Fisher: Second Leg of Bull Coming

Kenneth Fisher says the current correction is “the most textbook perfect” one he’s seen in 12 years, and says the second leg of a bull market is coming. Fisher writes in his latest Forbes column that the last correction that was this textbook was the 1998 correction, which was fueled by the Asian contagion, the […]

Arnott: Investors Looking in Wrong Places for Sovereign Debt

In his latest newsletter (click here for a PDF version), Research Affiliates’ Rob Arnott offers some interesting data on sovereign debt — data that indicates many investors are buying up bonds from the wrong countries. While investors have been pouring into U.S. Treasuries, Arnott says the U.S. — and many other developed countries — aren’t […]

Sonders: Double-Dip Still Unlikely

Charles Schwab Chief Investment Strategist Liz Ann Sonders continues to sound skeptical that the U.S. is entering the second leg of a “double-dip” recession. “Although rhetoric surrounding a double-dip recession has increased throughout the summer, we remain relatively optimistic that economic growth will remain positive (albeit low) and that from a sentiment and valuation perspective, […]

Herro Goes Against Crowd, Keys on Europe

Top fund manager David Herro, who has beaten the market handily over the long haul by going against the crowd, is now keying on a couple very unloved areas of the world: Europe and Japan. While many investors are focused on hot-growth emerging market areas, Herro’s exposure to emerging markets is just 7%, SmartMoney reports. […]

Berkowitz on Why He Still Likes Financials

Morningstar domestic stock fund manager of the year Bruce Berkowitz is standing by his big bet on beaten-down financials, and recently explained why on Consuelo Mack’s WealthTrack. Berkowitz says that, having been incredibly scrutinized in recent years, financials now have strong balance sheets and excellent earnings power — and are trading at extremely cheap valuations. […]

Top BlackRock Manager Eyes Blue Chips

Dennis Stattman, whose BlackRock Global Allocation Fund has an excellent long-term track record, says big blue chips are offering lots of value. Stattman tells Bloomberg that blue chip companies like  Johnson & Johnson and Microsoft have global franchises, strong cash flows, and solid dividend yields these days. “We can’t find a stock among the 20 […]

Gross on What the Government Should Do

PIMCO founder Bill Gross thinks the government needs to get more involved in the housing market to help spur the economy, and he also thinks the U.S. needs to direct its stimulus funding differently. Gross discusses those issues and also gives his bond and stock market outlook on CNBC, saying that he’s currently high on […]

“Canadian Buffett” Betting on Deflation

Prem Watsa, known as the  “Canadian Warren Buffett”, appears to be making a big bet that the U.S. will be hit by an extended period of deflation. According to The Wall Street Journal, Watsa’s firm, Fairfax Financial Holdings, “has spent nearly $200 million to buy derivative contracts wagering on a decline in the consumer-price index, […]

Shiller: July Home Sales Drop an Anomaly

Yale economist Robert Shiller says the poor home sale figures in July came in an “anomalous” month. Shiller tells Bloomberg that the scheduled expiration of the government’s homebuyer tax credit program led many buyers to rush to get their purchases made by the June 30 deadline, meaning that a July dropoff shouldn’t be a big […]

Guru Strategy Rating Changes: Pepsi Falling, Sinopec Rising

Each week, we take a look at which stocks John Reese’s Guru Strategy computer models have newfound interest in, and which they have soured on. Here’s a look at some of the stocks John’s strategies have upgraded or downgraded today. Among the big-name movers:PepsiCo and China Petroleum & Chemical Corporation.

Kass: Time to “Re-Risk” Is Near

Money manager and columnist Doug Kass, who has made some very good calls in the past couple years, is getting “longer” on stocks. “I think it’s approaching a time to re-risk,” Kass tells CNBC. “If the market continues to decline, I will expand the long book further.” He says he’s buying financials, including Bank of […]

Fear Has Fisher Bullish

Investors have been fleeing stocks in a hurry in recent months, and that has top money manager Kenneth Fisher feeling bullish. “I’m never going to be bearish when people are pessimistic,” Fisher said in an interview on “Bloomberg Surveillance” with Tom Keene. “My bias when pessimism is high is to own equities.” Fisher is particularly […]

Siegel on the “Bond Bubble”

Author and Wharton Professor Jeremy Siegel says a bubble is forming in the bond market, and that those who continue to rush into bonds are making the same kind of mistake investors made back during the technology bubble of the late 1990s. Siegel tells CNBC that investors are showing “tremendous risk aversion” of the order […]

Little-Known Guru Generates Big Profits

In his latest article for Canada’s Globe and Mail, Validea CEO John Reese takes a look at the Guru Strategy he bases on the writings of Joseph Piotroski, a little-known accounting professor who authored an influential stock-picking paper. “Mr. Piotroski’s approach started with a variable many investors had used before: the book-to-market ratio (the inverse […]

Fisher on the Perils of Market Timing

In his latest Forbes column, Ken Fisher says that fund investors who try to time the market play a dangerous game. “Plenty of funds have fine long-term returns despite being tax inefficient and generally costly,” Fisher writes. “But a dirty secret is this: Average, no-load fund investors do much worse than the funds — or […]

Oberweis Likes Chip Stocks

Newsletter guru Jim Oberweis is finding a lot of value in an area of the market that was hit hard by the recent recession: semiconductor capital equipment stocks. “After a tough decade for technology, I believe the time is ripe for chip-equipment companies,” Oberweis says in his latest Forbes column. “When [chip fabricators] stopped buying […]

Two Top Newsletters Optimistic — and Cautious

Two top-performing stock newsletters are sounding optimistic on stocks, though both are also exercising some caution, MarketWatch’s Peter Brimelow reports. One, the Cabot Market Letter, recently stated that it is “still more positive than negative. But — and it’s a big but — as long as market leadership remains narrow, we’ll remain apprehensive. We really […]

“Smooth” Recoveries Rarely Occur, Says Dorfman

Growth in manufacturing activity and industrial production have slowed a bit recently, leading many to fear a double-dip recession is coming. But columnist and money manager John Dorfman — one of the few strategists who was offering optimism heading into the 2009 rally — is still optimistic. “One reason these figures don’t shake my confidence […]

Siegel: Fed Still Has Tools — and Should Use Them

While many say it is out of bullets, author and Wharton Professor Jeremy Siegel says the Federal Reserve still has ammunition left to combat the sluggish economy. Siegel writes on Yahoo! Finance that the Fed’s plan to buy Treasuries with the principal payments on its mortgage-backed securities “was just a baby step.  Much stronger measures […]

Berkowitz, Renaissance Targeted BP

Top fund manager Bruce Berkowitz has been buying up beaten-down financials for several months now. In the second quarter, he also keyed on a beaten-up energy company — much-maligned BP. While the oil giant has taken a big hit both financially and reputation-wise following its Gulf of Mexico well explosion, Berkowitz apparently sees value in […]

Zweig Strategy Doing Some Apple-Picking

In his latest article for Seeking Alpha, Validea CEO John Reese takes an in-depth look at his Martin Zweig-inspired growth strategy. “Over the past two years, the stock market has been driven largely by macroeconomic factors,” Reese writes, citing the credit crisis and huge government stimulus package as major examples. “Given the extreme emotions such […]