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Welcome to the "Wolf Creek Pass" School of Monetary Policy

I don’t know if you folks remember that hit ditty: a humorous tune about two truckers attempting to manhandle an out-of-control 1948 Peterbilt down the “other side” of Wolf Creek Pass – a death-taunting section of U.S. Highway 160 where the elevation drops a hefty 5,000 feet in a relatively short distance.

The song’s two characters – a truck driver named Earl and his brother, who’s his partner as well as the song’s narrator – are taking a flatbed load of chickens on a speedy trip down this winding, two-lane Colorado highway. After the narrator gives Earl the above-mentioned warning, the ancient semi’s brakes fail.

From there on down, the narrator tells us that the brothers’ trip “just wasn’t real pretty.” The truck careened around hairpins and switchbacks, and then raced at an uncontrolled 110 mph toward a tunnel with “clearance to the 12-foot line” – with chicken crates sadly “stacked to 13-9.”

The drivers and the runaway Peterbilt “went down and around and around and down ’til we run outta ground at the edge of town… and bashed into the side of the feed store – in downtown Pagosa Springs.”

Believe it or not, I started thinking about this funny old country tune the other night – right after I’d read a piece about QE3 and the U.S. Federal Reserve.

As zany as it first sounds, the parallels are striking.

  • Featured Story

    Profit Now from This Overlooked Tech Market

    Many investors think of Canada as the land of mining stocks, and not without good reason. It's resource-rich and home to a legion of mining firms that produce everything from gold and silver to iron ore. Canada ranks among the world's top five producers of 14 mineral commodities and is the world leader in the production of potash and uranium. Of course, as a long-time tech investor I've followed many of these mining firms for a very simple reason. Materials like gold, silver, and rare earths touch a wide swath of tech products, from advanced defense systems to web-enabled autos, smartphones, and tablets. Here's the thing. Resource firms (along with Silicon Valley to the south) greatly overshadow Canada's burgeoning tech scene. Yet the nation is home to thousands of companies in computing, e-commerce, information technology, and medical devices. The trade group, the Information Technology Association of Canada, says its industry alone counts some 33,300 companies. Together, they generate a combined $155 billion in annual sales. Unfortunately, the most famous Canadian tech firm of all remains troubled BlackBerry Ltd. And yes, the mobile phone maker is making a comeback, but it is still treading water in an industry full of proven winners. So while the potential for BlackBerry's rebound may be appealing to some, we've got three Canadian tech plays that offer much richer returns. And BlackBerry's high-profile struggles effectively "hide" their profit potential... Full Story
  • technology stocks

  • Intel (Nasdaq: INTC) Stock Looks to Revive with Wearable Technology CES Keynote Speaker Brian Krzanich Intel CES With revenues mostly stagnant for the past four years, Intel has been in dire need of a growth market. And with wearable technology, the iconic chipmaker may have found exactly what it needs to revive its stock for the long term. Here's what Intel is doing to capture this vital new market...
  • One Small Tech Company Could Be the Auto Boom's Biggest Winner car tech Auto sales are rocketing.
    In November, the industry sold $1 billion worth of new vehicles a day, setting a record for that month.
    And this flood tide of new vehicles will have more cutting-edge technology than ever before, creating a perfect profit storm of two exploding industries.
    This is the most exciting time I've ever seen in the industry since I began tracking it 34 years ago.
    And here's the thing: Google and Apple are excited, too. They'll make plenty of money on this trend, as you're about to see. But the "pure play" here is a much better investment...
    Full Story
  • Is There a Tech Bubble? keith fitz-gerald

    There have been multi-billion dollar valuations for small, unprofitable companies and soaring share prices for tech names like Facebook (Nasdaq: FB) - are we in a tech bubble?

    Money Morning Chief Investment Strategist Keith Fitz-Gerald joined FOX Business' "Varney & Co." this morning to answer that question.

    Watch Fitz-Gerald's analysis of what investors must know about the tech stock bubble. He also discusses where the market is headed and gives the name of one stock he's looking at buying today.

    To watch the video, please click here...
  • Obama Should've Hired This Tiny Tech Firm to Build’s many problems are turning into a nightmare for President Obama. Calls are growing for HHS Secretary Sebelius’ resignation. But it all could have been avoided had the government turned to this tiny “e-government” specialist. This company’s shares take off with each new project they ace – more than 73% in the past year – and there’s still plenty of upside…
  • The High-Tech "Gold Rush" Officially Begins If you've blinked in the last 14 days, you might have missed this...
    ARM Holdings PLC (Nasdaq ADR: ARMH) - one of the world's dominant mobile-device chip companies - bought a small Finnish software startup called Sensinode Oy in a deal whose price wasn't reported.
    And most folks shrugged it off as just another of the thousands of below-the-radar deals that companies do every year.
    But this one's different.
    ARM's buyout of Sensinode is the latest reminder that the single-biggest profit opportunity currently on my radar screen is about to start paying off.
    And because we're talking about a $14 trillion opportunity - meaning this newly emergent tech market will actually approach the entire U.S. economy in size - I want you to see what's going on here.
    I'm even going to show you the top companies I've identified... Read More...
  • After Saving My Life, This Technology Will Save Your Retirement The technology I want to tell you about today is one of my best investment ideas. And not just because it saved my life. I’m talking about “location-based services,” the technology that allows your smartphone to show where you are … or tell you where you need to go. It’s a technology that has double-your-money profit potential because of all it can do. It can help you find the nearest retail sale, guide you to the seafood house where you have reservations, or get you to a hotel for a good night’s sleep. It can also help you avoid costly navigation errors – and not just in a car. And the drama involving location-based-service technology doesn’t end there. You see, this market has finally reached critical mass and is poised to skyrocket... Read More...
  • Best Tech Stocks to Buy Now: Beat George Soros with These Two Plays The best tech stocks to buy now aren’t what George Soros and other big names are betting on – they’re better. Here’s how we found bigger winners. Read more... Read More...
  • The Six Questions that Can Make You Rich (Part Four) Wealth Q Last week, we explored the three technical questions central to successfully investing in technological innovation.

    This week, we focus on three practical questions that can make the average investor a lot of money in the early waves of innovation. All of these questions word together for one purpose.

    By answering "yes" to all six questions, you can dramatically increase the probability of a successful technology investment and return on your shares. And best of all, you can identify the winning companies that are poised to profit in the few key sectors that we've identified.

    Our fourth question for technology investing is very simple:

    Can this technology harness the power of other innovations to maximize its performance and sales?

    When exploring this question, it's important to understand how a new technology reaches its full potential. To maximize its potential, a technology must first have the capacity to fulfill what we identified in our first three questions. It must accelerate the speed and transfer of physical goods and trade. It must expedite the flow of information and capital, and provide more "bang for your buck."

    But this fourth question requires that the new technology integrate with other technologies that already exist, and make it possible to harness emerging innovations in a high-tech world. This is how we take an existing success and identify just which company is going to lead to a major global breakthrough.

    And there's one primary example that can provide the greatest lesson in the recent digital revolution.

    To continue reading, please click here…

  • A Tech Investing Homerun You don’t always have to buy a stock to double your money. Sometimes, an exchange-traded fund (ETF) can pack just as big a wallop. ETFs with that kind of horsepower don’t come along all that often, which is why you have to pick the right one … at the right time. And that’s the tech-investing home run that I have for you today – an ETF with actual double-your-money profit potential.

    In fact, you’ll be stunned at just how quickly every $1 you invest in this fund will turn into $2 in holdings.

  • The Ultimate Tech Stock "Treasure Map" Cloud computing is going to grow from about $41 billion in 2011 to $241 billion in 2020. Here are the tech stocks that stand to benefit the most. Read more... Read More...
  • The Big Lie in Tech Today In many tech circles it's become fashionable to warn that the era of exponential growth in technology is coming to an end. Even powerful people in the industry have gone on record worrying about the sustainability of its growth.
    Since the global economy is fed by advances in high tech, that also would mean markets would suffer seriously if tech stumbled.
    But there's a lie at the heart of this argument and it means there's a lot of opportunity for savvy investors.
    Let me explain...
  • How to Really Make a Fortune on the "Mobile Wave" s

    If you've been riding along with me for any length of time, you know I get really revved up whenever I talk about the "Mobile Wave" in technology.

    The truth is, I can't help it: I look at the forecasts, calculate all the money that can be made, and end up feeling as jazzed as can be about the windfall profits we can reap from this transformational trend.

    To continue reading, please click here...

  • Apple Bond Offering is Proof It'll Do Anything to Avoid Taxes Company Apple logo

    The record $17 billion Apple bond offering this week will do more than just placate shareholders eager to get some benefit from the company's $144.7 billion in cash.

    It will help Apple Inc. (Nasdaq: AAPL) avoid paying taxes, a feat that the Cupertino, CA tech giant has elevated to a high art.

    To continue reading, click here...

  • Apple Stock is Up After Earnings – But Are Gains Here to Stay?

    Apple stock was up 5% in after-hours trading Tuesday when its earnings report turned out to be better than expected - but, not great.

    Everyone was bracing for the worst when Apple Inc. (Nasdaq: AAPL) released second-quarter earnings Tuesday after the close. The big question was just how bad things were going to be.

    The answer turned out to be... not so awful. The iPhone maker surprised Wall Street with better than expected numbers, mostly because expectations were so low.

    However, as expected, forward guidance was glum.

    To continue reading, please click here...

  • Apple: Cash or Trash? The market's North Star of growth is going to report earnings tomorrow. Good news or bad news isn't the real question.
    The question is: With Apple off nearly 50% from its $705.07 a share high set last September, is the famed tech giant a "buy" again?
    Here's my unequivocal answer...