Monthly Archives - December 2019

With a Recession on the Horizon, How Can You Protect Your 401(k) Assets?

The stock market bull run of the past few years has created more than a few 401(k) millionaires. But with economic headwinds increasing, including a trade war that shows no signs of abating, many investors are getting nervous about just how long they’ll remain 401(k) millionaires. Investors who have made their money in stock markets are aware that a stock market crash could wipe out their wealth just as easily as the bull market grew their wealth. Many investors, particularly [...]

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The Chorus Is Growing: More and More Are Warning of Recession

Every day brings more and more news that market participants are warning of the risk of a severe recession. Experienced traders from both stock and bond markets are positioning themselves to protect themselves against the downturn, which they universally agree will be catastrophic. The only question now is, with stock markets still elevated, will mainstream investors heed their warnings and listen? One of the more recent voices warning of a market crash is prominent bond investor Jeffrey Gundlach, who manages [...]

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Will the Never-Ending Trade War Be the Ultimate Undoing of Stock Markets?

There has been a lot of criticism of stock markets this year, particularly when the Dow Jones and the S&P 500 reach new highs based solely on expectations of a resolution of the trade war with China. It seems that every time President Trump, or anyone in the administration, gets in front of the cameras to say that a trade deal is coming soon, stock markets jump a few hundred points. But now we’re seeing the flip side, that [...]

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Decline in World Trade Another Indicator of Slowing Economy

Every day seems to bring more and more news of headwinds facing the economy. Now international organizations are warning that global trade growth is slowing, an ominous indicator that the world economy continues to slow. Earlier this year, analysts at the World Trade Organization (WTO) forecast a 2.6% increase in world trade this year. Now they’ve cut that forecast by more than half, to only 1.2%. And there’s every indication that the trend now is for world trade to begin [...]

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China Continues Moving Away From Dollar, Into Gold

World reserve currencies don’t remain reserve currencies forever. The British pound and its gold standard once ruled international finance, but after abandoning the gold standard during World War I and unsuccessfully attempting to reintroduce it after the war, the pound ceded its reserve currency status to the US dollar. Since the end of World War II the dollar has stood atop the world as the primary reserve currency, used in international trade and in commodity markets around the world. But [...]

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