If you’ve been in the markets for a while, this will seem reminiscent of 2001, when Alan Greenspan’s Federal Reserve cut interest rates from 6.5% to 2% over the course of one year.At the time, the stock market collapsed.This is what Powell needs to avoid..but possibly won’t..
- This Bear Market Rally Could Prompt a 2001-Style Crash
- Trump and Clinton Use the U.S. Economy as Attack Ammunition
- The Cost of Zika
- Higher Minimum Wages Could Crater Your Portfolio - Unless You Own Companies Like This One
- How to Use the U.S. Economy to Pinpoint Your Next Trade
- The Two "Bandits" Ripping Off Investors This Week
- Tech Stocks Poised to Rise on This Economic News
- The Best Inverse Play, as the Market Goes "Back to the Future"
- It's a Great Time to Buy Tech Stocks... and These Numbers Prove It
- U.S. Dollar Drops as Global Stock Markets Decline
- U.S. Financial War with Iran to Trigger Dollar Collapse
- BREAKING: U.S. Debt to China Will Destroy the U.S. Dollar
- The Wealth Gap in America Has Reached Historic Levels
- U.S. Company Layoffs in 2015 Up 13% Year Over Year
- Catalyst #3: China Gold Reserves Threaten the U.S. Dollar
- The "Unnatural Disaster" Ravaging Global Markets
Both Trump and Clinton are making the U.S. economy ammunition for their latest attacks on each other.
California's new, state-mandated $15 minimum wage sounds appealing, but it could have startling economic ramifications.
Last week the U.S. Federal Reserve decided against raising interest rates four times this year, opting for just two hikes instead.
Some analysts point to this recent change of mind as proof of an impending recession. Others state there's no strong possibility of one.
But I'm not going to wait to find before I make my trading decisions. And you shouldn't either.
Just because central bankers want to lead investors over the cliff like they did in 2008 doesn't mean that people should follow them.
Unfortunately, that's exactly what investors did last week. In a year that has seen many foolish rallies, Friday's massive rally in stocks - coming just a day after a massive sell-off - was the most foolish of all.
As we've talked about in several recent conversations, I live by the credo "always have some money invested in tech stocks" - no matter how much "noise" you hear out of Wall Street and Washington.
Otherwise, you'll miss opportunities to buy winning stocks when they are "on sale." Worse, you'll miss taking a big profit from the rebound.
Markets produced their strongest returns in four years in October - ignoring a steady stream of bad economic news and lousy corporate earnings.
The Dow Jones Industrial Average soared 8.5% while the S&P 500 jumped 8% for the month. The Nasdaq Composite Index was driven higher by strong big tech earnings. It skyrocketed by 9.38% and is now back above 5000.
Last week's gains were muted with the Dow rising 0.1% or 16 points and the S&P 500 rising 0.2% or 4 points, so perhaps the jubilation is ebbing. The Nasdaq Composite Index gained 0.4% on the week.
Of course, some strategists are calling for the rally to continue and for the market to gain another 10-15% by year-end. All I can say is that if they want to send over what they are drinking, I will take a sip. But I will not reach my hand into my pocket and follow them into the market...
On Thursday, an important bit of news came out that you may have missed: The U.S. Commerce Department sharply revised upward its second-quarter GDP estimate.
That revised number proves that, despite recent market turbulence, the U.S. economy remains on solid ground.
U.S. Dollar Drops Today: The U.S. dollar fell against the yen and euro yesterday, after global markets had another down day.
The Dow Jones Industrial Average was down 114 points Monday and another 400 points early Tuesday. The Stoxx Europe 600 was down 0.4% Monday, while Germany's DAX slipped 1%.
The U.S. is waging a dangerous financial war with Iran right now.
And if it's not managed carefully, it could embolden the dollar's enemies to mount a counterattack on the U.S. currency.
The amount of U.S. debt owned by foreign nations has never been higher.
Since Sept. 30, 2014, the U.S. Treasury has accumulated $17.8 trillion worth of debt. That’s roughly 103% of the total U.S. GDP in 2014.
The wealth gap in the United States and other developed countries hasn't been this big since the 1980s, according to a new report from the Organization of Economic Cooperation and Development (OECD).
In the 1980s, the top 10% of earners in the developed world made seven times the income of the bottom 10%. But the wealth gap has expanded since. By 2013, the top 10% had 9.6 times the income of the bottom 10%. That was across 34 nations.
U.S. company layoffs are up 13% in 2015 from the year before.
U.S.-based employers announced a whopping 41,034 job cuts last month.
China gold reserves have been kept secret – but we know China is stockpiling faster than ever. And with enough of the yellow metal, China gold reserves could actually harm the U.S. dollar.