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This Day in Markets History

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Comments

  • edited January 21

    From Markets A.M. newsletter by Spencer Jakab.

    On this day in 1980, gold hit a then-record price of $850 per ounce.
    Gold dealers predicted that the price would hit $1,000 per ounce by July,
    and U.S. Secretary of the Treasury G. William Miller said, “At the moment,
    it doesn’t seem an appropriate time to sell our gold.”
    It was. By 1991 it was below $600 per ounce.

    I remember buying a couple one Troy Ounce K-Rands about then at around $800 and selling them several later when gold was nearer to $400. (Paul Volker intervened.) Perhaps the wrong lesson. This time may be different.

    Have played in the P/C area to varying degrees most of my 50+ year investing period. Currently have limited exposure (2-3% portfolio weight) inside a broadly diversified real assets fund and a CEF. Couple L/S funds are probably playing in the area as well - but whether long or short don't know.

    Not to be overlooked in all this is the success / investor interest in momentum funds which chase whatever is hot. Those did not exist when I began investing in the 70s. These funds tend to run "hot & cold", lagging / outpacing markets, over roughly decade long stretches.
  • From Markets A.M. newsletter by Spencer Jakab.

    On this day in 2002, Global Crossing filed for bankruptcy.
    The telecommunications company had spent some $15 billion building fiber-optic networks
    in 27 countries since it was launched by former Drexel Burnham junk bond trader Gary Winnick in 1997.
  • From Markets A.M. newsletter by Spencer Jakab.

    On this day in 1886, Karl Benz received German patent DRP No. 37435 for his “motorwagen,”
    a frail and ungainly vehicle with three wheels and a wooden chassis. It was the world’s first automobile.
  • From Markets A.M. newsletter by Spencer Jakab.

    On this day in 2000, as the internet bubble neared its peak, 17 dot-com companies
    each spent $73,000 per second for network television ads during Super Bowl XXXIV.
    At least three went bankrupt in the following year.
  • From Markets A.M. newsletter by Spencer Jakab.

    On this day in 1869, in the first warning sign of the year’s coming market panic,
    a New York newspaper reported an auditor found trustees of several city churches
    had used millions in ecclesiastical trust funds to speculate in stocks.
    Several parishes had taken out mortgages on their church buildings to answer margin calls.


    Comments: Let us pray that this does not happen again!
  • edited February 4
    From Markets A.M. newsletter by Spencer Jakab.

    On this day in 1994, just as investors were pouring billions of dollars into bonds,
    the Federal Reserve raised short-term interest rates for the first time in five years, and without warning.
    By year end, the Fed had hiked short-term rates by 2.5 percentage points.
    Treasury bonds had their worst return since 1967.
  • edited February 4
    No worry. Bloomberg is quoting Trump today as saying he wouldn't have nominated Warsh if he believed Warsh would raise rates. A bit of a game of words as to whether there was a "pledge". But rest assured - Warsh won't raise rates (unless things get really crazy and he's forced to).
  • edited February 5
    From Markets A.M. newsletter by Spencer Jakab.

    On this day in 1637, “Tulipmania,” one of the first and strangest speculative bubbles,
    hit its peak in the Netherlands, with the price of the rare Witte Croonen tulip bulb
    up 2,506% in 33 days.

    Comments: A single, prized tulip bulb could fetch the price of a luxurious canal house—analagous to
    a Fifth Avenue townhome in Manhattan today.
  • From Markets A.M. newsletter by Spencer Jakab.

    On this day in 1637, “Tulipmania,” one of the first and strangest speculative bubbles,
    hit its peak in the Netherlands, with the price of the rare Witte Croonen tulip bulb
    up 2,506% in 33 days.

    Comments: A single, prized tulip bulb could fetch the price of a luxurious canal house—analagous to
    a Fifth Avenue townhome in Manhattan today.

    Did bitcoin ever get that high?
  • edited February 5
    "Did bitcoin ever get that high?"

    I couldn't find satisfactory data which showed the greatest cumulative returns for Bitcoin.
    The all-time high for a single bitcoin appears to be within the $126.1K - $126.2K range.
  • "Did bitcoin ever get that high?"

    I couldn't find satisfactory data which showed the greatest cumulative returns for Bitcoin.
    The all-time high for a single bitcoin appears to be within the $126.1K - $126.2K range.

    That might get you the broom closet in the basement on 5th Ave. Thanks for looking
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