Global Market Insights | A Fisher Investments Blog

Global Fool

Fisher Investments generally thinks overstated inflation fears and the tragedy in Japan likely won’t stall the global economy. But it cautions investors that a strong economy doesn’t always translate directly to strong broad index returns. For more on how headline-grabbing crises impact world stocks, see its 04/01/2011 MarketMinder cover story, “Don’t Fool Yourself.”

 

Inflation Picking Up?

The New York Times reported via Reuters, “U.S. inflation is likely to climb higher than previously thought but the recovery will not stall as interest rates will be held down until early next year, according to the latest poll of economists…Despite inflation becoming more of a concern, economists still do not expect the Federal Reserve to raise interest rates until the first quarter of 2012.” Fisher Investments posted the story (U.S. Inflation ) on MarketMinder.com under the “Sensible Stories” Section of April 14th News. 

 

Portugal or Bust

Portugal is facing higher borrowing costs, with its 10-year bond yield reaching 8.9% as of April 15. The country appears to have sufficient funds to finance its debt payments until June, when a bailout will likely be finalized. More can be read on Portugal’s economic situation at: Portugal avoids default with loan repayment.

 

Fisher Investments Talks Taxes

Politicians have seemingly always been locked in a struggle over taxes and spending.  Whether you favor higher or lower taxes, this MarketMinder story ’Tis the Season argues the historical impact of tax rate changes has had very little impact on capital markets returns.  

 

Unintended Consequences

Last year’s Dodd-Frank Wall Street Reform and Consumer Protection Act was hailed by legislators as a law designed to protect Main Street from Wall Street. Unfortunately, politically driven regulations are often poorly conceived, and their ramifications even more poorly understood. Fisher Investments evaluates parts of the bill in its recent MarketMinder cover story: A Lesson in the Law of Unintended Consequences

 

Fisher Investments MarketMinder: Shutdown Charade

Congress struck a deal to avert a government shutdown. While this debate is now over, it seems we might have more heated rhetoric ahead involving broader budget issues and the debt ceiling. For more, see Fisher Investments’ MarketMinder cover story Shutdown Charade.

Fisher Investments MarketMinder on Transportation Indexes Reflecting Economic Strength

Did anyone else notice transportation indexes are reflecting economic strength as businesses seek to move goods in response to rising demand and production? Fisher Investments posted the article on their webzine site MarketMinder, but you can also read it here: Railroad Shipments.

Nine Months of Retail Sales Growth in US

It doesn’t seem many people are talking about the ninth straight month of retail sales growth in the US . Fisher Investments noticed and believes this might ease concerns that the jump in food and fuel costs will cause consumers to cut back spending elsewhere. Feel free to read this information by accessing this link.

Wealth Gap Article - There's No Their There

Russ Roberts from Café Hayek wrote a good piece on the wealth gap titled There’s No Their There. This brief piece looks at the numbers behind the so-called wealth gap. Fisher Investments likes the concise write-up Mr. Roberts applies to help readers understand that when you follow the same people over time, the income gap is much more complicated—and perhaps not nearly as troublesome—as some politicians would have you believe.