Featured StorySeeking out major trends and power shifts in the global economy is a part of my work that I enjoy most.
It's a lot of work, and needless to say, it involves constant research.
That's why a piece I recently read in Foreign Affairs absolutely shocked me...
The piece is a bit revolutionary, as its authors speak to a drastically different way of stimulating an ailing economy than the path we're on today.
U.S. Economy 2014
Fight Club: Shah battles "Dark Pools" apologist on NPR today
Today, Shah Gilani let some wicked punches fly, debunking the legitimacy of Wall Street's "Dark Pools" on NPR's popular talk show On Point.
As Shah himself said: "This is about how the market has been undermined and how it could collapse one day, literally, and trillions of dollars could be lost in a matter of days."Listen in and tell us what you think.
Profit Massively from This "Margin Call" on American Homeowners
Get ready. There's more trouble ahead for home buyers, home builders, and especially homeowners who took out home-equity lines of credit before the housing crisis. Those heydays have turned into haymakers.What's already started to happen might not only knock out the formerly aspiring but now petering-out housing recovery, but also might knock the already weak economy to the ground.
Back in the good old days, when banks and mortgage shops were selling mortgage money and home-equity credit lines like carnival barkers wowing crowds into the big top, millions of homeowners stepped right in.
That circus tent was nothing but a trap, however. And now I'm going to tell you what that trap means for those borrowers - and the rest of the economy... Full StoryRead More...
Low Rates Won't Hide This Looming Threat Forever
Financial markets are experiencing a significant divergence in 2014 between the direction of stocks and bonds.
While the S&P 500 and Dow Jones Industrial Average have traded to new record highs, the yields on benchmark Treasury bonds have dropped sharply.
Normally, one would not expect stock prices to rise and bond yields to drop simultaneously because these movements suggest contradictory readings of the economy.
Higher stock prices indicate bullishness about economic growth, while lower bond yields suggest just the opposite.
However, the inconsistent signals being sent by markets are not as surprising as they seem, given the context of the post-crisis environment in which Federal Reserve policies have distorted normal market pricing mechanisms.
This situation could blindside investors who don't see it coming... Full Story Read More...
The Next Trillion-Dollar Mortgage Meltdown May Be Coming
The fourth securitization deal of big investor-owned single-family homes for rent is here.
Is this just another Wall Street gamble that will wreck the economy again, or is this time different?
You be the judge.
I'll tell you where I stand...
Let's Make the Mortgage Due for Fannie Mae and Freddie Mac
You can call it a bailout, a rakeover - I mean, takeover - or socialism for cash.
But, whatever you call it, it's not going to last.
The $187.5 billion bailout of Fannie Mae and Freddie Mac back in 2008 was absolutely necessary.Yes, we had to do it. But here's why it's time for the government to get out of the mortgage business for good...
The "Holy Grail" of Energy Investing Is Going to Make You – and Your Grandchildren – Rich
Storage has long been one of energy's biggest "Holy Grails." It holds the key to every significant move into smart grids.
The reason is pretty simple: If energy cannot be stored, it is lost. Even transferring it from one type of energy to another is of little consequence unless you can reverse the erosion in the entire system.
It's called entropy, and it's a pervasive problem.
Now, there are a number of rather complicated ways to explain this, but let's keep ours straightforward. Over time, a system ends up having more energy than can be readily used. This is always the biggest drain on any attempt to structure a more efficient approach.
So the basic question becomes how to "save" all of this energy from being lost.That's what's at the center of a breakthrough project I came across yesterday...
March Jobs Report: Still Stuck in Second Gear
The highly anticipated March jobs report out today supported what U.S. Federal Reserve Chair Janet Yellen said earlier this week: The job market is not back to normal and the Fed has more to do on the unemployment front.
This morning, the U.S. government announced that the economy barely missed expectations of 200,000 new jobs in March 2014, adding 192,000 jobs. The unemployment rate remained unchanged at 6.7%.
The lukewarm announcement was cheered mainly for its revisions for... To continue reading click here...
Feed the Rich and Starve the Middle Class: There's Only So Much to Go Around
Last week the Dow fell 200 points when Federal Reserve Chair Janet Yellen dared to suggest a timetable for raising interest rates.
But then it recovered and ended down only 114 points on the day.And wait until you see who the real beneficiaries are...
Janet Yellen Testimony: Key Takeaways as Fed Stays the Course
What stands out most from the Janet Yellen testimony Thursday to the Senate Banking Committee is that her remarks mirrored comments made on Feb. 11 in her first monetary policy testimony to a House panel.
Speaking on Capitol Hill about the Semiannual Monetary Report, Yellen repeated that the central bank is likely to maintain its approach of progressively trimming asset purchases. The taper will continue even as policy makers monitor data to determine if the recent spate of soft economy data is temporary or something more serious.To continue reading, please click here...
This One Animal Could Send Food Prices Soaring
On Tuesday morning, the U.S. Department of Agriculture (USDA) announced it will provide $3 million to help the one animal that will make or break U.S. food prices: bees.
Commercial honeybees pollinate an estimated $15 billion worth of the nation's agricultural produce each year, as reported by The Associated Press on Tuesday. Bees and other pollinators account for one out of every three bites of food Americans consume.To continue reading, please click here...
Today's Stock Market News and Earnings Calendar
Today's stock market news, Feb. 18, 2014: The Dow Jones Industrial Average rose 126.80 points on Friday to finish at 16,154.39. While the S&P 500 and Nasdaq were flat. With several prominent firms reporting earnings this morning, pre-market trading and the futures are relatively quiet.So what’s next? Here's what's happening in today’s stock market.
Today's Stock Market News And Earnings Calendar
Today's stock market news, Feb. 14, 2014: The Dow Jones Industrial Average ticked back above 16,000 on Thursday as the market continues to shrug off weak economic data. Due to the snowstorm that battered the East Coast on Thursday, the scheduled meeting between Federal Reserve Chair Janet Yellen and the Senate Banking Committee has been postponed until later this month.To continue reading, please click here...
Why U.S. Retail Sales Dropped in January – and How You Can Profit
U.S. retail sales - which account for 70% of economic activity - unexpectedly fell 0.4% for the month of January according to the Commerce Department today (Thursday). The decline marks the second straight drop after a 0.1% fall in December.
Auto sales were the major contributor to the miss. Sales of motor vehicles and parts dropped 2.1%, while Americans also spent less on restaurants and clothing. The report also showed soft holiday sales for retailers at the end of last year.To continue reading, please click here...
Today's Stock Market News and Earnings Calendar
Today's stock market news, Feb. 13, 2014: The markets were flat on Wednesday following one of the largest four-day bull runs in recent history. Meanwhile, a massive winter storm has paralyzed the East Coast. The markets will remain open, however, on Thursday.To continue reading, please click here...