Archives for September 2016

September 2016 - Money Morning - Only the News You Can Profit From

How to Profit When Yellen Raises Rates (Before Dec. 31)

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When Janet Yellen said there was "no fixed timetable" for raising interest rates last week, the markets actually dipped.

It's anyone's guess as to why a market that owes most of its gains to the central bank's low interest rates would dip on news that low interest rates would continue.

It doesn't really matter.

Because I think a rate hike of some kind will be in effect by Dec. 31. They've been under 1% since 2008, and at least three of the FOMC's voting members oppose the decision to hold rates steady.

It's likely to be another token 25 basis points, and the rates might even go up just so they can go back down again, but that doesn't matter, either – I think traders have to prepare for a "rate hike event" and some choppy markets before the end of the quarter.

So the best thing we can do now is get into position to protect our money… and make a ton more of it.

Check this out...

Dow Jones Industrial Average Today Falls as Deutsche Bank's Stability Rattles Investors

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The Dow Jones Industrial Average today is down because German officials may need to provide a bailout for Deutsche Bank.

Hedge funds are reducing their exposure to DB stock.

But that's not the only story you need to know- here's all the important stock market information to get you ready for Sept. 30...

Merkel Says "Nein" to Deutsche Bank Bailout - Here's How to Prepare for What's Next

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The U.S. Department of Justice announced it's seeking a record $14 billion penalty against Deutsche Bank in relation to mortgage securities fraud in the run up to the global financial crisis that's roiled markets since 2007.

Another naughty bank, another big fine. Regulators quietly charge banks and financial institutions with rules and policy violations all the time. Most of them are settled just as quietly after a bunch of legal wrangling, without causing so much as a blip in the headlines.

So what's the big deal?

Well, Deutsche Bank is facing a $14 billion fine at a time when the bank has "litigation reserves" of just €5.5 billion ($6.17 billion). It simply doesn't have the cash on hand to pay just the penalties sought by U.S. regulators as it stands today.

What's more, that $14 billion fine stems from just one of the more than 7,000 ongoing legal cases, according to The Guardian.

These problems are bad, but they pale in comparison to the problem no one's talking about...

The Next Stock Market Crash Will Be Caused by One Dangerous Policy

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A stock market crash is heading straight for us because of a dangerous policy known as negative interest rates.

But this policy is largely ignored because only the central banks in Europe and Japan are implanting it.

U.S. investors will be taken by surprise when this dangerous policy wipes out their wealth as the global markets start to crash. But there's one simple way to make money during a financial crisis...