The latest monthly survey of credit investors from Bank of America, released overnight, shows the same familiar paradox we have seen ever since the start of the year: most survey respondents are allegedly scared worried about geopolitics and a concerned that the market is a bubble, and yet at the same time, most are allocating even more assets into what may be the biggest and riskiest credit bubble of them all: junk debt.
Authored by Frank Shostak via The Mises Institute,
The yearly growth rate of average hourly earnings in production and non-supervisory employment in the private sector eased to 2.3% in June from 2.4% in May.
Many experts are puzzled by the subdued increase in workers earnings. After all, it is held the US economy has been in an expansionary phase for quite some time now.
Softer real output growth important reason why hourly earnings remain under pressure
Former Legg Mason investing guru Bill Miller’s Opportunity Trust is back on top this year thanks to bets on a hodgepodge of stocks including Apple Inc., J.P Morgan Chase & Co. and Restoration Hardware. Just weeks after his Opportunity Trust was named No. 1 among diversified funds with at least $1 billion in assets, Forbes is out with a glowing profile of the 67-year-old value investor. In it, Miller makes a surprising claim - one that, if accurate, could very well help restore his legacy after a spotty string of years.
In their 2Q 2017 survey, UBS found that, for the first time since at least 2014, the trajectory of financial health of low-income households has started to diverge from that of more affluent households. Per the graph below from UBS' credit strategy team led by Matthew Mish, while a firming job market has helped households making over $100,000 feel more confident about covering their monthly expenses, spiraling debt balances has left low-income families even more vulnerable to the slightest monthly surprises with 70% reporting that their income just barely covers mo
Last quarter, IBM almost fooled the market when it "beat" but only thanks to using the lowest (until then) effective non-GAAP tax rate in recent history (excluding one charge-filled quarter when the rate was negative and thus N/M).