WSJ’s Andy Kessler on the GameStop Stock-Trading Fiasco: “Old Wine in New Bottles”

Greater and Lesser Fools Grizzled investors will tell you that if you feel euphoric after a trade, it wasn’t a good one. You should feel awful and be second-guessing yourself. That’s the sign of a great trade.” –Andy Kessler, “A Stock-Trading Dupe is Born Every Minute”; The Wall Street Journal (2/21/2021).  Admittedly, three weeks does seem...
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Will the “Whatever-it-Takes” Federal Reserve Have What it Takes?

Ground-scraping interest rates turn savers into speculators and quarantined millennials into day traders. They facilitate overborrowing, suppress market signals, misdirect investment dollars, and promote the dubious business of turning well-financed public companies into heavily indebted private ones.” –James Grant, “Powell Has Become the Fed’s Dr. Feelgood”; The Wall Street Journal 6/28/2020. Except for Jim Grant’s...
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In 2008 the Fed Bought Bonds (and Kept Buying and Buying). Will it Buy Equities Now?

Quantitative Easing for Stocks [Note to Readers: The views expressed here are solely those of Ross Kaplan, and do not represent Edina Realty, Berkshire Hathaway (“Berkshire”), or any other entity referenced. Edina Realty is a subsidiary of Berkshire.] With the Dow in free fall, investors are looking to the cavalry (the Fed) to once again...
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WSJ: “Stock Rout Puts Nasdaq in Bear Market”

  Dow Jones Drops 414 Points to Close at 22,445 Say what you will about the housing market’s up’s and down’s. But, I don’t know anyone who bought a home in early October for $270,000, that’s suddenly worth only $225,000 scarcely 10 weeks later. Yet, that’s almost exactly what’s just happened in the stock market. Just subtract...
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Housing and the 2016 Presidential Election

Buy/Sell Now or Wait? With the November election finally(!) on the horizon, at least some Buyers and Sellers are trying to decide whether market conditions — and by market conditions, most observers mean interest rates — will be more or less favorable once U.S. voters have spoken. The dilemma:  whether to act now or wait....
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How to Make a Fortune Reading This Blog

Contrarian Indicator:  My Perfect, 7-for-7 Forecasting Record Want to make a fortune? Don’t follow my advice. Do the opposite. In the interest of full disclosure, herewith are all the market calls I got wrong the last few years (in my defense, so did almost every other so-called “expert”): 1. Stocks: Prediction:  â†“ Actual:  â†‘ Explanation:...
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