Thursday July 21st, 2011

On Monday, I suggested that given the calendar, we could potentially put the uncertainty of the European sovereign debt crisis and the crashing of the U.S. debt ceiling behind us.  I would argue that while the risk from both still shrouds the market with fear and caution, the key players have taken major advances in resolving each situation constructively.  If investors were to perceive that these two binary events have taken the first steps on the path toward long term stability, then they would comfortably shift their focus away from the beta of the machinations of the macro environment toward the alpha of individual stock picking.  Doing so, they would be only encouraged based on the early results from the reporting season.

European leaders arrived in Brussels today for a much ballyhooed summit in an attempt to prevent Continue reading »