What is truth?

Archive for the ‘US interest rates’ Category

New reserve currency

This is big trouble for the USA
WASHINGTON (AP) — Regulators on Friday shut down a Nevada bank, raising to 83 the number of U.S. bank failures this year.
The 83 closures so far this year is more than double the pace set in all of 2009, which was itself a brisk year for shutdowns. By this time last year, regulators had closed 40 banks. The pace has accelerated as banks’ losses mount on loans made for commercial property and development.

The Federal Deposit Insurance Corp. took over Nevada Security Bank, based in Reno, with $480.3 million in assets and $479.8 million in deposits. Umpqua Bank, based in Roseburg, Ore., agreed to assume the assets and deposits of the failed bank.
New reserve currency
We in Ireland are still bailing out bankrupt banks at the cost billions we don’t have causing economic depression for this and the next generation!
With 52 thousand students coming out of our universities and no jobs to go to
alone along with 100,000 people all ready left the country ,and another 53 thousand students leaving secondary education this year
How many of them are going into apprenticeships, jobs or is it emigration for the majority for them
The Unelected Cowen and his band of economic terrorists are helping the top bankers of the state live it up while the rest of us struggle to pay our monthly bills
I say let the bankrupt banks pay their own bills and allow them to fail, just like the Americans are doing in the land of Free markets
Allowing the crooks in the Dail to plunder our natural resources and the wealth of future generations is a crime I personally do not want to be responsible for, when our children ask what you did to prevent it I can show I was active in my opposition and I made a stand
What can you say you did??
It is the responsibility of each and every one of us to oppose this band of thieves we must stand up and take action
Do not just stand by and allow our country to be destroyed by the current government who have sold out to the faceless bondholders in Germany , France and England
Stand up and Fight back now!
Put yourself up for election do not give you vote to any of the current TD’s
We need new blood in the Dail and not Family dynasties
We want a general election now and we need a new community party made up of new local people from ordinary backgrounds that will work for an average wage and not clock up huge self given perks, ending up as millionaires while the rest of us struggle to pay for these perks & pensions
We need real servants of the people and not leach’s sucking the rest of us dry like some of the current shower of TD’s are doing
The next general election must end Gombeenisem for good.
Promise yourself this and we just might save Ireland!

Quarterly Market Brief & Stock Pick

source www.wealthbuilder.ie

Quarterly Market Brief & Stock Pick

The American stock market is still working through a consolidation phase following the magnificent run up since March of last year. The Dow transports have presented us with a new Dow buy signal but so far the Industrials have unconfirmed. The Dow 30 needs to break the 10,700 range convincingly before I will advise student clients to re-enter the market through their virtual portfolios.



The reason for this is clear. There are a number of major issues playing on the market and accordingly risk is high. In particular persistent unemployment, rising inflation, anticipated year end interest rate hikes and the planned end of quantitative easing are all still being priced into the competitive mix. I want evidence that this risk has been adequately discounted. Once we start moving to higher highs on both Dow 20 and Dow 30 we know that this process is over. Until that occurs the markets will probably be range bound as they have been since October – December 2009. If the confirmation signal is mixed it may prove problematic for valuations.

In general the QQQQ’s, the ETF for the NASDAQ, have been doing particularly well with AAPL breaking to new all time highs. This movement augurs well for technology moving forward, provided of course that the overall market returns to its former bull trend.

The dollar continues to grow in strength but this has more to do with a weakening Euro than any powerful fundamental growth in the American economy. In other words the issue is not who is the strongest but who is the least weak. As long as this is the case it will play havoc with Gold and Silver valuations and I continue to advise clients to avoid these metals in their virtual trading.

April is earnings season and I am looking forward with great relish to see how valuations in the market hold up. A lot will soon be told and how Wall Street reacts will give great insight on how to successfully play the rest of 2010. So keep your seat belts fastened and your minds focused.

Stock Pick

McDonald’s Corporation: MCD

Stock Fundamentals:

Dividend Yield:        3.5%

Financial Strength:    A++

Return on Capital:    21%

Return on Shr. Equity:    30.5%

Earnings Growth:    10%


McDonald’s Corporation finished 2009 in superb fashion and is one of my favourite choices for students learning the pension strategy.

Robust comparable store sales, margin expansion, and favourable currency movements were behind much of the earnings per share advance.

The momentum will probably continue into much of 2010. Although the economic recovery is taking shape, consumers are still looking to save money, especially in the face of high unemployment. Consequently, McDonald’s value and convenience have enabled it increase market share.

The company’s short and long term prospects look solid, Its dividend is secure and financial strength impeccable.

(Pension Strategy)

Note:    Since last March our pension portfolio mix is up a whopping 55%, including dividends, year on year. When one considers that this is our most conservative portfolio in terms of risk you soon realise the power of the recent stock market bull run. While we do not expect a similar performance this year from the pension portfolio over the last decade this strategy has proven itself to be ideal for those seeking an average 10-15% annual return with minimal risk and minor time allocation.

Tag Cloud