Stock Markets and the Economy
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January 2009
January 29, 2009 10:25 a.m. Optimism Makes a Comeback Financial stocks soared Wednesday. Wells Fargo alone gained over 30%. Last week I discussed the sort of policies the government should implement to right the financial system and resolve the crisis. The recommendation involved having the government set up one or more bad banks to take […]
Your Portfolio And The Economy
Most investors try to forecast the economy and use that forecast to manage their investments. Don’t take that route. There is a long-term relationship between stocks and the economy. Over short and even intermediate-term periods, there is not a strong tie between stock returns and the economy. We don’t have to look back too far […]
