Ed Yardeni
Ed Yardeni
core increase inflation means percent rate seen stayed tremendous
For two years, we've seen this tremendous increase in prices, yet the core inflation rate has stayed at 2.3 percent or less, and the only explanation for that is globalization means inflation is contained.
earnings grow inflation interest rates remain
Earnings are still going to grow as interest rates and inflation remain low.
below early earnings market predicted rise risen share time
Early in 2004, I predicted that energy's share of the S&P 500's market capitalization would rise from just below 6% at that time to 15% before the end of the decade. In January, its market-cap share was up to 12.1%, while its share of earnings had risen to 9.1% from 6.0% in early 2004.
beginning earnings recover
Earnings will recover and valuation multiples, which got crushed, will get back to where they were at the beginning of the year,
adds good surprises
The surprises should be on the upside. It all adds up to very good fourth-quarter numbers.
actual businesses creating inventory money sort turning
The actual end users, the businesses that actually need these commodities, are discovering that they are making more money by accumulating inventory than turning it into products. It's sort of creating a panic-buying situation, scrambling to hoard.
assets commodity converted extent financial funds hard
What is really new in the commodity world is the extent to which hard commodities have been converted to financial assets through exchange-traded funds and hedge funds.
earth life mean planet severe year
There could be a severe recession. That doesn't mean there won't be life on the planet Earth in the year 2000, 2001 and beyond.
areas choke fact government points produce year
the government is one of the choke points in the year 2000 problem. It's one of the areas where we could have disruptions that could in fact produce a recession.
bigger bubble coming financing innovative lending mortgage places rather sorts telling
The bigger bubble is actually in the financing of homes. Mortgage lenders have loosened their lending standards. Rather than telling a lot of would-be buyers, particularly in places like California, that they don't qualify, they're coming up with all sorts of so-called innovative alternative financing.
bigger bubble financing
The bigger bubble is actually in the financing of homes.
beauty believed believes eye model nobody percent stocks
Nobody believed in the model when it said that stocks were 60 percent overvalued and nobody believes in it now. Valuation is like beauty -- it's in the eye of the beholder.
clear concluded fed rates
It's been clear that the Fed concluded rates were too low,
bank central conclude income investors raise rates tends time
When fixed-income investors conclude that the central bank isn't going to raise rates any time soon, ... there tends to be a convergence of rates.