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The Independent Inventor

Whom do we owe?

Independent Investor

Our national debt stands at $14 trillion, and it’s rising $3 million a minute (or $3.99 billion a day), every day. Given that our debt ceiling at the moment stands at $14.294 trillion, it is only a matter of time before we once again have to renegotiate the debt ceiling.

Readers may recall that as a result of the last go-around over the debt ceiling, investors worried that a technical default by the U.S. would create massive negative fallout among the holders of our national debt. “They” (so the story goes) would dump our debt overnight, creating a huge spike in interest rates.

So, it’s OK for your congressman to break the law?

The Independent Investor

Did you know that congressmen and senators consistently outperform the stock market year after year? On average, the lower house members beat the market by about 6 percent a year, while those of the higher chamber wrack up a 10 percent level of outperformance annually. Now, if you believe that’s purely coincidental, well, I have a bridge I can sell you cheap.

Occupy Wall Street: protest is clear as the sky above

The Independent Investor

Occupy Wall Street, contrary to press reports, did not “come from nowhere.” The American grassroots movement that has spread to over 40 cities is a natural progression of protests that began in the Arab world this spring.

What the markets missed in seeing economic potential

The Independent Investor

As disappointed global stock markets plummeted in response to the U.S. Federal Reserve’s latest stimulus initiative last week, few investors were paying attention to what may have been the Fed’s real intention behind this new plan — mortgage refinancing.

For the longest time, I have been convinced that the housing market holds the key to economic growth (or lack of it) in the United States. As such, I have been hoping against hope that one or more of a long line of presidential candidates would actually have the courage and intellect to recognize and address our main problem.

How much has 9/11 cost us?

The Independent Investor

Picture an entire fleet of brand new Nimitz-class aircraft carriers, chock full of the latest stealth aircraft that money can buy, then double it. That’s about the size of the dollar and cents differences one finds in trying to estimate the costs of 9/11. Just how large is the range?

What to expect after a waterfall decline

The Independent Investor
Bill@afewdollarsmore.com

It’s been one heck of a two weeks. One would think the world was coming to an end, given the way global markets have behaved. You may not be able to make much sense of why markets sold off so quickly, but out of the carnage we may be able to predict what comes next. Here’s why.

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What to expect after a waterfall decline

The Independent Investor

It’s been one heck of a two weeks. One would think the world was coming to an end, given the way global markets have behaved. You may not be able to make much sense of why markets sold off so quickly, but out of the carnage we may be able to predict what comes next. Here’s why.

Stock market free falls, such as the one we are presently experiencing, are called waterfall declines, which are sudden drops of 20 percent or more compressed into a few short weeks or days. They are fairly rare events and most follow a roughly similar pattern consisting of three phases.