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  • Finance 0

    Looking For The Next Crisis? Try Student Debt

    Calamities are of two kinds: misfortune to ourselves, and good fortune to others. – Ambrose Bierce Student debt is increasing at the rate of almost $3000.00 per second; this is stunning considering that education in our system does not even rank in the top 10 globally; we are ranked 18 out of 20.  Worse yet, it indicates that colleges are simply forcing young individuals to take on mind-boggling amounts of debt in the hopes of landing a good job when they graduate. Getting a student loan is about as easy as it was to get a loan during the booming housing market cycle and look how that story ended. All you had to do was be able to scra...
    On February 12, 2016 / By
  • Finance 0

    January Retail Sales: Let Them Eat Bacon

    Last June, Jeralean Talley, who had been the oldest known living person in the world, passed away in Detroit at the grand old age of 116.That left Susanna Mushatt Jones, also 116, and the second known living person born in the 1800s, to assume the throne. When asked about the secret to her longevity, the sprightly supercentenarian replied that she ate four strips of bacon every morning. She has a sign in her kitchen that reads, “Bacon makes everything better.” Jones’ devotion to bacon may have amused the media, which had only just regaled the consuming masses with the results of a study that found bacon and other processed meats exacted...
    On February 12, 2016 / By
  • Finance 0

    Something Big Is About To Happen With Gold & Silver

    The markets have finally cracked and things are about to become a lot more interesting. Today, the price of gold surged more than $60 and silver $0.60 as the markets crumbled. Even though the markets recovered after some TWO-BIT announcement by OPEC stating that they were talking about “Cutting Production” again… I believe the worst is yet to come. It has been quite some time since the gold priced shot up more than 5% in one day. As I stated in past articles and interviews, we will continue to see a lot more days like today. The huge spike in the price of gold sparked a surge in demand. According to the Zerohedge article, Lines Around ...
    On February 12, 2016 / By
  • Finance 0

    Are ETFs Made Up Of CEFs Worth Owning?

    While we are huge proponents of leveraging low cost and liquid ETFs for virtually every asset class; ETFs that invest in closed-end funds (CEFS) are a different story altogether. The two funds that have garnered the most investor attention in this space are the PowerShares Closed End Fund Composite ETF (PCEF) and the Yieldshares High Income ETF (YYY). Both contain a seemingly diverse array of underlying asset classes, sectors, and strategies. While both fund’s actual management expense ratio of 0.50% sounds reasonable, the issue is that you’re also paying for active management and leverage borrowing costs on an individual fund level. ...
    On February 12, 2016 / By
  • Finance 0

    ECB To Ease In March, Fed On Hold Till September, EUR/USD Higher – Danske

    Does EUR/USD have more room to rise? It took a break for now, but could certainly resume its upward move. Here is the explanation from Danske: Here is their view, courtesy of eFXnews: We now expect the ECB to accompany a 10bp rate cut in March with the introduction of a two-tier deposit rate system and front-loaded QE. Specifically, we believe the ECB will introduce a maximum reserve requirement, where liquidity is placed at a rate above the deposit rate. In addition, we believe it will increase monthly purchases to EUR80bn between March-May 2016 and potentially longer, but the total QE size should be unchanged. We expect the ECB to react to...
    On February 12, 2016 / By
  • Finance 0

    Bear Of The Day: Targa Resources

    Oil and natural gas prices have been falling for almost a year now, and the decline in prices has seriously hurt the top and bottom lines of many oil and gas producers.Unfortunately for these producers, the prices have continued to decline, and future expectations have drastically fallen as well.One of these producers is Targa Resources (TRGP – Snapshot Report), and they are the Zacks Bear of the Day.   This Zacks Rank #5 (Strong Sell) owns general and limited partner interests in Targa Resources Partners LP, engaged in providing midstream natural gas and natural gas liquid services in the United States. The Company operates its bu...
    On February 12, 2016 / By
  • Finance 0

    Time To Fade Energy Again

    No one but me would be bold and insane enough to suggest fading this mega-rally, but that’s how I roll. I’m not shorting crude oil per se, but I’ll be looking hard at the energy sector:...
    On February 12, 2016 / By
  • Finance 0

    E Bonds: Strange Days Indeed

    It was only a few short months ago I was looked upon as if I was suffering from paranoia, seeing monsters in every corner of the market. No many of my subscribers think I have gone mad because I don’t see the obvious signs of a U.S. recession. Meanwhile, equity fund manager and/or strategist after another is on the air waves telling us to that there is no fundamental reason for equities to sell off. A JPM Funds strategists was in CNBC late Thursday afternoon telling viewers to not pay too much attention to the bond market as it was “manipulated.” As I heard this while listening in my truck I could not see what see looked like, but by ...
    On February 12, 2016 / By
  • Finance 0

    Gold Pierces Through Major Resistance. Look For A Bull Market Confirmation

    What an incredible run in the gold market. Let’s get things straight: this is a short squeeze of epic proportions. The trend channel, which has determined support and resistance in an extremely accurate way for three years, is close to be invalidated. As seen on the chart, the price of gold exploded from support through resistance in just one month.We admit, we did not see that coming, at least not so aggressively. Where does gold go from here? First, gold should stay three days above $1,220 for a confirmed breakout. Given the recent buying pressure, that target is certainly likely. But, the more important question is till which point will...
    On February 12, 2016 / By
  • Finance 0

    EC Two Sets Of Retail Sales, But Only One Economic Trend

    The January retail sales report demonstrates perfectly the nature of this whole recovery, but especially the last year or so when everything holding to the primary narrative boils down to the unemployment rate – a statistic that is more and more determined by peculiar assumptions and calculations. The advance release from the Census Bureau had enough positive vigor to provide palpable enthusiasm in place of the very reluctantly increasing glumness. Retail sales increased for a third straight month in January as Americans kicked off 2016 by spending freely on cars, clothing and online merchandise… Greater job security, improving wage gr...
    On February 12, 2016 / By