Thursday , 25 April 2024

Monthly Archives: July 2016

Venezuela Default Looms: Will China Save It?

Economic activity in Venezuela will fall 10% in 2016 – not 8% as previously stated - according to the IMF. General Mills, Bridgestone, Coca-Cola, Kimberly-Clark, Aeromexico, Lufthansa and LATAM Airlines have all suspended operations there in the past year. Upcoming debt payments are significant, and the country will most likely default as early as November of this year and no later than April of next year. International reserves are simply insufficient at a time when oil production declines and the economy contracts. Two questions in the air: Will China save Venezuela? Will it demand Maduro step down?

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An Unsettling Look At the Unprecedented Risks the World Is Facing

Investors globally have never faced risk of the magnitude that the we are now exposed to but, sadly, very few are aware of the unprecedented risks the world is facing. For the ones who understand risk and take the right decisions, it will “lead to fortune”. Only very few will choose that route, though. Instead most investors will continue to...

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Stocks Are In a Bubble By Virtually Every Reasonable Metric

While CNBC and other perma-bulls claim that the stock market is a great investment today, the smart money is already prepping for a disaster. Goldman Sachs has told its clients to “sell at the new high.” Credit Suisse just told its clients stocks “haven’t looked this worrisome since the tech bubble.” They’re correct. Stocks are in a bubble by virtually every reasonable metric.

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Desperate Venezuela: The Moment Of Financial Reckoning Looms Larger

It’s somewhat understandable - but highly regrettable - that Venezuela is parting with its gold so readily in the midst of this economic turmoil. Gold has traditionally been a source of security for countries looking to hedge against currency volatility; and heaven knows Venezuela has had more than its share of that. The bottom line? They’re giving up the only security they have left.

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These 5 Gold & Silver Equities Should Continue To Outperform

Precious metals thrive on volatility – the more uncertainty in the markets the more gains silver and gold will likely see - but how can investors make a rational decision regarding which specific stock to choose in this sector? One idea is to select those that have a positive net income. These stocks are generally safer as their costs have been normalized and are being covered by inflows of revenue and cash. The silver and gold stocks on our list today exhibit positive EPS figures, which we think will benefit its investors.

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Gold Has Had Its Moment – Here’s Why

I believe that the market is no longer fearful and that gold has had its moment. After a multi-year rout gold began to pick up pace in 2016 when uncertainty seemed to be omnipresent but my view has stayed consistently positive as I have not identified any material weakness in the economy. Let me explain why that is the case.

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