"Annus Horribilis 2006: US Begins Descent, from Financial Hegemon to Pokemon"...The Latest Weekly Free eLetter from Capuchinomics Behavioral Finance Newsletter

Share Article

The end of the Dollar carry trade which beckons soon, will catalyze a financial crisis of significant proportions.

Please visit Capuchinomics.com to read the FREE eLetter "Annus horribilis 2006: US begins descent, from financial hegemon to pokemon" now available on our website or by joining our e-mail list. Capuchinomics and its editor and publisher Paul Mampilly notes that, "the end of the Dollar carry trade which beckons soon, will catalyze a financial crisis of significant proportions as bond yields spreads are at multi-generational lows, our risk indicators at levels of delusional complacency and risks are arrayed like stars on a cloudless night."

As an investor and a participant in the global financial markets, what can investors do to prepare for this coming crisis? Mampilly suggests that investors should "review investments and finances for a malevolent period in financial markets" as in his view, "the placid conditions of today disguise the immensity of the painful and sharp adjustments ahead." Further he goes on to warn investors that "many commonly cited safe investment strategies are traps conceived by Wall Street to maximize their cut while other investments that have been safe harbors in previous crisis periods have been contaminated by the liquidity that is responsible for the current imbalances and . will offer little protection during a crisis."

Capuchinomics behavioral finance powered insights on the markets and the economy are available directly to the public through its free eLetter sent weekly. See http://www.capuchinomics.com for details on how to receive this free eLetter. Investors interested in more detailed analysis, investment ideas and comprehensive coverage of the stock, bond, energy, precious metals and currency markets can subscribe to the Capuchinomics newsletter which is also published weekly.

Capuchinomics utilizes behavioral finance to forecast stock, bond, commodities and currency markets. Capuchinomics provides specific stock and ETF ideas to its subscribers. These stocks are listed and tracked each week in the Risk & Return Grid for subscribers. These ideas seek to benefit from the epochal changes brought about by the extraordinary developments of the last century which include globalization, the internet, the sequencing of the human genome, etc. Other ideas seek to inform readers of "has beens" i.e. stocks that are expected stocks to stagnate or decline in the future. The Risk and Return Grid lists stocks and ETFs by themes like "Biotech, the new pharma" and "Bursting the US asset bubble" and "From analog to digital" and "Energy as a consumer staple" and "New Green Revolution."

Capuchinomics is inspired by a social experiment involving Capuchin monkeys. The Capuchin monkey experiment illustrates that financial behavior is driven by social notions of fairness, greed, equity and predictable emotional logic that can be used to identify trends in the financial and securities markets.

Paul Mampilly CFA is the editor of Capuchinomics and a leader in the use of Behavioral Finance decision making with respect to stock, bond and commodity markets. His commentaries on financial Markets have been published by The Daily Reckoning, Welling@Weeden, 24HPM.com, Google News, GSE Reports, Peak Oil, Unknown News, Gold Investments, and Safe Haven. Capuchinomics is a division of The Capuchin Group LLC.

Paul Mampilly, CFA can be reached at 718-577-1359 or at capuchinomics.at.gmail.com or through http://www.capuchinomics.com

Capuchinomics is a division of The Capuchin Group LLC is NOT a Registered Investment Advisors (RIA) and does NOT give individual investment advice. Our comments are an expression of OPINION ONLY and should NOT be construed in any manner whatsoever as recommendations to buy or sell a stock, option, future, bond, commodity or any other financial instrument at any time.


Share article on social media or email:

View article via:

Pdf Print

Contact Author

Paul Mampilly
Visit website