If you’ve tried to buy a car or a home recently—or have even just been to the grocery store—I’m sure you’re aware how much prices have jumped over the past year. John Taylor certainly has an opinion on the topic. Taylor is a professor at Stanford University. While not a household name, he’s a [...]
Why interest rates matter
In the world of personal finance, a frustrating reality is that uncertainty is always a factor. But it’s not the only factor. Certain things are somewhat more predictable. Among them is the connection between interest rates and virtually every other aspect of the economy. Below is a look at some of [...]
Edward Lorenz
In 1972, an MIT professor named Edward Lorenz published a paper titled Predictability: Does the Flap of a Butterfly’s Wings in Brazil Set off a Tornado in Texas? It was a catchy title. Though Lorenz didn’t mean it literally, the basic idea was that events in the physical world are highly [...]
A little-noticed big change
Earlier this year, as I’m sure you recall, the stock market went into freefall. But all of a sudden, on March 23rd, everything changed. The market turned around, and just as quickly as it had dropped, it started to rebound. Remarkably, the U.S. stock market is now in positive territory for the [...]
One feather at a time – continued
Last week, I talked about some of the unsettling trends in financial markets. In that article, I focused on the role of brokers and day traders and noted that it takes two to tango. But it turns out the dance floor is quite a bit more crowded than that. Yes, the brokers and the day traders are doing [...]
