Michael Johnston submits:
Gold has historically been used in a variety of ways by different investors, but the precious metal is perhaps most commonly embraced as a safe haven investment that smooths out overall portfolio volatility in rocky economic environments. When signs of economic weakness appear, investors tend to sell risky assets such stocks in favor of low-risk safe havens such as Treasuries and physical currency. The relative performance of these asset classes during the most recent recession highlights the potential benefits of holding gold: between September 2008 and the bear market lows in in March 2009, the SPDR Gold Trust (GLD) added 14% while the S&P 500 SPDR (SPY) lost almost 45%.
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All day and every day some of the stock market’s best and brightest traders and money managers share their ideas insights and analysis in real-time on Minyanville’s Buzz & Banter. Check out some of the best of the buzz and for those Minyans not currently subscribed click here for a free two-week trial. Note: Some links may require Buzz subscriptions.Monday February 8 2010Market ThoughtsSmita SadanaAs shared on Friday the SP-500 found support at 200-day exponential MA a level that has not been violated since it SP-500 convincingly breached it on the upside in July 2009.The morning after the storm is always precarious …
The London Telegraph reports that Austrian millionaire Karl Rabeder is “giving away every penny of his £3 million fortune after realising his riches were making him unhappy.”Rabeder told the paper "It was the biggest shock in my life when I realised how horrible soulless and without feeling the five-star lifestyle is. My idea is to have nothing left. Absolutely nothing. Money is counterproductive – it prevents happiness to come." Rabeder will be giving his money to charities he set up in Central and Latin America. He said he made his decision while on vacation in Hawaii. Rabeder follows in the …
The London Telegraph reports that Austrian millionaire Karl Rabeder is “giving away every penny of his £3 million fortune after realising his riches were making him unhappy.”Rabeder told the paper "It was the biggest shock in my life when I realised how horrible soulless and without feeling the five-star lifestyle is. My idea is to have nothing left. Absolutely nothing. Money is counterproductive – it prevents happiness to come." Rabeder will be giving his money to charities he set up in Central and Latin America. He said he made his decision while on vacation in Hawaii. Rabeder follows in the …
Chinese analysis can be divided into three periods:1. Pre-crisis 1998-2008 — Late-Stage Growth Obesity2. During crisis fourth quarter of 2008 to second quarter of 2009 — You Lie!3. Post-crisis second quarter of 2009 to today — Super Steroids-R-UsPeriod 1: Pre-Crisis — Late-Stage Growth ObesityGrowth is high but its quality is low.Starbucks (SBUX) is a good example of late-stage growth obesityConsequences for Starbucks Opened too many stores in wrong locations (too close to each other wrong side of the street etc.) signed expensive leases Hired McDonald’s-caliber employees not the Starbucks baristas Management took their eye off innovation Starbucks Addressed These …
