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This Policy Will Beat Down U.S. Profits

Money Morning Chief Investment Strategist Keith Fitz-Gerald believes the U.S. Treasury's new crackdown on tax inversions will be bad for U.S. corporate profits, especially in the midst of an earnings recession. He explained his position on CNBC World Tuesday evening…

"This is absolutely the last thing they need because the playing field is hardly level," Fitz-Gerald said. "You want to support U.S. corporations, investors need to see them be profitable, and all of a sudden you have President Obama and Congress standing up and saying 'hey, this is not good.'"

Fitz-Gerald offered some guidance for investors on how companies will deal with the fallout after mergers – like the $160 billion deal between Pfizer Inc. (NYSE: PFE) and Allergan Plc. (NYSE: AGN) that just fell through – collapse as a result of the new rules.

Watch it here…



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The Facts on Tax Inversions: Treasury Secretary Jack Lew has said that only legislation can completely stop companies from seeking to leave the country. But many lawmakers argue this is just Washington blaming Wall Street for its mistakes and punishing corporations in the process. Find the facts, and what this all means for investors, here…

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