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If Corporations Stop Buying Stocks, Might Foreign Central Banks Step In?

A key component to the surge in stock prices over the past several years has been the record high level of corporate stock buybacks. Corporations have been issuing trillions of dollars in debt in order to buy back shares of their stock. That boosts earnings per share, a key metric used to determine executive compensation. In that way corporate insiders can boost their compensation while still making it look like the company is in sound financial health (if you [...]

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The Debt Bubble Keeps Growing: Are You Ready for It to Burst?

Most people realize that the amount of debt in existence worldwide is enormous, but how enormous isn’t immediately obvious. Many people may even labor under the erroneous impression that the debt bubble has improved since the financial crisis, since surely businesses and individuals learned their lesson from that crisis. But the reality is that the debt bubble isn’t just bad, it continues to get worse and worse all the time. By the end of this year, the total amount of [...]

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When Is Quantitative Easing Not Quantitative Easing?

For years, market analysts have wondered when the fourth round of quantitative easing (QE) would occur. We all remember QE1, QE2, and QE3, which mainstream economic analysts praise as having saved the financial system from ruin in 2008 and afterwards. But the trillions of dollars created during those bouts of easing have created an enormous bubble that will risk bringing the financial system down with it once it bursts. It was all but certain that the Federal Reserve would [...]

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Are the Dow’s New Highs the Blowoff Top Everyone Has Been Waiting For?

With manufacturing activity slowing, job postings declining, and manufacturing activity grinding to a halt, the economy is obviously headed toward recession. Yet stock markets seem oblivious to all of that, reaching new highs in the past few days and confounding everyone who sees the next recession just around the corner. Yet many stock market bears have been predicting another “blowoff top” before stock markets crash. Is Dow 28,000 the top we’ve all been waiting for, or does the Dow [...]

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How Much Money Do You Think You’ll Make in Stocks Over the Next 10 Years?

A key part in investors’ decision-making processes when deciding on what to invest in is how much they can expect to gain over the long term. Most investors are really only passive investors, buying assets and holding on to them for years, rarely making major changes to their investments, and only reallocating assets within their portfolios every 5-10 years as they grow closer to retirement. For years investors have been told that stocks are the way to go if they [...]

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If Warren Buffett Is Getting Out of Stocks, Shouldn’t You Too?

There has probably never been a bigger cheerleader for stock markets than US billionaire Warren Buffett. The legendary investor and CEO and Chairman of Berkshire Hathaway has always been one to speak his mind, and in his mind stocks are the only way to grow wealth. Buffett isn’t shy about putting his trust in stock markets and is always looking for a good deal. That’s why Berkshire Hathaway’s recent moves are leading many to question whether stocks are really [...]

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A Growing Number of Baby Boomers Are Overexposed to Stocks: Are You One of Them?

With stock markets reaching another record high this week, albeit just barely, even those who strongly believe that a recession is just around the corner are beginning to have second thoughts. That’s only natural, as stock markets have been essentially in a holding pattern for nearly two years. After breaking through multiple thousand-point barriers beginning in 2016 and moving into 2017, the Dow Jones has had to really struggle over the past two years to gain another 1,000 points. Watching [...]

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Set of palladium ingots

Determine Palladium Price vs. Gold Price and Which Is Best for Your Investments

While gold may be the best known and most popular precious metal for investors, some investors may be looking for something more. Gold’s performance is almost boringly stable over the long term, which is great for investors looking to maintain the value of their investments over a period of time. But sometimes precious metals investors want to make significant short-term gains too. That’s where other precious metals can play an important role in diversifying investors’ portfolios and helping them [...]

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Next Year’s Election Could Have Major Consequences for Your Investments

One of the themes that has marked this year’s Democratic debates has been the topic of Medicare for all. On the surface it seems like a great idea, expanding Medicare so that everyone will have healthcare. But as with many things that sound good, the devil is in the details. In this case, it’s a pretty big devil in the form of a $52 trillion bill. Where does a government that’s already $23 trillion in debt get the money [...]

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Gold bars on the background of a growth chart

What Factors Affect Gold Prices the Most?

Investors in any asset want their assets to appreciate in value. Being able to understand what causes their assets to appreciate in value is key to making an investment decision, and investing in gold is no different. If you’re investing in gold, or in any other asset, you’re likely interested in long-term price growth. Being able to understand what affects the current gold prices is important to your decision to invest in gold. Many people talk about “the price of gold” [...]

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