Gross: Zero-Bound Rates Will Cause Big Trouble

PIMCO bond guru Bill Gross is reiterating his belief that zero-bound interest rates will become a major problem for the economy, and markets. “Books such as ‘Stocks for the Long Run’ or articles such as ‘Dow 36,000’ captured the public’s imagination much like a Montana to Jerry Rice pass that always seemed to clinch a […]

Paulsen Still Likes Financials and Cyclicals

Wells Capital Management’s James Paulsen thinks cyclical stocks will continue to outperform the broader market for some time. Paulsen tells Yahoo! Finance’s Breakout that cyclicals tend to outperform as long as unemployment claims are trending downward, and thinks it won’t be time to get more defensive until new claims for unemployment get down below the […]

Gross vs. Cooperman on Treasurys

Are Treasury bonds a good place to be, or quite dangerous? Two top strategists — Bill Gross and Leon Cooperman — have very different takes. Hedge fund guru Cooperman tells Bloomberg that Treasurys will be the worst place to put their money for the next three years. He says the Federal Reserve is trying to […]

Getting Contrarian With A Market Guru

Most of history’s best investors have made their hay by going against the crowd. And in his latest column for Forbes.com, Validea CEO John Reese takes a look at some intriguing new research that contrarian guru David Dreman has published, and a Dreman-inspired strategy that has a strong track record of beating the market. “After […]

Doll: Long-Term Looks Good For Stocks, Short-Term Questionable

Blackrock’s Bob Doll says the longer-term picture for stocks is a good one, though there may be some “corrective action” in the shorter-term. “Looking ahead, we believe the backdrop for risk assets remains a solid one,” Doll writes in his weekly commentary on Blackrock’s site. “The global economy is hardly experiencing boom conditions and remains […]

Investing Mistakes: A Result Of Your DNA?

How much of our investment success or failure is a result of our genetic makeup? An intriguing new study attempts to answer just that question, The Wall Street Journal’s Jason Zweig notes on WSJ’s Total Return blog.  The study, performed by finance professors Henrik Cronqvist of Claremont McKenna College and Stephan Siegel of the W.P. Carey […]

Oberweis: Small-Caps Attractive Even If Economy Slows

Newsletter guru Jim Oberweis says that an improving economy and the fact that this is an election year bode well for stocks in 2012 — and that many small-caps should do well regardless of what the economy does. “In January the unemployment rate dropped to a three-year low of 8.3%. Even housing is showing a […]

Yardeni: Numbers Show “Old Normal” Reigns

Strategist Ed Yardeni says that the “New Normal” scenario that has been promulgated by Bill Gross and PIMCO is off base — and says recent economic data proves it. “While Bill Gross sees a world full of new normals and paranormals, the old normal business cycle continues to show that it is still in gear,” […]

Sonders: Recovery Becoming Self-Sustaining

Charles Schwab’s Liz Ann Sonders, whose calls on the start and end of the Great Recession proved very accurate, says she thinks the U.S. economy is entering the second phase of its recovery, with the recovery becoming self-sustaining. “I don’t want to say we’re off to the races again, because I don’t think we’re going […]

Reese: Latin America Offering Big Bargains

Validea CEO John Reese says he’s finding a number of bargains in Latin America, an area where his Guru Strategies have had great success in the past. “When it comes to major emerging-market economies, Latin America as a whole is certainly no longer the ‘banana republic,’ sorry-state region it once seemed to be,” Reese writes […]

Woodford: Deleveraging Is Coming; Focus on Dividends

Top U.K. fund manager Neil Woodford thinks the impact of the financial crisis will be felt for many more years and that the Western world is headed for a period of deleveraging. But he’s finding attractive opportunities in pharmaceutical and high-dividend stocks. “Mr. Woodford believes [too many fund managers] are failing to understand the bigger […]

Grantham’s Firm Sees “Mother of All Bubbles” in China

Jeremy Grantham’s firm is taking a very bearish stance on China, believing the country is in a huge infrastructure and real estate bubble. “China is experiencing the mother of all bubbles,” Peter Chiappinelli, portfolio strategist at Grantham’s GMO, says, according to InvestmentNews.com. “We don’t know when it’s going to pop or what’s going to cause […]

Tilson: Big Value in Big Caps

Whitney Tilson is finding some of the best opportunities in the market in some of the market’s largest companies. “It’s one of the most attractive areas in the market,” he tells CNBC. “They’re incredible companies that are earning profits and trading at 10 to 12 times earnings with strong balance sheets and they’re returning cash to […]

Mobius: A Lot to Like in Brazil

Templeton Asset Management’s Mark Mobius is bullish on Brazil, saying a number of factors are making the Latin American giant an attractive spot for investors to look. “The country’s motto ‘Ordem e Progresso’ (Order and Progress) is finally being realized after an economic history that hasn’t always been very orderly,” Mobius writes on his company […]

Fisher: PIIGS Won’t Stop Market This Year

Kenneth Fisher says the European debt crisis won’t be enough to stop the stock market in 2012, and expects a big up year for stocks. “Volatility spooked investors in 2011, and as a result there are few superbulls or superbears out there,” Fisher writes in his latest Forbes column. “Most pros are noncommittal, mildly bullish […]

Krugman: Don’t Let Up On Unemployment

Economist and Nobel Laureate Paul Krugman says the recent jobs data is encouraging — but that it is not cause to stop major efforts to spur job growth. “For once falling unemployment was the real thing, reflecting growing availability of jobs rather than workers dropping out of the labor force, and hence out of the […]

GMO High on Quality & Value, Sour on Bonds

Jeremy Grantham’s GMO has published its fourth-quarter update, offering a contrarian position on Europe and outlining its strategies as we head into 2012. The firm says it moved “incrementally into Europe” in the fourth quarter of 2011, adding. “Selectively, slowly, prudently, of course, but the general belief is that markets have overreacted, and this always […]

Looking for Safety? Try Mega-Caps, Not Bonds

While investors have piling into Treasury bonds and gold in a quest for safety, they’ve been avoiding some of the market’s biggest, steadiest stocks. And that’s created some big bargains among the big guys, Validea CEO John Reese says.  “A dichotomy has emerged: It seems that many investors have been running away from stocks, looking […]

Fisher: 2012 “To Be As Rewarding As 2011 Was Frustrating”

Kenneth Fisher, who correctly said 2011 would be a flattish year for the market with lots of volatility, sees a much better scenario developing in 2012. “Optimists are scarce, and ample skepticism is rampant — a bullish feature — providing a wall of worry for this bull market to climb,” Fisher writes along with several […]

Index Battle: S&P 500 vs … S&P 500?

Investors have been waiting for more than four years now for the S&P 500 to eclipse its October 2007 high. But, according to SmartMoney’s Jack Hough, the index has already done so and is on the verge of doing it again. Well, sort of. “The Standard & Poor’s 500-stock index — “the market” to many […]