Market Mad House

In individuals, insanity is rare; but in groups, parties, nations and epochs, it is the rule. Friedrich Nietzsche

Mr. Market

Market Insanity

Some Actual Proof Uber Makes Money

One strong possibility is that Uber will never get more than a 5% market share because it offers a rather specialized service that only appeals to certain individuals. Another is that Uber has a much harder time competing with traditional cab companies than we have been told.

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Market Insanity

Some Ugly Truths BOFI Fans Do Not Want to Hear

The reality is you are getting a 2005-style jumbo mortgage lender (with other odd high risk loans) funded primarily by high cost brokered deposit.”

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Market Insanity

Are Tech Stocks in a Bubble?

It looks as if there is no tech bubble; instead, there seems to be individual bubbles surrounding specific stocks. That situation does not look as dangerous as an across the board bubble, but it does indicate a far higher level of market volatility than is being reported.

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Good Stocks

Procter & Gamble: Value Bargain or Dud?

Procter & Gamble looks poised to continue its dominance of the laundry detergent market, a state of affairs that is likely to be strengthened by the rise of online retailers like Amazon.com (NASDAQ: AMZN), which make it easier than ever for consumers to buy popular name brands.

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Long Ideas

Self-Driving Cars Are Almost Here: Is the Insurance Industry Ready?

Even Warren Buffett, whose Berkshire Hathaway (NYSE: BRK.B) owns the iconic GEICO, has taken notice of the potential havoc this disruptive technology could wreak on insurers.

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Politics

A Few Benedict Options

So what are the Benedict Options, and how could they work? To answer that question, I took a look at various religious countercultures in history and in modern America that could serve as a template for the Option. This could show us what such a counterculture might look like and how it might impact our society.

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The Death Spiral

Kroger Probably Will Not Bid on A&P

More likely, buyers for the A&P locations include Walmart Stores Inc. (NYSE: WMT), which is expanding the number of smaller locations it operates, and Target (NYSE: TGT), which is considering entering the small-box arena. Also likely to jump in is the fast-growing, privately-held Aldi Inc., which is aggressively expanding its discount grocery business in the United States. Aldi owns another fast-growing grocer: Trader Joe’s.

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The Death Spiral

America’s Debt Crisis Could Be Worse than That in Greece

Now for a truly frightening fact they are not telling you: The U.S. government itself is currently underwriting a large portion of that debt. Manuel estimated that around $4.6 trillion, or a little over 25%, of the national debt is in the form of intergovernmental holdings; that is, it is owed by one government agency to another.

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Long Ideas

Owning a Home Might Not Be a Good Investment

One has to wonder if home ownership has now become so expensive that it has become a drag on the economy. Unfortunately, Zillow’s number crunching indicates that could be the case.

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Long Ideas

Beijing’s New Open Door Bodes Well for Alibaba and Other Online Retailers

Other organizations that could benefit could be Netflix, Etsy (NASDAQ: ETSY), Sears (NYSE: SHLD), Staples (NASDAQ: SPLS), Best Buy (NYSE: BB) and Walmart (NYSE: WMT). All of these retailers could get access to the $404 billion Chinese market through alliances with Alibaba and stores on Tmall. Walmart, which already has a presence in China and a working relationship with Alibaba, could be in a great position here.

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