INSIGHTS AND
COMMENTARY

The Smart Money

While equities have made new record highs this month High Yield Bonds have declined, a classic warning sign that has often led to multi-month declines. Does it matter when High Yield Bonds are not invited to the stock market party? We decided to quantify these divergences over the past several years.

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Here We Go Again

The path of market prices for the first three months of 2013 is eerily similar to 2011 and 2012. It has gone something like this: The year begins with new optimism over the economy and stabilization in Europe, pushing stocks to new recovery highs. Then as April begins, the U.S. recovery is questioned, markets realize Europe is not fixed, and U.S. stocks erase most of their gains for the year by..

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Gaps In Thinking

Equity markets have enjoyed a powerful start to 2013 as broad indexes like the S&P 500 have gapped higher right from the first minutes of trading. The crazed buying pressure was enough to mark the best January for the S&P since 1997. The gap in prices have some important historic implications for investors.

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Searching For Santa

Much is made every year about the “Santa Claus Rally”, the idea that stocks often rally around Christmas and into the end of the year. Is it just a seasonal headline grabber for financial media, or is there really a “Santa Claus” effect on the markets?

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