rally.  (FT.com, Zero Hedge)
  Short-sellers saved us from a decade of weak banks.  (Andy Kessler also Clusterstock)
  The market tends to fall [...]

• Thursday links: simple but not easy
  abnormalreturns, March 26th, 2009 at 11:24 am, Comments: 0

  Despite an equity market rally, the bond market is still skeptical of sustained financial stability.  (WSJ.com)
  Bond auction failures.  Time to worry?  (MarketBeat, Free exchange)
  California sells some bonds, at a price.  (Dealbreaker)
  Color short-sellers skeptical of the rally.  (FT.com, Zero Hedge)
  Short-sellers saved us from a decade of weak banks.  (Andy Kessler also Clusterstock)
  The market tends to fall [...]

• Wednesday links: play in the PPIP pool
  abnormalreturns, March 25th, 2009 at 1:52 pm, Comments: 0

  Given where some banks have their toxic assets marked, it will be difficult to find any takers via the PPIP.  (Zero Hedge, ibid also FT Alphaville)
  If the banks really did sell toxic asset they could very well bankrupt themselves. (Clusterstock, FT.com, WSJ.com)
  “The lesson here is that the interests of investors and government are aligned if [...]

• Tuesday links: power plays
  abnormalreturns, March 24th, 2009 at 12:55 pm, Comments: 0

  It looks like we beginning to see some of the cash on the sidelines come back into the stock market.  (VIX and More)
  Doug Kass, “Why the bears are wrong.”  (TheStreet.com)
  “If you love to watch and plunge when the odds are in your favor, like I do, than you should be licking your chops because this [...]

• Monday links: a CLO to buy a CLO
  abnormalreturns, March 23rd, 2009 at 4:43 pm, Comments: 0

  The toxic asset plan, “a CLO to buy a CLO.”  (MarketBeat, Real Time Economics)
  The stock market loves the toxic asset plan. Every one else pretty much hates it. Who’s correct?  (Infectious Greed, Clusterstock, Market Movers, Curious Capitalist, Information Arbitrage, John Hussman, 24/7 Wall St., Zero Hedge, Free exchange, Atlantic Business, The Big Money)
  Hold onto your [...]