Tuesday, 27 August 2013

Bernanke Says Civilization Will End on September 18 - Issue #539

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Don't Get Burned By This "Fed Taper" Lie
By LOUIS BASENESE, Chief Investment Strategist

Enough with the obsession, already!

No matter where you go in the market, all anyone wants to talk about is "The Taper" (i.e. - when the Federal Reserve will start to reduce its pace of bond purchases).

Indeed, interest in the term is reaching unhealthy levels. Don't believe me? Just ask Google (GOOG).


Google Trends data reveals that searches for "Fed taper" barely registered a blip on the radar for most of the year. But over the last 90 days - boom! They've exploded higher.

As I've said before, we do need to get off the quantitative easing sauce eventually. But we don't need to obsess over when it's going to happen. And we definitely shouldn't be making investment decisions based on the latest market predictions.

Still though, investors are looking at a projected September unwinding with anxious eyes. You'd think the world was ending. Is it?

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Based on reams of historical data, it's now confirmed that a certain corner of the market will witness, on average, 41 different price doubles. It'll begin happening the second the market opens at 9:30 AM EST. It'll happen again tomorrow, too. And the next day. In fact, it'll happen every day, as long as the stock market is open. Wall Street Daily is the guardian of an algorithm... an algorithm that helps pinpoint exactly which investments will be among the 41, on average, that double in price this morning. Here's how to prepare.

GameStop: Earnings Beat, But Mark My Words - It's As Good As Dead
By RYAN ANDERS, Editor-in-Chief, Dividends & Income Daily

Dividend investing is for the long haul. If a stock isn't worth holding for 10 years, it's not worth holding at all.

Why? Because an income investor's best friend is sustainable dividend growth, which only realizes itself over multiple, boring, steady years. But the payoff - continually rising substantial income - is amazing.

In short, forget the here-today, gone-tomorrow investment mentality. We have bigger fish to fry.

Enter today's short-term - and painfully short-sighted - temptation of the day: the brick-and-mortar videogame purveyor, GameStop (GME).

Taking in only the near horizon, the stock couldn't look better. But if that's all you see, and you move on it, you're going to be very, very sorry...

Click here to continue reading...

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