Thought we were done with political elections for a while? Think again; The Street article by Fisher Investments editors is already looking to 2014 the mid-term elections, 20 months away… — Brian Track, VP, Fisher Investments
Politicians Are Staying Out of Investors’ Way
NEW YORK (TheStreet) — The midterm elections of 2014 are 20 months away — an eternity in politics. But for capital markets, the midterms already matter now.
Democrats seeking to keep their Senate majority will only mostly moderate from here — creating gridlock on major new legislation — an additional positive factor for stocks as the risk of extreme legislation dissipates still more.
Some investors fear gridlock means nothing can happen, but that’s not so. It means less extreme things can happen. Look at major legislation so far in 2013. It’s been mostly as-expected continuing resolutions and extensions of the status quo. The fiscal cliff deal mostly made existing tax brackets permanent. The sequestration wasn’t new; it was over a year in the making. (And, in fact, total government spending will rise in 2013). Sweeping legislation is the stuff of a single party wielding either outsized power or tremendous powers of persuasion. We left that world back in 2010. Full article: The Street Politicians Are Staying Out of Investors’ Way
Interesting article about monopolies in Mexico from Fisher Investments MarketMinder:
“President Enrique Peña Nieto’s embarking in to relatively new economic territory in Mexico: breaking up monopolies. Since entering office December 1, Nieto’s made surprising—and quick—moves to open up Mexico’s economy, including the unprecedented Pact for Mexico with opposing parties. Now, in the name of economic competition, Nieto’s government’s looking to pass a bill effectively breaking up Mexico’s currently monopoly-dominated Telecom and TV industries…”
For full article, visit MarketMinder.com: http://www.marketminder.com/a/fisher-investments-losing-monopoly/eb4a8419-bf80-4093-b90a-c9ba53d60f35.aspx
– Brian Track, Vice President, Fisher Investments
Fisher Investments YouTube channel released the next installment of the four-part series, “4 Things for Investors to Remember in 2013” – Brian Track, Vice President, Fisher Investments
Published on Feb 8, 2013
Part III: Inflation? Not Yet.
Forget Hyperinflation fears. Inflation can’t spike until actual money supply increases. Endless rounds of quantitative easing have increased money base. But what matters most is money quantity – money actually moving through the economy. To increase that, banks must make net new loans. But right now, banks don’t want to.
For more insight, read Fisher Investments Forbes contributor Lara Hoffmans’ recent article: : http://www.forbes.com/sites/larahoffmans/2013/01/22/fisher-investments-4-things-to-remember-in-2013/
For the full video, visit the Fisher Investments YouTube channel: www.youtube.com/watch?v=Uu9U0nwRXRg
Check out what Forbes contributor and Fisher Investments commentator Lara Hoffmans says are the four things for investors to keep in mind over the next year:
— Brian Track, Vice President, Fisher Investments