Quote of the day
Jonathan Eley, “If momentum investing is so simple, why don’t more people do it? One reason might be that its crudeness offends our intellectual sensibilities.” (FT)
Chart of the day
Japanese equities are overbought, while wheat not so much. (Global Macro Monitor)
Markets
Happy fourth anniversary, the “Impossible Rally“! (The Reformed Broker)
Why aren’t individual investors more bullish? (Phil Pearlman)
Breadth is still holding up. (Dynamic Hedge)
P/E ratios are creeping higher. (Bespoke)
Emerging market bonds look like safe havens for now. (Jason Zweig)
Strategy
Why most people hate good financial news. (Pragmatic Capitalism)
Some thoughts on risk and being wrong. (All Star Charts)
Keep an open mind and recognize that general advice is general for a reason. (A Dash of Insight)
Behavioral finance 101: the case of the trading barber. (The Reformed Broker)
The misunderstanding around the so-called “conviction trade.” (SMB Training)
Why is there so little correlation between economic growth and the stock market? (Buttonwood)
On the inscrutable nature of investor confidence. (NYTimes)
Companies
On the prospect for further Web 2.0 consolidation. (Pando Daily)
Apple’s ($AAPL) real problem is if it starts losing good people. (SAI)
Why Apple needs to make a ‘halo computer.’ (Hypercritical)
Finance
How much of the market rally can we attribute to share buybacks? (Dealbreaker also Focus on Funds)
Activist investors serve a useful role in checking management. (Musings on Markets)
The Norwegian SWF is swapping out Europe for emerging markets. (The Source)
A review of the best online brokers. (Barron’s)
ETFs
On the prospects for a distressed debt ETF. (Deal Journal)
On the differences between bank loan funds and high yield bond funds. (Learn Bonds)
Not all low vol ETFs are created alike. (IndexUniverse)
Short interest is growing in the high yield bond funds. (FT also FT Alphaville)
On the return (and risk) of securities lending. (IndexUniverse)
Japan
Japan’s stock market has been down so long any decent rally will still pale in comparison. (Quartz)
Other ways to play Japan besides the WisdomTree Japan Hedge Equity ETF ($DXJ). (IndexUnvierse)
Economy
Looks at the generally positive employment report. (Calculated Risk, Quartz, Tim Duy, Daniel Gross, The Atlantic, Felix Salmon)
Is wage growth finally materializing? (Money Game)
Move along there is nothing to see in this high profile recession call. (Modeled Behavior also Econbrowser)
Still not much in the way of financial stress. (Carpe Diem)
A look back at the economic week that was. (Bonddad Blog, Calculated Risk)
The economic schedule for the coming week. (Calculated Risk)
Earlier on Abnormal Returns
The best tweets for your money. (WSJ.Money)
What you missed in our Saturday morning linkfest. (Abnormal Returns)
Top clicks this week on the site. (Abnormal Returns)
Mixed media
What to do when someone gives you a shot. (Howard Lindzon)
Just how much credit is needed when credit is due. (paidContent)
LED bulb prices are reaching a tipping point. (Scientific American)
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