Tag Archives: credit

Credit Shock due to COVID-19 Unprecedented

This quote is the latest from Moody’s: The credit shock created by the coronavirus pandemic is completely unprecedented, given the number of geographies and industries affected, and the lack of clarity as to when the economic implications of the pandemic … Continue reading

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China’s Catch-22

I considered the title “bad news is good news” but it seems the phrase ‘Catch-22’ from Joseph Heller’s book is more appropriate. A dictionary describes it as “a problematic situation for which the only solution is denied by a circumstance … Continue reading

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Rising i-rates: More than bonds will get hammered!

In a recent “Investor Alert” the Financial Industry Regulatory Authority (FINRA) warned the investing public: If you have money in a bond fund that holds primarily long-term bonds, expect the value of that fund to decline, perhaps significantly, when interest … Continue reading

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Why the price of gold skyrocketed and why it’s over!

Everyone is fascinated by the yellow metal.  I’ve been to exploration sites as far north as Nunavut (by the Arctic Ocean) and south to operating mines in Chile.  But determining what it’s worth remains a conundrum to all of us. The price … Continue reading

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When to rotate into cyclicals? NOW!

I’ve been preaching for decades (and discussed in both my books ad nauseum) that the right thing to be doing at any point in time is the exact opposite of what everyone else is doing.  If it’s a difficult thing to … Continue reading

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Is the end near? For yield it just might be!

A huge believer that what we read in the press is always the exact opposite of what we should expect, the universal agreement by pundits that interest rates will remain at rock bottom levels must be a signal.  And the … Continue reading

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Out with the Treasuries, in with Corporates!!!

Is it time to gravitate towards U.S. corporate bonds and get out from the behind the sanctuary of treasuries? Many argue that the recent drift upwards of the benchmark 10-year treasury yield is a blip. Others believe that it is … Continue reading

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Don’t be fooled – it “is” a bond BUBBLE!

Are these folks shopping for US Treasuries? Thirty years ago, when I got my first job as an investment analyst (Canadian Pacific Pension Fund) the bond managers were a sad bunch. Rates had gradually climbed (i.e. bond portfolios kept losing … Continue reading

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