Inflation

Our take on the investing, financial, & economic themes of the day

The Misery Index and the Price of the S&P 500

Here’s an interesting observation from economist Ed Yardeni of Yardeni Research, Inc.  The “Misery Index,” which is the combination of the unemployment rate plus the inflation rate, is inversely correlated with the expense of the stock market, as represented by the forward ... read more...

What if Quantitative Easing is Deflationary?

In the Wall Street Journal today economist Allan H. Meltzer argues that as a consequence of the Federal Reserve’s easy money policies, “Inflation is in our future. Food prices are leading off, as they did in the mid-1960s before the ‘stagflation’ of the 1970s. Other ... read more...

On Commodity Investing and Inflation

27 September, 2012 by Ben O'Brien in Commentary
As readers of this space know, I do most of the writing on the website.  Thus I generally deserve the credit (and the blame) for the content.  But recently I received a note from a particularly astute and thoughtful and experienced client (no need to embarrass him by naming him) on the subject ... read more...

Why Warren Buffett likes Stocks

15 February, 2012 by Ben O'Brien in Commentary
In a preview of widely-read shareholder letter, Warren Buffett makes the case for stocks compared to bonds and gold. There is nothing new here, but we agree with Buffett on this point and the message is always good to hear: My own preference — and you knew this was coming — is our ... read more...

“Bond Buyer’s Dilemma”

9 December, 2011 by Ben O'Brien in Commentary
The economist Burton Malkiel, who happened to be my professor sophomore year in college (Spring 1970!), wrote an article in Wednesday’s Wall Street Journal entitled “Bond Buyer’s Dilemma” that made many of the same points that I have been making for the last year or so. ... read more...