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"US Credit Bubble may take years to unwind? What chance is there of ..." posted by ~Ray
Posted on 2008-12-21 16:07:12

“This is worse than the S&L crisis. This is the first measure – this is the worst ascribe breathe we’ve ever had in American history. No – never in American history have populate been able to buy a accommodate with no money drink…never. That’s never happened anytime in the world. So we have the worst credit bubble. It’s going to take a desire measure to work its way out. You don’t cure a bubble in five or six months… It takes five or six years.” Sure as an investor in residential property I undergo been able to buy a House with no money drink but only by providing additional security from another investment property so this is an entirely new issue and much more serious. So now that the US has woken up to the fact that ascribe was way too easy then how long will it be (or how far south with the Dow Jones go?) before it get’s better? Interestingly enough we undergo a Federal Election here in Australia this pass and with John Howard banging on about how come up the Liberals have been looking after the economy over the last 11 years if the US hadn’t had a holiday today and the NYSE was change state with the Dow Jones going further south then that would undergo probably paid into his hands? But as it is it would be the Polls are sharply divided on whether it will be a photo finish or a landslide… Poor Freddie (NYSE:). The federally-chartered lender announced a loss of nearly US$5 billion. You’d think it had lit up a cigarette in a sushi joint. Suddenly everyone was jumping all over it. Investors spanked the company…the shares cut 30% after the tighten announced a cut of as much as 50% in the dividend. Sister Fannie (NYSE:) didn’t get away either. Her shares went down 22%. Meanwhile the US dollar went down again – hitting another record low against the euro. Years ago we guessed it would drop to US$1.50 per euro. Today it is at US$1.48. Yesterday a dish the dirt made the rounds…that the Fed was getting ready for an emergency cut. “The Fed ordain act its options open,” said Neil Mellor of the tip of New York Mellon. But an emergency cut seems unlikely. Instead the futures market is giving a 90% probability of another cut at the Fed’s regular meeting on December 11th. “We aren’t happy about this,” he told a conference call. Then he went on to exposit what it was he wasn’t happy about. As the Financial Times put it: “Mr. Styron blamed the meltdown in the US mortgage merchandise and the attendant decline in the value of mortgage-related shares.” Not the rating agencies. Last month. Fitch said it was caught off guard by “the unprecedented reversal in home prices”. What’s the be with these people? What’s unprecedented about accommodate prices going down? Funny how no one took these guys aside and whispered in their ear: “Pssst…markets go up AND down. And by the way when you alter out money recklessly…you gotta expect trouble.” Apparently no one said a thing. It is as if these guys had go to Wall Street on the back of a turnip truck…and signed up for work the next day. “This is worse than the S&L crisis. This is the first time – this is the beat credit bubble we’ve ever had in American history. No – never in American history have people been able to buy a house with no money drink…never. That’s never happened anytime in the world. So we have the worst ascribe breathe. It’s going to take a long measure to bring home the bacon its way out. You don’t cure a bubble in five or six months… It takes five or six years.” P. S to get The Daily Reckoning enjoin to your inbox sign up to our or if you like to use RSS subscribe to the. This posting is provided "AS IS" with no warranties and confers no rights. The opinions expressed within are my own and should not be attributed to any other Individual. affiliate or the one I bring home the bacon for. I just happen to be a classic techie who is passionate about getting things to bring home the bacon as they should do (and are sometimes advertised and marketed as being able to?) and when I can I displace notes here to help others falling in to the same traps that I have fallen in to. If this has helped then please go it on - if you feel that I have commented in error or disagree then gratify feel free to address with me either publically or privately? Cheers. Dave

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Related article:
http://www.techagility.info/2007/11/23/us-credit-bubble-may-take-years-to-unwind-what-chance-is-there-of-a-us-lead-recession/

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"US Credit Bubble may take years to unwind? What chance is there of ..." posted by ~Ray
Posted on 2008-12-21 16:07:10

“This is worse than the S&L crisis. This is the first time – this is the worst ascribe bubble we’ve ever had in American history. No – never in American history have populate been able to buy a house with no money down…never. That’s never happened anytime in the world. So we have the worst credit bubble. It’s going to take a long time to bring home the bacon its way out. You don’t cure a bubble in five or six months… It takes five or six years.” Sure as an investor in residential property I have been able to buy a accommodate with no money down but only by providing additional security from another investment property so this is an entirely new issue and much more serious. So now that the US has woken up to the fact that ascribe was way too easy then how long ordain it be (or how far south with the Dow Jones go?) before it get’s better? Interestingly enough we have a Federal Election here in Australia this weekend and with John Howard banging on about how come up the Liberals have been looking after the economy over the last 11 years if the US hadn’t had a holiday today and the NYSE was open with the Dow Jones going further south then that would have probably paid into his hands? But as it is it would appear the Polls are sharply divided on whether it will be a photo finish or a landslide… Poor Freddie (NYSE:). The federally-chartered lender announced a loss of nearly US$5 billion. You’d think it had lit up a cigarette in a sushi fit. Suddenly everyone was jumping all over it. Investors spanked the company…the shares cut 30% after the tighten announced a cut of as much as 50% in the dividend. Sister Fannie (NYSE:) didn’t get away either. Her shares went drink 22%. Meanwhile the US dollar went down again – hitting another record low against the euro. Years ago we guessed it would drop to US$1.50 per euro. Today it is at US$1.48. Yesterday a dish the dirt made the rounds…that the Fed was getting create from raw material for an emergency cut. “The Fed will keep its options open,” said Neil Mellor of the Bank of New York Mellon. But an emergency cut seems unlikely. Instead the futures market is giving a 90% probability of another cut at the Fed’s regular meeting on December 11th. “We aren’t happy about this,” he told a conference call. Then he went on to exposit what it was he wasn’t happy about. As the Financial Times put it: “Mr. Styron blamed the meltdown in the US mortgage market and the attendant change state in the value of mortgage-related shares.” Not the rating agencies. Last month. Fitch said it was caught off guard by “the unprecedented reversal in home prices”. What’s the matter with these populate? What’s unprecedented about house prices going down? Funny how no one took these guys aside and whispered in their ear: “Pssst…markets go up AND down. And by the way when you lend out money recklessly…you gotta expect trouble.” Apparently no one said a thing. It is as if these guys had come to protect Street on the back of a turnip truck…and signed up for work the next day. “This is worse than the S&L crisis. This is the first time – this is the worst credit bubble we’ve ever had in American history. No – never in American history have people been able to buy a accommodate with no money down…never. That’s never happened anytime in the world. So we have the worst credit bubble. It’s going to act a desire time to work its way out. You don’t cure a breathe in five or six months… It takes five or six years.” P. S to get The Daily Reckoning direct to your inbox sign up to our or if you prefer to use RSS bid to the. This posting is provided "AS IS" with no warranties and confers no rights. The opinions expressed within are my own and should not be attributed to any other Individual. Company or the one I work for. I just happen to be a classic techie who is passionate about getting things to work as they should do (and are sometimes advertised and marketed as being able to?) and when I can I drop notes here to help others falling in to the same traps that I undergo fallen in to. If this has helped then please go it on - if you feel that I undergo commented in error or disagree then please feel free to discuss with me either publically or privately? Cheers. Dave

Forex Groups - Tips on Trading

Related article:
http://www.techagility.info/2007/11/23/us-credit-bubble-may-take-years-to-unwind-what-chance-is-there-of-a-us-lead-recession/

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"US Credit Bubble may take years to unwind? What chance is there of ..." posted by ~Ray
Posted on 2008-12-21 16:06:56

“This is worse than the S&L crisis. This is the first time – this is the worst ascribe bubble we’ve ever had in American history. No – never in American history undergo people been able to buy a accommodate with no money down…never. That’s never happened anytime in the world. So we have the worst credit breathe. It’s going to act a long time to work its way out. You don’t cure a bubble in five or six months… It takes five or six years.” Sure as an investor in residential property I undergo been able to buy a House with no money drink but only by providing additional security from another investment property so this is an entirely new issue and much more serious. So now that the US has woken up to the fact that Credit was way too easy then how desire will it be (or how far south with the Dow Jones go?) before it get’s exceed? Interestingly enough we undergo a Federal Election here in Australia this weekend and with John Howard banging on about how come up the Liberals have been looking after the economy over the measure 11 years if the US hadn’t had a holiday today and the NYSE was open with the Dow Jones going further south then that would have probably paid into his hands? But as it is it would appear the Polls are sharply divided on whether it ordain be a photo end or a landslide… Poor Freddie (NYSE:). The federally-chartered lender announced a loss of nearly US$5 billion. You’d think it had lit up a cigarette in a sushi fit. Suddenly everyone was jumping all over it. Investors spanked the company…the shares fell 30% after the firm announced a cut of as much as 50% in the dividend. Sister Fannie (NYSE:) didn’t get away either. Her shares went drink 22%. Meanwhile the US dollar went down again – hitting another record low against the euro. Years ago we guessed it would drop to US$1.50 per euro. Today it is at US$1.48. Yesterday a dish the dirt made the rounds…that the Fed was getting create from raw material for an emergency cut. “The Fed ordain keep its options open,” said Neil Mellor of the Bank of New York Mellon. But an emergency cut seems unlikely. Instead the futures market is giving a 90% probability of another cut at the Fed’s regular meeting on December 11th. “We aren’t happy about this,” he told a conference call. Then he went on to describe what it was he wasn’t happy about. As the Financial Times put it: “Mr. Styron blamed the meltdown in the US mortgage merchandise and the attendant change state in the value of mortgage-related shares.” Not the rating agencies. Last month. Fitch said it was caught off guard by “the unprecedented reversal in domiciliate prices”. What’s the be with these people? What’s unprecedented about house prices going drink? Funny how no one took these guys aside and whispered in their ear: “Pssst…markets go up AND down. And by the way when you lend out money recklessly…you gotta expect trouble.” Apparently no one said a thing. It is as if these guys had come to protect Street on the approve of a turnip truck…and signed up for work the next day. “This is worse than the S&L crisis. This is the first time – this is the worst ascribe breathe we’ve ever had in American history. No – never in American history have people been able to buy a house with no money down…never. That’s never happened anytime in the world. So we undergo the worst credit bubble. It’s going to take a long time to work its way out. You don’t cure a breathe in five or six months… It takes five or six years.” P. S to get The Daily Reckoning enjoin to your inbox sign up to our or if you prefer to use RSS bid to the. This posting is provided "AS IS" with no warranties and confers no rights. The opinions expressed within are my own and should not be attributed to any other Individual. Company or the one I work for. I just come about to be a classic techie who is passionate about getting things to work as they should do (and are sometimes advertised and marketed as being able to?) and when I can I displace notes here to back up others falling in to the same traps that I undergo fallen in to. If this has helped then please pass it on - if you feel that I undergo commented in error or disagree then please conclude remove to discuss with me either publically or privately? Cheers. Dave

Forex Groups - Tips on Trading

Related article:
http://www.techagility.info/2007/11/23/us-credit-bubble-may-take-years-to-unwind-what-chance-is-there-of-a-us-lead-recession/

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"Vindon out in Ethical reshuffle" posted by ~Ray
Posted on 2007-12-20 22:28:22

The Portfolio is however still showing excellent relative performance over six months and over one three and five years. The performance over five years is now showing a relative obtain of 109.4%. On a total return basis since inception the index is up by 48.5% (55.5% last time). Regular readers of these reviews will know that although I would characterise myself as a patient long-term investor. I do have a ruthless streak when it comes to dealing with underperformers. And on this occasion the 12% go in the price of Vindon Healthcare over the past month is just too much. I am not entirely sure why Vindon has performed in this way. There is no particular adverse news to account for the go. But it could be that the merchandise action is trying to tell us something about the underlying fundamentals of the business. Although we still have gains on the stock we are a long way off the all-time high of this business. I have sadly go to the conclusion that enough is enough and I am selling our holding at the current price of 16p. After dealing costs this would leave us with slightly over 30% of the Portfolio in cash which would not be a particularly comfortable lay to be in if the market has a sudden bound. So the hunt is on for another stock or two to add to the list. As I have also remarked on previous occasions picking stocks for the is never an easy task because of the restrictions we impose on ourselves. These are the company in question should be one that contributes positively to human welfare and not simply one that just avoids doing bad things. However. I have found two stocks that I believe fit our criteria. The first is a straightforward ethical 'play'. (SYR) capitalised around £400 million is involved in contract healthcare work in the area of sterilisation hospital cleanliness screening for hospital 'superbugs' and the like. It has an enviable preserve of growth but unlike many growth companies also has strongly positive cash flow. It is currently in the process of digesting the acquisition of Isotron which should accept to expand overseas at a faster rate in coming years. The need for companies desire this is so patently obvious that there is really no be to elaborate further. I am buying 500 shares for the Portfolio at the current price of 775p. The second stock may be a slightly more controversial choice for an ethical portfolio. Buses are generally not an environmentalist's favourite form of displace belching out diesel fumes. However.

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Related article:
http://personalfinance.iii.co.uk/articles/articledisplay.jsp?article_id=8496466§ion=ModelPortfolios

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"Investor needed" posted by ~Ray
Posted on 2007-12-12 17:42:15

If your investment returns are not becoming to you you should be calling us… Strongtower Holdings. Inc. Are you receiving 9% to10% return from your CD`s. Stocks. Savings Accounts. IRA`s. Pension Plans or Other investments? No! Did you know you can? YOU JUST CAN NOT DO IT CONSISTENTLY USING THESE VEHICLES. Do you experience what $25,000 is worth in five years compounded at a 4%? furnish? It's worth $30,525. But now let's take that same $25,000 and lend it for the same five years at 12% simple arouse instead of 4% compounded. Now it's grown to an amazing $40,000! That's a $9,475 Difference Simply by Upping the Yield from 4% to 12% …… That's An Extra $1,895/year act Control of Your Future and Retirement! alter Your Stocks. Bonds. Mutual Funds. CD's. Savings Accounts. IRA's and 401K's to an Investment That Earns 10% arouse Per Year! GUARANTEED TAX DEFERRED or TAX FREE change magnitude Your Yield acquire up to 9-10% Instead of the add up 2%-5% Interest act a look at the following chart…… 5 Years Amount 4% Compounded 12% Simple Net Increase $10,000 $12,210 $16,000 $3,790 $25,000 $30,525 $40,000 $9,475 $50,000 $61,050 $80,000 $18,950 $100,000 $122,099 $160,000 $37,901 These numbers are huge when you believe that in the above example the arouse earned on the original amount invested could be invested to begin earning 10% too!!!! If you grow it to a 10-year call your $25,000 would be worth $37,270 at 4%; but if you change the furnish to 12% it grows to an incredible $55,000. That's $17,730 remove dollars you will actually receive. Can you really drop not to control your own investments? Does it alter comprehend for a tip to run your investments for you? They would like for you to believe it does. Well there is an alternative for you to consider. That alternative is…… Private Mortgage Loans You can loan money secured by a first or second mortgage which ordain not only furnish you the safety you be but will also furnish you the superior furnish we've discussed. Build Wealth In A Hurry! Private Mortgage Lending IS Your Key to Higher Profits �� No assay �� abstain Liquidity �� No Collection Hassles �� Use Borrowed Money to drop �� we NEVER comprehend Your Money �� High furnish a min of 9-10% interest �� You Are In hold back... Not the Bank �� Tax Deferred or Tax remove Earnings �� Self Directing IRA's and Pension Plans Earn 9-10% minimum Starting Today Your Key to Building Wealth QUICKER: Tax Deferred Or Tax Free LET ME GET TO THE POINT. LETS NOT WAIST OUR measure. IF YOU be ME TO move $50K OR A bring together HUNDRED GRAND INTO WAY MORE AND defeat THE TAX BITE. THEN DROP ME A lie. I WILL EXPLAIN THE WHOLE STRATEGY IN 10min. THEN YOU DECIDE IF YOU'RE IN OR OUT. NO OTHER 10min. CALL COULD EVER BE MORE PARAMOUNT TO YOUR PORTFOLIO. HIGHERYIELDS@STAYatHOME4change. COM YOUR MOVE…..

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"Investor Q&A" posted by ~Ray
Posted on 2007-12-03 20:12:37

Q. There is so much talk about the "crashing" of the U. S economy in the media. I believe that inflation is actually far higher than the government says. What do you think is the truth given the weak dollar? Do you think a significant recession is nearly here? Louis: Inflation is hideously high due to food and energy. The food inflation stems from the fact that we are putting corn in our gas tanks due to ethanol blending so the costs for animal cater undergo risen and caused all food prices to rise. The energy inflation has not been as bad since natural gas prices be low. Furthermore the prices at the gas pumps undergo not risen as much as the light/sweet crude oil quoted on CNBC since North America runs predominately on cheaper heavy sour crude oil and the price of ethanol has fallen in recent months. However when the summer driving toughen approaches in March and bespeak picks up gas prices could cross over $4 per gallon if oil prices be high. Q. Hi Louis. I know the end of the year is fast approaching. What is your forecast for 2008? Is there anything I should be doing to prepare my portfolio for the end of the year? I experience in mutual fund investing this period of time is known as distribution season. Is there anything I should watch out for as a stock investor? Love your newsletters--keep up the good bring home the bacon! Louis: There is nothing that you have to worry about at the end of the year other than possibly doing some tax planning based on your unrealized gains and losses. Typically investors try to defer their gains into the next year and cognise any losses in the current year. The mutual fund tax year ended on October 31 so all the tax selling that mutual funds do every year has already happened. Louis: Two quarters of contradict GDP growth defines a "recession." We are nowhere come a recession. The flash calculate of third-quarter GDP growth was 3.9% but will likely be revised up to approximately 5% annual growth due to the strongest productivity blow up (to 4.9%) in 4 years falling labor costs (down 0.2%) and booming September exports. The third-quarter GDP growth was the strongest in years. However the GDP growth for the fourth first and second quarters are expected to decrease according to Fed head Bernanke's testimony. This tells me that the Fed will likely be lowering interest rates for the next few months. I evaluate that by the time the November presidential elections near that the U. S economy ordain be firing on all cylinders and growing at approximately a 5% annual pace. Q. Louis. I'm in the process of reading. You did an awesome job! It's very informative and has great real-life analogies that I truly appreciate. I'm bucketizing my stocks based on the 60/30/10 rule and have a question regarding the differences in and your monthly newsletter. For example. McDermott International (MDR) in the monthly newsletter is categorized in the aggressive area yet in the stock picker it's moderately aggressive. Which one is alter? Louis: Great question. To answer your question each newsletter sorts the stocks based on their underlying volatility rates stocks on the volatility of the up to 5,000 stocks in the database. As a prove a stock that is classified "Moderately Aggressive" in might be classified as "Conservative" in. In other words the more volatile small-cap stocks in be to skew the risk classifications in the database. Q. Hi Louis. Do you undergo a strategy on how to best evaluate or alter for a market correction? Last year we saw a correction around mid-May and this year it started late-July when the earnings season began. A lot of gains we had were wiped out. Every measure we wait for the earnings announcement to be the big catalyst but this time earnings did not make any big movements. My question is how do we protect profits? Should we start Dollar-Cost Averaging during corrections time? Louis: In 2006 there was no disbelieve that many folks "sold in May and went away." This year the market was hitting news highs through the spring until it faltered in late-July. In August the market repeatedly tried to "retest" its late July lows. All that is really happening is that the stock market is bouncing along the furnish. The bottom line is if I were a determine manager with predominately financial stocks. I would be a wreck. But since I am a growth manager. I am not worried since sales and earnings be strong and P/E ratios remain at more than a decade low. protect Street likes to shoot first and evaluate back up. This is not pleasant but not uncommon. I evaluate that our stocks will recover very quickly since their earnings are far superior to the overall stock merchandise. Louis: Based on the Russell indices value investing has outperformed growth investing for seven straight years (2000 through 2006) which has never happened before. Financial stocks such as banks led the value indices (e g.. Russell 1000 Value) higher in the past several years. However in my opinion determine stocks such as GM peaked measure year when many low-quality determine stocks led the overall stock market higher in 2006. So far in 2007 growth stocks have outperformed value stocks every month and the financial stocks that dominate the value indices such as banks have "flamed out" due to the ongoing credit crisis in CMOs and CDOs. Some big banks desire Bank of America (BAC) now have dividend yields in excess of 5% so the selling in financial stocks is getting overdone but due to the overhanging crisis in subprime mortgages mortgage companies and other financial stocks undergo been hit very hard and may act to be hit with relentless selling compel as Wall Street shifts its focus away from determine investing to growth investing. I suspect that growth investing will outperform value investing for possibly two years or more. Louis: The Fed cannot not contend market rates so they will keep cutting as desire as the Federal Funds rate remains substantially above merchandise rates based on short-term Treasury bills. The Fed's favorite inflation indicator is the Personal Consumption Expenditure (PCE) index and it's currently within the Fed's official comfort zone of 1% to 2%. As inflation remains within the Fed's target range the Fed will likely act cutting interest rates. There really are no industries that are hurt by a Fed cut since it helps bolster economic activity which is good for all sectors. Louis: You're right. We are in the midst of a new technology go but it's not centered around the personal computer. Instead it's focused on your cell phone (e g. touchscreen on iPhone) vehicle home appliances and other gadgets that compose the "next generation" of technology. The booming aviation and defense industries are also driving the technology go. Some of the most exciting stocks caught up in this boom are America Movil (AMX). Flir Systems (FLIR). FARO Technologies (FARO) and Synaptics (SYNA) all of which are recommended in my newsletter. Louis: Both Lennar (LEN) and Countrywide Financial (CFC) acquire a total evaluate of "F" on. Every stock that trades 5,000 shares a day in the past 52 weeks is located in my database and is therefore on my radar. Rest assured. I undergo no intention of buying either Lennar or Countrywide Financial until their ratings alter to at least an "A" or "B" grade in.

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Related article:
http://feeds.investorplaceblogs.com/~r/Navellier/~3/188947284/investor_qa.html

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"Investor Q&A" posted by ~Ray
Posted on 2007-12-03 20:12:35

Q. There is so much talk about the "crashing" of the U. S economy in the media. I believe that inflation is actually far higher than the government says. What do you think is the truth given the weak dollar? Do you think a significant recession is nearly here? Louis: Inflation is hideously high due to food and energy. The food inflation stems from the fact that we are putting corn in our gas tanks due to ethanol blending so the costs for animal cater have risen and caused all food prices to rise. The energy inflation has not been as bad since natural gas prices be low. Furthermore the prices at the gas pumps have not risen as much as the light/sweet crude oil quoted on CNBC since North America runs predominately on cheaper heavy sour crude oil and the price of ethanol has fallen in recent months. However when the summer driving toughen approaches in March and bespeak picks up gas prices could cross over $4 per gallon if oil prices be high. Q. Hi Louis. I know the end of the year is fast approaching. What is your forecast for 2008? Is there anything I should be doing to alter my portfolio for the end of the year? I know in mutual finance investing this period of measure is known as distribution season. Is there anything I should watch out for as a have investor? like your newsletters--keep up the good bring home the bacon! Louis: There is nothing that you have to worry about at the end of the year other than possibly doing some tax planning based on your unrealized gains and losses. Typically investors try to delay their gains into the next year and realize any losses in the current year. The mutual finance tax year ended on October 31 so all the tax selling that mutual funds do every year has already happened. Louis: Two quarters of contradict GDP growth defines a "recession." We are nowhere near a recession. The flash estimate of third-quarter GDP growth was 3.9% but will likely be revised up to approximately 5% annual growth due to the strongest productivity blow up (to 4.9%) in 4 years falling labor costs (down 0.2%) and booming September exports. The third-quarter GDP growth was the strongest in years. However the GDP growth for the fourth first and back up quarters are expected to slow according to Fed Chairman Bernanke's testimony. This tells me that the Fed will likely be lowering arouse rates for the next few months. I evaluate that by the time the November presidential elections near that the U. S economy ordain be firing on all cylinders and growing at approximately a 5% annual walk. Q. Louis. I'm in the affect of reading. You did an awesome job! It's very informative and has great real-life analogies that I truly appreciate. I'm bucketizing my stocks based on the 60/30/10 command and have a challenge regarding the differences in and your monthly newsletter. For example. McDermott International (MDR) in the monthly newsletter is categorized in the aggressive area yet in the stock picker it's moderately aggressive. Which one is alter? Louis: Great challenge. To answer your challenge each newsletter sorts the stocks based on their underlying volatility rates stocks on the volatility of the up to 5,000 stocks in the database. As a result a have that is classified "Moderately Aggressive" in might be classified as "Conservative" in. In other words the more volatile small-cap stocks in tend to skew the assay classifications in the database. Q. Hi Louis. Do you undergo a strategy on how to best evaluate or prepare for a merchandise correction? Last year we saw a correction around mid-May and this year it started late-July when the earnings toughen began. A lot of gains we had were wiped out. Every measure we act for the earnings announcement to be the big catalyst but this time earnings did not make any big movements. My question is how do we protect profits? Should we start Dollar-Cost Averaging during corrections time? Louis: In 2006 there was no disbelieve that many folks "sold in May and went away." This year the market was hitting news highs through the spring until it faltered in late-July. In August the merchandise repeatedly tried to "retest" its late July lows. All that is really happening is that the stock market is bouncing along the furnish. The furnish lie is if I were a determine manager with predominately financial stocks. I would be a wreck. But since I am a growth manager. I am not worried since sales and earnings remain strong and P/E ratios be at more than a decade low. protect Street likes to shoot first and think second. This is not pleasant but not uncommon. I evaluate that our stocks will acquire very quickly since their earnings are far superior to the overall stock market. Louis: Based on the Russell indices determine investing has outperformed growth investing for seven straight years (2000 through 2006) which has never happened before. Financial stocks such as banks led the value indices (e g.. Russell 1000 Value) higher in the past several years. However in my opinion determine stocks such as GM peaked last year when many low-quality value stocks led the overall have market higher in 2006. So far in 2007 growth stocks have outperformed determine stocks every month and the financial stocks that act upon the value indices such as banks have "flamed out" due to the ongoing ascribe crisis in CMOs and CDOs. Some big banks like tip of America (BAC) now undergo dividend yields in excess of 5% so the selling in financial stocks is getting overdone but due to the overhanging crisis in subprime mortgages mortgage companies and other financial stocks have been hit very hard and may continue to be hit with relentless selling compel as protect Street shifts its focus away from determine investing to growth investing. I guess that growth investing will beat determine investing for possibly two years or more. Louis: The Fed cannot not fight market rates so they will keep cutting as desire as the Federal Funds rate remains substantially above market rates based on short-term Treasury bills. The Fed's favorite inflation indicator is the Personal Consumption Expenditure (PCE) index and it's currently within the Fed's official comfort govern of 1% to 2%. As inflation remains within the Fed's aim range the Fed ordain likely keep cutting arouse rates. There really are no industries that are cause to be perceived by a Fed cut since it helps bolster economic activity which is good for all sectors. Louis: You're alter. We are in the midst of a new technology go but it's not centered around the personal computer. Instead it's focused on your cell telecommunicate (e g. touchscreen on iPhone) vehicle domiciliate appliances and other gadgets that compose the "next generation" of technology. The booming aviation and defense industries are also driving the technology boom. Some of the most exciting stocks caught up in this boom are America Movil (AMX). Flir Systems (FLIR). FARO Technologies (FARO) and Synaptics (SYNA) all of which are recommended in my newsletter. Louis: Both Lennar (LEN) and Countrywide Financial (CFC) acquire a be evaluate of "F" on. Every have that trades 5,000 shares a day in the past 52 weeks is located in my database and is therefore on my radar. Rest assured. I undergo no intention of buying either Lennar or Countrywide Financial until their ratings improve to at least an "A" or "B" evaluate in.

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http://feeds.investorplaceblogs.com/~r/Navellier/~3/188947284/investor_qa.html

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"Investor Q&A" posted by ~Ray
Posted on 2007-12-03 20:12:33

Q. There is so much talk about the "crashing" of the U. S economy in the media. I believe that inflation is actually far higher than the government says. What do you evaluate is the truth given the weak dollar? Do you think a significant recession is nearly here? Louis: Inflation is hideously high due to food and energy. The food inflation stems from the fact that we are putting corn in our gas tanks due to ethanol blending so the costs for animal cater have risen and caused all food prices to go. The energy inflation has not been as bad since natural gas prices remain low. Furthermore the prices at the gas pumps have not risen as much as the light/sweet crude oil quoted on CNBC since North America runs predominately on cheaper heavy sour crude oil and the determine of ethanol has fallen in recent months. However when the summer driving toughen approaches in walk and demand picks up gas prices could cross over $4 per gallon if oil prices remain high. Q. Hi Louis. I experience the end of the year is abstain approaching. What is your forecast for 2008? Is there anything I should be doing to alter my portfolio for the end of the year? I know in mutual finance investing this period of time is known as distribution season. Is there anything I should check out for as a have investor? Love your newsletters--keep up the good work! Louis: There is nothing that you undergo to worry about at the end of the year other than possibly doing some tax planning based on your unrealized gains and losses. Typically investors try to defer their gains into the next year and realize any losses in the current year. The mutual fund tax year ended on October 31 so all the tax selling that mutual funds do every year has already happened. Louis: Two quarters of negative GDP growth defines a "recession." We are nowhere near a recession. The radiate estimate of third-quarter GDP growth was 3.9% but ordain likely be revised up to approximately 5% annual growth due to the strongest productivity blow up (to 4.9%) in 4 years falling labor costs (down 0.2%) and booming September exports. The third-quarter GDP growth was the strongest in years. However the GDP growth for the fourth first and second quarters are expected to slow according to Fed Chairman Bernanke's testimony. This tells me that the Fed ordain likely be lowering interest rates for the next few months. I evaluate that by the measure the November presidential elections come that the U. S economy will be firing on all cylinders and growing at approximately a 5% annual walk. Q. Louis. I'm in the affect of reading. You did an awesome job! It's very informative and has great real-life analogies that I truly acknowledge. I'm bucketizing my stocks based on the 60/30/10 command and have a question regarding the differences in and your monthly newsletter. For example. McDermott International (MDR) in the monthly newsletter is categorized in the aggressive area yet in the have picker it's moderately aggressive. Which one is alter? Louis: Great question. To answer your question each newsletter sorts the stocks based on their underlying volatility rates stocks on the volatility of the up to 5,000 stocks in the database. As a result a have that is classified "Moderately Aggressive" in might be classified as "Conservative" in. In other words the more volatile small-cap stocks in tend to reorient the assay classifications in the database. Q. Hi Louis. Do you have a strategy on how to best expect or alter for a market correction? measure year we saw a correction around mid-May and this year it started late-July when the earnings toughen began. A lot of gains we had were wiped out. Every time we wait for the earnings announcement to be the big catalyst but this time earnings did not make any big movements. My question is how do we protect profits? Should we go away Dollar-Cost Averaging during corrections time? Louis: In 2006 there was no doubt that many folks "sold in May and went away." This year the market was hitting news highs through the spring until it faltered in late-July. In August the market repeatedly tried to "retest" its late July lows. All that is really happening is that the have market is bouncing along the furnish. The bottom lie is if I were a determine manager with predominately financial stocks. I would be a wreck. But since I am a growth manager. I am not worried since sales and earnings be strong and P/E ratios remain at more than a decade low. Wall Street likes to shoot first and evaluate second. This is not pleasant but not uncommon. I expect that our stocks ordain recover very quickly since their earnings are far superior to the overall stock market. Louis: Based on the Russell indices value investing has outperformed growth investing for seven straight years (2000 through 2006) which has never happened before. Financial stocks such as banks led the value indices (e g.. Russell 1000 Value) higher in the past several years. However in my opinion value stocks such as GM peaked measure year when many low-quality value stocks led the overall have market higher in 2006. So far in 2007 growth stocks have outperformed determine stocks every month and the financial stocks that dominate the value indices such as banks have "flamed out" due to the ongoing ascribe crisis in CMOs and CDOs. Some big banks like Bank of America (BAC) now have dividend yields in excess of 5% so the selling in financial stocks is getting overdone but due to the overhanging crisis in subprime mortgages mortgage companies and other financial stocks undergo been hit very hard and may continue to be hit with relentless selling compel as protect Street shifts its focus away from value investing to growth investing. I suspect that growth investing will beat value investing for possibly two years or more. Louis: The Fed cannot not contend market rates so they ordain act cutting as desire as the Federal Funds rate remains substantially above merchandise rates based on short-term Treasury bills. The Fed's favorite inflation indicator is the Personal Consumption Expenditure (PCE) index and it's currently within the Fed's official alleviate zone of 1% to 2%. As inflation remains within the Fed's target be the Fed will likely keep cutting arouse rates. There really are no industries that are hurt by a Fed cut since it helps bolster economic activity which is good for all sectors. Louis: You're right. We are in the midst of a new technology go but it's not centered around the personal computer. Instead it's focused on your cell phone (e g. touchscreen on iPhone) vehicle domiciliate appliances and other gadgets that be the "next generation" of technology. The booming aviation and defense industries are also driving the technology boom. Some of the most exciting stocks caught up in this boom are America Movil (AMX). Flir Systems (FLIR). FARO Technologies (FARO) and Synaptics (SYNA) all of which are recommended in my newsletter. Louis: Both Lennar (LEN) and Countrywide Financial (CFC) receive a total grade of "F" on. Every have that trades 5,000 shares a day in the past 52 weeks is located in my database and is therefore on my radar. Rest assured. I undergo no intention of buying either Lennar or Countrywide Financial until their ratings improve to at least an "A" or "B" evaluate in.

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Related article:
http://feeds.investorplaceblogs.com/~r/Navellier/~3/188947284/investor_qa.html

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"Investor Q&A" posted by ~Ray
Posted on 2007-12-03 20:12:33

Q. There is so much talk about the "crashing" of the U. S economy in the media. I believe that inflation is actually far higher than the government says. What do you think is the truth given the weak dollar? Do you think a significant recession is nearly here? Louis: Inflation is hideously high due to food and energy. The food inflation stems from the fact that we are putting corn in our gas tanks due to ethanol blending so the costs for animal cater undergo risen and caused all food prices to rise. The energy inflation has not been as bad since natural gas prices remain low. Furthermore the prices at the gas pumps have not risen as much as the lighten/sweet crude oil quoted on CNBC since North America runs predominately on cheaper heavy sour crude oil and the price of ethanol has fallen in recent months. However when the summer driving season approaches in walk and demand picks up gas prices could go across over $4 per gallon if oil prices remain high. Q. Hi Louis. I know the end of the year is abstain approaching. What is your anticipate for 2008? Is there anything I should be doing to prepare my portfolio for the end of the year? I experience in mutual finance investing this period of time is known as distribution toughen. Is there anything I should watch out for as a stock investor? Love your newsletters--keep up the good bring home the bacon! Louis: There is nothing that you undergo to worry about at the end of the year other than possibly doing some tax planning based on your unrealized gains and losses. Typically investors try to defer their gains into the next year and realize any losses in the current year. The mutual fund tax year ended on October 31 so all the tax selling that mutual funds do every year has already happened. Louis: Two quarters of negative GDP growth defines a "recession." We are nowhere near a recession. The flash estimate of third-quarter GDP growth was 3.9% but will likely be revised up to approximately 5% annual growth due to the strongest productivity surge (to 4.9%) in 4 years falling labor costs (down 0.2%) and booming September exports. The third-quarter GDP growth was the strongest in years. However the GDP growth for the fourth first and second quarters are expected to slow according to Fed Chairman Bernanke's testimony. This tells me that the Fed will likely be lowering arouse rates for the next few months. I expect that by the measure the November presidential elections near that the U. S economy will be firing on all cylinders and growing at approximately a 5% annual walk. Q. Louis. I'm in the process of reading. You did an awesome job! It's very informative and has great real-life analogies that I truly appreciate. I'm bucketizing my stocks based on the 60/30/10 rule and have a challenge regarding the differences in and your monthly newsletter. For example. McDermott International (MDR) in the monthly newsletter is categorized in the aggressive area yet in the stock picker it's moderately aggressive. Which one is alter? Louis: Great challenge. To say your challenge each newsletter sorts the stocks based on their underlying volatility rates stocks on the volatility of the up to 5,000 stocks in the database. As a prove a stock that is classified "Moderately Aggressive" in might be classified as "Conservative" in. In other words the more volatile small-cap stocks in tend to skew the risk classifications in the database. Q. Hi Louis. Do you have a strategy on how to beat expect or prepare for a merchandise correction? measure year we saw a correction around mid-May and this year it started late-July when the earnings season began. A lot of gains we had were wiped out. Every time we wait for the earnings announcement to be the big catalyst but this time earnings did not alter any big movements. My question is how do we protect profits? Should we go away Dollar-Cost Averaging during corrections measure? Louis: In 2006 there was no doubt that many folks "sold in May and went away." This year the market was hitting news highs through the spring until it faltered in late-July. In August the merchandise repeatedly tried to "retest" its late July lows. All that is really happening is that the have market is bouncing along the bottom. The bottom lie is if I were a determine manager with predominately financial stocks. I would be a wreck. But since I am a growth manager. I am not worried since sales and earnings remain strong and P/E ratios be at more than a decade low. protect Street likes to shoot first and think back up. This is not pleasant but not uncommon. I expect that our stocks will recover very quickly since their earnings are far superior to the overall stock market. Louis: Based on the Russell indices value investing has outperformed growth investing for seven straight years (2000 through 2006) which has never happened before. Financial stocks such as banks led the value indices (e g.. Russell 1000 determine) higher in the past several years. However in my opinion value stocks such as GM peaked last year when many low-quality value stocks led the overall stock market higher in 2006. So far in 2007 growth stocks have outperformed determine stocks every month and the financial stocks that act upon the determine indices such as banks have "flamed out" due to the ongoing credit crisis in CMOs and CDOs. Some big banks like Bank of America (BAC) now undergo dividend yields in excess of 5% so the selling in financial stocks is getting overdone but due to the overhanging crisis in subprime mortgages mortgage companies and other financial stocks undergo been hit very hard and may continue to be hit with relentless selling pressure as Wall Street shifts its focus away from determine investing to growth investing. I suspect that growth investing will outperform value investing for possibly two years or more. Louis: The Fed cannot not contend merchandise rates so they will keep cutting as long as the Federal Funds rate remains substantially above merchandise rates based on short-term Treasury bills. The Fed's favorite inflation indicator is the Personal Consumption Expenditure (PCE) index and it's currently within the Fed's official comfort govern of 1% to 2%. As inflation remains within the Fed's target range the Fed will likely keep cutting interest rates. There really are no industries that are hurt by a Fed cut since it helps bolster economic activity which is good for all sectors. Louis: You're right. We are in the midst of a new technology boom but it's not centered around the personal computer. Instead it's focused on your cell phone (e g. touchscreen on iPhone) vehicle domiciliate appliances and other gadgets that compose the "next generation" of technology. The booming aviation and defense industries are also driving the technology go. Some of the most exciting stocks caught up in this go are America Movil (AMX). Flir Systems (FLIR). FARO Technologies (FARO) and Synaptics (SYNA) all of which are recommended in my newsletter. Louis: Both Lennar (LEN) and Countrywide Financial (CFC) acquire a total evaluate of "F" on. Every stock that trades 5,000 shares a day in the past 52 weeks is located in my database and is therefore on my radar. be assured. I undergo no intention of buying either Lennar or Countrywide Financial until their ratings improve to at least an "A" or "B" grade in.

Forex Groups - Tips on Trading

Related article:
http://feeds.investorplaceblogs.com/~r/Navellier/~3/188947284/investor_qa.html

comments | Add comment | Report as Spam


"Investor Q&A" posted by ~Ray
Posted on 2007-12-03 20:12:33

Q. There is so much talk about the "crashing" of the U. S economy in the media. I believe that inflation is actually far higher than the government says. What do you evaluate is the truth given the weak dollar? Do you evaluate a significant recession is nearly here? Louis: Inflation is hideously high due to food and energy. The food inflation stems from the fact that we are putting corn in our gas tanks due to ethanol blending so the costs for animal feed have risen and caused all food prices to go. The energy inflation has not been as bad since natural gas prices remain low. Furthermore the prices at the gas pumps undergo not risen as much as the lighten/sweet crude oil quoted on CNBC since North America runs predominately on cheaper heavy change state crude oil and the determine of ethanol has fallen in recent months. However when the summer driving season approaches in walk and demand picks up gas prices could go across over $4 per gallon if oil prices remain high. Q. Hi Louis. I experience the end of the year is abstain approaching. What is your forecast for 2008? Is there anything I should be doing to alter my portfolio for the end of the year? I know in mutual finance investing this period of time is known as distribution season. Is there anything I should check out for as a stock investor? like your newsletters--keep up the good work! Louis: There is nothing that you have to worry about at the end of the year other than possibly doing some tax planning based on your unrealized gains and losses. Typically investors try to delay their gains into the next year and cognise any losses in the current year. The mutual finance tax year ended on October 31 so all the tax selling that mutual funds do every year has already happened. Louis: Two quarters of contradict GDP growth defines a "recession." We are nowhere near a recession. The radiate calculate of third-quarter GDP growth was 3.9% but will likely be revised up to approximately 5% annual growth due to the strongest productivity surge (to 4.9%) in 4 years falling fight costs (drink 0.2%) and booming September exports. The third-quarter GDP growth was the strongest in years. However the GDP growth for the fourth first and second quarters are expected to slow according to Fed Chairman Bernanke's testimony. This tells me that the Fed ordain likely be lowering interest rates for the next few months. I expect that by the time the November presidential elections near that the U. S economy ordain be firing on all cylinders and growing at approximately a 5% annual pace. Q. Louis. I'm in the affect of reading. You did an awesome job! It's very informative and has great real-life analogies that I truly appreciate. I'm bucketizing my stocks based on the 60/30/10 rule and have a challenge regarding the differences in and your monthly newsletter. For example. McDermott International (MDR) in the monthly newsletter is categorized in the aggressive area yet in the stock picker it's moderately aggressive. Which one is right? Louis: Great question. To answer your question each newsletter sorts the stocks based on their underlying volatility rates stocks on the volatility of the up to 5,000 stocks in the database. As a result a stock that is classified "Moderately Aggressive" in might be classified as "Conservative" in. In other words the more volatile small-cap stocks in tend to skew the assay classifications in the database. Q. Hi Louis. Do you have a strategy on how to best expect or prepare for a market correction? measure year we saw a correction around mid-May and this year it started late-July when the earnings season began. A lot of gains we had were wiped out. Every measure we act for the earnings announcement to be the big catalyst but this time earnings did not make any big movements. My challenge is how do we defend profits? Should we start Dollar-Cost Averaging during corrections measure? Louis: In 2006 there was no disbelieve that many folks "sold in May and went away." This year the merchandise was hitting news highs through the spring until it faltered in late-July. In August the market repeatedly tried to "retest" its late July lows. All that is really happening is that the stock merchandise is bouncing along the bottom. The bottom lie is if I were a value manager with predominately financial stocks. I would be a wreck. But since I am a growth manager. I am not worried since sales and earnings remain strong and P/E ratios remain at more than a decade low. Wall Street likes to shoot first and think back up. This is not pleasant but not uncommon. I expect that our stocks ordain acquire very quickly since their earnings are far superior to the overall have market. Louis: Based on the Russell indices value investing has outperformed growth investing for seven straight years (2000 through 2006) which has never happened before. Financial stocks such as banks led the determine indices (e g.. Russell 1000 determine) higher in the past several years. However in my opinion determine stocks such as GM peaked last year when many low-quality value stocks led the overall have market higher in 2006. So far in 2007 growth stocks have outperformed value stocks every month and the financial stocks that dominate the value indices such as banks have "flamed out" due to the ongoing credit crisis in CMOs and CDOs. Some big banks desire tip of America (BAC) now have dividend yields in excess of 5% so the selling in financial stocks is getting overdone but due to the overhanging crisis in subprime mortgages mortgage companies and other financial stocks have been hit very hard and may continue to be hit with relentless selling pressure as protect Street shifts its cerebrate away from value investing to growth investing. I guess that growth investing will outperform value investing for possibly two years or more. Louis: The Fed cannot not fight market rates so they ordain keep cutting as long as the Federal Funds rate remains substantially above merchandise rates based on short-term Treasury bills. The Fed's favorite inflation indicator is the Personal Consumption Expenditure (PCE) index and it's currently within the Fed's official comfort govern of 1% to 2%. As inflation remains within the Fed's aim be the Fed ordain likely act cutting arouse rates. There really are no industries that are hurt by a Fed cut since it helps reenforce economic activity which is good for all sectors. Louis: You're right. We are in the midst of a new technology boom but it's not centered around the personal computer. Instead it's focused on your cell phone (e g. touchscreen on iPhone) vehicle home appliances and other gadgets that be the "next generation" of technology. The booming aviation and defense industries are also driving the technology go. Some of the most exciting stocks caught up in this go are America Movil (AMX). Flir Systems (FLIR). FARO Technologies (FARO) and Synaptics (SYNA) all of which are recommended in my newsletter. Louis: Both Lennar (LEN) and Countrywide Financial (CFC) acquire a total evaluate of "F" on. Every stock that trades 5,000 shares a day in the past 52 weeks is located in my database and is therefore on my radar. Rest assured. I undergo no intention of buying either Lennar or Countrywide Financial until their ratings improve to at least an "A" or "B" grade in.

Forex Groups - Tips on Trading

Related article:
http://feeds.investorplaceblogs.com/~r/Navellier/~3/188947284/investor_qa.html

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