Crypto is boring

Happy Friday! Let’s touch on inflation real quick. A colleague sent me the chart below with three lines: Consumer Price Index (CPI), which is a broad measure of inflation (orange line) Core CPI, which strips out food and energy (blue line) Median CPI (white line), which removes the effects of outliers in the basket of […]

How much longer with FOMO obey?

There’s a story out there that Stalin once ripped off the feathers of a chicken and then threw it some food. The chicken was in a lot of pain but still followed Stalin around. The apparent lesson he was teaching his troops was that a dictator can do anything he wants to “the people,” so […]

Bugatti has made the world a better place

As discussed for over a year now, you can’t increase the money supply by 25%, send people checks in the mail, tell them to stay at home for months, and not expect inflation. Take the last three months and we are running at an annualized inflation rate of 7.2%. That’s really high, but I don’t […]

Is The Fed relocating to the Jersey Shore?

This could be the best earnings season I’ve ever seen. Check out this chart from FactSet as of April 30th (60% of S&P 500 companies reported by then): According to Refinitiv, the current “beat rate” (how many companies are reporting results above Wall Street’s consensus) is running at 87%. That’s the highest since Refinitiv started tracking these numbers […]

Palpable irony

Here’s an interesting (albeit sad) chart depicting the impact to small businesses over the last year: And here are some interesting charts on the impact of COVID on kids: Yet here is the current state of schools: Bill Miller was also in the news this week. He’s the former manager of the Legg Mason Value Trust that got annihilated […]

Dogecoin – The hometown hero

Earnings continue to pour in, but that’s boring so let’s turn to some funny stories that could only happen in 2021. First, dogecoin is now worth more than Ford and Kraft. That’s right. The cryptocurrency that was created as a joke to make fun of cryptocurrencies now has a market cap north of $50 billion. By […]

Drowning in analyst tears

Few topics to discuss this week… Retail sales for March rose a mind boggling 9.8%, which blew away consensus forecasts at 6.1%. And if you’re thinking this is due to the government sending checks in the mail, pat yourself on the back. But what’s encouraging is that it appears that these checks are being used […]

Tesla should build KARR

Happy Friday! I was about 5% of the way through writing about dogecoin until throwing in the towel. I just came to the realization that if I spent too much time on this subject that I would come out the other side dumber, and I can’t risk that right now. Not in my mid 40s […]

Meme stock memes

Happy Friday! Here’s an academic study at Harvard circa 2001 titled Functional Imaging of Neural Responses to Expectancy and Experience of Monetary Gains and Losses. Roughly 92% of it is unreadable, but I expected that going in. A business school professor once warned my class that Harvard researchers are like bobblehead dolls – huge heads with […]

Cookie Monster couldn’t buy GME

Happy Friday! It looks like Robinhood and other Brokers followed the Big Tech Cartel playbook by restricting buys in meme stocks yesterday. Bold move.  I’m old enough to remember seeing short sales banned but I don’t think I’ve ever seen this before. I had a few advisors ask me if this is even legal, and […]