Skip to main content

Bloomberg: "Surviving the Slowdown"

Bloomberg recently aired a one-hour television special on the current economic environment entitled, "Surviving the Slowdown" (Click link to watch).

Here's a quick rundown of the program guest list, from Bloomberg.

"April 30 (Bloomberg) -- Former U.S. Treasury Secretary John Snow, Roger Altman, co-founder of Evercore Partners, former Federal Reserve Governor Susan Bies, former St. Louis Federal Reserve Bank President William Poole, Charles "Wick" Moorman, chief executive officer of Norfolk Southern, Marc Faber, managing director of Marc Faber Ltd., Laszlo Birinyi, president of Birinyi Associates, and Mark Mobius, executive chairman of Templeton Asset Management, talk with Bloomberg's Kathleen Hays about the U.S. economy, Federal Reserve monetary policy and investment strategy."

I'm watching the opening of this video, and it strikes me again how ridiculous this reliance on government economic statistics is. Why?

Kathleen Hays notes that recession in the US is typically defined by the NBER once they've identified two consecutive quarters of negative GDP numbers. And so far the "official recession-dating committee" at the NBER hasn't called one.

Which is hysterical, when you really get down to it. A seven person committee is going to tell you when the country is in a recession or not? A government-sanctioned committee, no less. Oh, and they're using data that's probably just a little bit corrupted, given the whole smoke-and-mirrors show that is government's reporting of economic statistics.

And those economic numbers and findings are being constantly revised to make things seem more palatable anyway, pushing events back in time or forward to a more convenient reporting date, in a manner befitting the storyline of George Orwell's novel, 1984.

But I digress. Let's just watch the program and see what we can learn.

Related articles and posts:

"Why the economy is worse than we know" - Kevin Phillips.

"Congratulations! It's a recession" - The Big Picture.

"Recession in real terms" - Finance Trends Matter.

"Roubini: US in recession" - Finance Trends Matter.

"Buffett: Recession has hit Main Street" - CNBC.

"Backwards Economics" - Bob Hoye via HoweStreet.com

Popular posts from this blog

The Dot-Com Bubble in 1 Chart: InfoSpace

With all the recent talk of a new bubble in the making, thanks in part to the Yellen Fed's continued easy money stance, I thought it'd be instructive to revisit our previous stock market bubble - in one quick chart.

So here's what a real stock market bubble looks like. 

Here's what a bubble *really* looks like. InfoSpace in 1999-2001. $QQQ$BCORpic.twitter.com/xjsMk433H7
— David Shvartsman (@FinanceTrends) February 24, 2015
For those of you who are a little too young to recall it, this is a chart of InfoSpace at the height of the Nasdaq dot-com bubble in 1999-2001. This fallen angel soared to fantastic heights only to plummet back down to earth as the bubble, and InfoSpace's shady business plan, turned to rubble.

As detailed in our post, "Round trip stocks: Momentum booms and busts", InfoSpace rocketed from under $100 a share to over $1,300 a share in less than six months. 

In a pattern common to many parabolic shooting stars, the stock soon peaked and began a…

New! Finance Trends now at FinanceTrendsLetter.com

Update for our readers: Finance Trends has a new URL! 

Please bookmark our new web address at Financetrendsletter.com

Readers sticking with RSS updates should point your feed readers to our new Finance Trends feedburner.  



Thank you to all of our loyal readers who have been with us since the early days. Exciting stuff to come in the weeks ahead!

As a quick reminder, you can subscribe to our free email list to receive the Finance Trends Newsletter. You'll receive email updates about once every 4-8 weeks (about 2-3 times per quarter). 

Stay up to date with our real-time insights and updates on Twitter.

Moneyball: How the Red Sox Win Championships

Welcome, readers. To get the first look at brand new posts (like the following piece) and to receive our exclusive email list updates, please subscribe to the Finance Trends Newsletter.

The Boston Red Sox won their fourth World Series titleof the 21st century this week.

Having won their first Series in 86 years back in 2004, the last decade-plus has marked a very strong return to form for one of baseball's oldest big league clubs. So how did they do it?

Quick background: in late 2002, team owner and hedge fund manager,John W. Henry(with his partners)bought the Boston Red Sox and its historic Fenway Park for a reported sum of $695 million.

Henry and Co. quickly set out to find their ideal General Manager (GM) to help turn around their newly acquired, ailing ship.

This brings us to one of my favorite scenes from the 2011 film, Moneyball, in which John W. Henry (played by Arliss Howard) attempts to woo Oakland A's GM Billy Beane (Brad Pitt) over to Boston with an excellent job off…