Consumer sentiment is the worst since I was (almost) 3 years old.
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Young and small hedge funds perform better – I like the sounds of that!
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Look at all that pork! From Carpe Diem:
Imagine if Michigan’s struggling Big Three automakers suddenly struck this deal with Congress: The U.S. government would buy the Motor City’s cars for roughly twice the world market price, then resell them at about an 80% loss.
This boondoggle of a deal would spur worldwide protest, and rightfully so. But the five-year, $307 billion farm bill is equally ludicrous. President George W. Bush is expected to veto it within days, but no matter. Congress appears to have the votes lined up to override.
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Abstract
We examine how professional stock traders, who work on behalf of a Nasdaq market
maker, are influenced by their prior trading performance. Our results show that when
traders incur morning losses, their desire to recoup these morning losses before the close of trading leads them to trade more aggressively in the afternoon. This behavior is consistent with the underlying behavior behind the disposition effect. An analysis of individual trading performance shows that traders who are more influenced by their prior trading losses perform far worse than traders who are less or not influenced by their prior trading losses.
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Hauser’s Law and investing on the first day of the month, and Wednesday.
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Get rid of your recency bias.
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I have always been amused by the people that do detox diets to remove “toxins”. Wait, they don’t work? What a surprise.
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Hillary’s chances not looking so good at about 15:1 underdog.
