With U.S. markets tapped out, our Tim Melvin is going to show you how to look across the Pacific Ocean to find 2018's high returns…
Category
Global Markets
There's a European Housing Bubble Threatening to Burn Down U.S. Stocks
I spent several years of my career in real estate, so I've seen a bubble or two. I've watched them inflate, I've stepped out of the way, and I've watched them explode into carnage.
It's never pretty.
Right now, with so much attention on global growth, tariffs, tax reform, and the stock market, no one is really paying attention to a bubble – a dangerous one – forming up right now in Europe.
Why care about Europe?
Well, Europe matters to us – a lot. It matters because a steady flow of buy orders from European dealers, banks, and investors is required to keep U.S. stocks and bonds inflated. U.S. markets would collapse without European buying.
I'm going to show you some charts in a minute – some of the scariest charts I've seen since 2008, really.
Why Now Is the Perfect Time for Central Bankers to Pull Something Stupid
The media didn't pay very close attention to the World Economic Forum in Davos, Switzerland, last week. Aside from coverage of the copious amounts of snow and the quick left spin on U.S. President Donald Trump's reception by the global elite, no one was really watching the gathering of billionaires and politicians there in the Alps.
They should have. The attendees are the One Percent and the people who worked to make 'em (and keep 'em) that way. These folks can money-whip the world in any direction they want it to go.
I'm not saying it's right; I'm not saying it's fair… but it's the reality. No investor can afford to go unaware of what these folks are doing.
I mean, I'm a skeptic, and not a believer in those weird "Illuminati" or "Trilateral Commission" conspiracy theories, but the Davos crowd comes pretty close.
They can raise and destroy markets, create or eliminate jobs – entire industries, even – and make or break just about every politician in the world.
The headlines from this gathering of gatherings, what few there were, were almost uniformly bright. Trump declared America "open for business," and the sentiment was well-received by the global honchos listening in.
And that's what's got me worried...
World Financial Markets Still Impacted By Dovish ECB Meeting
World stock markets were mostly firmer overnight, on generally upbeat corporate earnings that were reported late this week. U.S. stock indexes are pointed toward firmer openings when the New York day session begins.
Gold prices are slightly lower and hit a three-week low overnight, amid a lack of risk aversion in the marketplace. Gold and silver bears have downside technical momentum.
Many World Markets On Hold Ahead of ECB Meeting Results
World stock markets were mixed in quieter trading overnight. U.S. stock indexes are pointed toward narrowly mixed openings when the New York day session begins. Stock markets and other financial markets are on hold as traders and investors are awaiting the key markets event of the week: Thursday's European Central Bank regular monetary policy meeting. Many expect the ECB to announce more details on the winding down of its big bond-buying program.
The Euro currency could see volatile price action in the immediate aftermath of the ECB meeting, including ECB Chief Mario Draghi's press conference.
Global Equity Markets See Some Pressure From Downbeat Corporate Earnings
World stock markets were mostly weaker in overnight trading, pressured a bit by some downbeat corporate earnings reports. Japan's Nikkei stock index saw its record-setting 16-session winning streak halted Wednesday. U.S. stock indexes are pointed toward modestly lower openings when the New York day session begins.
Gold and silver prices are lower and hit a three-week low overnight. The bears have downside technical momentum in these two precious metals markets.
Global Equities Mixed As Geopolitical Front Remains Quieter
World stock markets were mixed overnight. U.S. stock indexes are pointed toward firmer openings when the New York day session begins, after a rare sell off that occurred on Monday. Global equities traders are focused on corporate earnings reports this week.
Gold prices are slightly lower in pre-U.S.-session trading. The bears have some technical momentum on their side early this week. There have not been any flare-ups on the geopolitical front the past couple weeks, and that is also working against the safe-haven metal.
World Stock Markets Lifted Following Japanese Elections
World stock markets were mostly higher overnight. U.S. stock indexes are also pointed toward firmer openings and new record highs when the New York day session begins.
Gold prices are lower in pre-U.S.-session trading, amid the better risk appetite seen in the marketplace in recent sessions. A firmer U.S. dollar indexx to start the trading week is also bearish for the gold and silver markets.
Global Stock Markets Lifted As U.S. Senate Passes Tax-Cut Blueprint
World stock markets were mostly higher overnight. U.S. stock indexes are also pointed toward firmer openings when the New York day session begins. Global equities were boosted overnight in part on news the U.S. Senate passed a tax-reform blueprint package late Thursday. If the so-called blueprint becomes law it would likely help to stimulate the U.S. economy via lower tax rates.
Gold prices are lower in pre-U.S.-session trading amid the keener risk appetite in the marketplace Friday, and on a higher U.S. dollar index. The greenback was also supported on the U.S. Senate passage of the tax-reform blueprint.
Global Stocks Down On 30th Anniversary of "Black Monday"
World stock markets were mostly lower overnight. U.S. stock indexes are pointed toward solidly lower openings when the New York day session begins.The bourses are seeing some profit taking after recently hitting record or multi-year highs. Today is the 30th anniversary of the "Black Monday" record-setting crash of the U.S. stock market.
Gold and silver prices are firmer in pre-U.S.-session trading, on a bit of safe-haven demand amid the drop in world stock markets today.