September 22, 2010
Bullish Sentiment Highest Since Early August
Posted by W.Nasserdeen under Business, NewsLeave a Comment
“According to the Investors Intelligence weekly sentiment survey, bullish sentiment (41.4%) among advisors is currently at its highest level since early August. As shown in the chart below, however, we’ve been here before…Will the third time be the charm or are we in for more of the same?”
via Bespoke
September 13, 2010
Economics of Hemlines: Short Skirts & Stocks
Posted by W.Nasserdeen under Business, EconomicsLeave a Comment
findings show the theory holds true but w/ a lag of about 3 yrs
.“In 1926 an economist called George Taylor introduced a “theory” that is called the hemline index. This theory says that hemlines on women’s dresses fluctuate with the economy, measured by stock prices or gross domestic product. When the economy is flourishing, hemlines increase, meaning one would see more miniskirts, and when the economic situation is deteriorating the hemlines drop, perhaps even to the floor…
…based on the analysis of actual data on the hemline, which goes back to January 1921, we found that the economic cycle leads the hemline with about three years. Supporting the urban legend, we find that poor economic times make the hemlines to decrease, which means that women’s dresses get lower, and that prosperity is correlated with a reduced hemline (more miniskirts). At the same time, and this is new to the available evidence,we find that there is a time lag of around three years. This explains why at present, in an economic downturn, the skirts are short, as this is simply due to the fact that the economy was in a boom about three years ago (2007-2008).”
Source: the hemline and the economy: is there any match? Econometric Institute Report
See also: the hemline index via ritholtz.com
September 10, 2010
September 4, 2010
August 29, 2010
Blocking Stimulus for Political Gains ?
Posted by W.Nasserdeen under Business, EconomicsLeave a Comment
“Now I’m looking at the political system turning itself into a paralyzed beast. A lost decade now looms as a much bigger risk. The Fed’s running out of powder; Its really powerful ammunition has been expended.” -Alan Blinder, former vice chairman Federal Reserve
via Ritholtz.com
August 16, 2010
Buyer’s Remorse: by piconomy.com
Posted by W.Nasserdeen under Business, Economics, Piconomy.comLeave a Comment
August 14, 2010
