Archives for June 2013

June 2013 - Page 16 of 16 - Money Morning - Only the News You Can Profit From

New Arab Spring Could Breed Chaos in the Energy Markets

Investment opportunities in the energy markets always bounce between questions of available supply and prospects for demand.

These days many commentators in the U.S. are viewing excess domestic shale gas and tight oil as a factor in restraining energy prices. Meanwhile, their colleagues in Western Europe forecast continuing economic malaise, translating into a similar result.

Both put forward the position that there is a surplus of oil and gas in a weak global economy, thereby reducing concerns over either supply or price.

I have questioned those premises before here in Money Morning. And I agree that there's no crisis situation emerging any time soon. The prices may not remain as low as some believe, but supply isn't going to be an issue in North America or in the European Union.

But the same can't be said about other parts of the world. And it's this wave of unrest that may have repercussions across the entire energy sector.

Two Turnaround Stocks to Buy Now that Most Investors Will Miss

One style of investing that is underutilized by most investors hunting for stocks to buy is picking up "turnarounds."

You see, we all know investors who have gotten caught up with buying what is popular, at the height of its popularity. The Peter Lynch adage about buying what you know has investors chasing stocks like Apple Inc. (Nasdaq: AAPL) or Lululemon Athletica Inc. (Nasdaq: LULU) because they like the products regardless of valuation.

Buying stocks of companies that have experienced serious problems and fallen out of favor with Wall Street requires more work and attention than just buying the stocks talked about on TV or around the office – but it can be far more lucrative as well.

A stock that recovers from operational of financial difficulties can soar in price over a few years.

The Winning Investment System That Gave Us Warren Buffett and Peter Lynch

So what do Warren Buffett and Peter Lynch have in common?

Aside from being legendary investors, neither one of them has ever used technical analysis to dig up a market-beating stock pick.

In a world bereft of charts, trend lines, and candlesticks, both of these heavy weights have relied entirely on fundamental analysis to earn their famous fortunes.

In fact, their disdain for technical analysis is so complete that Buffett once remarked, "I realized technical analysis didn't work when I turned the charts upside down and didn't get a different answer."

Meanwhile, Lynch once observed, "Charts are great for predicting the past."

Instead of focusing on market momentum, they simply concentrated on finding long-term value. It's called fundamental analysis.

And over time, that singular "system" made both men very wealthy.

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Where Silver is Trading Today - and What's Next

Where silver is trading today represents a 35% decline from six months ago – which has led many investors to bail on the white metal in 2013.

Silver prices hovered around $22.78 in trading today in New York, almost $10 lower than where they started the year.

For more detail on what's next for silver, we asked Money Morning Global Resources Specialist Peter Krauth what investors should make of where silver is trading today.

While Krauth remains bullish on both silver and gold over the long term, he does see prices possibly falling a little more before a reversal.

"I do believe that most sellers have exited silver – but not all," Krauth told us Monday. "Since I'm still bearish on gold for the near term, I expect silver would simply follow gold down on any weakness."

Here are some reasons silver prices could dip into the high teens before bottoming.

How to Invest in Sports Teams - and Profit

Professional sports are big business, to put it mildly. A top franchise, no matter the sport or market, can be worth billions of dollars.

More and more, sports organizations are beginning to offer shares to investors on the open market, but if you're to profit, you need to be armed with the right knowledge about how to invest in sports teams.

Sponsorships, ticket sales, broadcasting rights, and even tax breaks all contribute to the value of a team.

Most of these sports teams are held privately, in families or small combines. But there are ways you can figure out how to invest in sports teams, going from fan to financier by picking up shares of these organizations – but perhaps not in the ways you'd think.

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Stock Market Today: June off to a Guarded Start

The first trading day of June got off to a muted start at the opening of the stock market today.

Shortly before noon, the Dow Jones Industrial Average added 34.66, or 0.23%, to 15,150.23. The Standard & Poor's 500 Index slipped 6.42, or 0.39%, to 1,624,32. The Nasdaq gave back 33.87, or 0.98%, to hit 3,422.04.

Market participants were hoping for a rebound in today's stock market following Friday's steep sell-off.

Jitters over tumbling Japanese stocks and worries about the Fed winding down its market-supportive bond-buying program sent stocks spiraling Friday, the last trading day of May.

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Russia: The Greatest Threat to the Energy Markets

As Yogi Berra aptly put it, It's deja vu all over again.

The Soviet gulag state is coming back and this time it could wreak havoc on the world's energy markets.

I began my energy career in Russia. Back then it was part of a sprawling Soviet Union. For the past 23 years there have been 15 independent countries in its place.

But these days it sure feels like the Beatles song from the late 1960s, "Back in the USSR."

You see, many governments aren't able to work out how to plot the global energy sector because it becomes too wrapped up in local political machinations.

And the bigger the energy producer, the bigger the impact is on the global picture.

Two Natural Gas Stocks to Buy Now Before the Transportation Revolution

A glut of cheap, abundant natural gas is about to turn the U.S. transportation industry upside down – and it will make two companies at the epicenter of this revolution among the best stocks to buy.

Exploration and drilling for oil in America's newfound shale fields has unleashed a game-changing byproduct – enormous pools of natural gas that could meet the nation's energy needs for the next century.

In fact, the discoveries are so colossal they're set to rattle energy markets around the planet.

"North America has set off a supply shock that is sending ripples throughout the world," the International Energy Agency (IEA) said in its 2013 medium-term report.

But the first place to feel the effects will be right here at home.

You see, the supply surge will spur a massive switch away from smog-belching diesel engines to clean-burning, natural gas-powered vehicles.

Here's why…

How to Invest in The Two Hottest Tech Trends I've Ever Seen

Last week, I told you the "Mobile Wave" was one of the biggest profit opportunities that I'm following for you.

I even shared a potential "double-your-money" profit play that the "experts" seem to have missed.

But as good as the "Mobile Wave" story might sound, it's not the only hot sector that can substantially bolster your net worth.

Today I'm going to tell you about two other high-tech trends that I'm following – and each one represents the double-your-money profit opportunities that I'm always hunting for.

And I'll give you a stock to watch with each one …

How to Invest in the Top Tech Trends

The trends that I'm talking about are "Big Data" and "Cloud Computing" and each is an example of the "unstoppable trends" that I search out in my Five Rules of High-Tech Wealth that I've been talking to you about over the last few weeks.

Let's look at each of these two powerful developments.

And we'll start with Big Data, a term that refers to technologies that make massive data sets – once inaccessible – available for analysis and use in decision-making.

According to a recent study by IBM, we now create 2.5 quintillion bytes of data each day.

But it's what we do with all that data that truly matters.

Read More…

Buy, Sell or Hold: Up 3,400%, Is It Time to Tune in to Sirius XM?

From streaming online, to iTunes, to good ole terrestrial radio, there are a lot of ways to listen to music today.

But, believe it or not, there is one area that still has yet to be exploited. It's what you listen to as you tool down the road.

Major players such as Google, Apple and Pandora are making inroads into this area, but the truth is that Sirius XM Radio (NASDAQ: SIRI) has a "built in" head start.

Its equipment is already installed in approximately 52 million vehicles. Better yet, Sirius expects that number to almost double, reaching 100 million vehicles within the next five years.

That doesn't necessarily sound like "dead money" to me – despite the chorus of analysts who had written the company off.

In fact, Sirius has seen its share price rise from $0.10 (that's right, 10 cents) in early 2009 to a five-year high of over $3.50. That's a gain of 3,400%.

The question now is whether it's too late for investors to tune in….