Picking stocks may be more fun than inferring “asset allocation,” the percentage of stocks, bonds and other types of investments that you own, but studies show that a balanced security portfolio can have a bigger impact on long-term performance than individual stock picking. [Read more…] about Creating Your New Security Portfolio
Economic News
Free Money Comes at a Cost
Last month former Treasury Secretary Tim Geithner warned that another financial crisis is going to occur again and the Federal Reserve and government will need to act accordingly with more Treasury buying to take on these hazardous market risks. So, let me get this correct…more Free Money is on its way? What happened to the Fed raising interest rates sometime this year? [Read more…] about Free Money Comes at a Cost
New World Reserve Currency
China to obtain special drawing rights (SDR) for Reserve Currency Status.
Recently, China has ramped up its drive for the world’s 5th Reserve Currency status. The IMF (International Monetary Fund) is looking to approve the currency, the ‘yuan’, soon and will be added to the basket of currencies (dollar, Euro, Yen, and British pound). This is starting to coincide with China moving forward with the AIIB (Asian Infrastructure Investment Bank). With the IMF and World Bank giving China the green-light despite opposition from the U.S. Many U.S. allies have agreed to become members of this China-led bank, including the U.K., Germany, France, Italy, Australia, and Japan. Japan says they would also join by June, and with many countries from the Middle East committing to join one has to ask how much longer will the Petrodollar last? By now, we should be worried about the global and national status of the U.S. Dollar, and how this New World bank is going to affect the U.S. economy and currency status!
At Landmark Capital Gold Group, we know you have worked hard for your money. Don’t you deserve to have a Financial Blueprint for your retirement as well? Call today to learn more about making the transition to gold and preparing for the New World Reserve Currency! 602.287.9200
$1.1 trillion spending bill narrowly passes to avert government shutdown
With much debate the US House of Representatives averted a government shutdown on Thursday by nearly passing a $1.1 trillion spending bill despite strenuous democratic objections to controversial financial provision. In the past President Barack Obama and House Speaker John Boehner have been enemies in budget battles, but this time they are on the same side, pushing for the passage of this bill. Supporters of the bill say the purpose of it is largely to provide billions of dollars of additional funds to fight Islamic State militants in Iraq and Syria and the Ebola break out in West Africa.
However, the 1603-page bill does roll back portions of the Dodd-Frank law due to go into effect next year by killing planned restrictions on derivatives by large banks, allowing those banks to continue trading swaps and futures in units that have a direct benefit from federal deposit insurance and Federal Reserve loans.
Both Obama and J.P. Morgan Chase and Company chief executive Jamie Dimon were calling Democrats to support this bill, which angered many Democrats. “It is very strange, very strange that the two of them would be working for the support of this bill,” said Representative Maxine Waters, the top Democrat on the House Financial Services Committee.
Being passed by 219-206 votes, 67 Republicans rejected the bill but that was offset by 57 Democrats who voted in favor. The passing of the bill increases government spending and dangerously supports bigger banks in their risky derivative trade.
Economists are saying that this could be the next set up for banks to continue over extending their risk trades- this trading contributed significantly to the 2009 meltdown
financial meltdown leading is into the “Great Recession” from which we still have not recovered.
Oil moving down, what is this really telling us?
Since June oil has dropped 47%, while the Dollar index during the same time frame has gone up about 12.8%. Oil trades internationally at $57 a barrel. Oil trades in dollars historically, so why are the prices moving opposite directions?
There are two schools of thoughts that have been around for some time now and that have been debated which state that “this will never happen…”, yet with the dollar and oil moving opposite directions it confirms both of these thoughts.
[Read more…] about Oil moving down, what is this really telling us?
