Quote of the day
Robert Shiller, “In fact, the best explanation for the market’s back-and-forth swings is that each day we are conducting a Keynesian beauty contest, and reassessing what others think that still others are thinking.” (NYTimes)
Chart of the day
A rough week in the land of mortgage REITs. (24/7 Wall St., MarketBeat)
Markets
Wall Street strategists are, wait for it, bullish. (Big Picture)
Would a tax on “high frequency trading” actually work in practice? (WSJ)
The bond market is already pricing in some operation twist. (FT Alphaville)
At least 2011 is turning out to be a good year for dividend hikes. (Marketwatch)
Why emerging hedge fund managers outperform. (WSJ)
Strategy
Building a better stop. (Derek Hernquist)
John Bogle killed your portfolio. (Phil Pearlman)
Why understanding the macro is so important for (value) investors. (Pragmatic Capitalism)
Companies
22 S&P 500 stocks that have seen their stocks do nothing for the past decade despite earnings growth. (Barron’s)
The technology sector has a cash problem. (Barron’s)
Netflix ($NFLX) is going to get some competition from Dish Networks ($DISH) Blockbuster. (Bloomberg)
The Amazon ($AMZN) Kindle Tablet is real. (TechCrunch, ibid)
Finance
The FHFA drops a Labor Day bomb by suing the major banks to recoup losses. (WSJ, Planet Money, Clusterstock, FT Alphaville, TRB)
High volatility is not good for the dark pool business. (MarketBeat)
Why would anyone want a Merrill Lynch tracking stock? (FT Alphaville)
Investors still care about AAA ratings. (Felix Salmon)
ETFs
Goldman Sachs ($GS) is getting into the ETF business with a low beta ETF. (IndexUniverse)
Bond funds are not bonds, redux. (WSJ)
Blackrock ($BLK) is missing the point when it comes to active ETFs. (IndexUniverse)
Global
Check out the busy week on tap for Europe this week. (MarketBeat)
European equity ETFs still look “heavy.” (UpsideTrader)
Investors are bidding up emerging market consumer stocks. (NYTimes)
Economy
The economy is “disappointingly slow” but not yet in recession. (Econbrowser)
What does a steep yield curve mean in an age of ZIRP? (Aleph Blog)
Ignore the funny math on the national debt. (Money Game)
Earlier on Abnormal Returns
What you missed in our Saturday long form linkfest. (Abnormal Returns)
Top clicks this week on Abnormal Returns. (Abnormal Returns)
Punditry
The fear of failure and the need for accountability of pundits. (Free exchange)
Why pundits have a tendency to overfit the data to suit their own needs. (A Dash of Insight)
Mixed media
The bull market in gourmet salt. (Money & Co.)
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