Recent Articles from KC Mathews
Jobs picture: A Picasso or a Rembrandt?
In general, while many may feel the employment picture is much like a Rembrandt in that it’s easy to understand or digest in a quick view, we would actually say it’s much more like a Picasso. As with his works of art, there is much more to consider and deeper analysis needed to fully capture the o...
Focus on fiscal fundamentals
Sooner or later the market looks at the underlying fundamentals to determine asset prices. Since 2009, the fundamentals of the U.S. economy have been improving. Some of the important, positive aspects of the economy often neglected by the media include corporate health, residential investment and...
More on the policy basin
(Editor’s note: This is the second of two parts. Read Part 1.) I analyzed 45 historical episodes of deleveraging since the Great Depression in both developed and developing economies. Having specifically focused on the 32 episodes that followed financial crises, I found that deleveraging has been painful and long-lasting, generally lasting six to seven years, […]
Economic hope springs eternal
The other day, a friend of mine asked me when the stock market might test its high water mark, which was set in October 2007. The question is understandable given the robust performance of the domestic equity markets in the first quarter of 2012—and given, the market is currently only 13 percent away from that […]
When the market swings wildly…
In times of market turmoil, investors can be whipsawed by emotions. Fear and passion often cause investors to jump in and out of assets at the wrong times. There are numerous examples of astute investors who became exasperated after the brutal 2008 financial crisis and recession. “We can’t take anymore. Sell everything!” they demanded as […]