You can still practically smell the wreckage. Stocks of the nation’s largest banks, most of which were overexposed to toxic subprime assets, crashed and burned during the financial crisis. The KBW Bank Index (an index of the largest American banks) fell from a high… Read More
Investing Basics
Investing in large companies with diversified revenue streams is a strategy that can let you sleep soundly at night. Most firms in the Dow Jones Industrial Average, an index of 30 of the largest and most dominant firms in the world, use size to their advantage. Read More
The recent agreement in Washington to resolve the tax impasse has led many economists to re-check their assumptions about the economy in 2011. Their conclusion: the outlook for 2011 just got a little better. Let’s look at the specific economic indicators, and where most think they will be by… Read More
Once a quarter, investors take note of a wide range of buying and selling by company insiders. These folks can only buy and sell the stock of their respective company for a fixed period after earnings have been released. With many companies rolling out quarterly results about a month… Read More
Uncle Sam’s decision to unload its remaining block of 2.4 billion common shares of Citigroup (NYSE: C) — one quarter ahead of time — has caused many to take a fresh look at the banking titan. A quick survey of analysts’ opinions reveals a stock with +15% or +20%… Read More
I once had a subscriber write in response to some questions I asked about readers’ long-term investing goals. “At this age, I don’t buy green bananas,” he said. I had to laugh; my father used the same line for years. But it does bring up a great point. I’m willing… Read More
In global economics, there are several emerging truisms. Growth is likely to be somewhat muted in... Read More
In global economics, there are several emerging truisms. Growth is likely to be somewhat muted in the West as efforts to reverse massive budget deficits will create a drag as governments tax more... Read More
Which sector is going to be hot in 2011? If history is any clue, it won’t be what was hot in... Read More
Which sector is going to be hot in 2011? If history is any clue, it won’t be what was hot in 2010. In fact, a look back through history tells us the leading groups in one year often become... Read More
On average, they’re yielding 7.5%. That’s more than three times the yield of the S&P 500. Try getting that amount from a money market or savings account. But that’s not the half of it. In tandem with those high yields, the capital gains have… Read More
The direction of the stock market in 2011 could well be determined in the next few months, as I... Read More
The direction of the stock market in 2011 could well be determined in the next few months, as I noted last week. At the time, I suggested you tune in to Tuesday’s economic reports for the next... Read More