Brown’s Economic Law: the better a country is at soccer, the worse it is at containing inflation. #WorldCup2014 — Downtown Josh Brown (@ReformedBroker) June 13, 2014
This Week on TRB
These were the most read posts on TRB this week, just in case you missed them… Horseshoes and Hand Grenades The Investor Class gets another raise this year Everything you need to know about investors in one chart Cake Bubbles, Art Bubbles, etc. TURN DOWN FOR WHAT!
Clips From Today’s Halftime Report
Chart o’ the Day: CEO-to-Worker Compensation is Hilarious (again)
You’ll notice something highly obvious in the below chart – the ratio between CEO compensation and average employee compensation tends to spike during stock market booms – this is, of course, related to the fact that execs take stock and options while most worker pay is in the cash they actually need to, um, live….
Everything you need to know about investors in one chart
From the 2014 ICI Factbook: Among all U.S. households, the percentage willing to take above-average or substantial investment risk also tends to move with stock market performance. U.S. households tend to become less tolerant of investment risk following periods of poor stock market performance. For example, among all U.S. households, willingness to take investment risk…
Chris Christie and Jimmy Fallon Dad-Dancing
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Hot Links: On The Verge
Your morning financial links, expertly curated.
Chart o’ the Day: 13 stock market corrections for no reason
Not every stock market correction predicts or ends with a recession or a major economic downturn. Sometimes we correct just for the hell of it. This is the emotional component of the market that has more to do with the fear of conditions getting materially worse than actual conditions getting materially worse. My friend Ben…
The World Cup will do nothing for Brazil’s economy
1. Minor impact on GDP and investment growth Total infrastructure investment for the World Cup could reach BRL26billion (0.5 percent of GDP) between 2009 and 2014, while spending for the Olympic Games should amount to around BRL12billion (0.2 percent of GDP) between 2010-2016. These are small amounts relative to the country’s economy. From 2009-2013, Euler Hermes estimates the…
The Investor Class gets another raise this year
The wealthiest ten percent of Americans own eighty percent of the stock market and it is this breakdown that’s been the reason why the Fed’s primary transmission mechanism – QE to raise asset prices – hasn’t simulated shit. Because the people who are least likely to spend newfound cash are pretty much the only ones…
