Machine Trading Causes Extreme Volatility in Equity Markets

Volatility in the U.S. equity markets late last year especially in December around Christmas time was extreme to say the least. Instead of a Santa Claus rally, investors were given a lump of coal with markets taking them on a stomach-churning ride. With stocks entering the bear market territory pundits and media alike listed all …

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Maximum Tax Rates on US Ordinary Income vs. Capital Gains Since 1954

The Maximum Tax Rate on capital gains has always been lower than the rate on ordinary income in the US. This preferential treatment on capital gains is one reason US companies and investors are contend with lower dividends paid out by companies. Another impact is that an investor holding stocks over many years and selling …

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The World’s Largest Weapons Importing Countries

The World’s Largest Weapons Importing Countries based on combined 2016 and 2017 data are shown in the graphic below. Saudi Arabia tops the ranking followed by India and Egpyt. Flush with petro dollars Saudi Arabia is a buyer of all kinds of expensive weapons though the country is a huge desert surrounded by friendly countries. …

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