Nouriel Roubini, professor at the Stern Business School at New York University said in an op-ed piece in today's (Monday's) edition of the Financial Times that while the global economy is "starting to bottom out" there is "a rising risk of a double-dip W-shaped recession," mainly because of the threat posed by inflation. According to […]
Archives for August 2009
August 2009 - Page 3 of 9 - Money Morning - Only the News You Can Profit From
Buy, Sell or Hold: The iShares iBoxx $ Investment Grade Corporate Bond Fund (NYSE: LQD)
The U.S. stock market has enjoyed a strong rally since the early spring, but while the economy has shown improvement, it still faces major headwinds. So it may be best to hedge against the U.S. dollar, which is likely to experience a significant decline over the next few months. There are a lot of uncertainties […]
Home Sales Will Struggle to Rebound Without Tax Credit Extension
A rise in existing home sales last month shows things are getting better in the U.S. housing market, but the still-dire unemployment situation and the looming possibility of a jobless recovery may halt the rally by the end of the year. That makes the extension of an $8,000 tax credit for first-time homebuyers imperative. Existing […]
In the Race for a U.S. Economic Rebound, Growing Debt and Budget Deficits Remain the Biggest Possible Roadblock
Even as investors get more and more bullish about the outlook for the U.S. economy, the economy’s underlying foundation continues to erode. In a report to be released this week, the Obama administration will boost its 10-year projection for the federal budget deficit to about $9 trillion – an increase of roughly $2 trillion, or […]
Oil Prices Surge to 2009 High on Eurozone Growth
Oil prices rose to their highest level this year Friday on renewed optimism that the global downturn since World War II is abating and the growing belief that the U.S. dollar is set to drop. Light, sweet crude for October delivery rose as much as $1.57, or 2.15%, to $74.48 a barrel on the New […]
Why Asia Will Supplant Detroit as the Global Center of the Auto Industry
Asia is poised to become the "new" Detroit. Here in the United States, at a cost of a mere $3 billion, the "Cash-for-Clunkers" program appears to have given new hope to the U.S. auto industry. But that new hope is destined to be short-lived. It's true that – in terms of value delivered for the […]
Why Asia Will Supplant Detroit as the Global Center of the Auto Industry
Asia is poised to become the "new" Detroit. Here in the United States, at a cost of a mere $3 billion, the "Cash-for-Clunkers" program appears to have given new hope to the U.S. auto industry. But that new hope is destined to be short-lived. It's true that – in terms of value delivered for the […]
China Turning the Screws on Rio Tinto in Iron Ore Negotiations
China is pressing Rio Tinto PLC (NYSE ADR: RTP) hard for a sharp reduction in the prices the company charges for its iron ore. But mining companies like Rio, who have had their bottom lines eviscerated by a slump in commodities prices, may have a hard time acquiescing. China’s 470 million ton demand for steel […]
How Over-Regulating Goldman Sachs Will Lead to Higher Oil and Commodity Prices
After earning hefty profits on its commodities trading for nearly 18 years, heavyweight trader Goldman Sachs Group Inc. (NYSE: GS) now finds itself on the hot seat, defending this crucial source of revenue. And while that may not be good for Goldman, it’s also bad for investors. Let me explain… It all started back in […]
Hot Stocks: Monsanto Focused on Long-Term Growth, but DuPont Dustup Draws Attention From Regulators
Monsanto Corp. (NYSE: MON), the world’s largest seed maker, says it’s on track to more than double its 2007 profit by the year 2012 and is expecting a “technology explosion” to provide even stronger products going forward. But while Monsanto continues to build on its reputation as a cutting edge agricultural business, it is also […]