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Market Misperceptions
By , The Globe and Mail, 02/28/2011

MarketMinder's View: Yes, the Middle East is prone to unrest—but that’s been true for millennia. And keep in mind, the situation in each of those nations is not identical. For more, see our 02/23/2011 cover story, “Unrest at Oil’s Door.”

Market Misperceptions
By , Seeking Alpha, 02/28/2011

MarketMinder's View: Now is the time to buy a commodity when it’s at or near all-time highs? And one that is prone to booms, then long, agonizing periods of bust? That long-term badly lags stocks and even bonds?

Market Misperceptions
By , CNN Money, 02/28/2011

MarketMinder's View: Yes, our current budget deficit is big and growing. But keep in mind, what matters isn’t the size of the debt so much as our ability to pay for it. As big as our debt is, in absolute terms, our cost to service that debt is very low—below levels seen throughout the 1980s and 1990s, which were perfectly fine times for capital markets and the economy.

Sensible Stories
By , Associated Press, 02/28/2011

MarketMinder's View: “Japanese industrial production rose for a third straight month in January, as the country's companies gained confidence in the global recovery.”

Sensible Stories
By , The Wall Street Journal, 02/28/2011

MarketMinder's View: We agree. There’s no doubt many commodity prices are higher. But there’s a reason volatile energy and food prices are stripped from the core metric. For more, read our 02/18/2011 cover story, “Fearing Foodflation.”

Sensible Stories
By , The Telegraph , 02/28/2011

MarketMinder's View: China continues to engage in its dance to balance growth and inflation. For more, see our 01/21/2011 cover story, “Chinese Inflation Conundrum.”

Sensible Stories
By , CNN Money, 02/28/2011

MarketMinder's View: Not surprising. The markets typically rejoice when government does less, and you can’t do a whole lot when the government is shut down.

Sensible Stories
By , Reuters, 02/28/2011

MarketMinder's View: More evidence of a healthy growth cycle underway.

Sensible Stories
By , Associated Press, 02/25/2011
MarketMinder's View: Debt troubles combined with austerity measures enacted by the ruling coalition resulted in unhappy Irish citizens. Something to keep an eye on, though note the Irish economy is relatively small. For more, see our 11/23/2010 cover story, “The Still-Fighting Irish.”
Market Misperceptions
By , The Wall Street Journal , 02/25/2011
MarketMinder's View:
Stocks are always volatile—focusing on short-term price movements is useless. While there certainly are more bulls, bears are still numerous. Stocks this year may not see as big as returns as in 2009 or 2010, but we believe 2011 will still be part of the ongoing bull market. See today’s cover story, “Indicator Acrophobia,” for more.
Market Misperceptions
By , The Telegraph, 02/25/2011
MarketMinder's View:
As de facto leader of OPEC, Saudi Arabia has incentive to keep oil production levels stable. And the whole premise of the article is based on speculation. Ignore. For more, see our 02/24/2011 cover story, “Oil’s Ominous Overhang?”
Market Misperceptions
By , The Wall Street Journal, 02/25/2011
MarketMinder's View:
US Q4 growth was revised downward—but even in inflation-adjusted terms, GDP stands at an all-time high.
Sensible Stories
By , The Wall Street Journal, 02/25/2011
MarketMinder's View: Spot-on analysis about US manufacturing.
Market Misperceptions
By , CNN Money, 02/25/2011
MarketMinder's View: Doom and gloomers have predicted “new threats” throughout last couple years. But overall, data and fundamentals continue to point to economic growth.
Sensible Stories
By , Reuters , 02/25/2011
MarketMinder's View: As we’ve said, OPEC nations will likely step up oil production if Libyan events impact exports, somewhat mitigating near-term global oil supply disruptions. See our 02/24/2011 cover story, “Oil’s Ominous Overhang?” for more.
Sensible Stories
By , The New York Times, 02/25/2011
MarketMinder's View: A housing recovery isn’t needed for the economy to recover—indeed, the US economy has been growing for some time now, all while housing has been in the doldrums.
Market Misperceptions
By , The Christian Science Monitor, 02/24/2011
MarketMinder's View:
The theory expressed here is long on opinion and short on facts. Yes, accommodative central bank policy has aided the global economy and could lead to higher inflation (something to watch longer term). But attributing the stock market’s rise solely to Fed policy and bailouts ignores many important facts, like the fact that global and US GDP are beyond where they were pre-recession. We could go on—there’s a litany of facts the piece overlooks. Please ignore.
Market Misperceptions
By , The Globe and Mail, 02/24/2011
MarketMinder's View:
Here’s another thought: Allow banks to lend to creditworthy customers at market-determined rates. Prices (i.e., interest rates) should be largely sufficient to communicate who qualifies for loans. Those who don’t simply won’t borrow, thereby preventing uncontrollable levels of household debt.
Sensible Stories
By , Bankstocks.com, 02/24/2011
MarketMinder's View: As we’ve said, unnecessary regulation can have unintended consequences—in this case, the exact opposite of the original intention, which was to save consumers from exorbitant credit card fees.
Market Misperceptions
By , The Globe and Mail, 02/24/2011
MarketMinder's View:
The US budget deficit is certainly large when viewed in absolute terms. But as we’ve said before, when taken as a percentage of US GDP, it’s elevated but not unmanageable. And more importantly, interest payments on the debt also remain fairly benign. For more, see our 02/02/2011 cover story, “That Four-Letter Word.”
Sensible Stories
By , Bloomberg, 02/24/2011
MarketMinder's View: Inflation is cropping up globally, but central banks’ responses will be dictated by varying country-specific circumstances. That the BOE remains cautious with monetary policy seems largely appropriate given UK economic conditions. For more, see our 02/18/2011 cover story, “Fearing Foodflation.”
Market Misperceptions
By , The Wall Street Journal, 02/24/2011
MarketMinder's View:
Could a spike in oil prices cause a correction? Certainly. But higher oil prices needn’t necessarily coincide with global markets’ directions. For more, see today’s cover story, “Oil’s Ominous Overhang?”
Sensible Stories
By , The Syndney Morning Herald, 02/24/2011
MarketMinder's View: Ignore the headline and discussion of a correction—possible, but premature given there have only been a couple down days since the Libya story broke. The rest of the article, though, makes salient points about oil, Libya, and the global economy.
Sensible Stories
By , The New York Times, 02/24/2011
MarketMinder's View: This article is spot on. US manufacturing has more than doubled since 1975 and productivity has simultaneously improved, leaving American workers to take better, higher-paying jobs. For more, see our 11/09/2010 column, “The Ever-Evolving Economic Engine.”
Sensible Stories
By , The Washington Post, 02/24/2011
MarketMinder's View: Exactly as you’d expect in a free market, supply constraints pushing prices higher incentivizes others to make up the supply shortage and reap the benefits. Of course, it doesn’t hurt that the Saudis have their own disgruntled citizens to pacify.
Sensible Stories
By , The Sydney Morning Herald, 02/23/2011
MarketMinder's View: “Spain saw strong demand for short-term bonds at an auction on Tuesday”—proving markets are confident the embattled country can improve its fiscal situation.
Market Misperceptions
By , Associated Press, 02/23/2011
MarketMinder's View:
A Libyan civil war is a possibility, but not a certainty. For more, see today’s cover story, “Unrest at Oil’s Door.”
Market Misperceptions
By , The Wall Street Journal , 02/23/2011
MarketMinder's View:
The VIX—a meaningless, backward-looking measure in our opinion—is inevitably paraded around during periods of higher volatility. Please ignore.
Sensible Stories
By , USA Today, 02/23/2011
MarketMinder's View: US firms are producing more than ever with fewer workers. While temporarily elevated unemployment is painful, productivity gains are a long-term benefit to the US economy—and a growing economy eventually generates more jobs. For more, see our 02/03/2011 cover story, “More With Less.”
Sensible Stories
By , Bloomberg, 02/23/2011
MarketMinder's View: The unrest in the Middle East is no doubt serious and may impact global energy supplies and prices in the short term. But investors mustn’t forget stock prices can, and have, risen amid higher oil prices.
Market Misperceptions
By , The Motley Fool, 02/23/2011
MarketMinder's View:
“Broad markets might look hairy, but plenty of individual companies still look great.” The article’s ultimate conclusion—that selectivity in investment choices will mean more in 2011 than in recent years—is correct. However, the rationale behind that conclusion is decidedly flawed.
Sensible Stories
By , International Business Times, 02/23/2011
MarketMinder's View: Freer trade and enhanced political cooperation are bullish signs for the once-adversarial nations.
Sensible Stories
By , CNN Money, 02/23/2011
MarketMinder's View: Despite political posturing otherwise, the debt ceiling will likely be raised again this spring—it’s been raised 12 times since 1995. For more, see our 02/02/2011 cover story, “That Four-Letter-Word.”
Market Misperceptions
By , The Wall Street Journal , 02/23/2011
MarketMinder's View:
Traditionally volatile food and energy prices are a concern for some regions. But depending on how well consumers and firms absorb price shocks, these higher prices won’t necessarily hinder economic growth. For more, see our 02/18/2011 cover story, “Fearing Foodflation.”
Sensible Stories
By , SME Times, 02/22/2011
MarketMinder's View: Openness and free trade between the burgeoning Indian economy and the already huge Japanese economy is an optimistic sign for these economies in years to come. For more, see today’s cover story, “When 777.7% Doesn’t Equal Growth.”
Market Misperceptions
By , Reuters, 02/22/2011
MarketMinder's View:
Another ratings agency late to the game. This downgrade is more confirmation of what’s already widely known by the market.
Market Misperceptions
By , Bloomberg Businessweek, 02/22/2011
MarketMinder's View:
While we agree near-term volatility is a likely possibility, we would also point out that planning to mitigate short-term volatility is a fallacy. It’s far more wise to examine portfolio exposure to different companies, sectors, and countries based on an analysis of the fundamental drivers underlying them—and know that price swings are inherent in stocks.
Market Misperceptions
By , MarketWatch, 02/22/2011
MarketMinder's View:
A short-term supply disruption in Libya likely will spike prices. But production disruption should be weighed against excess capacity in Saudi Arabia (which has already pledged to cover any crude shortfalls) or other oil-producing countries. Moreover, the US currently does not have a supply problem.
Sensible Stories
By , The New York Times, 02/22/2011
MarketMinder's View: A concise breakdown of political events unfolding in the region.
Sensible Stories
By , Associated Press , 02/22/2011
MarketMinder's View: Disregard the potentially misleading headline. This story is a sensible look at why arbitrary markers tell you nothing about market direction—drivers must be analyzed to understand what’s driving underlying prices. E.g., the Nasdaq’s run is largely driven by technology companies actually making a profit (unlike the Tech bubble of 2000).
Sensible Stories
By , Dow Jones Newswires, 02/22/2011
MarketMinder's View: The European economy is clearly diverging between the stronger northern countries and the weaker periphery. But even within the weaker periphery, there are differences from nation to nation. Spain, for example, has its stronger and weaker economic aspects—and is moving to substantially reform troubled areas like the “cajas.” There is work to be done in Spain, and the government seems to be aware of the need to reform.
Sensible Stories
By , Associated Press, 02/22/2011
MarketMinder's View: Although tensions in the Middle East may temporarily cause a spike in oil prices tied to potential disruptions, Saudi Arabia and other large oil-producing countries have tremendous excess capacity that can help mitigate lost production.
Market Misperceptions
By , Der Spiegel, 02/22/2011
MarketMinder's View:
This story is about as new as the Parthenon pictured in it. Yes, Greece may ultimately have to leave the eurozone. But as we’ve said many times, the existence of the EU/IMF/ECB bailout means that’s very unlikely through 2013.
Market Misperceptions
By , Bloomberg Businessweek, 02/18/2011
MarketMinder's View:
Food shortages are undoubtedly posing some local and regional challenges (mostly in poor, autocratic countries), but the solution seems fairly straightforward: Decrease government barriers to the free flow of goods. The problem isn’t a global food shortage, it’s a global regulation surplus.
Sensible Stories
By , BBC, 02/18/2011
MarketMinder's View: Regional and local differences will dictate varying responses to rising inflation. That China is continuing to take monetary policy action to combat higher prices is appropriate given their corresponding high growth rate. For more, see today’s cover story, “Fearing Foodflation.”
Sensible Stories
By , Carpe Diem, 02/18/2011
MarketMinder's View: “Since inflation is a period when most prices (and wages) are rising, I don’t think we’re anywhere close to meeting that situation yet. Not as long as so many prices are declining, not rising.” Agreed. For more, see today’s cover story, “Fearing Foodflation.”
Market Misperceptions
By , International Business Times, 02/18/2011
MarketMinder's View:
Debates frequently rage regarding which metrics most accurately portray extant conditions and how best to interpret them—however, rising input and commodity prices won’t necessarily result in hyperinflation or a race to move jobs abroad. For example, one alternative: Increasing productivity and innovation lower manufacturers’ costs, permitting producers to pass along less of commodity price gains to end consumers than in the past.
Market Misperceptions
By , The Globe and Mail, 02/18/2011
MarketMinder's View:
Regulating to guard against every possibility is impossible, and, as the article points out, agencies are already straining to implement Dodd-Frank. Adding myriad new regulations aimed at preventing a one-off scenario seems inefficient at best. At worst, the unintended consequences likely create a whole slew of new possibilities not foreseen until one actually happens.
Sensible Stories
By , The Wall Street Journal, 02/18/2011
MarketMinder's View: Here’s another sensible discussion of US inflation and factors helping keep it fairly subdued for the time being.
Market Misperceptions
By , The Independent, 02/18/2011
MarketMinder's View:
The creation of a new UK regulatory body seeking to target financial system risks is no panacea for averting future crises. Such bodies are typically too political and frequently lack the foresight necessary to actually succeed.
Sensible Stories
By , The Wall Street Journal, 02/18/2011
MarketMinder's View: While we weren’t (and aren’t) big fans of 2008’s financial bailouts, some of the crisis-driven measures taken were unfairly criticized as pouring money down a drain. The profitability of many of the measures targeting the banking sector speaks to the inaccuracy of such criticism.
Sensible Stories
By , Investor’s Business Daily, 02/18/2011
MarketMinder's View: We are always fans of lower tax rates, especially when they could encourage foreign and domestic firms to do business in the US.
Market Misperceptions
By , The Australian, 02/18/2011
MarketMinder's View:
Greek and Irish debt are already backed through 2013 by the massive backstop announced last year by the EU, IMF, and ECB—that makes default highly unlikely at least through then. Further, Greece and Ireland are already in recession, so predicting they may face one seems self-fulfilling.
Sensible Stories
By , The Wall Street Journal, 02/17/2011
MarketMinder's View: This particular proposal is merely in its beginning stages—and will likely look completely different in its final iteration. Even so, it’s good to keep an eye on developments.
Market Misperceptions
By , Bloomberg, 02/17/2011
MarketMinder's View: Stress tests aren’t a magic talisman against future trouble. They are fine and good, but banks are given hypothetical scenarios with made-up data that may or may not be realistic. And note: We’ve yet to see stress tests for government policy errors. (No surprise there.)
Sensible Stories
By , The American, 02/17/2011
MarketMinder's View: While there’s a chance the EMU may fracture in any number of ways, it’s likely a long process if it does happen. And at the moment, EMU leaders are actively working together to prevent such a split. For more, see our 02/08/2011 cover story, “Vaguely Inconclusive.”
Market Misperceptions
By , Associated Press, 02/17/2011
MarketMinder's View:
While higher unemployment figures aren’t desirable, they fluctuate weekly—and that’s normal. It’s best to look at long-term trends rather than weekly ups and downs.
Market Misperceptions
By , ABC News, 02/17/2011
MarketMinder's View:
It’s simply a name for a stock exchange…why all the brouhaha? Shouldn’t politicians be busy with other, more important issues? (Like the 2012 budget, perhaps?) For more, see today’s cover story, “Ich Bin Ein NYSE Berliner.”
Market Misperceptions
By , The Wall Street Journal, 02/17/2011
MarketMinder's View: As technologies improve, those who have been displaced will find other jobs that will make use of their skills. Economies and job markets evolve over time—that’s normal. It’s always messy—but normal. To claim technology will make humans in jobs obsolete is pure hyperbole. For more, see our 11/09/2010 column, “The Ever-Evolving Economic Engine.”
Sensible Stories
By , The Washington Post, 02/17/2011
MarketMinder's View: Officials are now officially confirming what the stock market confirmed awhile ago—economic growth has been happening and is more robust.
Sensible Stories
By , Café Hayek, 02/17/2011
MarketMinder's View: “Make government smaller and give us a chance to do what comes naturally—seeking ways to make profit, avoid loss and work together. That is the only sustainable path to prosperity.” Agreed.
Sensible Stories
By , SME Times, 02/17/2011
MarketMinder's View: As we’ve said many times before, we’re all for free trade—the more, the better. See our 11/09/2010 cover story, “Trade Talks,” for more.
Sensible Stories
By , The Wall Street Journal , 02/16/2011
MarketMinder's View: Once thought to be “the next shoe to drop” in the ongoing PIIGS saga, the Spanish economy returned to growth, albeit slow, in Q4 2010.
Sensible Stories
By , Reuters, 02/16/2011
MarketMinder's View: We’re all for lower taxes because they increase incentives to make money and cautiously applaud these efforts to open discussions on restructuring corporate taxes. But when it comes to politicians, investors must watch what they do, not what they say.
Market Misperceptions
By , The Wall Street Journal , 02/16/2011
MarketMinder's View:
Rapidly rising inflation remains a concern. But producer prices remain constrained, and inflation year-over-year continues to remain low. Investors shouldn’t read too much into short-term movements.
Market Misperceptions
By , The Globe and Mail, 02/16/2011
MarketMinder's View:
This article claims a “new normal” of average 6.7% unemployment. But the long-term average of employment is about 6%! How is that a new normal? That’s basically the plain old normal. Keep in mind, averages include variances around the mean. For more, see our 01/31/2011 cover story, “Recovery Ends. Expansion Begins.”
Market Misperceptions
By , Associated Press, 02/16/2011
MarketMinder's View:
Yes, they could. But that’s widely known. Ongoing PIIGS jitters likely contribute to some volatility this year, but a default isn’t in the cards, not as long as the massive bailout is in place. 
Sensible Stories
By , Bloomberg, 02/16/2011
MarketMinder's View: American firms couldn’t be expected to sit on their record war chests forever. Capital spending on new stores, manufacturing facilities, and distribution centers, etc., experienced the biggest quarterly jump since 2004—a positive sign for the economy ahead.
Sensible Stories
By , SME Times, 02/16/2011
MarketMinder's View: Freer trade always makes us smile. Hopefully American politicians will take note and follow suit.
Sensible Stories
By , MarketWatch, 02/16/2011
MarketMinder's View: “There is no visible harm from current deficits.” We couldn’t agree more. This is a cogent piece on why current debt levels aren’t the “fiscal nightmare” many believe them to be.
Market Misperceptions
By , MarketWatch, 02/16/2011
MarketMinder's View:
China’s holdings of US debt are always closely watched, but investors needn’t worry about China reducing holdings for two months in a row. It doesn’t necessarily portend a larger trend—the greenback is still the reserve currency of choice globally.
Sensible Stories
By , International Business Times, 02/15/2011
MarketMinder's View: Presidential budget proposals almost never pass completely intact. Lawmakers rarely agree on spending cuts and tax increases. The “big questions” left in Obama’s budget are likely to serve as fuel for lawmakers’ fire. For more, see our today’s cover story, “A Budget Battle.”
Market Misperceptions
By , The New York Times, 02/15/2011
MarketMinder's View:
Wait—6% unemployment is a “new normal”? You could have fooled us. That’s almost exactly the long-term average in the US.
Market Misperceptions
By , Bloomberg, 02/15/2011
MarketMinder's View:
Another example of the overly optimistic camp we discussed in our 02/07/2011 cover story, “2011: A Sentiment Tug-of-War.” Folks expecting outsized index returns in 2011 are likely to meet with disappointment.
Market Misperceptions
By , Financial Times, 02/15/2011
MarketMinder's View:
Here’s an example of the overly pessimistic camp as discussed in our 02/07/2011 cover story, “2011: A Sentiment Tug-of-War.” This is an irrational piece expressing doubt nearly two years into a bull market and overlooking expansionary global economic data. When does the quest to find the next shoe to drop end?
Sensible Stories
By , Financial Times, 02/15/2011
MarketMinder's View: The Chinese central bank continues its balancing act, attempting to control inflation while maintaining reasonable growth. Tightening measures will take some time to work their way into the economy, and the central bank still has many tools at its disposal. Expect additional actions to tighten the Chinese money supply should inflation remain elevated.
Sensible Stories
By , The Wall Street Journal , 02/15/2011
MarketMinder's View: Sales are up more than 14% from the recession low in December 2008. Some folks mistakenly believe elevated unemployment will directly translate into weak retail sales—but the two are less interdependent than widely perceived, as this data illustrate.
Sensible Stories
By , Reuters, 02/15/2011
MarketMinder's View: The eurozone economy is in better shape than many believe, but there are still pockets of weakness to be found. It’s likely Europe continues to operate as a “twin speed” with a broad, healthy core of northern European countries alongside weaker peripheral nations for some time.
Market Misperceptions
By , ABC News, 02/15/2011
MarketMinder's View:
We certainly don’t like to see people losing their jobs, but US manufacturing jobs aren’t being exported en masse. Rather, manufacturers’ productivity gains simply mean more is produced with less labor needed, shifting the job force toward the large part of our economy that isn’t manufacturing. For more, see our 11/09/2010 column, “The Ever-Evolving Economic Engine.”
Market Misperceptions
By , The New York Times, 02/15/2011
MarketMinder's View:
We believe this to be terribly myopic, anecdotal, and lacking real data to support its conclusions. It’s a nice story, but says little about the way people, markets, or economies really work.
Sensible Stories
By , The New York Times, 02/14/2011
MarketMinder's View: The details of what's to come remain fuzzy. We're in favor of sensible reform, but it's anyone's guess how this turns out. For more, see today’s cover story, "Vaguely Reforming Their Fannie."
Sensible Stories
By , The Australian, 02/14/2011
MarketMinder's View: Could it be the UK is waiting in the wings for capital to flow from Europe to its borders? Either way, the EU is a long way from a permanent solution. For more, see our 02/08/2011 cover story, "Vaguely Inconclusive."
Market Misperceptions
By , The Australian, 02/14/2011
MarketMinder's View:
Folks who fear the "end of oil" typically don’t appreciate the vast ingenuity of humanity. For decades, we’ve been discovering more oil, innovating ways to get to existing caches more cheaply and easily, and using energy more efficiently. Our guess is those innovations continue.
Market Misperceptions
By , The New York Times, 02/14/2011
MarketMinder's View:
Wowee. First, the NYSE is already NYSE Euronext, so ownership by Germany’s Boerse isn’t that much of a leap. And in this global world, having a foreign-owned exchange simply has no bearing on whether domestic firms will list on it.
Sensible Stories
By , CNN Money, 02/14/2011
MarketMinder's View: It was bound to happen. Outpacing Japan, China has stepped up and taken over as the world’s second-largest economy. At its current pace, it won’t be long before it takes over the US! Can it keep up its blistering pace? Anything is possible, but to keep growing strongly, China will have to continue getting freer.
Market Misperceptions
By , The Independent, 02/14/2011
MarketMinder's View: We are often curious about this notion of a currency war. For example, when has there ever been a prolonged, successful currency war among developed nations?
Sensible Stories
By , The New York Times, 02/14/2011
MarketMinder's View: An interesting viewpoint on our relationships with Emerging Markets. "The key here is that everyone gains from trade." Amen.
Market Misperceptions
By , The Street, 02/14/2011
MarketMinder's View:
Silver, like gold, is a commodity. It is prone to boom/bust cycles and long term, has badly lagged more liquid asset classes like stocks. Betting on specific commodities as a golden ticket is never wise.
Market Misperceptions
By , The Wall Street Journal , 02/14/2011
MarketMinder's View: Keep in mind, big figures can be scary. But taken as a relative size of GDP and compared to history, this is less alarming.
Sensible Stories
By , The Street, 02/14/2011
MarketMinder's View: Some valid points investors may want to heed. Typically, any reward will have some risk associated.
Market Misperceptions
By , Bloomberg, 02/11/2011
MarketMinder's View:
As expansion continues, consumer confidence is increasing. But investors should be wary of overly rosy interpretations of consumer sentiment indexes, which are notoriously unreliable and heavily influenced by the recent past. Consumer sentiment surveys portend little about stocks’ future direction.
Market Misperceptions
By , Financial Times, 02/11/2011
MarketMinder's View:
Confirming what is widely known seems to be a specialty of rating agencies. Ireland’s banks are in trouble?!?!?!?
Market Misperceptions
By , The Wall Street Journal, 02/11/2011
MarketMinder's View:
Trade data is backward-looking and offers little insight into the health of capital markets going forward. Plus, reaching equilibrium of imports and exports is mythology. Investors should focus on overall trading levels—which are bullishly increasing across the globe. For more, see our 08/12/2010 cover story, “Trading Up.”
Market Misperceptions
By , CNNMoney, 02/11/2011
MarketMinder's View:
SDRs replacing the greenback? Not going to happen any time soon. 
Market Misperceptions
By , The Telegraph , 02/11/2011
MarketMinder's View: Omnipresent for the last two years, inflation fears linger. While inflation may be an issue down the road, in the near term capacity isn’t nearly maxed, and unemployment remains elevated—so prices aren’t likely to rapidly (or unexpectedly) skyrocket soon. Moreover, enhanced productivity at factories swallows some of the increased cost of raw materials (which has driven UK factory prices higher recently). Therefore, they aren’t as directly passed on to consumers as many believe.
Sensible Stories
By , The Wall Street Journal , 02/11/2011
MarketMinder's View: Despite fears, any impact on global stock markets from the unrest in Egypt is likely to be temporary. For more, see today’s cover story, “Egyptian Flip-Flop.”
Sensible Stories
By , BBC, 02/11/2011
MarketMinder's View: Further proof Spain is in better shape than many believe.
Market Misperceptions
By , The Economist , 02/11/2011
MarketMinder's View:
It’s rare, but we’re speechless. Please ignore.
Sensible Stories
By , The Euromoney Institutional Investor , 02/11/2011
MarketMinder's View: The ECB continues to demonstrate its commitment to supporting the eurozone’s periphery, which should help settle markets.
Sensible Stories
By , Financial Times, 02/11/2011
MarketMinder's View: Over the last few years, making correct high-level decisions (whether or not to be in stocks) was the path to success for stock investors. But 2011 looks to bring new challenges to investors—decisions at the sector, country, sub-industry, and company level will likely gain prominence as the year wears on. For more, see our 02/07/2011 cover story, “2011: A Sentiment Tug-of-War.”
Sensible Stories
By , Reuters , 02/11/2011
MarketMinder's View: Whatever the future holds for Fannie and Freddie, stock investors should remember a rebound in the housing market isn’t required for the bull market and economic expansion to continue. For more, see our 01/20/2010 cover story, “Ho Hum Housing.”
Sensible Stories
By , The Washington Post, 02/10/2011
MarketMinder's View: More than anything, this article makes clear the amount of political posturing involved in debating the debt ceiling. All involved parties are making statements necessitated by their political stance, but when push comes to shove, Congress will likely raise the debt limit with relatively little fuss. For more, see our 02/02/2011 cover story, “That Four-Letter Word.”
Sensible Stories
By , Associated Press, 02/10/2011
MarketMinder's View: “South Korea and the United States have signed amendments to their landmark free trade agreement, paving the way for the deal to be voted on by lawmakers in both countries.”
Market Misperceptions
By , The Telegraph, 02/10/2011
MarketMinder's View:
Another thing to add to the growing list of China’s wrongs: Killing American honey bees. No, seriously—that’s what this article argues. We’re fairly confident farmers will continue to produce enough food to support the global population despite honey bee population fluctuations. They have for centuries.
Sensible Stories
By , Café Hayek, 02/10/2011
MarketMinder's View: This hits the nail on the head—while imperfect, the unemployment number does provide a means to compare current jobs numbers to the past. Manipulating it today because unemployment is persistently high is misleading and would lead to faulty conclusions. For more, see our 12/06/2010 cover story, “A Lesson in Government Math.”
Market Misperceptions
By , Seeking Alpha, 02/10/2011
MarketMinder's View:
“Housing usually leads the economy into a recession, and, housing usually leads the economy out of the recession.” Really? That’s an awfully bold claim to make and not provide any supporting data. And a brief review of actual data shows housing isn’t the all-powerful driver this article makes it out to be. For more, see our 09/28/2010 column, “Don’t Wait on Housing.”
Market Misperceptions
By , Robert Reich Blog, 02/10/2011
MarketMinder's View:
This paints an “us versus them” picture of businesses’ and workers’ relationship: Remove regulation and employers will suddenly exploit workers. But the reality is senseless regulations (which exist aplenty) are harmful to free markets, as the Chamber of Commerce points out. And what hurts free markets inevitably hurts job-seekers, because if businesses are unwilling to hire, who else will?
Sensible Stories
By , The Wall Street Journal, 02/10/2011
MarketMinder's View: Inflation is certainly worth watching. But a knee-jerk reaction to what could ultimately prove a temporary increase in prices would be ill-advised, especially given the UK’s sluggish recovery. For more, see our 02/04/2011 cover story, “Distribution or Inflation?”
Market Misperceptions
By , Los Angeles Times, 02/10/2011
MarketMinder's View:
This article is both too bullish and too bearish simultaneously. Not sure how that’s possible? Give this article a go. In the process, this article unwittingly serves as a great reminder to ignore arbitrary market levels, be they all-time highs, lows, or simply round numbers.
Sensible Stories
By , The New York Times, 02/10/2011
MarketMinder's View: While a humorous anecdote, it illustrates a very important point: Senseless taxation and regulation not only hamper free enterprise, they encourage efforts to avoid them. Could those efforts be directed more productively? We would argue absolutely.
Sensible Stories
By , EUbusiness, 02/09/2011
MarketMinder's View: Eurozone troubles continue, but as this article points out, European leaders seem committed to upholding euro unity. For more, see our 02/08/2011 cover story, “Vaguely Inconclusive.”
Sensible Stories
By , BBC News, 02/09/2011
MarketMinder's View: Positive news from Europe’s largest economy—reflective of healthy global demand for goods.
Market Misperceptions
By , The Wall Street Journal, 02/09/2011
MarketMinder's View:
While the current unemployment rate is still high, remember jobs numbers tend to recover after stocks and the economy—not the other way around. For more, see our 09/21/2010 cover story, “And So It Ends.”
Market Misperceptions
By , International Business Times, 02/09/2011
MarketMinder's View:
History shows countries with high trade deficits (US, UK) do just fine economically. Looking at overall trade levels (both UK exports and imports rose) is more important than just focusing on the trade balance.
Sensible Stories
By , The Street, 02/09/2011
MarketMinder's View: Some good investing advice regarding the importance of time horizons.
Sensible Stories
By , Reuters , 02/09/2011
MarketMinder's View: This is a good move. We’ve long said credit ratings are a meaningless rubber stamp. For more, see our 12/10/2010 cover story, “Dodd-Frank Says Ditch Fitch.”
Market Misperceptions
By , The Wall Street Journal, 02/09/2011
MarketMinder's View:
Food and energy prices seem to be the main culprits behind higher inflation globally, but note they are notoriously volatile and can fall sharply as well as rise. Additionally, central banks globally are taking steps to cool prices to prevent too-high inflation. For more, see today’s cover story, “New Lunar Year, Same Rising Inflation.”
Market Misperceptions
By , International Business Times, 02/09/2011
MarketMinder's View:
Curbing banker bonuses in the US will likely cause top talent to look to other countries or industries for better-paying jobs. See our 08/06/2009 column, “Hoopla Over Pay,” for more.
Market Misperceptions
By , The Wall Street Journal, 02/08/2011
MarketMinder's View:
Calls to diversify away from using the US dollar as the international reserve currency have a major flaw: Where else are you going to go? This report cites the Chinese yuan, but might we point out this isn’t even freely traded—a prerequisite for reserve currency status. And it’s pegged to…the US dollar!
Sensible Stories
By , The Globe and Mail, 02/08/2011
MarketMinder's View: The long-term fate of the eurozone is still a bit murky. For more, see today’s cover story, “Vaguely Inconclusive.”
Sensible Stories
By , The Wall Street Journal , 02/08/2011
MarketMinder's View: Another in a series of measures taken by China in its efforts to ease inflation.
Market Misperceptions
By , CNNMoney, 02/08/2011
MarketMinder's View:
Debt should be viewed as a percentage of GDP. With that in mind, it becomes apparent the debt level is still at a very manageable level. And projections of budget deficits in 2021 are highly unreliable. For more, see our 02/02/2011 cover story, “That Four-Letter Word.”
Sensible Stories
By , The Boston Globe, 02/08/2011
MarketMinder's View: The demise of US manufacturing is greatly exaggerated—American factories are still the world’s top producers, churning out significantly more “stuff” than in the past. For more, see our 02/03/2011 cover story, “More With Less.”
Market Misperceptions
By , The Australian, 02/08/2011
MarketMinder's View:
As expected, unwarranted oil concerns are cropping up. But claiming oil shocks have preceded each of the last 12 recessions is revisionist history. 
Sensible Stories
By , Foreign Policy, 02/08/2011
MarketMinder's View: Proof things are looking up for all, and that’s a good thing.
Sensible Stories
By , Time, 02/08/2011
MarketMinder's View: “So yes, the recovery is stronger, and in some cases, stronger than expected. Yet it's probably not time to pop those champagne bottles either.” Global economic growth looks poised to continue, though this doesn’t automatically mean huge stock market returns in 2011. For more, see our 02/07/2011 cover story, “2011: A Sentiment Tug-of-War.”
Sensible Stories
By , The Wall Street Journal , 02/08/2011
MarketMinder's View: A positive outlook for US small business owners—clearly a good thing for them and the economy alike.
Market Misperceptions
By , The Globe and Mail, 02/08/2011
MarketMinder's View:

Increasing lending would be a positive step for Britain, but exactly how does making them surrender capital (that they could lend) in the form of a levy do that? This makes no sense.

Sensible Stories
By , BBC, 02/07/2011
MarketMinder's View: Barriers to free trade have widely fallen the last two years, and this latest news is a step in the right direction. Japan would do well to follow other nations' lead and remove protectionist trade barriers.
Market Misperceptions
By , Seeking Alpha, 02/07/2011
MarketMinder's View:
Attempts to forecast the next decade's returns—using any methodology—are a fallacy. And the methodology used here (a bizarre mish-mosh of technical analysis and widely known fundamentals like P/Es) is highly flawed. Could volatility and/or a bull market correction occur? Of course. Will the "character of the next correction" tell us much about the future? No.
Market Misperceptions
By , The Wall Street Journal , 02/07/2011
MarketMinder's View:
Don’t get too caught up in month-to-month numbers. Economic data frequently shows volatility over short time periods. Also, data are subject to revision, and even small changes can materially affect the perceived outcome.
Sensible Stories
By , The New York Times, 02/07/2011
MarketMinder's View: While rampant inflation-mongering persists, many forget food prices have many drivers, including overall economic growth, weather, distribution disruptions, etc. For more, see our 02/04/2011 cover story "Distribution or Inflation?"
Market Misperceptions
By , The Wall Street Journal , 02/07/2011
MarketMinder's View:
Inflation in the US remains subdued, and the Fed has ample tools at its disposal to counter inflation when it rises. It's legitimate to watch inflation longer term, but in the near term, there's still slack in the economy keeping price increases under wraps.
Market Misperceptions
By , International Business Times, 02/07/2011
MarketMinder's View:
Although China currently supplies the US with most of our rare earths, the US has the second-biggest deposit in the world. US companies are now developing mines after a nine-year hiatus, and proposals currently making rounds in congressional chambers would subsidize US production. See our 11/30/2010 column, "An Overview of Rare Earth Metals," for more.
Sensible Stories
By , Financial Times, 02/07/2011
MarketMinder's View: A lot of interesting data points in this piece speaking to continued US economic growth. The only thing we’d quibble with is the US "recovery" is over. The US is in expansion. For more, see our 01/31/2011 cover story, "Recovery Ends. Expansion Begins."
Sensible Stories
By , msnbc.com, 02/07/2011
MarketMinder's View: Higher productivity is the silver lining to recessions' (temporarily) higher unemployment. However, as the economy continues to improve over time, growth should beget new jobs. For more, see our 02/03/2011 cover story, "More With Less."
Sensible Stories
By , CNN Money, 02/04/2011
MarketMinder's View: Strong auto and retail sales prove consumers are spending, spending, spending—“Snowpocalypse” or not.
Sensible Stories
By , Bloomberg, 02/04/2011
MarketMinder's View: European leaders continue to show solid support to uphold the EMU and help troubled members—what comes to pass remains to be seen.
Sensible Stories
By , VOX, 02/04/2011
MarketMinder's View: “The dramatic rise in Chinese imports into Europe and the US is actually good news for economic prospects, encouraging the best firms in the developed world to get even better, powering the innovations that provide future growth.” Need we say more?
Market Misperceptions
By , Slate, 02/04/2011
MarketMinder's View: Financial crises are near impossible to predict, global or otherwise. And the likelihood of anyone predicting the next one? Next to nil. If it were that easy, they wouldn’t really be crises—we’d know they were coming and avoid them.
Sensible Stories
By , CNN Money, 02/04/2011
MarketMinder's View: The Treasury “currently estimates that TARP bank loans will ultimately provide a lifetime profit of nearly $20 billion to taxpayers.” As we’ve said, TARP isn’t as toxic as many believed. See our 01/25/2011 cover story, “Not-So-Toxic TARP,” for more.
Market Misperceptions
By , CNN Money , 02/04/2011
MarketMinder's View:
Jobs numbers can fluctuate wildly from month to month—and don’t predict the direction of the stock market or economy. Overall trends, however, show improvements in the labor market.
Market Misperceptions
By , The Washington Post, 02/04/2011
MarketMinder's View:
While a tax overhaul is much needed, look to what actually gets done rather than what’s said. For now, this is simply talk.
Sensible Stories
By , The Telegraph, 02/04/2011
MarketMinder's View: And the Fed head is quite right—monetary policy has little to do with volatile food price swings. There are myriad pressures, including ongoing global growth, subsidies, weather, and even distribution disruptions—monetary policy looms very small as a food price driver. For more, see today’s cover story, “Distribution or Inflation.”
Market Misperceptions
By , Pragmatic Capitalism, 02/03/2011
MarketMinder's View:
While it can provide useful perspective on past events, history is hardly guaranteed to repeat itself—and forecasting 10 years out is nearly impossible to do with much accuracy. But we also question the validity of the charts shown. What index is this? Are these total returns or price returns? What is the inflation adjustment?
Market Misperceptions
By , SME Times, 02/03/2011
MarketMinder's View:
As we’ve said before, trade by definition benefits all participants—otherwise, they simply wouldn’t play. So to suggest global trade imbalances will spark civil wars strains credibility at best.
Market Misperceptions
By , ABC News, 02/03/2011
MarketMinder's View:
Stories like these aim to scare readers by putting US debt in terms of everyday items, which might be relevant if a single taxpayer was responsible for paying off the entire thing. A more reasonable comparison would be to the size of GDP. Or the size of the interest payments on the debt. For more, see our 02/02/2011 cover story, “That Four-Letter Word.”
Market Misperceptions
By , MarketWatch, 02/03/2011
MarketMinder's View:
With corporate earnings strong and sales numbers defying rough winter weather, demand seems an unlikely culprit in the unemployment story. Rather, as uncertainty wanes, businesses will need to hire to keep up with demand, and unemployment will gradually begin to fall. For more, see our 01/06/2011 cover story, “Even Mules Budge.”
Market Misperceptions
By , The Washington Post, 02/03/2011
MarketMinder's View:
To argue the internet and computer revolutions of the past couple decades haven’t impacted lives across all income levels seems overly dismissive. The reality is we’re more productive than ever, and that productivity benefits all.
Sensible Stories
By , The Wall Street Journal, 02/03/2011
MarketMinder's View: “A rise in productivity showed companies continue to keep costs controlled and offered hope for jobs growth, while disparate US economic reports noted continued growth in the service and manufacturing sectors.”
Sensible Stories
By , The Independent, 02/03/2011
MarketMinder's View: A reminder that GDP, while a widely used metric for economic growth, is still fairly wonky and prone to biases and errors. Here’s another take on UK growth: GDP may have been underreported by as much 10%.
Sensible Stories
By , Café Hayek, 02/03/2011
MarketMinder's View: Here’s a novel thought: “Successful and productive trade negotiations occur millions of times daily, without any government involvement.” Seems all the government really needs to do is get out of the way and let the market work its magic.
Sensible Stories
By , Bloomberg, 02/03/2011
MarketMinder's View: The headline is a bit off-putting, but keep in mind, inflation in the eurozone has in fact remained low for some time. Yes, the risk of inflation down the road is higher, but we anticipate the world’s central banks will react largely appropriately when the time comes to begin tightening.
Sensible Stories
By , Daily Finance, 02/02/2011
MarketMinder's View: In a bullish sign for US automakers, US consumers braved winter weather in January as major automakers reported double-digit sales increases from a year ago.
Market Misperceptions
By , The Wall Street Journal , 02/02/2011
MarketMinder's View:
Surprise, surprise: A rating agency is late to the party—again. In what is effectively confirmation of widely known information, S&P lowered its rating on Ireland, “due to uncertainty surrounding the size of additional capital needs for its financial sector.” Thanks for the heads up.
Sensible Stories
By , Bloomberg, 02/02/2011
MarketMinder's View: US firms adding jobs is certainly good news. But investors must remember the unemployment rate isn’t a vital indicator of economic recovery many believe. For more, see our 01/10/2011 cover story, “A Tale of Two Unemployment Rates.”
Sensible Stories
By , The Globe and Mail, 02/02/2011
MarketMinder's View: Demonstrating their commitment to austerity measures, Spain’s government, businesses, and unions signed a pact designed to reform aspects of the country’s economy.
Sensible Stories
By , The Wall Street Journal , 02/02/2011
MarketMinder's View: The timing of the debt ceiling increase may be in question, but investors needn’t worry—an increase is almost guaranteed. For more, see today’s cover story, “That Four-Letter Word.”
Market Misperceptions
By , The Wall Street Journal , 02/02/2011
MarketMinder's View:
Inflation fears abound, especially in the press. But, for the time being, eurozone inflation is within manageable ranges.
Market Misperceptions
By , The New York Times, 02/02/2011
MarketMinder's View:
Fact: Higher tax rates do not guarantee increased tax revenue.
Market Misperceptions
By , The Globe and Mail, 02/02/2011
MarketMinder's View:
This piece is short on insightful analysis and long on fear-based prattle of “lost jobs” and “lost decades.” Please ignore.
Sensible Stories
By , The American, 02/02/2011
MarketMinder's View: “The US economy reached a milestone in the fourth quarter of 2010 when $13.38 trillion (2005 dollars) worth of real gross domestic product was produced, the highest quarterly output ever recorded.” Amen. For more, see our 01/31/2011 cover story, “Recovery Ends. Expansion Begins.”
Market Misperceptions
By , Time, 02/02/2011
MarketMinder's View:
Egyptian tensions have caught the eye of many investors lately. But any effects on global stock markets are likely only short term. For more, see our 02/01/2011 cover story, “Egyptian Unrest.”
Sensible Stories
By , Associated Press, 02/01/2011
MarketMinder's View: Strength in factory activity data continues to reflect the replenishment of depleted inventories, rising global demand, and increasing trade. All positive signs of economic recovery.
Sensible Stories
By , Spiegel, 02/01/2011
MarketMinder's View: While this article likely overstates the importance of reserve currencies to a local economy, it does logically articulate reasons the Chinese yuan won’t become the next global reserve currency—absent significant reform.
Sensible Stories
By , The Wall Street Journal , 02/01/2011
MarketMinder's View: The wave of free trade agreements and efforts to boost bilateral trade continues to sweep the globe. Look for continued cooperation among nations as politicians seek to beat a path back to prosperity—very positive.
Sensible Stories
By , The Wall Street Journal, 02/01/2011
MarketMinder's View: Although budget deficits continue to be a concern, a steadily improving economy and rising state tax revenues should help—however, it’s reasonable to expect additional state government austerity measures for some time to come.
Market Misperceptions
By , The Wall Street Journal , 02/01/2011
MarketMinder's View:
 “When the Middle East roars, so do oil bulls. But buying gold could be the better hedge of the two against Egyptian turmoil.” As the article goes on to mention, extrapolating past market performance is risky, and extrapolating from past political events is even more error-prone.
Market Misperceptions
By , The Wall Street Journal , 02/01/2011
MarketMinder's View:
Determining the eventual outcome of the unrest in Egypt will be difficult, but possible effects on the global economy or stock markets are likely short term in nature. See today’s cover story, “Egyptian Unrest,” for more.
Sensible Stories
By , The Wall Street Journal , 02/01/2011
MarketMinder's View: Activity in the eurozone’s manufacturing sector picked up, reaching a nine-month high—quite remarkable given last summer’s anxiety about the sustainability of the region’s recovery.