U.S. markets have been propped up by the Federal Reserve since the 2008 financial crisis.
Eventually, interest rates will rise.
And when they do, Americans could face a huge stock market correction.
The Fed is just one hazard...
We know a Fed rate hike is coming soon.
What we don't know is how the hike will impact U.S. markets. Will the move rock traders, or will it be "business as usual"?
In August, Money Morning Capital Wave Strategist Shah Gilani answered the question, "When will the Fed raise rates?"
On Aug. 24 -- "Black Monday" -the Dow Jones Industrial Average fell 1,089 points minutes after market open due to a stock market crash in China. The DJIA ultimately lost 586 points that day. Black Monday changed the Fed's outlook over a rate hike in 2015.
U.S. Federal Reserve policy has been around since the central bank was established on Dec. 23, 1913. Its supposed purpose is to ensure the stability of the financial system...
But have Fed policies helped the U.S. economy -- or have they harmed it?
Many investors would like to be able to get a piece of the success that activist investors like Carl Icahn and Bill Ackman enjoy.
Over the past decade, activist-run funds have returned nearly 267% - more than double that of the Standard & Poor's 500 index.
In the following video, Money Morning Capital Wave Strategist Shah Gilani explains how activist investors like Carl Icahn operate -- and whether investors should piggyback on their moves...
Company stock buybacks sound innocent enough: a stock buyback occurs when a company repurchases its own shares.
But the effect is insidious. Buybacks inflate paper profits without producing anything of tangible value -- which means earnings will be inflated and misleading to investors.
That's why Money Morning Capital Wave Strategist Shah Gilani accuses buybacks of being a large part of the "financial engineering" going on in U.S. markets right now.
The Puerto Rico debt crisis kicked into full gear this year when it committed the largest municipal debt default in U.S. history...
The island territory revealed it made only $628,000 (1%) of a $58 million debt-service payment that was due Aug. 1, 2015.
In total, Puerto Rico owes $72 billion.
Fed interest rates are about to increase for the first time in nine years. U.S. Federal Reserve Chairwoman Janet Yellen had hinted for months that the central bank finally was ready to raise interest rates above zero for the first time since late 2008.
Markets will react as new rates are decided, Money Morning Capital Wave Strategist Shah Gilani explained on Aug. 7. "Investors could panic. Because we're so close to all-time highs, any dip could turn into a sell-off as investors rush to book their paper profits."
Watch the following video for Gilani's prediction on the timing of a rate hike, plus get his profit-taking strategy than any investor can use to cash in when Fed interest rates climb...
Keith Fitz-Gerald was on CNBC's "Word on the Street" discussing the best investments if the Fed raises interest rates.
A recent Goldman Sachs report calls into question Keith's suggestion that Apple will see little impact from a rate increase.
A U.S. stock market sell-off in August saw the Dow Jones Industrial Average plunge 10.36% (1,810 points) in 10 days. On Aug. 24 alone, the DJIA fell a whopping 1,000 points before recovering.
The truth is that U.S. markets face even more headwinds the rest of 2015. For example, a Federal Reserve rate hike, a continual slowdown of China's economic growth, and huge, unchecked debts festering in Europe, just to name a few.
Watch to video to see what signals will tell Money Morning Capital Wave Strategist Shah Gilani a stock market sell-off is imminent. Plus, Shah explains his strategy for how to both protect -- and cash in -- on a stock market sell-off:
Alibaba stock was dealt another huge blow this weekend when Barron's wrote a report saying the Chinese e-commerce company's stock could drop another 50%.
Alibaba Group Holding Ltd. (NYSE: BABA) was down another 3.2% in afternoon trading following the report. Alibaba stock is now down nearly 40% this year to $62.50.
An interest rate increase is the biggest topic for Fed officials during this week's two-day FOMC meeting on Wednesday and Thursday.
While many economists believe the Federal Reserve should hold off on raising interest rates this month, Money Morning Chief Investment Strategist Keith Fitz-Gerald says investors shouldn't assume the Fed will make the smartest decision.
Money Morning Chief Investment Strategist Keith Fitz-Gerald talked U.S. Federal Reserve policy with "Varney & Co." host Stuart Varney on FOX Business Monday morning.
The Dow Jones Industrial Average has been exceptionally volatile this week.
The volatility has investors wondering: Is this stock market correction over?
The Dow Jones Industrial Average today (Monday, Aug. 24) plummeted a whopping 1,000 points at market open. Markets were able to recover somewhat, but still finished deep in negative territory. The Dow today closed down 588.47 points (-3.58%); the S&P 500 fell 77.68 points (-3.94%); and the Nasdaq lost 179.79 points (-3.82%).
Today's stock market rout followed last week's unenviable record as the worst for stocks in four years...
Money Morning Technical Trading Specialist D.R. Barton appeared on CNBC World Sunday night, where he predicted today's DJIA bloodbath.
What an excellent time to go shopping for high-quality dividend-paying stocks...
While market low times are great for dividends, some stocks should be sold.
On Aug. 19, Money Morning Capital Wave Strategist Shah Gilani called China's stock market "a canary in the coal mine" and warned of a crash in the immediate future.
Last night, as markets in Asia plunged even further, FOX Business' Stuart Varney of "Varney & Co." gave Shah credit for predicting the dive. Then he asked: What's next for the stock market?
China's stock market fell more than 6% on Tuesday, and investors around the world are worried about a full stock market crash in China.
The impact is being felt in the United States with the Dow Jones down more than 3% in the last month.
Is Apple stock a buy right now?
AAPL stock is down about 12% since hitting $132.97 on July 20. Analysts have voiced concerns that the new iPhone 6s, expected to be revealed Sept. 9, won't grow sales as well as its predecessor.
But does all this mean investors should stay away, or is Apple stock a buy at a bargain price?
Investors who know how to choose the best biotech stocks to buy can cash in. In the last twelve months alone, the Nasdaq Biotechnology Index ETF has outperformed the broader Nasdaq Composite by 25.5%. And the SPDR S&P Biotech ETF has outperformed the S&P 500 almost sevenfold.
Money Morning Technical Trading Specialist D.R. Barton appeared on CNBC yesterday afternoon, discussing Shake Shack Inc.'s (NYSE: SHAK) strong earnings numbers.
Barton offered some much-needed perspective on the burger chain's success, detailing how the company's underlying fundamentals stack up against competitors like Chipotle Mexican Grill Inc. (NYSE: CMG).
In his third Stock Talks video, Money Morning Executive Editor, William Patalon, III, shares the unique story behind Boeing stock.
The Boeing Co. has a proven track record of bouncing back from scandals - and making a whole lot of money for investors.