Archive for the ‘World News’ Category

Nov
09

SAN DIEGO (ETFguide.com) – Warren Buffett is finally spending some of Berkshire Hathaway’s cash hoard. And he’s buying a railroad company. As the greatest investor of our generation, does his latest acquisition signal a market bottom?

Dissecting the Deal

Buffett’s firm, Berkshire Hathaway (NYSE: BRK-ANews), agreed to buy Burlington Northern Santa Fe Corp. (NYSE: BNINews) for $100 a share valuing the deal at $44 billion.

Over the past year, Burlington’s stock price has lagged the performance of its peer benchmark, the Dow Jones Transportation Average (NYSEArca: IYTNews). Read more…

Nov
02

The U.S. economy got to play “trick or treatâ€? early and ahead of the Halloween festivities with several economic indicators.  New home sales and consumer confidence clearly were tricks with numbers being very disappointing. But equity investors got a treat on Thursday as real GDP posted a stronger-than-expected 3.5 percent annualized gain for the quarter.  The relatively strong number sent the “equities-are-in-correctionâ€? traders scurrying for cover—or rather short covering for the day.  Nonetheless, the question remains—how strong is the recovery and is there reason to believe equities are a little ahead of where economic growth is really headed? Read more…

Sep
30

It is only a number — the stock market equivalent of an appliance chain’s millionth customer, or the gazillionth hamburger served at McDonald’s.

Still, the Dow, which closed up 124.17 points, at 9,789.36, on Monday, is within reach of 10,000. Who would have thought?

At the depths of Wall Street’s crisis, when traders were despairing and shares of Citigroup were trading for just over a dollar, Dow 5,000 seemed a likelier prospect than this.

But now, one of the most-watched measures of the financial world is on the cusp of jumping back to five-digit territory.

That does not mean the economy’s problems are over, or that 401(k)’s are going to be made whole anytime soon. In fact, this milestone could even stall the rally if enough investors use it as an opportunity to cash in their gains, analysts say. Read more…

Aug
24

Watch this interesting view points of Peter Peterson on National Debts; former chairman and co-founder of the Blackstone Group and the author of ”The Education of an American Dreamer.” He pointed out how America got into such a big mess and he is trying to make a difference in setting up a foundation to help up the issue.

Read more…

Aug
07

In the good old days, farmers knew better than to yoke a bull and an ass together to plow the field. The yoke would be uneven and no good would come from it. How about a bull and a bear, would those two harmonize?

We shall find out soon. Unknowingly, investors have been watching a bull and bear work together simultaneously. We have a stock market bull and an economy bear. How so? Read more…

Aug
05

The $787.2 billion stimulus plan is a lightning rod for criticism and second guessing, but love it or hate it, the massive program’s funds are flowing as planned.

According to Obama administration figures that date back to July 31, $240.4 billion, or more than 29%, of stimulus funds are now available for use. That’s better than the roughly 25% that the Obama administration estimated for the end of July.

Just $120.4 billion, or 15% of the stimulus total, has actually been paid out so far.

“Available for use” means that federal agencies have set aside fund for approved stimulus projects. Read more…

Aug
03

Some investors rely purely on mathematics when deciding which stocks to buy or investments to make. But many investors make those decisions relying to a considerable degree on imagination and faith, too.

These “story” investors envision a future path for the world, sometimes improbable, build a case for it, and then think, “How can I make money on that?”

Here are five such broad scenarios that many investors are considering today, at a moment when the economy and financial markets seem to be at a key transition point, from recession to uncertain recovery.

Some of these scenarios are in competition with each other, but all have their adherents, and all present opportunities.  Read more…