Yardeni: Near-Term Pause, But Bull Has A Ways To Go

Strategist Ed Yardeni says he expects a pause in the near-term, but thinks the bull market in equities is likely to continue for a couple more years. “We forget that [another government budget sequester] now will happen every year for a 10-year period, and they add up,” he tells CNBC, adding that a possible tapering of the Federal Reserve’s asset-buying program could also hurt the market in the shorter term. “There will also be a… Read More

Should You Join The Bull Run?

Dalbar, Inc. has been tracking the performance of individual investors for years, and the group’s president says that, with the stock market climbing higher and higher, investors who want to jump aboard the bull train should be cautious. “I’d say, if you can reliably predict where the market’s going, then jump in feet first — just buy, buy, buy,” Louis S. Harvey tells The New York Times. If not, he says, caution is warranted. “Make… Read More

Yardeni: Numbers Show “Old Normal” Reigns

Strategist Ed Yardeni says that the “New Normal” scenario that has been promulgated by Bill Gross and PIMCO is off base — and says recent economic data proves it. “While Bill Gross sees a world full of new normals and paranormals, the old normal business cycle continues to show that it is still in gear,” Yardeni writes on his blog. He presents a chart of the trend of initial unemployment claims following the past four… Read More

What to Expect in a Bull’s Second Year

With the bull market having recently hit its one-year anniversary, MarketWatch’s Jonathan Burton says investors might want to look to history for clues about what to expect in what will, hopefully, be Year Two of the bull. “This next year, history may not repeat itself, but as Mark Twain quipped, it could rhyme,” Burton writes. “The market’s performance so far has mirrored a pattern common to every bull market since 1949, according to Standard &… Read More

Where Do We Go from Here? Sonders, Yardeni & Others Weigh In

With the market continuing to surge, SmartMoney.com recently surveyed a number of top strategists to see just how much room they think stocks have to run, and found a good deal of optimism that was tempered by caution. Among the strategists: Charles Schwab Chief Investment Strategist Liz Ann Sonders; Yardeni Research President Ed Yardeni; and Bespoke Investment Group Founder Paul Hickey. Here’s a sampling of what they had to say: Sonders: “The train has been… Read More

Yardeni’s 12 Reasons for Optimism

Yes, the news this morning is filled with swine flu and a bigger-than-expected first-quarter GDP drop, but Ed Yardeni of Yardeni Research — who has a pretty good track record of economic forecasting, including his solid calls on the last recession recovery in 2003 — is offering several reasons for economic optimism. (A tip of the cap to The Wall Street Journal’s David Wessel for highlighting this.) In an email to clients, Yardeni cited a… Read More