
George Soros offered a grim prediction for the markets yesterday, likening this environment to 2008.
This time, however, he blames China's over-indebtedness as the primary factor responsible for global market woes.
By Money Morning Staff Reports, Money Morning -
George Soros offered a grim prediction for the markets yesterday, likening this environment to 2008.
This time, however, he blames China's over-indebtedness as the primary factor responsible for global market woes.
Here's the Hungarian-born hedge fund manager's full warning...
By Money Morning Staff Reports, Money Morning -
George Soros offered a grim prediction for the markets yesterday, likening this environment to 2008.
This time, however, he blames China's over-indebtedness as the primary factor responsible for global market woes.
Here's the Hungarian-born hedge fund manager's full warning...
By Jim Bach, Associate Editor, Money Morning • @JimBach22 -
The Federal Open Market Committee (FOMC) meeting today (Wednesday) continued to fuel discussions about when the U.S. Federal Reserve is going to finally raise interest rates.
After all, labor market conditions have cleared up - at least by the Fed's metrics. The economy added 295,000 jobs in February, and the unemployment rate sits at an impressive 5.5%. But the other side of the Fed's dual mandate paints a grimmer picture. The U.S. is in deflation.
The real question is how to invest for deflation. Here's how...
By Jim Bach, Associate Editor, Money Morning • @JimBach22 -
The Federal Open Market Committee (FOMC) minutes today did little to quell confusion over when the U.S. Federal Reserve will raise interest rates.
The expectation is that the Fed will raise rates sometime in the summer. But the direction of Fed monetary policy has become more complicated than simply pegging a rate increase to what has become an arbitrary consensus estimate.
That's because there are so many potential policy directions, and Fed ambiguity makes nothing certain.
Here's how you should read today's latest round of Fed uncertainty.
By Jim Bach, Associate Editor, Money Morning • @JimBach22 -
Deflation in 2015 seems to be upon us. And while falling prices might seem like a good thing, deflation can wreak havoc on the economy.
In a deflationary period, prices will drop, corporate profits will dry up, wages will shrink, and all of this will reinforce the conditions of recessions.
These four charts show that the U.S. has a real deflation problem now...
By Shah Gilani, Chief Investment Strategist, Money Morning • @ShahGilani_TW -
So far today U.S. stocks aren't celebrating the 5-year anniversary of the bull market, which technically speaking began on March 9, 2009.
Will they rally by the end of the day, in a formal salute to moving onwards and upwards?
By Shah Gilani, Chief Investment Strategist, Money Morning • @ShahGilani_TW -
Be careful out there.
The stock market rally that started in March 2009... The one that's taken us out of the Great Recession and to new highs... The rally that's driving sentiment indicators of people who benefit from rising financial assets directly, peripherally, or because they hope all boats rise with the market...
The rally has never been loved.
The thing is, equity markets don't need love to go twice as high from here, or three times as high in the next 20 years. If they get what else they need, they'll keep going higher.
We could be on the verge of a generational bull market. That's if deficit-plagued, interconnected global sovereigns deleverage and, at the same time, re-capitalize middle and rising classes by making "recourse-sound" capital available and simultaneously reconstituting entirely the notion of taxation.
Too bad the likelihood of that happening is somewhere between slim and none.
That's one reason why I'm an increasingly reluctant bull.
But there's another reason too.
And it has to do with deflation...
By David Zeiler, Associate Editor, Money Morning • @DavidGZeiler -
When you pump massive amounts of money into an economy, as the U.S. Federal Reserve has done with QE1 through QE3, you're supposed to get some measure of inflation.
And yet despite some $2.3 trillion of quantitative easing since 2008, the core inflation rate has actually fallen over the past year from about 2.25% to 1.7% as of May.
It defies both common sense and monetary theory - or at least until you find out where all that QE3 money ended up.
To continue reading, please click here...
By Guest Editorial, Money Morning -
The Library of Economics and Liberty defines the Law of Unintended Consequences as such: Actions of people-and especially of government-always have effects that are unanticipated or unintended.
Our current economic state is a perfect example. Central banks have flooded the economies, and yet the world still inches toward deflation. But for savvy investors looking at the right stats, this is an opportunity to buy one sector in particular.
Here's a great bargain and why it's a great buy now...
By Don Miller, Contributing Writer, Money Morning -
By Kerri Shannon, Associate Editor, Money Morning -
By Shah Gilani, Chief Investment Strategist, Money Morning • @ShahGilani_TW -
To better understand the rising exchange-rate risks facing U.S. investors, please read on...
By Shah Gilani, Chief Investment Strategist, Money Morning • @ShahGilani_TW -
To understand how the currency markets are determining the fate of our economy, please read on...
By Kerri Shannon, Associate Editor, Money Morning -
By Jason Simpkins, Managing Editor, Money Morning -
By Martin Hutchinson, Global Investing Specialist, Money Morning -