http://alephblog.com/2007/08/18/a-bakers-dozen-on-current-issues-in-the-markets/ Helping Institutions and Ordinary People Invest Better by Focusing on Risk Control Mon, 13 Feb 2012 14:34:49 +0000 hourly 1 http://wordpress.org/?v=3.3.1 http://alephblog.com/2007/08/18/a-bakers-dozen-on-current-issues-in-the-markets/comment-page-1/#comment-3299 Aaron Tue, 21 Aug 2007 01:50:22 +0000 http://alephblog.com/2007/08/18/a-bakers-dozen-on-current-issues-in-the-markets/#comment-3299 How about that move in treasury bills today? The move in the short term treasury bills was absolutely astounding. The corporate earnings picture is what keeps me a bull in the long run here, but if this credit crisis gets too bad, those corporate profits will begin to look a lot different, and not just in the financial sector. How about that move in treasury bills today? The move in the short term treasury bills was absolutely astounding. The corporate earnings picture is what keeps me a bull in the long run here, but if this credit crisis gets too bad, those corporate profits will begin to look a lot different, and not just in the financial sector.

]]> http://alephblog.com/2007/08/18/a-bakers-dozen-on-current-issues-in-the-markets/comment-page-1/#comment-3237 James Dailey Mon, 20 Aug 2007 03:08:08 +0000 http://alephblog.com/2007/08/18/a-bakers-dozen-on-current-issues-in-the-markets/#comment-3237 Regarding #10 - corporate earnings have been growing at a high rate - that was off a recession trough and with about 40% of SPX earnings coming from financing/financial activities, it is hard to imagine that we aren't at or near peak earnings. I've been arguing that much of the record high margins/profits will end up being written down as they are/were more about aggressive derivatives and loan loss accounting rather than actual margin expansion. Nothing illegal like the good ole Enron days but the net impact being the same. Regarding #10 – corporate earnings have been growing at a high rate – that was off a recession trough and with about 40% of SPX earnings coming from financing/financial activities, it is hard to imagine that we aren’t at or near peak earnings. I’ve been arguing that much of the record high margins/profits will end up being written down as they are/were more about aggressive derivatives and loan loss accounting rather than actual margin expansion. Nothing illegal like the good ole Enron days but the net impact being the same.

]]>