April 2010

Frank Boland
April 15, 2010

In this edition of Frank Thoughts, Frank expands upon last month's topic "The Bond Market".  Frank examines closely the true catalyst for the bear market in equities and answers the question: Is the current bull market "just a rally" or the start of a long-term (secular) advance for equities?  
 

THE RALLY

The...

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Dave Canal
April 01, 2010

It's amazing how symmetrical the market can be over time.  I like to call it the "Pendulum Effect*".  Typically when a market swings in one direction, once it reverses, you can expect a counter-reaction of a similar degree (like a pendulum).  There's no better example of the pendulum effect than the price action within the equity markets...

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Do we have the capability to eliminate booms and busts in economic activity? The answer in my judgment is no, because there is no tool to change human nature. Too often people are prone to recurring bouts of optimism and pessimism.

– Alan Greenspan