Is It Too Early To Worry About Inflation? - Today's Editors' Picks
By SA Editors' Picks :
Good evening! I'm your curator, Jason Kirsch
Here are today's Editors' Picks:
- Better understand the value of Bitcoin (Chris Martenson)
- Alternatives to dividend growth investing (Alpha Gen Capital)
- A primer on the Cannabis industry (Cornerstone Investments)
- Can you outsmart the market? (SA For FAs)
- Potential headwinds for shifting wealth (Helmut Reisen)
- Companies positioned to benefit from consolidation (SA PRO Editors)
- Major trends for 2018 (Eric Basmajian)
- Investment lessons from the past 92 years (Ronald Surz)
- Understand the benefits of small-cap investing (SA Interviews)
- Should you begin to worry about inflation ? (Jeff Miller)
- Non-deductible IRA contributions (Adam Hoffman, CFA)
- Stocks to watch after CES 2018 in Las Vegas (SA Stocks To Watch)
- Marketplace authors' top picks for 2018 (SA Marketplace)
- Now is the time to invest in offshore drilling (Michelle Carini)
- Will S&P prices ever revisit their mean? (Gary Gordon)
- The secular bull market rolls on (Fear & Greed Trader)
Chart of the day:The bull market keeps going and going and going...
Comment of the day, AuCoaster
Reversion to mean is sensible, if you properly calculate the mean.But, the mean is not a simple average PE in this case. It is a relative valuation. Valuation relative to interest rate driven alternatives. Of course, one must also consider other elements in the economy and world environment that would affect the risk premium over the risk-free interest rate. It is also important to determine a mean value on those interest rates, and the likely position of interest rates during the forecast period.As Warren Buffett said, when it comes to predicting stock market values, if he could only know one piece of data about the future, he would want to know the prevailing interest rates... because interest rates are the key to valuation.This is basic finance! Why do so many people fail to get this?The
Image of the day:Will Oprah run for president in 2020?
Quote of the day:
Life is not a problem to be solved, but a reality to be experienced. - Soren Kierkegaard
Thanks for reading. Please share your 'Editor's Pick' with fellow investors by posting it in the comments.
Have a great day!
See also Industrial Metals And Mining: Digging For Opportunities on seekingalpha.com
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.