Economic Analysis
The Friendless Trend
Thoughts from the Frontline
August 29, 2001
This will be an unusual e-letter in that I am going to focus on some recent interviews with well respected investment analysts or economists. I believe you will find them as instructive and thought-provoking as I did. I will quote them directly and then make comments.
The first is from Barron's with Jeremy Grantham. Grantham is a very highly respected money manager and analyst. His firm manages $22 billion. There are many in the investment industry who hold Grantham in almost guru status....
Dear Chairman Greenspan - Part Deux
Thoughts from the Frontline
August 24, 2001
Last December I wrote you a letter telling you that those of us who fly in economy class were worried about a bumpy landing. We kept hearing about a soft landing, but the ride was getting rough. The passengers back here in coach class are getting real nervous. Now, we would just as soon forget about attempting to land. We would rather see the plane start to take off again.
Pipeline Economics
Thoughts from the Frontline
August 17, 2001
This is a slightly longer than normal e-letter. I have put a lot of thought into this week's letter, and lay out a case as to why we are at a very critical juncture. Serious investing requires serious study. Simply making predictions with no rationale is useless and potentially harmful. In this issue, I make more than a few predictions. This should be a very useful letter for investors. I hope you find it helpful.
The Cisco Hustle
Thoughts from the Frontline
August 10, 2001
First off, I want to stop the rumors that I had anything to do with the wording in this week's release of the Beige Book from the Fed. They used words like: "slow growth", "sluggish", "below expectations", "weak demand", "loosening labor markets" and "pronounced reductions in consumer borrowing". The fact that I have been writing the above for months is mere coincidence. Or it may be due to the fact that even the Fed has to recognize the problems.
Unemployment Blues
Thoughts from the Frontline
August 3, 2001
Today we learned that unemployment has held steady at 4.5% for the month of June. I happened to be watching TV as the announcement was made, and immediately I learned from the resident cheerleader that this was good news as it signals that we are poised for a turn-around in the economy.
The Case of the Missing Bottom
Thoughts from the Frontline
July 26, 2001
This letter has some pretty important analysis, if I do say so myself. I tell you how we will recognize the bottom, and what can happen between now and then. You might want to forward this one to your friends.
Recession Blues
Thoughts from the Frontline
July 13, 2001
I laugh in the face of superstition over Friday the 13th. Nothing can be as scary or unpredictable as the stock market has been lately. Following these markets on a daily basis makes Jason seem tame. If you really want to see blood, you need to spend some time reading the recent economic reports.
Cause for Optimism?
Thoughts from the Frontline
June 30, 2001
If you are confused by the blizzard of news that came out this week, then you are in great company. The level of disagreement among analysts and investors is becoming more and more shrill. How could PMC Sierra show such really bad numbers, get downgraded across the board, and open up 5% on the day? With all the bad telecom news, how could Lucent and JDS be going up?
Buying Time
Thoughts from the Frontline
June 22, 2001
Today, I want to welcome several thousand new readers. Many of you came from Bill Bonner's Daily Reckoning or from the Fleet Street letter, and others from the Association for Investor Awareness. I appreciate Executive Director Mike Casson's enthusiastic endorsement. Plus, a number of other web site's have been following my ruminations on Faith and History and have posted links. And, as always, we continue to grow mainly from referrals of loyal readers. I am thankful for the support.
Faith, Part II
Thoughts from the Frontline
June 8, 2001
I would have to count myself as a member of the Rick Nelson School of Writers. For the benefit of younger readers and at the risk of dating myself, Rick was the son of Ozzie and Harriet Nelson who went on to become a teen singing idol and one of my favorites as a kid.
