Showing posts with label Markets. Show all posts
Showing posts with label Markets. Show all posts

13 July 2018

Why capitalism won’t survive without socialism

“We think of capitalism as being locked in an ideological battle with socialism, but we never really saw that capitalism might be defeated by its own child — technology.”

Eric Weinstein with Sean Illing

02 May 2018

Index Funds Are Not the Problem

Blaming the big funds for excessive CEO pay is as ridiculous as the pay itself.

Felix Salmon



09 March 2018

The next big bad bet might be lurking on Wall Street — and we just got a glimpse of it

Investors banking on market calm just got burned on a bet many didn’t entirely understand they were making.

Emily Stewart


26 February 2018

The robots v. robots trading that has hijacked the stock market

Why is it that when the market is climbing by improbable leaps and bounds month after month, that we are supposed to take that as a genuine reflection of the fundamentals, but when the market is in a free fall, we are supposed to write that off as momentary fits of irrationality?

The truth is that the market is just as irrational and divorced from fundamentals on the way up as it is on the way down. It is in the nature of markets more so today than ever, thanks to the computerized high-frequency trading strategies of the Wall Street wise guys. What we've watched this week is herd behavior on steroids.

In truth, there is no reason that a financial system has to be this complex and so volatile. There is no reason that it has to divert so much of the country's talent and capital, and to siphon off so much for traders and bankers and hedge fund managers. With a bit of intelligent regulation, we could have a financial system that is simpler, less risky, less expensive and less susceptible to manipulation.

There is a cost to the kind of financial "innovation" that produces instruments like the Velocity Shares Daily Inverse VIX Short-Term Exchange-Traded Note. And my guess is that those costs now greatly exceed the benefits.

Steven Pearlstein

What is the CBOE Volatility Index (VIX)?

Zachary Basu


20 February 2018

It's Time for Wall Street to Give Up Its Love Affair With the Dow Jones Industrial Average


Let's face the facts: The Dow is a historic novelty, and the S&P 500 is a much better stock market barometer.

Sean Williams 


09 January 2018

24 August 2017

Businesses Are Finally Realizing That Trump Causes “Uncertainty”

And there's simply no evidence that "uncertainty" about the path of policy in Washington, however you define it, hampered business investments, hiring, and especially market performance in the period between 2009 and 2016. Because "uncertainty" doesn't really mean uncertainty—it's just code used by supply-siders and right-wingers. What they really didn't like was the fact that a guy named Obama was sitting in the White House, poised to raise their taxes. (Readers, he did. And the economy and S&P 500 survived.)

Daniel Gross