It’s been a choppy few sessions on Wall Street so far this week, as investors shifted their attention to the Federal Reserve and commentary on the Central Bank’s massive stimulus measures. Over the last few days, Fed presidents from Chicago, St. Louis and New York have emphasized that the Central Bank’s stimulus measures have been “effective” and indicated that a change in asset purchases could be seen in the near future. Yesterday, however, Ben Bernanke gave an even stronger signal to the markets, stating that the Fed could “take a step down” from the purchases within the time frame of the next few policy-setting meetings if economic data supports the change. The Fed President was still adamant that for now the Central Bank will remain on its current stimulus course [see The Cheapest ETF for Every Investment Objective].
Below, we outline seven insightful articles circulating around the financial space this week:
- Not In Kansas Anymore at Hussman Funds
In his weekly market commentary, John P. Hussman discusses his views on the current market environment, highlighting how he thinks Wall Street is seeing overvalued, overbought and overbullish conditions.
- How To Avoid The 3 Most Common Causes of Trading Failure at Tradingmarkets.com
As many can attest to, trading can sometimes be a crapshoot, and in this piece, Dr. Thomas K Carr outlines what he thinks are the three most common causes of trading failures.
- Equity Risk Premiums (ERP) and Stocks: Bullish or Bearish Indicator at Musings on Markets
In this article, Aswath Damodaran takes a closer look under the hood of equity risk premiums, highlighting how investors can use and interpret this metric.
- Thoughts From The Planes, Trains, and Automobiles at State of the Markets
Though 2013 has seen equity indexes continue to push into uncharted territory, David Moenning takes a step back from the current rally to take a closer look at the S&P 500′s performance over the last 20+ years.
- A Quick Look Around at RMDfx
This insightful piece highlights nearly everything investors need to be aware of in the current market environment, including monetary policy, global economic developments and a comparison of major world indexes.
- Hot Money, Cold Credit at Financial Sense
In this article, Steve Hanke discusses his thoughts on one of today’s hottest issues–monetary policy–highlighting the fact that despite stimulus measures, credit remains scarce.
- Shareholder Yield: A Better Approach to Dividend Investing by Mebane Faber
While not exactly an “article,” this new e-book by Mebane Faber is a must read for investors looking for a step-by-step guide to finding returns in today’s low yield world.
Follow me on Twitter @DPylypczak.
[For more ETF analysis, make sure to sign up for our free ETF newsletter]
Disclosure: No positions at time of writing.