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CITI: We See A 'Clear Warning Sign Of Substantial Complacency'
Citi's Panic/Euphoria model has a pretty extraordinary track record for predicting returns.It's a contrarian indicator, which means a "euphoria" signal is bearish and a "panic" signal is bullish....
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CITI: Two Straight Weeks Of Stock Market Euphoria Raises Deep Concern
One of the more reliable indicators of stock market sentiment is Citi's proprietary Panic/Euphoria model."This week’s Panic/Euphoria reading was 0.52; versus last week’s revised number of 0.49, which...
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Here's What The Bears Get Dead Wrong About This Controversial Corporate...
We've all seen this chart before. It's corporate profits as a percentage of GDP.The implication is that record high profit margins are an anomaly thanks to too few workers working too many hours for...
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Wall Street Is Already Raising Its 2014 Stock Market Forecasts
The 2013 mega-rally in the stock market caught Wall Street's top forecasters completely by surprise.And despite just recently publishing their 2014 targets, Wall Street is already being forced to...
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CITI: Stocks Can Continue To Beat Gold For Years
2013 was a huge year for stocks. The S&P 500 surged 30%.Meanwhile, gold had its first annual loss in a dozen years, tumbling 28%.Citi's Tobias Levkovich thinks the divide between these two asset...
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The 'Fear Gauge' Data Tells Us This Could Be A Great Time To Buy Stocks
The stock market continues to hit new highs while experiencing very little volatility and few notable sell-offs. The CBOE Volatility Index — aka the VIX, aka the "fear gauge — closed on Friday at 11.3,...
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Citi Raises Its 2014 Target And Unveils Its 2015 Target For The S&P 500
Citi's Tobias Levkovich has raised his year-end target for the S&P 500 to 2,000, from his earlier target of 1,975."Large cap US equities are approaching year-end targets more rapidly than had been...
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This Definitive Chart Destroys The Argument That We're Reliving The Bubble Of...
With stock prices surging in the biotech and internet sectors, some worrywarts can't help but freak out about the possibility that we're reliving the bubble of the dotcom era.It certainly didn't help...
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Wall Street Has Been Tweaking Its S&P 500 Target All Year And It's Still Way Off
Of the 14+ Wall Street strategists followed by Business Insider, not one predicted the S&P 500 would be where it is today.In fact, the most bullish strategist at the beginning of the year — Citi's...
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Robert Shiller's revered stock market valuation ratio is crappy at predicting...
Stock prices relative to earnings are very expensive. This is reflected by the high price-earnings (PE) ratio.One closely-followed version of the PE ratio is Robert Shiller's cyclically-adjusted...
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It's stunning how little interest mom and pop have in the stock market
"Over the past 10 years, S&P 500 constituents have bought back nearly $4 trillion of stock while investors have added cumulative inflows of less than $100 billion to US equities via mutual funds...
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CITI: Here's where the stock market will be in mid-2016
The stock market is at an all-time high, and milestones like this make investors hungry for guidance.On Friday, Citi's Tobias Levkovich introduced a new 12-month target for the S&P 500."Improving...
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This demographic trend will be bullish for stocks for years
The number of Baby Boomers' children will be greater than the number of boomers themselves, which Citi's Tobias Levkovich sees as a bullish trend for stocks.His basic argument is that as these Baby...
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Don't worry about baby boomers dumping stocks for bonds
Investors are worried about what the aging of baby boomers means for the markets.Specifically, they're concerned baby boomers will pour out of stocks and into bonds to reduce risk profiles throughout...
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Investors are so scared that it might be a rare opportunity to buy stocks
When you see the value of your investments drop before your eyes, your brain sends a funny feeling into your belly that makes you panic and want to "Sell!"With the global rout we're experiencing right...
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Brace for market turbulence (DIA, SPY, SPX, QQQ)
Budget drama threatens to rattle the confidence of investors as the US Congress once again scrambles to get its fiscal house in order.But that's arguably a sideshow to a much bigger problem faced by...
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The junk bond market isn't the only place to look for signs of trouble in the...
Surging yields in the junk bond market have everyone nervous that it's going to get a lot tougher for businesses to access financing.For the most part, surging junk bond yields have largely been due to...
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Labor accounts for 60% of corporate expenses, and it’s only getting more...
One of the bigger themes since the financial crisis has been the fattening of corporate profit margins as businesses across America hacked away at their cost structures and squeezed more out of their...
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#tbt This was about as good a buy signal as it got in the stock market in...
This summer, six years into the current bull market, one of the biggest concerns we heard repeatedly was that valuations were looking rich.As measured by the price-to-earnings ratio, or PE, the market...
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The No. 1 fear for investors a month ago has become reality (DIA, SPY, SPX, QQQ)
For investors in the stock market, nothing is more important than earnings.In the long run, earnings and the expectation for earnings growth is what gives stocks their value.In the short run, there is...
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