In 1929 … just before the crash … Yale economist Irving Fisher famously wrote: “stock prices have reached what looks like a permanently high plateau.” Of course, Mr. Fisher was wrong … and his quote is often cited in most stories related to the Great Depression.
What brought this to mind today was the first article included below which seems to imply investors are not scared enough to drive the market down … possibly feeling a plateau has been reached … ignoring sounds of thunder in the distance … feeling any storm will not come their way.
Investors and central banks might not be of the same mind, however … for it appears that there is quite a move underway to lower rates … as India and Thailand just made cuts … with Mexico, Australia and … no surprise here … the U.S. rumored to soon be following the same course.
Meanwhile there was one bit of news on China that caught my eye … for it seems that Larry Kudlow’s claim that the Chinese economy is “crumbling” might have been a bit premature … or, at least, not as severe as implied … as Alpine Macro is reporting this morning that China’s share of the global export market is stable … even as shipments to the U.S. have declined.
I couldn’t let the day go by without mentioning that Burger King will have the Impossible Burger at most of its locations today … but strict vegetarians might not be thrilled … as the high-sodium beef alternative is being cooked on the same grill as the regular cow-produced Whopper.
A couple of interesting items today include the announcement that you can speed up (or slow down) the voice on your Amazon Alexa device … although I’ve gotten so used to mine that I never thought the speed was an issue … making me wonder if this is one more solution in search of a problem.
Another issue pointed out does actually solve a problem … in my opinion.
One of the things I hate most about flying is that when you land … everyone immediately seems to want to jump up … crowd the aisles … and grab their bags … causing quite a bit of chaos. In a story below (with video) an orderly row-by-row exit from the plane is attempted … quick … easy … and something which appears so logical that it should be adopted carrier-wide. Now to solve the baggage problem where everyone insists on standing so close to the carousel that shorter people in back need to elbow their way in to get to (or even see) their belongings.
Travel is on my mind as I recently went back to my beloved hometown … but I did have a bad experience.
I went by the house I grew up in … and knocked at the door … asking if I could look around. They shouted “no” and quickly slammed the door in my face.
My parents can be so rude sometimes.
Have a great day,
Joseph G. Witthohn, CFA
Emerald Asset Management PA, LLC
610 Freedom Business Center Drive
King of Prussia, PA 19406
Direct: (610) 285-9905
… as of 9:15 AM today …
Quick Look at the News
How are investors handling the stomach-churning recent moves in the market? With hardly a worry in the world ...and one strategist feels this will cost them dearly (CNBC)https://www.cnbc.com/2019/08/08/stocks-likely-havent-bottomed-yet-because-investors-arent-scared-enough.html
... for ignoring things is simply not a wise strategy ... and the U.N. is warning if we don't change our ways, the environment could be in for a heap of trouble (NPR)https://www.npr.org/sections/thesalt/2019/08/08/748416223/to-slow-global-warming-u-n-warns-agriculture-must-change
Burger King is introducing its Impossible Whopper today nationwide ... but strict vegans might not be happy ... as the patty is tossed in the same burner with "real" meat items (USAToday)https://www.usatoday.com/videos/money/business/2019/08/06/burger-kings-impossible-whopper-might-not-100-vegan-friendly/1931049001/
... of course, you don't need to go there as Grub Hub can deliver ... but be kind to your delivery person if they take a while. Threats can get you in a heap of trouble (NYPost)https://nypost.com/2019/08/07/florida-man-allegedly-points-gun-at-late-deliverymen-ive-shot-people-for-less/
Is college a thing of the past? Around half of younger Americans feel college is not important ... with student loans and high tuition. But are they right? (MarketWatch)https://www.marketwatch.com/story/half-of-young-americans-say-college-isnt-necessary-2019-08-06
... though I will say one thing ... you don't need a college education to know that the way people get off of airplanes is ridiculous ... as there is a simpler way to disembark (CNN)https://www.cnn.com/travel/article/best-way-disembark-airplane/index.html
Did you ever wonder if your Amazon echo could speak just a tad faster (or slower)? You can control that now ... but was it a solution in terms of a problem? (CNET)https://www.cnet.com/news/amazons-alexa-can-now-speak-slower-or-faster/
... meanwhile, would you stay completely off the grid for a weekend for $1,000? I would ... and don't understand why this is such a big deal ... but I guess addictions are hard to kick (Time)https://time.com/5646514/digital-detox-satellite-internet/