Investment Directions: Electronics Gets Interesting, Humans Take On Computers, Banks' And Wall Street's Happy New Year

Jan 6 2014, 1:50pm CST | by

Investment Directions: Electronics Gets Interesting, Humans Take On Computers, Banks' And Wall Street's Happy New Year
Photo Credit: Forbes Apple

This week’s meaningful topics and trends:

Electronics Gets Interesting

This CES (Consumer Electronics Show) looks to kill the view of its supposed waning importance after Apple and Microsoft opted out. Today’s micro-sized, maxi-speed and minimized-cost tech, wedded to the hyper-speed wireless and limitless-capability Internet, has opened the floodgates. Developments are pushing the consumer electronics trend out of its computer-tablet-phone channel.

In what now looks like intelligent timing, the Detroit Auto Show follows the CES, just as the major car companies man CES booths.

Humans Take On Computers

In 2013, the NYSE broke a 19-year record and got more tech + IPO listings than the Nasdaq. A fallout from the Facebook fiasco? According to a WSJ survey of investors and newly listed company managers, the primary reason is humans – the “designated market makers” (nee “specialists”) who have the ability to override the computers, ensuring an orderly market for NYSE-listed stocks.

Meanwhile, Eugene Fama and DFA (Dimensional Fund Advisors) are featured on Barron’s cover under the heading, “Market Beaters.” Seems like the time is ripe for the pendulum to begin its periodic swing back from index funds and ETFs to managed funds and closed-end funds.

Banking and Wall Street’s Happy New Year

2013: The year that the Fed finally let long-term rates loose, banks settled most of their hangover lawsuits, and Wall Street proved that IPOs are good for investors’ health.

With this normality returned, we can look for banks to ramp up lending, including mortgages. The high interest rate margins are a powerful incentive to get banks’ lending and earnings growing.

Meanwhile, the Wall Street machinery is in high gear, bolstered by 2013’s success and those multi-digit bonuses. With cash in ample supply and many companies sporting high P/Es, we can expect more IPOs along with acquisitions, divestitures and other fun stuff.

And then there’s bond trading. This anathema to many investors and non-money maker last year could shine. With the Fed out of the picture, the traders can do what they do best – outsmart one another. All they need is volatility. Judging by the diverse opinions about what’s in store for interest rates, they will get their wish.

Final Thought

“Growth” is the operative word for 2014 – economic, business, financial, consumer, R&D, and, most importantly, confidence and optimism.

Source: Forbes Apple

 
 

Don't miss ...

 

<a href="/latest_stories/all/all/30" rel="author">Forbes</a>
Forbes is among the most trusted resources for the world's business and investment leaders, providing them the uncompromising commentary, concise analysis, relevant tools and real-time reporting they need to succeed at work, profit from investing and have fun with the rewards of winning.

 

blog comments powered by Disqus

Latest stories

Each Unit of Apples Watch’s AMOLED Screen Reportedly Costs $27.41
Each Unit of Apple Watch’s AMOLED Screen Reportedly Costs $27.41
The cost of the AMOLED display of the new smartwatch is pretty high
 
 
Apple Reportedly Releasing the 27-Inch Retina iMac in October 2014
Apple Reportedly Releasing the 27-Inch Retina iMac in October 2014
Apple is rumored to introduce the new 27-inch iMac with Retina display in the next month
 
 
Apple Says Bent Phones Aren&#039;t Common
Apple Says Bent Phones Aren't Common
The bending problems should not happen for most users
 
 
Apple Says Users Unaffected By Security Bug
Apple Says Users Unaffected By Security Bug
They confirm the vast majority of users are safe
 
 
 

Latest from the Network

I nearly died: Phil Collins
Los Angeles, Sep 30 (IANS) Veteran musician Phil Collins says he was forced to quit drinking after he was diagnosed with a severe case of pancreatitis. The 63-year-old says he began drinking heavily after stepping...
Read more on Celebrity Balla
 
Sea turtles find safe haven in Costa Rican national park
Tortuguero (Costa Rica), Sep 30 (IANS/EFE) Nestled in the Costa Rican Caribbean is Tortuguero, a small village surrounded by fresh water, the sea and the splendours of nature that it has learned to preserve for its own...
Read more on Politics Balla
 
UN welcomes inauguration of new Afghan president
United Nations, Sep 30 (IANS) The UN Security Council welcomed the inauguration of new Afghan President Ashraf Ghani Ahmadzai, which marks the first ever peaceful transition of power in the country. The Security...
Read more on Politics Balla
 
Argentine inventor of vanishing spray slams German ban
Buenos Aires, Sep 30 (IANS) Argentine inventor of football's vanishing spray, Pablo Silva, denied claims made by Germany calling the product "unsafe." The canned foam, used by referees to mark the spot players should...
Read more on Sport Balla
 
Amalraj-Madhurika eliminated in mixed doubles TT pre-quarters
Incheon, Sep 30 (IANS) The Indian mixed doubles table tennis team of Anthony Amalraj and Madhurika Patkar was eliminated in the pre-quarterfinals of the 17th Asian Games here Tuesday. The Indian pair lost 1-3 (5-11,...
Read more on Sport Balla
 
AZ appoint Van den Brom as new coach
The Hague, Sep 30 (IANS) John Van den Brom has signed a contract until mid-2016 as head coach of AZ Alkmaar, where he will be assisted by former head coach Marco van Basten. AZ and the 47-year-old Van den Brom reached...
Read more on Sport Balla
 
Argentine crowned world youth chess champion
Buenos Aires, Sep 30 (IANS) Argentine Alan Pichot was crowned the under-16 world champion after beating Russian Maxim Litvinov during the World Youth Chess Championship in Durban, South Africa. The 16-year-old became...
Read more on Sport Balla
 
Jesse Tyler Ferguson's dad found his stash of gay porn
Jesse Tyler Ferguson's father found out he was gay at the age of 14 after he discovered his stash of gay porn. The 'Modern Family' star, 38, was just a teenager when his dad Robert learned he was homosexual after he was...
Read more on Celebrity Balla
 
Gwyneth Paltrow celebrates birthday with Chris Martin
Gwyneth Paltrow celebrated her birthday with her estranged husband Chris Martin over the weekend. The 'Iron Man 3' star marked her 42nd milestone with the Coldplay frontman, whom she spit from earlier this year...
Read more on Celebrity Balla
 
Ron Gardenhire Out as Minnesota Twins Manager
Ron Gardenhire is out as manager of the Minnesota Twins.Gardenhire, who had been the Twins' manager for 13 seasons, had a year remaining on the two-year contract extension he signed last year, per a Sept. 29 update from...
Read more on Sport Balla