And The Winner Is … Bill Ackman!!! Yes, Ackman distinguished himself by going on CNBC last Wednesday, March 18, at the height of the recent market panic and screamed to the world “hell is coming.” … like someone yelling “fire” in a crowded theater (I pointed this out in “Postcard from the bunker–3/19/20). I had…
A postcard from the bunker
Hunkered Down As I write this post I am hunkered down in the Kort family bunker, deep below the towering McMansions of Leawood, Kansas. Present are my wife, daughter and granddaughter and a fair supply of provisions, including toilet paper. We are some of the lucky ones. My tongue-in-cheek intro does absolutely not mean to…
A significant change in message occurred Friday the 13th.
The word from Washington has changed from the coronavirus is ‘no big deal.’ We can get through this biological tap on the brakes of the economy with monetary ease (50 basis point cut in the Fed funds rate), a suggested cut in payroll taxes and, last Wednesday, a 30-day ban on flights from continental Europe….
Nothing inspires confidence like a proposed emergency payroll tax cut.
This is especially true if you are an airline or hotel employee that is about to be laid off as a result of a coronavirus lapse in demand. OK Kort, what would inspire confidence? —Tell the truth. Don’t speculate about when a vaccine might be available or make statements about how quickly testing will be…
Coronavirus Panic: Time to chill, breath in and breath out … and consider the facts.
Time to look backward: an S&P 500/Corona virus retrospective Even though the corona virus outbreak in China had been on investor radar screens since the first of 2020 the S&P 500 managed to claw its way to a new all-time high of 3338 January 23. That happened to be the day China cut off egress…
Nothing inspires confidence like an emergency Fed funds rate cut
— During the entire panic on the downside you had to ask ‘are things really that bad out there?’ — One also has to ask how does a cut of 50 basis points on the Fed funds rate positively impact the trajectory the COVID19 epidemic. — Fortunately, the answer may be ‘no’ to bullet number…
Blame it on the”Bern” … Really? Plus, the dreaded press conference.
I find my self incredulous (comments on the “Bern” and press conference to follow below) I find myself incredulous about the severity of the declines the past three days. I really shouldn’t be. The S&P had a terrific run last year … S&P 500 total return 31.48%. It is the damage being done on second…
Coronavirus continues its reign of terror
— COVID-2019 fears continue to dominate the market. — It is very hard to square the terror that surfaced Friday in bonds and gold with the evidence at hand. — Will coronavirus just be another obsession that falls by the wayside in the secular bull market? The S&P 500 is just 1.7% from a new…
“I’m done with fossil fuel” stocks
— When I see comments like this, especially from the likes of Jim Cramer (Squawk on the Street, 2/7/20), it gives me pause. — Cramer’s ‘big call’ history is more than a bit spotty. — Flawed as the much-heralded concept of ‘peak oil’ was back in 2008, writing the obituary for thefossil fuels industry may be a bit premature. When…
” … Corona virus to ‘paralyze China,’ don’t buy the dips” — a wannabe epidemiologist
— This grave assessment is not my own but that of Mohamed El-Erian, Allianz chief economic advisor and ex-Pimco CEO. — From the point of view of the media source it emanated from, CNBC, it is a great headline … wonderful click bait — Should it be part of your decision process? Is El-Erian credible?…