Warren Buffett’s favorite indicator is pointing to an overvalued market… Should you be concerned? Well, it’s certainly true that Buffett said in a 2001 interview that he believed that his indicator “is probably the best single measure of where valuations stand at any given moment.” And generally speaking, when Buffett says something, we should listen.  —Recommended Link— Want more income? How does $565 per week sound? A former military intelligence analyst has revealed the secret to effortless income generation. Imagine $565.00 per week… every week… for the rest of your life. And your… Read More

Warren Buffett’s favorite indicator is pointing to an overvalued market… Should you be concerned? Well, it’s certainly true that Buffett said in a 2001 interview that he believed that his indicator “is probably the best single measure of where valuations stand at any given moment.” And generally speaking, when Buffett says something, we should listen.  —Recommended Link— Want more income? How does $565 per week sound? A former military intelligence analyst has revealed the secret to effortless income generation. Imagine $565.00 per week… every week… for the rest of your life. And your payouts can start as early as Wednesday. Find out how to claim yours now. The indicator in question is more of a ratio, really. To be more specific, it’s the ratio of the value of the stock market to GDP. It’s also true that this indicator shows the market is overvalued by quite a bit. The chart below shows that the only time this indicator has been higher was in 2000, before the stock market crashed. Source: Advisor Perspectives But there are some problems with this analysis. First of all,… Read More

There was a lot of news last week. We saw headlines about impeachment… the trade war… Brexit… Syria… and Saudi Arabia. All important stories. But there was another story that broke late on Friday and wasn’t widely covered… and that story may turn out to be the most important of the bunch. —Recommended Link— You only have a few hours left to act on this…​ At 11:59 p.m. tonight, we’ll reach our final deadline, and master trader Jim Fink’s presentation will be taken down. This is your… Read More

There was a lot of news last week. We saw headlines about impeachment… the trade war… Brexit… Syria… and Saudi Arabia. All important stories. But there was another story that broke late on Friday and wasn’t widely covered… and that story may turn out to be the most important of the bunch. —Recommended Link— You only have a few hours left to act on this…​ At 11:59 p.m. tonight, we’ll reach our final deadline, and master trader Jim Fink’s presentation will be taken down. This is your last chance to discover how you can make extra “paychecks” of thousands of dollars every single Thursday and the 3 simple steps behind this technique. Please don’t miss this… According to the announcement, the Fed plans to buy Treasury bills at an “initial” pace of about $60 billion from mid-October to mid-November. They will then adjust both the timing and amounts of bill purchases “as necessary to maintain an ample supply of reserve balances over time.” The buying will continue at least into the second quarter of 2020. New purchase amounts will be announced on the… Read More

I’m not sure what it is about October, but it has historically been a spooky month for investors. The haunting traces back to the Wall Street Crash of 1929, a four-day collapse of stock prices that began on October 24. The Dow Jones Industrial Average dropped 25%, making it the worst such decline in U.S. history. Another notable plunge took place in late October 1987, known as Black Monday. The Dow dropped just over 22% — making it the largest one-day stock market decline in history.  Then there was the tumultuous 2008 market crash. The first big drop in the… Read More

I’m not sure what it is about October, but it has historically been a spooky month for investors. The haunting traces back to the Wall Street Crash of 1929, a four-day collapse of stock prices that began on October 24. The Dow Jones Industrial Average dropped 25%, making it the worst such decline in U.S. history. Another notable plunge took place in late October 1987, known as Black Monday. The Dow dropped just over 22% — making it the largest one-day stock market decline in history.  Then there was the tumultuous 2008 market crash. The first big drop in the Dow took place on September 29, 2008, when it shed more than 777 points. It fell by another 733 points on October 15. And just last year you may recall that the market peaked at the end of September. A fourth-quarter slide began in October, which ultimately  set stocks back about 14% through December. With events like these, it’s easy to see why the month of October carries a negative connotation. In truth, though, outside of these major declines, the month has historically been a good one for markets. In fact, according to the Stock Trader’s Almanac, October is the… Read More

Back in August, I mentioned that Colony Capital (Nasdaq: CLNY) was exploring the sale of its industrial unit. The company owns 465 warehouses from Texas to California that are 92% leased, mostly for ecommerce fulfillment. For those who may not remember, CLNY is a High-Yield Investing portfolio holding. It’s been a rare disappointment for us so far, but as I explained back then, there’s reason for hope. That turned out to be prescient, as shares have since rallied by about 24%. But back to the sale… At the time, these properties were expected to fetch about $5 billion on the… Read More

Back in August, I mentioned that Colony Capital (Nasdaq: CLNY) was exploring the sale of its industrial unit. The company owns 465 warehouses from Texas to California that are 92% leased, mostly for ecommerce fulfillment. For those who may not remember, CLNY is a High-Yield Investing portfolio holding. It’s been a rare disappointment for us so far, but as I explained back then, there’s reason for hope. That turned out to be prescient, as shares have since rallied by about 24%. But back to the sale… At the time, these properties were expected to fetch about $5 billion on the open market. But management hinted that the final price tag could be “significantly higher” based on preliminary demand from interested parties. It turns out they were right. On September 30, Colony officially announced the sale of its industrial division to Blackstone Group (NYSE: BX) for $5.9 billion. I’m quite bullish on industrial real estate. In fact, that was the primary motivation behind my initial recommendation of CLNY.  #-ad_banner-#It’s no secret that a growing percentage of retail spending is migrating online. When you buy a new pair of shoes or a television from an online retailer like Amazon.com (Nasdaq: AMZN), those… Read More

“Don’t get too accustomed to those big commission checks.” That’s what my old manager at regional brokerage house Morgan Keegan used to tell me. I was less of a cold-calling stockbroker and more of a financial advisor. Still, every now and then I’d field a random call for 100 shares of something or other. That could mean a quick $100 commission just for answering the phone. It was good money — but it wasn’t meant to last. Even then (this was the early 2000s), online trading was becoming a real threat to full-service brokers. It was difficult to justify charging… Read More

“Don’t get too accustomed to those big commission checks.” That’s what my old manager at regional brokerage house Morgan Keegan used to tell me. I was less of a cold-calling stockbroker and more of a financial advisor. Still, every now and then I’d field a random call for 100 shares of something or other. That could mean a quick $100 commission just for answering the phone. It was good money — but it wasn’t meant to last. Even then (this was the early 2000s), online trading was becoming a real threat to full-service brokers. It was difficult to justify charging $100 to buy or sell a stock when an internet site could process the same order for $10. Many investors (particularly the do-it-yourself set) were willing to forgo personalized advice in exchange for thousands of dollars in cost savings each year. Nobody wanted to admit it, but the discount online brokers were poaching customers left and right. The writing was on the wall — adapt or become obsolete. That’s the way of all business. Seeing a downhill slide in commission rates, we began steering clients away from transaction-based accounts toward fee-based platforms that charged fixed annual fees (maybe 1% to… Read More

As he stepped through my front door, he blew a big puff of smoke and tucked the vape pen into his pocket. I kept quiet, as I was in the middle of working through some remaining remodeling logistics. But I wasn’t happy about what I just saw. I later told my contractor that I did not want to see another person vape or smoke in my house. Plain and simple, vaping irritates me in much the same way that many people are irritated by the smoking of cigarettes. Maybe it has something to do with seeing kids in the parking… Read More

As he stepped through my front door, he blew a big puff of smoke and tucked the vape pen into his pocket. I kept quiet, as I was in the middle of working through some remaining remodeling logistics. But I wasn’t happy about what I just saw. I later told my contractor that I did not want to see another person vape or smoke in my house. Plain and simple, vaping irritates me in much the same way that many people are irritated by the smoking of cigarettes. Maybe it has something to do with seeing kids in the parking lot hitting their vape pen and blowing a big plume in the air, thinking it makes them look cool. In case you’re not familiar, vaping is the use of a small battery-powered device called an electronic pen, or e-cigarette. This e-cigarette heats nicotine (extracted from tobacco), flavorings and other chemicals to create a water vapor that is inhaled. The tobacco itself doesn’t ignite as it does with a traditional cigarette. So, there’s no smoke, just water vapor containing nicotine. Vape pens are also used to smoke marijuana. E-cigarettes have taken the smoking world by storm, ballooning into a multibillion-dollar industry.  —Recommended… Read More

You’ve most likely heard of the attack on a Saudi Arabian oil production facility. On September 14, a salvo of cruise missiles rained down on state-owned Saudi Aramco’s Abqaiq facility, crippling infrastructure that handles 5.7 million barrels per day. Approximately 5% of the world’s entire oil supply passes through this facility, making this one of the biggest supply disruptions on record. It was worse than Hurricane Katrina, the Invasion of Kuwait, the Libyan Civil War and other such events. #-ad_banner-#As you might expect, oil prices immediately shot higher on the news. Benchmark Brent Crude spiked about 20%. West Texas Intermediate… Read More

You’ve most likely heard of the attack on a Saudi Arabian oil production facility. On September 14, a salvo of cruise missiles rained down on state-owned Saudi Aramco’s Abqaiq facility, crippling infrastructure that handles 5.7 million barrels per day. Approximately 5% of the world’s entire oil supply passes through this facility, making this one of the biggest supply disruptions on record. It was worse than Hurricane Katrina, the Invasion of Kuwait, the Libyan Civil War and other such events. #-ad_banner-#As you might expect, oil prices immediately shot higher on the news. Benchmark Brent Crude spiked about 20%. West Texas Intermediate (WTI) Crude also moved sharply higher. There has probably been an impact at your local gas station as well (mine went from $1.99 to $2.29 per gallon almost overnight). Government officials were quick to blame Iran for the strike. Secretary of State Mike Pompeo went so far as to declare the unprovoked attack an overt “act of war.” And the President ordered tightened economic sanctions. Meanwhile, investors wasted little time in bidding oil-related stocks sharply higher. Within hours of the opening bell the following Monday, Marathon Oil (NYSE: MRO) was up 12%, Devon Energy (NYSE: DVN) rallied 13%, and Apache… Read More

Unemployment fell to its lowest level since 1969. That news sparked a stock market rally on Friday and recovered most of the week’s losses. The dashed red line in the chart below shows the small loss for the week. The solid blue line is the 50-day moving average (MA). That’s an important technical level over the next few weeks. —Recommended Link— Professional Investor Reveals Shocking New Pot Opportunity If you’ve ever thought about investing in a penny pot stock. don’t! I’ve discovered a unique marijuana profit-sharing plan backed by a U.S. Federal Law. And it’s paying… Read More

Unemployment fell to its lowest level since 1969. That news sparked a stock market rally on Friday and recovered most of the week’s losses. The dashed red line in the chart below shows the small loss for the week. The solid blue line is the 50-day moving average (MA). That’s an important technical level over the next few weeks. —Recommended Link— Professional Investor Reveals Shocking New Pot Opportunity If you’ve ever thought about investing in a penny pot stock. don’t! I’ve discovered a unique marijuana profit-sharing plan backed by a U.S. Federal Law. And it’s paying a small group of regular people up to $55,563 a year. The next check run is just days away. I’ll show you how to sign up here. Before looking at the technicals in detail, I want to review the unemployment report. It was bullish on Friday but, in the long run, I don’t believe it holds much information for traders. Here’s why… Unemployment is a lagging indicator. To understand this, think about a local restaurant. Restaurants hire when business has been good. If sales increase for one week, management pushes the existing… Read More