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While Washington Stews, You Can Cash In on the Biggest "Tax-Inversion" Deal in History

Back in June 2012, we recommended that you pick up shares of Big Pharma player Abbott Laboratories Inc. (NYSE: ABT). The reason: Abbott was planning to split in two at the end of the year, meaning folks who took our advice would end up with stakes in two companies for the price of one.

There was more than bargain-basement thinking at work here.

You see, these corporate breakups – known as spin-offs – have a habit of turning into market-beating profit plays. And the newly minted spin-off firms often end up as takeover fodder – also at big profits.

Abbott followed part of that blueprint.

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    While Banks Crumble, The Next Leg Up For Gold Prices Draws Near

    Something's afoot in the world of high stakes finance.

    The Basel Committee for Bank Supervision (BCBS) is about to decide something crucial to bankers, sovereign nations, and gold investors alike.

    As part of the Bank of International Settlements (BIS), the BCBS is reviewing the upcoming new Basel III rules. That may sound arcane to you but I promise it's not.

    Though rarely discussed in the mainstream press, the all-important Bank of International Settlements is essentially a global central bank to the world's central banks.

    Its goal is ostensibly to provide global stability to the monetary and financial systems.

    And in a surprise twist that only a few years ago would have been considered preposterous, the BCBS is entertaining whether gold should qualify as a full-fledged Tier 1 capital asset.

    Currently, the precious metal is relinquished to a Tier 3 status, deserving no more than a 50% weighting at that.

    Here's why that distinction is important and potentially astonishing.

    Achieving Tier 1 status would credit gold with the recognition it's been denied ever since Nixon closed the gold window on August 15, 1971.

    In essence, it would mark the official recognition that gold is real money.

    But that's not the only reason gold is gaining respect. Other factors are brewing that will set the stage for the next leg up in gold prices.

    As Banks Teeter, Gold Gains Respect

    One of them is the crumbling state of world's banks. Once unwavering, the trust in these financial ivory towers is precarious at best.

    In the last couple of months alone, Greek depositors have withdrawn billions of euros in deposits, as the fear of a "Grexit" looms large.

    Not to be outdone, Spain banks have been emasculated by the Iberian nation's own bursting real estate bubble. After denying for weeks that a bailout would be required, officials finally caved to a "Spailout", giving Spain's banking system a 100 billion euro rescue package.

    This phenomenon is not exclusive to the Eurozone either.

    To continue reading, please click here...


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