By Garrett Baldwin, Executive Producer, Money Morning - • Print | Email
The Dow Jones Industrial Average is sinking further after the Trump administration announced plans to inject roughly $1 trillion into the U.S. economy to help consumers.
The Dow is now off 28% from its record high. Should another 7% drop in the S&P 500 come this morning, it would trigger the first level of three circuit breakers.
By Garrett Baldwin, Executive Producer, Money Morning - • Print | Email
This week, the coronavirus has triggered two circuit breakers to halt trading. The viral panic over coronavirus has turned into a fiscal pandemic. The Dow is now off more than 27.6% from its all-time high in December. The index hasn't been this low since Summer 2017.
Panic is only increasing as the COVID-19 problem gets more serious. Many investors feel they're stuck riding this with no answer.
But that is not the case. If you're sitting on any cash right now, many U.S. companies are trading at very attractive valuations. This would be the time to buy some top dividend stocks to hold over the long term.
By Dr. Kent Moors, Global Energy Strategist, Oil & Energy Investor • @KentMoors_OEI - • Print | Email
The meeting in Vienna last week among OPEC members and their non-OPEC allies, OPEC plus, was intended to help nations reach an agreement on production cuts to extend past the current end date of April 1.
The concern is the spread of the coronavirus will drive down the price further as global economic demand slows. But Russia was not on board. And the Saudis' response to Russia's stance was to cut its price to Chinese customers, and plan to increase production by as much as 2 million barrels per day. That fallout then led to oil's massive 30% nosedive. And on Monday, oil's decline was literal fuel to the stock market fire, causing it to fall 7.79% in one day. Since Monday's losses, both oil and the stock market have recovered a bit. Oil is sitting at around $33 a barrel and stocks rallied at open.
By Money Morning Staff Reports, Money Morning - • Print | Email
Oil prices were already down 50% year to date on Friday. They plunged another 25% yesterday.
Fears of the coronavirus spreading means that more people are staying home.
And as fewer people travel, there's less demand for oil – which causes the price to fall.
One way the leading oil-producing countries fight falling demand is by slowing production.
If they're able to decrease the supply of oil as much as the demand for it, the price should stabilize.
That's exactly why OPEC and Russia met last week. They planned to make the biggest oil production cut since 2008.
Unfortunately, the two sides couldn't come to an agreement.
By Garrett Baldwin, Executive Producer, Money Morning - • Print | Email
The Dow Jones Industrial Average dropped over 2,000 out the gate as OPEC is now in an all-out price war.
The world's largest oil cartel could not agree on production cuts in response to the coronavirus.
Futures contracts at CME hit "limit down" over the weekend and halted trading for a short period. More on this story below.
By Money Morning Staff Reports, Money Morning - • Print | Email
When Joe Montana retired and launched his investment fund, he made sure to surround himself with a team of superstars.
They're out there finding deals and vetting companies while he's meeting with the founders.
They are all working toward a common goal as one.
It's just like the formidable team that's been put together at The National Institute for Cannabis Investors.
By Money Morning Staff Reports, Money Morning - • Print | Email
No matter on which side of the political aisle you sit, election years are a great opportunity for investors.
We here at Money Morning are not concerned with who is in the White House. Our only mission is to help readers make money no matter the political, economic, or social landscape.
Whatever the reality, we want to have a plan to exploit it.
And Bernie Sanders' marijuana legalization plan could blow the lid off the industry...
By The Institute, Money Morning - • Print | Email
It's no secret that the cannabis markets in the United States and Canada are the largest in the world. Some estimates value the combined market at $35 billion in just a few short years.
While we're excited about the profit potential coming out of these regions, there's a faster-growing market that deserves investor attention right now…
In just a couple of years, Latin America has stepped out from the shadows. Consumer demand is skyrocketing, labor is dirt cheap, and the geography offers the perfect growing conditions – an ideal combination for huge margins.
Revenue in the region is starting to ramp up as well. Legal sales in 2018 were around $125 million, but analysts expect this to explode 100-fold to $12.7 billion by 2028.
And we're seeing new evidence to support these estimates every day. Large cultivation operations are popping up. Deals are being signed to export Latin American cannabis to Europe and Canada.
But most importantly, the opportunities in Latin America are starting to capture the attention of the world's largest cannabis firms. Newer companies are even getting their operations up and running in these countries.
This, in turn, gives cannabis investors nearly endless opportunities in yet another growing cannabis market – and a chance to get in on the two firms that have a leg up on all the rest… Full Story
By David Zeiler, Associate Editor, Money Morning • @DavidGZeiler - • Print | Email
The stock market is getting slammed by worries about the impact of the coronavirus, with Apple stock among the hardest-hit names.
Apple is a prime example of a major U.S. multinational company with deep ties to China that makes it particularly vulnerable in a crisis like this.
And the longer the coronavirus outbreak paralyzes the Chinese economic machine, the worse the bite out of earnings – not just for Apple, but for thousands of U.S. companies.
It's actually much worse than what the "experts" are telling you...
By Money Morning Staff Reports, Money Morning - • Print | Email
Earnings season has come and gone. And as usual, some stocks disappointed while others surprised to the upside.
The company we're bringing you today beat the average Wall Street analysts' estimates by 36% when it last reported on Feb. 11.
But somehow the stock is down 10% to date.
We think Wall Street has presented a great opportunity to own a wonderful business at a descent discount. You don't want to wait until it's back up 10% before buying.
