Season Investments



Peeling Back The Layers

Two weeks ago we unpacked some interesting aspects of the current housing market recovery, its importance to the US economy and its future sustainability. Since then we have read a number of interesting pieces that have provided enough fodder for a “part 2” post on the subject.

Smooth Sailing

Since bottoming on the 24th of June the S&P 500 has smoothly sailed to higher highs, losing ground only 2 of the past 19 trading days through yesterday’s close. This has not been duplicated at any time in the last 30 years according to our math.

A Horse Of A Different Color

After a six year slide which began in 2006, the US residential housing market is back from the dead in a serious way. The Case-Shiller 20 City Composite Home Price Index is up over 13% for the 12 months ending in April of this year. The question then becomes whether or not the current recovery in housing prices is sustainable.

Targeting Infinity

“Our price target for the Yen is infinity, meaning it is going to be worthless.” – Axel Merk

Monthly Macro: The Squeeze Is On

This month’s piece will focus on the market’s response to Bernanke’s mid-month press conference, the deceleration in several economic data points during the month, and the recent liquidity squeeze in the Chinese banking system.