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The Rising Interest-Rate Trend

The Rising Interest-Rate Trend

The rising interest-rate trend in the US isn’t new and isn’t related to the Fed’s so-called “policy normalization” program. However, it has only just started to matter. That the rising interest-rate trend isn’t new and isn’t related to the Fed’s rate-hiking efforts is clearly illustrated by the following chart. This chart shows that the US […]
Rising Interest Rates A Headwind For Dividend Paying Stocks

Rising Interest Rates A Headwind For Dividend Paying Stocks

Since July 2016 the yield on the 10-year US Treasury Note has increased from 1.32% to nearly 3% today. This doubling of longer-term interest rates is creating a headwind for dividend-paying stocks resulting in their underperformance versus their non-dividend paying counterparts as well as the broader S&P 500 Index. The maroon line in the below […]
Economics Was Invented To Refute Trump’s Tariff Arguments

Economics Was Invented To Refute Trump’s Tariff Arguments

When Adam Smith wrote Wealth of Nations, it wasn’t to refute the “godless socialists” 21st-century Republican voters believe are taking over the world. It was to refute the kinds of protectionist ideas championed by conservatives like Edmund Burke and Alexander Hamilton in Smith’s day, Abraham Lincoln eighty years later, and Trump today. Bastiat remade Smith’s case […]
Short-Term Trading Idea Brent Oil – Looking Down: 50% Downwards Correction Expected

Short-Term Trading Idea Brent Oil – Looking Down: 50% Downwards Correction Expected

Trading opportunities: Since hitting a high of 67.70 USD, the market has transitioned into a phase of downwards movement. Cycles and calculations suggest that the drop from the 13th of February isn’t complete. I reckon that this downwards correction will continue through the 11th of April and stop at around 57.80 USD (50% of the growth from 44.34 […]
AUD/USD Technical Analysis: Likely Scenarios For The Pair

AUD/USD Technical Analysis: Likely Scenarios For The Pair

This will be a major week for the Australian dollar. From a political standpoint, traders will wait for the retaliatory statements from the Australian government after Trump signs in the new policy on steel and aluminum. After this, traders will focus on the interest rate decision and the GDP numbers. On Tuesday, the Reserve Bank […]
The Threat Of A Trading War Continues To Put Pressure On The American Currency

The Threat Of A Trading War Continues To Put Pressure On The American Currency

On Friday, the US dollar weakened against the fears that the introduction of taxes on the steel and the aluminum import in the United States could lead to a global trading war. Canada, the European Union and China have very negatively perceived the introduction of duties and have stated that they may introduce their own […]
Rebalancing The Economy Toward Workers And Wages

Rebalancing The Economy Toward Workers And Wages

Economists have recognized for a long time that in negotiations between employers and workers, the employer has a built-in advantage. John Bates Clark, probably the most eminent American economist of his timeJohn Bates Clark put it this way in his 1907 book, Essentials of Economic Theory “In the making of the wages contract the individual laborer […]
Bull Of The Day: Best Buy (BBY) – Monday, March 5

Bull Of The Day: Best Buy (BBY) – Monday, March 5

Headquartered in Richfield, MN, Best Buy (BBY – Free Report) is a leading specialty retailer of technology products, services and solutions, with approximately 1,600 stores in North America. Domestic Operations accounted for 92% of FY17 total revenue. According to the company, 70% of the U.S. population lives within 15 minutes of a Best Buy store. That has helped the […]
Inflation Is Not Under Control – Gold And Silver Report

Inflation Is Not Under Control – Gold And Silver Report

Let’s continue on our topic of capital consumption. It’s an important area of study, as our system of central bank socialism imposes many incentives to consume and destroy capital. As capital is the leverage that increases the productivity of human effort, it is vital that we understand what’s happening. We do not work harder today, than they […]
Insight On The Available Options For Dealing With Debt [US]

Insight On The Available Options For Dealing With Debt [US]

While debt has become a popular way of life for a majority of American citizens, some form of credit can build your financial profile but there are also others that come at a heavy cost. If all due diligence is observed when using debt, it can help you acquire important investments like education or a […]