Archives for June 2018

June 2018 - Page 4 of 18 - Money Morning - Only the News You Can Profit From

Dow Jones Today Remains Under Pressure After 328-Point Plunge

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The Dow Jones today traded flat in premarket hours as investors continued to mull over the Trump administration's conflicting messages on trade policy.

On Monday, Treasury Secretary Steven Mnuchin stated that an article in the Wall Street Journal reporting the administration's intensions to curb Chinese investment in American technology companies was incorrect and should not be taken seriously despite the President's claims to the contrary.

These Billionaire CEOs Are Still Pushing to "Cancel" Earnings Season

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Earlier this month, The Wall Street Journal ran an opinion, co-authored by Jamie Dimon, chair and CEO of JPMorgan Chase & Co., and Warren Buffett, chair of Berkshire Hathaway Inc., titled "Short-Termism Is Harming the Economy."

It made quite a splash, with lots of pundits opining that maybe these guys were onto something.

The truth is Buffett and Dimon's opinion is without merit. Worse, it's dangerous.

The "short-termism" they claim is harming the economy manifests itself in earnings guidance from managers of public companies.

As if CEOs' and CFOs' earnings guidance impacts America's $19.4 trillion economy. It doesn't.

The authors state, "Today, together with Business Roundtable, an association of nearly 200 chief executive officers from major U.S. companies, we are encouraging all public companies to consider moving away from providing quarterly earnings-per-share guidance. In our experience, quarterly earnings guidance often leads to an unhealthy focus on short-term profits at the expense of long-term strategy, growth, and sustainability."

It's a bait-and-switch – they want you to "watch the birdie."

Because what the authors really want to do away with isn't just earnings guidance… It's earnings reporting.

That's not my opinion: That's exactly what they've been advocating.

And it's not even close to being in investors' (which is to say our) best interests...

The 10 Top Penny Stocks This Week and One Pick That Could Soar 471%

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When you invest in Penny stocks, you have the opportunity to own stocks with spectacular growth potential with very little initial investment.

In fact, this is a great strategy for smart investors looking for great returns. Just look at Renren Inc., last week's top performing penny stock.

Last week, Renren stock jumped over 100% after it revealed that Morgan Stanley Inc. holds a significant stake in the Chinese social networking service.