What we’re reading (1/7)
“The Best Investment For This Coming Crazy Year” (Wall Street Journal). “I think the best investment of 2022 is likely to be discipline. With the course of the coronavirus pandemic unclear, inflation expected to keep spiking and the Federal Reserve poised to raise interest rates, anything can happen—and probably will. What’s more, the things that feel most certain aren’t as obvious as they seem—so investors need to beware of taking drastic actions that, later on, they will wish they could undo.”
“How To Invest When There’s Nowhere To Hide” (Contrarian Edge). “I don’t know what straw will break the feeble back of this market or what will cause the music to stop (there, you got two analogies for the price of none). We are in an environment where there are very few good options. If you do nothing, your savings will be eaten away by inflation. If you do something, you find that most assets, including the stock market as a whole, are incredibly overvalued.”
“Is It Time To Fight The Fed? This Veteran Strategist Says The Central Bank Won’t Risk A 20% Drop In House Prices And A 30% Slide In Stocks.” (MarketWatch). “David Rosenberg, chief economist and strategist at Rosenberg Research and the former chief North American economist at Merrill Lynch, isn’t buying the tough talk from the Fed. ‘One should be skeptical of the Fed’s forecasts, given the poor track record, even though investors treat them (and the dot plots and FOMC minutes) as gospel,’ he says.”
“Layoffs Watch: Credit Suisse Prime Brokers” (Dealbreaker). “Luckily for those unlucky 69, they’ve gotten their walking papers at perhaps the most fortuitous moment in history for the laid off, a time when people are voluntarily leaving their jobs in droves, new jobs are springing up everywhere, and even Jamie Dimon finds himself forced to accept that the snowflakes these days just need more time at home.”
“Cities Whose Residents Make the Most Passive Income” (Chamber of Commerce). “At the regional level, households on the West Coast, Northeast, and Florida tend to earn more passive income. These differences vary based on total household income and other demographic factors. California and Florida residents earn the most, with median passive income of $7,000 and $6,000 per year, respectively. Whereas California has one of the highest median total household incomes of any state, Florida is home to a larger share of retirees who tend to depend on passive income to cover their living expenses.”
