Opinions

Did the Federal Reserve just tell us it wants much higher inflation? In the most recent meeting minutes from the Federal Open Market Committee (FOMC), it said: “Most [members], however, now anticipated that the Committee would not sell agency mortgage-backed securities (MBS) as part of the normalization process, although some

One fact has become quite clear: if we want to see robust growth in our gross domestic product (GDP), then there needs to be a significant change in consumer spending. But current consumer spending in the U.S. economy is looking bleak, and it makes me skeptical about the GDP growth

As many of you know, I’m a big supporter of equities as an investment over the long run, especially with small-cap stocks. But I’m also pragmatic and feel you should always look to take some money off the table—especially after such strong advances in the stock market as we saw

The mainstream media continues to report that the housing market in the U.S. economy is hot again, but I don’t share their optimism for a second. The fact of the matter is that the U.S. housing market may be headed toward a period of decline after just a few months

One company that I use as a benchmark stock in manufacturing is Fastenal Company (FAST). The Street is looking for just a 6.5% gain in quarterly revenues and a three-penny improvement in comparable earnings. The company reports today. Many corporations have reported similar guidance. Among many investors, there is little

The Dow Jones Transportation Average has been powering ahead since the last week of June. It’s risen five percent since, and the percentage gains on up days are handily beating other stock market indices. That’s a very powerful signal indicating the appetite that institutional investors have to be buyers. Powering

I am watching the Chinese economy very closely, because any economic slowdown there could have an adverse effect on the already struggling U.S. economy. And here’s what I’ve seen: the stock advisors are not mentioning how critical the Chinese economy really is, how companies based here in the U.S. can

Quantitative easing was supposed to bring economic growth to the U.S. economy, but it is failing at its job. Just look at the chart below to see how badly things have turned out. The chart shows the velocity of money in the U.S. economy. For the uninitiated, velocity is a

The battle in the video streaming market is on, and based on recent developments, it will intensify, which ultimately is better for the consumer. As my stock analysis indicates, now is the time to take advantage. No longer is Netflix, Inc. (NASDAQ/NFLX) safe as the current market leader, but the

While the gold bullion naysayers keep their bearish view, the fundamentals for the precious metal continue to gain strength. We have seen a significant amount of selling in the gold bullion market. But consider this: according to data compiled by Bloomberg, gold bullion holdings in global exchange-traded products (ETPs) have

With corporate earnings season about to begin, many investors are anxiously awaiting the results to see if the S&P 500 can continue its strong showing. Naturally, with the index showing such outsized returns over the past six months, many investors are getting nervous. And the investors who have been left

I have to admit that my hat’s off to the U.S. economy. Outcomes in the first half of the year were far better than I expected. And the second half seems to have started where the first half ended—on a high note. I’m not complaining. There have been nice trading

There are a lot of reasons why the spot price of oil is back over $100.00 a barrel, and the fact that it is up there is very good for oil stocks. The price of natural gas continues to be subdued, but that doesn’t mean that oil and gas companies

While the key stock indices might be giving the impression that everything is fine with the global economy, the reality is far less optimistic. The global economy is actually standing on the verge of a severe economic slowdown that could wipe out the wealth of many investors. Now is a

Suddenly, the automotive sector is red hot. According to Autodata Corporation, 1.4 million cars and light trucks were sold in the U.S. economy in the month of June. In fact, auto sales in the U.S. economy have increased 9.2% over the same period a year ago, and they are on

After the stock market closes today, benchmark stock Alcoa Inc. (AA) is set to report. Expected consensus-adjusted earnings are $0.06 a share, with revenues averaging $5.86 billion. That’s about flat with the comparable quarter. Like many other benchmarks, Alcoa’s position has been drifting lower lately on slowing economic news, especially

As readers of Profit Confidential already know, I have been bullish on both gold bullion and silver prices. I believe these two precious metals have great futures ahead of them, in spite of all the negativity about them in the mainstream media and their recent price slump—especially silver. According to

With corporate earnings season starting today, many investors will eagerly be looking at the results to determine if there is an investment opportunity for the next six to 12 months. But wise investors will also be keeping an eye on the macroeconomic situation: we are entering a period of time

Many people are only just now coming to understand something I’ve been warning about for several months: interest rates are set to rise. In the month of June, there was a record amount of money pulled out of bond mutual funds and bond exchange-traded funds (ETFs). According to TrimTabs, a

While the mainstream media claims that the U.S. economy is witnessing economic growth, I see the complete opposite. When economic growth takes place, the lives of individuals get better—they are able to afford food and property, they are able to find jobs that pay well, and they are able to