DON

Midcap Dividend Wisdomtree

Washington

The Trump Tax Cut Is in Full Swing - but These Debts Don't Look Good

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Tax collections fell in June as the Trump tax cut continued to bite into federal revenues. The fall in tax collections, combined with the rise in spending stemming from the congressional budget-busting agreement signed by Trump, is causing an increase in the government's issuance of Treasury bills, notes, and bonds, month in and month out.

That increase in supply puts downward pressure on bond prices and increases in interest rates and bond yields. It isn't obvious in the bond market at the moment, since the 10-year yield has traded in a tight range around the 2.80s. But short-term T-bill rates are soaring, with the 13-week bill hitting 2% last week.

Meanwhile, increased debt-financed deficits have kept the U.S. economy running hot, but there are hints of slowing in current data. That's not supposed to happen. Tax cuts and deficit spending are supposed to stimulate spending.

Read on for my unvarnished, unmanipulated, real-time view of the state of the U.S. economy...

Trading Strategies

Don't Fall for These Buyback Schemes - This Is Where the Real Profits Are

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When it comes to corporate tax cuts and repatriated cash from overseas, a lot has been written about how much will go into share buybacks. But not enough has been said about dividend growth.

Investors need to look past buyback schemes and look to which companies are increasing their dividends from tax cuts and repatriation – especially investors who like a steady income.

Dividend growers will be the big, long-term winners in the tax cut and repatriation game.

Here's why dividend growth is a hugely important, yet consistently overlooked, factor in profiting in the best and easiest way this year...

Trading Strategies

Here's My Simple Solution to Trading Volatile Markets

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Volatile markets are a problem, but only if you don't know how to trade them.

Unless you have a plan that you'll actually execute when volatility kicks into high gear, you're going to struggle – and you may do something you'll regret.

While there are lots of ways to trade volatility itself, some of which I told you about a few weeks ago, there are only a few ways to play volatile markets.

Many investors are stricken with panic when it comes to the thought of losing stocks they love; I get it, it can be scary. But you don't need to panic; you can own great stocks at much lower prices, and you can buy more of them.

Here are the three key things to remember when trading volatile markets...

Bonds

The Treasury Knows I'm Watching Them and They Don't Like It

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Today, I want to show you a very intriguing little piece of information. The Treasury knows that I'm watching their machinations, and they don't like it one bit.

If you'll recall, the TBAC (Treasury Borrowing Advisory Committee) is the shadowy "power behind the throne" that advises the Treasury on debt issuance. The Treasury very rarely deviates from their recommendations.

And their latest report was... interesting...

Trading Strategies

What You Don't Know About Volatility Can Hurt You

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The wild swings we see in the stock market aren't the result of volatility.

Volatility results from the wild swings, not the other way around.

One thing investors don't understand is that the VIX (the CBOE Volatility Index, sometimes called the market's "fear gauge") isn't predictive. It isn't a leading indicator; it isn't telling us what the future holds. It's misleading.

If you didn't know that, chances are you may not understand what's really causing wild market swings.

Here's your quick fix on the VIX and how to avoid falling into the fear gauge's trap...

Dow Jones

Dow 60K: Still On Track (Even Though Most People Still Don't Believe It)

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Last June I made an observation that the Dow Jones Industrial Average would hit 60,000 at a time when it was trading at only 21,171.57 – a seemingly incomprehensible 183.4% increase.

Yet here we are.

The Dow closed at 26,392.79 Thursday, a new record high in a string of an unprecedented 10 records recorded in 2018 already.

And 60,000 still seems incomprehensible to most investors.

Is it?

Not if you do the math.

Hitting 60,000 by 2027 – 10 years on – is not only feasible, but highly likely. In fact, getting there from here requires a compound return of just 9.56% over the next nine years.

All the ingredients are there...

Technology

If You Missed Out on These 2017 Gains, Don't Make the Same Mistake in 2018

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I sure hope you're not like Levi L. Or Michelle M. Or even Sean G., for that matter.

All three of these young people sat out one of the greatest bull markets for stocks in history. (At least that's what they told The Wall Street Journal last week.)

All three told the Journal they worried about losing money.

That outrages me.

If these kids had started investing in an S&P 500-based fund since the launch of Strategic Tech Investor on March 26, 2013, they'd be sitting on 70.1% gains.

That's not bad.

And they could have done a lot better if they were 2017 members of my premium trading service, Radical Technology Profits. There we regularly beat the market by buying cutting-edge tech winners that I've personally selected.

Let's take a moment today to take a look at some of the big wins Rad Tech members made last year.

You see, these big wins are just a taste of the home runs we'll be hitting in 2018.

And I want you to know how to join us...