credit

Outlook for stepping into the New Year

December 29th, 2017|by Michael Ashley Schulman, Perspectives, The Here and Now|

Tree on Balboa Peninsula, December 2017, by Michael Ashley

How stocks perform in January/February depends on whether an uncomfortable amount of volatility returns.  The forward multiple assigned to the market puts pressure on companies to generate good results, speak ebulliently about their outlook, […]

The jump in U.S. corporate productivity heralds a boost in corporate profit margins

October 31st, 2009|by Michael Ashley Schulman, Perspectives, The Big Picture|

The present jump in U.S. corporate productivity heralds a boost in corporate profit margins; but positive earnings surprises have been at the cost of household income. Corporate profits are surprising on the upside because of aggressive cost cutting. Non-farm business productivity jumped in the third quarter as firms managed to boost output impressively using fewer […]

Concerns about economic weakness and credit turmoil

February 29th, 2008|by Michael Ashley Schulman, Perspectives, The Big Picture|

Concerns about economic weakness and turmoil in the credit markets are likely to weigh on high yield and convertible bond closed-end funds (CEFs) over the next several months. Since late-2007 dislocations in the credit markets have contributed to tighter financial conditions which may push the US economy into recession. Similarly, credit strategists believe we have […]

Economic expectations have cratered

January 31st, 2008|by Michael Ashley Schulman, Perspectives, The Big Picture|

Economic expectations have cratered. A recent eye-popping drop in the service sector triggered a stampede out of stocks. The door is never wide enough when everyone heads to the exits at once. To be sure, weak incoming economic data presents a challenge to a positive economic stance over the next twelve months. Nonetheless, there are […]

The credit market crisis is unprecedented

November 30th, 2007|by Michael Ashley Schulman, Perspectives, The Big Picture|

The credit market crisis is unprecedented in recent history and is deeply rooted in the bursting of the speculative U.S. housing market bubble and the ensuing supply glut. The housing crisis and its effects may go from bad to worse before getting better. Nationwide, 635,000 foreclosure filings — default notices, auction sale notices and bank […]