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  • Finance 0

    EU To Demand Greater Tax Transparency From Major Corporations

    The phrase that leaps to mind when one hears that the EU is to demand that major corporations must become transparent about their tax affairs is “poacher turns gamekeeper”. The EC is already engaged in examining whether so-called “sweetheart” deals between some EU member states (including Luxembourg, Holland and Ireland) and corporations trading within the EU breach EU rules. Leaders of the nations involved, including former Luxembourg PM and current EC President Jean-Claud Juncker, have been quick to point out that they have done nothing illegal, but then neither have the corporations. Tax avoidance is a perfectly legal, and, if we a...
    On April 12, 2016 / By
  • Finance 0

    Time To Sell Low Yielding Dividend Stocks?

    As dividend growth investors we seek to continually add to our income producing portfolios in an effort to generate an ever increasing passive income stream. Central to this occurring is finding the perfect balance of high enough yield that is sustainable versus the lower yielding dividend stocks that exist. While yield cannot be the only focus a dividend investor pays attention to, it is the butter to our bread as all distributions come from that yield. But what happens when a portfolio starts to contain an increasing number of lower yielding or no yielding stocks as a result of spin offs, mergers or buyouts? This is the question I’d like ...
    On April 12, 2016 / By
  • Finance 0

    Former IMF Chief Economist Admits Japan’s “Endgame” Scenario Is Now In Play

    Back in October 2014, just after the BOJ drastically expanded its QE operation, we warned that the biggest risk facing the BOJ (and the ECB, and the Fed, and all other central banks actively soaking up securities from the open market) was a lack of monetizable supply. We cited Takuji Okubo, chief economist at Japan Macro Advisors in Tokyo, who said that at the scale of its current debt monetization, the BOJ could end up owning half of the JGB market by as early as in 2018. He added that “The BOJ is basically declaring that Japan will need to fix its long-term problems by 2018, or risk becoming a failed nation.” Which is why 17 mo...
    On April 12, 2016 / By
  • Finance 0

    UK Inflation Beats With 0.5% – GBP/USD Rises

    Better than expected inflation figures in Britain: headline inflation is up to 0.5% y/y with a monthly rise of 0.4%, both better than expected. In addition, core inflation is up to a level of 1.5%, and that’s already 0.2% better than the 1.3% that had been anticipated. GBP/USD is rising above 1.43, extending the gains. These are the highest inflation reads since December 2015, a 15 month high. The early Easter holiday is pinpointed as the reason for this positive surprise. The early shopping season impact is reflected in a nice rise in the Retail Price Index (RPI) to 1.6%. Is UK inflation gaining real momentum? Or is it just an Easter bunny...
    On April 12, 2016 / By
  • Finance 0

    Rising U.K. Consumer Price Index (CPI) Risks Larger GBP/USD Rebound

    – Headline U.K. Consumer Price Index (CPI) to Increase for Second Consecutive Month. – Core Rate of Inflation to Advance Annualized 1.3% to Mark First Rise in 2016. Trading the News: U.K. Consumer Price Index (CPI) Another uptick in the U.K. Consumer Price Index (CPI) accompanied by a pickup in the core rate of inflation may boost the appeal of the sterling and spur a larger rebound in GBP/USD as it puts increased pressure on the Bank of England (BoE) to normalize monetary policy sooner rather than later. What’s Expected: Why Is This Event Important: Even though the Monetary Policy Committee (MPC) is widely expected to prese...
    On April 12, 2016 / By
  • Finance 0

    Peak Preowned: Used Car Inventory Hits Record Level; Congratulations, You Are Qualified

    Hot on the Lot Auto manufacturers finally stuffed every dealer’s lot full of cars just as a glut of used cars hit record levels. In an effort to dump the high and rising number of cars, dealers are slashing prices. Want a car? If so you are qualified. But who doesn’t have a car that needs one? The Wall Street Journal reports Hot on the Lot: Leasing a Used Car. The article subtitle, “As inventories of preowned vehicles rise, dealers look to buyers who don’t qualify” seems to make sense. However, dealers make sure everyone is qualified for something. Inventories of used cars in good condition are soaring in the U.S., and finance comp...
    On April 12, 2016 / By
  • Finance 0

    Three Best Ranked Real Estate Mutual Funds To Buy Now

    Securities from the real estate sector continue to be an integral part of any portfolio with a long-term horizon. Over the years, mutual funds from this category have continued to perform favorably. They are a convenient way to invest in real estate because of their low initial investment requirements and the advantage of professional management. Investors willing to hold long-term positions would do well to consider these funds as they add stability and bring steady returns to a portfolio. Below we will share with you three best rated real estate mutual funds . Each has earned a Zacks Mutual Fund Rank #1 (Strong Buy) as we expect these m...
    On April 12, 2016 / By
  • Finance 0

    T2108 Update – The S&P 500 On A Slippery Slope

    T2108 Status: 73.8%T2107 Status: 45.4%VIX Status: 16.3General (Short-term) Trading Call: neutralActive T2108 periods: Day #41 over 20%, Day #40 over 30%, Day #37 over 40%, Day #34 over 50%, Day #30 over 60%, Day #29 over 70% (overbought) Commentary The latest Fed play that I described in the last T2108 Update worked out pretty well. The market once again reacted with post-Fed soothing after CNN’s Fareed Zakaria hosted a discussion with the four living chairs of the U.S. Federal Reserve. ProShares Short VIX Short-Term Futures (SVXY) gapped up, and I sold (a bit too soon granted). However, that trading action is already old news. Since tha...
    On April 12, 2016 / By
  • Finance 0

    Weekly Forex Technical Outlook – 12th April

    EURUSD (1.14): Since last week’s analysis, EURUSD has remained in a trading range of 1.1437 – 1.1334. We expect to see this ranging continuation nearing the end with a potential breakout very likely around the corner. The Stochastics shows price action staying flat above the 80 levels indicating that momentum is weakening. While 1.105 – 1.10285 remains the most likely correction to the downside, support levels near 1.13 and 1.123 are likely to hold the declines for the moment. Regardless, EURUSD is expected to move lower, unless we see a conclusive break above 1.148. Bias (D1): Upside Support: 1.1334 – 1.130 Resistance: 1.1437 – 1.1...
    On April 12, 2016 / By
  • Finance 0

    EUR/USD Forex Signal For April 12, 2016

    EUR/USD Signal Update Yesterday’s signals were not triggered. Today’s EUR/USD Signals Risk 0.75% Trades must be taken before 5pm London time today only. Long Trades Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 1.1337 & 1.1302. Put the stop loss 1 pip below the local swing low. Adjust the stop loss to break even once the trade is 20 pips in profit. Remove 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to run. Short Trade 1 Short entry following a bearish price action reversal on the H1 time frame immediately...
    On April 12, 2016 / By