It may come as a shock to many of you, but I too believe that we are experiencing a “Goldilocks” economy. But unlike most on Wall Street, I do not define this as economic growth that is neither too hot nor too cold. I believe the analogy is apt simply because U.S. economic growth is a fairy tale!
A new realignment of U.S. corporate accounting standards with Europe could halt the hemorrhage of companies now filing elsewhere. For the U.S.-based international investor, this adds up to enhanced profit.
Being a bear on the Street these days is some kind of hard business. While the bears continue to insist that the glass is half full and could shatter into a million pieces at any moment, the markets only race higher. Their dire warnings have turned up as empty as their honey pots.
As the Dow burst through the 13,000 milestone this week, few understood the hollowness of the achievement. Measured against the rising dollar-denominated prices of just about everything else on the planet, the Dow has actually lost value over the past seven years.
With the specter of Russian dominance haunting European energy markets, the EU’s problems pose a huge energy investment opportunity. This week, a group of European Union foreign ministers gathered in Luxembourg took a first step towards the resource-rich countries of Central Asia.
Reunification has long been the watchword in Korean diplomacy. Even through the North’s recalcitrance, nuclear proliferation, missile-lobbing, and Viagra counterfeiting, the South has kept a sanguine smile. Make that a cyber-smile, as the Koreas connect in a new way this year.