- Wall Street’s ‘reckless myopia’ makes a quick return, according to John Hussman. He says the market’s increasing speculative nature is a result from policy leaders lacking fiscal and monetary discipline. “Policy makers who seek quick fixes and could care less about long-term consequences undoubtedly encourage investors to embrace the same value system.”
- WSJ’s Abread of the Market column ponders what happens to banks when the Fed finally raises interest rates.
- Gary Becker and Richard Posner debate how to help the dismal labor market.
- NYT’s Paul J. Lim says earnings need to recover sooner rather than later for the stock market to keep running higher. Barry Ritholtz isn’t so sure.
- Breadth shows investors have been turning more defensive in recent weeks, Bespoke says.
- Former labor secretary Robert Reich pens another ranting post about the growing disconnect between Wall Street and Main Street.
- Dubai World isn’t intrinsically important, but if its troubles open policy makers’ eyes to the likely start of the final leg of the trip from household default to bank default to sovereign default, “it may do some systemic good,” Willem Buiter writes at Maverecon.
