In normal environments, the Fed is in sync with the market, so when the Fed cuts rates, long-term borrowing costs follow that path. But when the Fed does the wrong thing – long duration bonds like the 10-year U.S. Treasuries run screaming in the opposite direction. That seems to be the case now.
When things get really bad, escaping to the Grand Canyon is not enough. You need cash, passports, food, and all the right investments. Kim Iskyan explores Plan Z.
Just a few years before Michael Lewis was at Salomon Brothers, eventually writing his best-seller Liar’s Poker, Porter & Co. Distressed Investing analyst Marty Fridson was in another part of the building at One New York Plaza, identifying profitable trade opportunities in the debt market. He shares details in today’s Journal.
One-third of the reserves of our biggest banks are deeply underwater today. As Porter writes, Bank of America is in a deeper hole than all of them. And even if you don’t keep your money there, you might end up paying for it.
It’s no secret that Warren Buffett has been selling shares of Bank of America. These details are public. What nobody has figured out is why Berkshire has sold almost all of its bank stocks since early 2020.
Central-bank gold buying increased enormously after COVID. So far in 2024, demand is surpassing those record amounts, with 483 tons purchased in the first half of 2024 – a new record. Who is buying? The countries that have firmly rejected American hegemony.
Politicians lie all the time, in every country, all throughout history. America’s politicians do too… and the tone and tenor rises as election day approaches. Today, we offer the best way to protect yourself and your investments from government lies.
If you doubt that inflation is an ongoing concern, and that the dollar is slowly becoming worthless, just look at the price of a Ford F-150 pickup truck today compared with when it launched in 1973 – in terms of wages, the price of gold, and other factors.
In today’s Journal, Porter talks about America’s huge $35 trillion debt level. These debts are already so large, there’s no legitimate market-based way to finance the astronomical growth in government spending that lies ahead. “I’m not talking about a crisis in 2040,” he says. “I’m talking about a crisis by 2026.”
In today’s Journal, Porter explains the simple reason why this one sector of the market always outperforms the overall market and always will: these companies get all of their capital for free.