The Investor's Guide to Economic Fundamentals

In these unpredictable times, when every economist has a different theory on the state of the economy, what are all those economic indicators and fundamentals they evaluate? In this relatively brief book (fewer than 250 pages) these topics are reviewed succinctly. It covers the financial markets in the U.S. and globally, surveying key market fundamentals such as interest rates, inflation, the business cycle, and their impact on the major areas of investment. Topics covered range from the various stages and indicators of business cycles, to an explanation of the economic environment surrounding emerging economies and how investment relates differently in emerging versus established economies. The author cites events in recent financial history to explain how markets globally responded to different stages in the business cycle. He also includes chapters on such current topical economic issues as "Is Inflation Dead?'" and "The New Economy—Myth or Reality?" Chapter 8 provides a useful summary of "Economic Fundamentals and Market Performance," with an excellent chart illustrating the effects of various economic fundamentals on the performance of the major asset classes: short-terms bonds, long-term bonds, stocks, property, and commodities.