Stock Market Bears Increase as Equities Stutter
By Kristen Scholer
The article seeks to interrogate the increasing caution employed by investors in the stock market. The report came after two straight days of losses for the major indexes. Pessimism quickly gains momentum among individual investors. The result to which was a 7.6 percentage points increase in bearish sentiment to 32% in a period of five days. Bearish sentiment predicts that stocks will fall over the next six months. Optimism by investors concerning the stock market hit lows unprecedented in the historical form. Bullish sentiments had been running below its average for four consecutive weeks. That is notwithstanding the high level of equity allocations at the time of publication.
The author asserts “…2015 has so far shaped up to be a wash year for stock investors. “Against a backdrop of greater volatility, the S&P 500 posted mediocre increment of below 1%. Therefore, investors were expected to enter the second quarter with apprehension and jittery. The article proceeds to allude of a looming rate rise, high stock valuations, and a slowing economy that were weighing the sentiments further. The report states that stocks were in a holding pattern, waiting for corporate earnings. AAII was quoted saying that keeping the investor sentiments concerning the stock market from sinking further was the lack of investment alternatives coupled with the proceeding bull market. The article concedes the peculiarity that while stocks went flat on the year some people were becoming more bullish. The article, however, issues a disclaimer that the optimism depends upon an economy that is expected to pick further in the succeeding months. Conclusively, the article posits that AAII is equivalent to a contrarian indicator. Running high of bullish sentiments suggests a pullback. The author caps of the article by stating that the expected popularity of volatility throughout the year promised survey responses gyrating on a weekly basis.
Bear markets are good for long term investing. Many investors panic in the face o market dynamics. Money spent in the future requires protection from decline, in short-term bonds or cash. The main shortcoming of people dealing in a bear market is panic. When stocks have fallen heavily, rather than buy, they sell.
The author has conducted adequate research. She demonstrates a proper understanding of the problem at hand. She elucidates her points by offering a historical perspective to the concepts enumerated in the topic. Further, she collaborates her paper with proven contributors to the stock market such as S&P. Reference to other scholars and sources exhibit intellectual interdependence; a truism pertinent in stocks and portfolio trading. The author maintains relevance by limiting her article to within the precincts of her topic. The material is clear and concise making it appealing to read.
Additionally, the author demonstrates commanding mastery of the subject by offering her prediction of the future; characterized by looming rate rise and high stock variation. Also, the article maintains a balance of ideas. It touches on bears, bulls, and other stock market concept. Therefore, it offers the reader with an opportunity to acquaint himself adequately with the topic at hand. Finally, the author exhibits a writer’s hallmark by stating her prediction. The prediction underwrites her belief in the subject matter highlighted but offers her first-hand thought on the eventualities likely to follow.
Overall, the authors’ discussion on bears is illuminating on certain aspects. However, the author ought to have compelled the reader on the importance of building all-weather portfolios of stocks, bonds, cash and items that can rise in good markets while limiting the bad ones. In so doing, they would find themselves embracing bear markets as opportunities to buy stocks at discounts. The author does the subject matter justice.
5 Reasons to still go into a Bank Branch
By Julie Steinberg
Technological advances in the modern digital era are enabling people to make financial transactions from the comfort of their home computers and smartphones. As a matter of fact, the recent tech advances have come to aid ATM’s in rendering physical visitation of banks null and void. However, there remains certain deeds that customers seek to accomplish with human assistance inside a bank. Julie Steinberg in this article attempts to reestablish the need for the traditional mode of banking even in this modern era of technological advances. She aims to establish that despite their efficacy, computers and machine lacked in certain aspects of human interaction. Such elements remain viable reasons why one ought to pay the local bank a visit.
Purchase travelers checks or money orders
Money orders and traveler checks remain important instruments in the daily operation of many people. The article reiterates that banks are an important source of these payment instruments. However, the caveat is that they must personal presence is requisite.
Notarization of a document
Business practices dictate that the transfers of certain documents require the service of a notary. The local bank branch is an appropriate destination to find one.
Turning in a jar of pennies or other change.
Change despite been a necessary form of fiat money are heavy to carry. Therefore, after continuous collection of change, the holder may find it necessary to swap with a paper bill. As such, the holder will be compelled to pay a visit to his local bank.
Get $1 bill or maybe $100
Drawers prefer particular denominations due to their personal reasons. ATM’s are limited in the number and type of notes withdrawn. The author perceives the problem as an opportunity for the person requiring bills to visit the local bank. Therefore, the drawer will have to visit the local bank to make their withdrawal.
Getting in-person assistance and advice
Many business requirements dictate that borrowers have to “intersect with a branch” to seal the deal. Loans, for instance, require direct support and advice from the bank managers. Further, the author insinuates of the banker’s expertise and how accountholders may tap into the abundant wealth of knowledge. Decisions such as buying a home or planning for a requirement can gain adequate help from consulting the bank services.
Banking is an indispensable asset in the financial health of any individual. The crucial role played by banking services in the commercial development of any entity makes them essential. Technological advances have created an illusion of people that they can sufficiently solve their financial problems virtually. Nothing could be further from the truth and Steinberg saves no effort in highlighting the crucial role played by personal banking.
The author uses simple and elaborate language to communicate the reasons for personal banking. She incorporates the use of simple lexicon to push forth her point. In addition, she highlights the important role played by seemingly negligible aspects of the banking sector. Overall, her simple approach to the problem creates life changing solutions to the need of financial health. She easily and efficiently communicates her desired message. She adequately conveys her rich subject matter with admirable ease and panache.
Janet Yellen: Economic inequality long an interest of the Fed
By Michael S Derby
In this article, the author intends to report on Janet Yellen’s speech in Washington. Janet Yellen is the chairperson of the Federal Reserve. She was delivering her speech from that authority. The author begins the article by recapping the main theme underlying Yellen’s speech: the need for more work in understanding the conditions allowing people to move up the income ladder in the U.S.
The author posits that the Fed acknowledges the pivotal role played by the family as a locus of both opportunity and barriers to economic mobility. However, Derby states that Ms.Yellen claims that family provides a vast array of factors that influence a person’s power in the economy. Devoid of touching on monetary and economic outlook, the Fed chairperson glided along the general economic concepts.
Derby states that Ms.Yellen countered the opponents to her recent onslaught on income equality. Many naysayers and soothsayers purport that a central bank charged with promoting price stability and job creation has zilch business in addressing political matters of personal economic performance. Mainly targeted by her salvo were the Republicans. In her previous visit to Congress, the legislators had vehemently criticized her. They alleged that her comments on inequality were political in nature. Derby writes that Ms. Yellen rejected these arguments. She borrowed from Ben Bernanke, a former chairman of the Federal Reserve and proponent of economic equality. Further, she summoned the authority of the general populace, who according to statistics were equally concerned with the ballooning gap between the rich and the poor. Additionally, she empathically highlighted the major worry of many victims of the Great Recession; their children will grow up to be financially worse than their parents. Ms.Yellen remained cognizant of the fact that these concerns cut across the different ideological spectrums. Thus, this was a matter in need of more study.
Finally, Ms.Yellen commented on the need for more knowledge on how one’s circumstances at birth affected earnings and wealth later. She remained adamant, according to Derby that family dynamics and expectations can also play a role as well as events over which individuals have no control. She felt that the family may affect the economic prospects of an individual positively or negatively.
The question of economic inequality remains a critical component of the modern study of economics. That persons equally endowed can have lives of astronomical differences point to a serious error in the economic framework. Derby in writing this article exhibits professionalism through his economy of words. The report is easy to understand since the language used is understandable. It deviates away from the major impediments to communication such as a colloquialism. Derby ensures the article is useful by limiting the material to the subject matter. It captures the major communiqué from Ms. Yellen.
In conclusion, the article sparks thoughts of a very crucial aspect of economic empowerment. The subjugation of a select few upon the masses of populations deserves redress permanently to solve the disparities created by successive regimes. However, the paper should have accorded more space to the dissenting voices. Throughout several regimes at the Fed, it has become clear beyond reasonable doubt that no single economic theory is beyond reproach. Bernanke, who grants much inspiration to Ms. Yellen, oversaw the regime of the Great Recession. At the bare minimum, his record elicits no cause for reference. Stalwarts who proposed radical economic reforms with astonishing results dwarf him. Greenspan is a fitting example. Through his extreme measure of lowering the unemployment rate, he cured both monetary and fiscal problems. He solved the problems of unemployment, inflation and wages simultaneously. Despite, the efficacy of the article in communicating its message, the author could have granted more voice to the dissenting voices of the Republicans.