Global Market Comments December 4, 2012 Fiat Lux Featured Trades: (JANUARY 4 CHICAGO STRATEGY LUNCHEON), (THE ULTRA BULL CASE FOR 2013), (SPX), (IWM), (FXE), (AAPL), (GOOG), (FXY), (TLT), (USO) (A CHRISTMAS DONATION FOR THE WORTHIEST OF CAUSES) S&P 500 Large Cap Index Russell 2000 iShares Currency Shares Euro Trust Apple, Inc. Google, Inc. Currency Shares [...]

I follow a broad range of unconventional, but highly-useful leading economic indicators that gives me a decisive edge when predicting the future direction of global financial markets. One of them has started flashing a warning sign. I fund an orphanage in remote Zhanjiang, in China’s southern Guangdong province near Hainan Island called The Zhanjiang Kids [...]

Global Market Comments December 3, 2012 Fiat Lux Featured Trades: (PLAY TREASURIES FROM THE SHORT SIDE), (TLT) (IF DEMOGRAPHICS IS DESTINY, THEN AMERICA’S FUTURE SUCKS), (SPX), (EWJ), (VNM) iShares Barclays 20+ Year Treasury Bonnd Fund S&P 500 Large Cap Index Japan iShares Market Vectors Vietnam

Now look at the world’s worst population pyramid, that for Japan (EWJ). These three graphs show that a nearly perfect pyramid drove a miracle stock market during the fifties and sixties, which I remember well, when Japan had your textbook high growth emerging market economy. That changed dramatically when the population started to age rapidly [...]

(SPX) As a silver tsunami of 80 million baby boomers retires, they will be followed by only 65 million from generation “X” who earn half as much. The intractable problems that unhappy Japan is facing will soon arrive at our shores. Boomers, therefore, better not count on the next generation to buy them out of [...]

Now that we have figured out that Vietnam is a great place to invest, take a look at the Van Eck Groups Vietnam Index Fund (VNM). The venture invests in companies that get 50% or more of their earnings from that country, with an anticipated 37% exposure in finance, and 19% in energy. This will [...]

Unlike Japan, the US is not plunging into a multigenerational black hole. After the 80 million baby boomers are long gone, and 65 million Gen Xer’s have picked up homes at rock bottom prices, they will be followed by 85 millennials, those who are now in their early twenties. When this generation reaches its peak [...]