The Costly Craving for Explanations

Everyone following markets wants to see order, even if the data present only chaos.  Humans reject random data, imposing explanations instead.  They see patterns that reflect normal probabilities.  They look at zillions of cases and celebrate a single instance that confirms a preconception. Because behavioral economics has been so widely celebrated, Nobel Prizes awarded, and […]

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2016 in Review: Best of the Silver Bullet Awards Part One

Since the earliest days of A Dash of Insight, Jeff has brought attention to journalists and bloggers who dispel myths in financial media. We congratulate these writers with the Silver Bullet Award – named in honor of the Lone Ranger, who lived by a strict code: “…that all things change but truth, and that truth alone, […]

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Weighing the Week Ahead: What Does the Election Mean for Financial Markets?

Last week’s economic calendar was the biggest of the year and this week’s is the lightest.  In the absence of important economic news and earnings, where will financial media turn to fill that space and time?  The Presidential election campaign is providing a lot of zest as well as a little substance. I expect financial […]

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Weighing the Week Ahead: What are the Biggest Market Worries?

The economic calendar is again light in a holiday-shortened week. There are a variety of important news items, but no dominant theme. I expect the punditry to seize the opportunity by asking: What are the biggest market worries? Prior Theme Recap In my last WTWA I predicted that everyone would be talking about the high […]

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Weighing the Week Ahead: The Elusive Logic of Mr. Market

We have a very light economic calendar, and the earnings season is winding down. The punditry loves these opportunities. Rather than dealing with data, the field is open for speculation! This has already begun. Even before results were known, every news source was speculating about events and the apparently strange behavior of financial markets. Craving […]

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