Brady Willett's Blog

By Brady Willett – Hoping to strike it rich, “junior miners” like to dig holes in the ground after they secure funding. When times are good money is easily attracted and many holes are dug, and when times are bad some juniors are forced to close up shop.

By Brady Willett – A painting recently sold for a record $450 million, a blanket recently sold for $1.5 million, Bitcoin has gone ballistic, and Cramer thinks there are ‘bubbles’ everywhere except stocks. Are these the types of signals that bears have been waiting for? In a word, maybe.

By Brady Willett – The Fed started hacking interest rates in 2007 and QE3 ended in October 2014. This 7-year period of extraordinary ease and the nearly 3-year upswing since has been a difficult time for many market contrarians and...

By Brady Willet – Conventional wisdom holds that with central banks’ beginning to throw their experimental policies into reverse the strings holding the asset price boom together are slowly being cut. No disagreement here. But while the divergence between...

Why is a song about a severely injured baby and smashed cradle sung to children at night to lull them to sleep? Apparently, because If you sing this popular lullaby often enough the nonsensical violence in the storyline fades and the rhythmically appealing sounds endure.

Thanks to a series of colossal failures that were impossible to hide, we now know that Futures Commission Merchants (FCMs) could instantly access billions of dollars that did not belong to them.

For the first time since 2007 the book value of the largest U.S. home builders is set to post an annual increase. This suggests that after a lost decade*, the worst is finally over.

Three months ago Ben Bernanke gave a series of lectures and defended the Fed’s actions during the financial crisis. In what was tantamount to a post-crisis victory lap, Bernanke contended that “we did stop the meltdown”, and “we avoided what would have been, I think, a collapse of the global financial system.”

News that JP Morgan lost $2 billion trading synthetic credit securities is spreading like wild fire. Shares of JPM are deeply in the red. The stench of Volcker is in the air.

Proclamations like ‘The Death of Equities’ usually arrive near the point of maximum pessimism, and when everyone is most bearish it is usually time to take a contrarian stance and buy. However, today - less than 4-years into a historic deleveraging phase* - calls that equities are dead are likely to prove premature. Equities are not ‘dead’ in the sense that they are poised to rally strongly from a contrarian perspective. Rather, equities are simply dying…