On June 2, the postman rang once -- and, boy, did he ring.
That day, the Wall Street Journal published a strongly worded letter titled, "Grand Central: A Letter to Stingy American Consumers," which included these notable passages:
"Dear American Consumer,
"This is the Wall Street Journal. We're writing to ask if something is bothering you. The sun shined in April and you didn't spend much money. The Commerce Department here in Washington says your spending didn't increase at all, adjusted for inflation last month, compared to March.
"You've been saving more too. You socked away 5.6% of your income in April after taxes, even more than in March. This saving is not like you. What's up?
"Fed officials want to start raising the cost of your borrowing because they worry they've been giving you a free ride for too long with zero interest rates. We listen to Fed officials all of the time here at The Wall Street Journal, and they just can't figure you out."
EWI Asian-Pacific markets editor Mark Galasiewski always finds compelling indicators to support his forecasts -- indicators that few others see. This past December he highlighted a little-followed sector index to help support his outlook for Chinese stocks. You can read his analysis in Elliott Wave International's new free report.
This article was syndicated by Elliott Wave International and was originally published under the headline (Interview) Asian Markets Are Flashing Strong "Buy" Signals. EWI is the world's largest market forecasting firm. Its staff of full-time analysts led by Chartered Market Technician Robert Prechter provides 24-hour-a-day market analysis to institutional and private investors around the world.
The "Currency War" we discussed in our October issue of The Elliott Wave Financial Forecast and again in the January issue has expanded to new fronts, as world central banks fought to remain economically competitive by trying to push down the value of their currencies.
Singapore became at least the ninth nation to "jump on the easing bandwagon" in January, employing loose monetary measures designed to reduce the value of the Singapore dollar.
It isn't easy being an investor in the U.S stock market these days. Honestly, it feels more like being in a clinical trial for mood stabilizers. Or, as the market oracle himself Warren Buffett described it in December 2014:
"Mr. Market is kind of a drunken psycho. Some days he gets very enthused. Some days he gets very depressed. And when he gets really enthused... you sell to him, and if he gets depressed, you buy from him. There's no moral taint attached to that."
Moral taint, no. But, there is a pretty significant learning curve attached to that. To wit: You have to know in quantitative terms what "really enthused" or "depressed" looks like on a price chart -- before the mood swing. As in tangible, objective criteria that signals Continue reading "How to Tame the Volatile Financial Markets"→