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McDonald's: 'It's A Treasury Equivalent'
- Jim Cramer compared McDonald's stock to a Treasury.
- There are several reasons he is wrong.
- Income alone is not a prudent way to evaluate the safety of an investment.
Who's Afraid Of The Big Bad Deflation?
- Falling oil prices are making some people question whether deflation is on the horizon.
- There are several reasons often cited for why we should all want to avoid deflation.
- Those reasons don't hold a lot of weight in today's reality.
QE Forever Is What Stocks Want
- Investors can thank the Fed for Thursday morning's big bounce.
- How can value investors trust that their analysis holds long-term weight when QE is propping up stocks.
- The longer the Fed postpones ending QE and raising rates, the worse the selloff will be when those things eventually happen.
As Yields Plunge, Are You Focused On The Wrong Thing?
- I've recently come across several articles referencing the Fed's dot plot as a reason to expect higher interest rates in the near future.
- The Fed has a poor history of predicting when it will hike rates.
- Investors should not rely on the Fed's dot plot as an accurate gauge for predicting interest-rate movements.
One Thing Stock Market Investors Need To Understand
- At the end of bull markets there are value traps galore.
- Earnings estimates take time to catch up to prices.
- Serious investors must consider the possibility that a bear market has commenced.
Equity Investors: Now Is The Time For Patience
- In the post-financial-crisis world, the stock market hasn't performed well without QE.
- San Francisco Fed head John Williams indicated he'd be open to more QE if the economic outlook changes "significantly".
- For a variety of reasons, it's time to be patient.
Commodities And The Dollar: This Chart Says It All
- After the price declines of recent months, investors may be tempted to try to pick a bottom in commodities.
- Before buying commodities, there's a chart you need to see.
- Gold isn't the only commodity that seems to have an anti-dollar component to its pricing.
USO Versus USL: The Best Way To Buy Oil
- Two ETFs that track WTI light, sweet crude oil are USO and USL.
- Just because USO is the more popular of the two doesn't mean it's always the better one to own.
- Depending on a variety of scenarios, USL may be preferable to USO.
HYLD - A High-Yield Bond ETF With A Twist
- Read a fund's prospectus before you buy it.
- HYLD is known as a high-yield bond ETF.
- There's something many investors may not know about this "bond" ETF.
Something You Need To Know About These Commodity ETFs
- CORN, SOYB, and WEAT are three ETFs that track the futures prices of corn, soybeans, and wheat.
- For long-term investors, fund expenses are an important consideration.
- The expense ratios in CORN, SOYB, and WEAT are very high, making them more suitable for trading rather than owning over the long term.
Bond ETF Data You'll Want To Bookmark
- There are all sorts of considerations to keep in mind when purchasing a bond fund.
- One such consideration is the trailing-12-month distributions of a fund, which helps investors track how a fund's yield behaved over time.
- Bond fund prices, yields, and distributions may be too unpredictable for many income-focused investors.
It's Time To Sell Hewlett-Packard Bonds
- Hewlett-Packard announced plans to split the company into two.
- The press release did not include details about how it will divide its debt and cash.
- It's time to sell Hewlett-Packard bonds.
Is Ben Bernanke Really 'Betting On Higher Interest Rates'?
- A recent article claims Ben Bernanke is "betting on higher interest rates".
- Nothing I can find in the press supports the idea that Bernanke is "betting on higher interest rates".
- When was the last time you heard of a "bubble" popping in an asset class in which most everyone is bearish?
Here's What's Wrong With HYG
- I have three strict requirements for investing in bonds.
- HYG has experienced periods of falling prices and falling yields-on-cost.
- For me to feel comfortable investing in HYG, it would require significantly lower prices.
4 Reasons The Jobs Report Stinks
- The headline numbers in the latest employment report look good.
- The headline numbers don't tell the whole story.
- There are four reasons the latest employment report stinks.
S&P 500 Earnings Data You'll Want To Bookmark
- Retail investors don’t always have access to information that institutional investors can access in the blink of an eye.
- S&P 500 earnings information can be a useful tool when forming an opinion about the markets.
- This article provides 20 years of historical S&P 500 earnings data as well as recent forward projections.
Verizon's Stock Is No Longer A 'Bond Substitute'
- Buying certain stocks as “bond substitutes” has been a fashionable trend in recent years.
- A new emerging trend toward issuing 20-year bonds offers a happy medium between the low yields associated with 10-year debt and the extremely long maturities associated with 30-year debt.
- Higher bond yields and a new 20-year bond make Verizon’s stock less appealing as a bond substitute.
Petrobras - Up To 7.25% Yields From This Energy Giant
- Despite today’s low-interest-rate environment, the bond market still provides occasional opportunities.
- Petrobras has a new six-part bond offering with yields up to 7.25%.
- I think the 10-year notes are the most attractive part of the offering.
- These Charts Speak Louder Than Words
- One Thing You Didn't Know About The Latest Jobs Report
- Unconventional Thoughts On Best Buy
- Adding Perspective On The Stock Market Sell-Off
- Buy Target While It's In The Penalty Box
- High-Yielding Preferred Stocks Start 2014 With A Bang
- 3 Things Every Stock Market Investor Should Consider
- The Financial Lexicon Positions For 2014: Individual Bonds Are The Way To Go
- Toll Brothers Bonds: Is 5.51% An Attractive Yield?
- The Case For A 0% Bond Allocation Is Weak
- 7% Yielding Preferreds For Income-Hungry Investors
- Thinking About Selling Stocks? Consider This First
- Diversifying Your Stock Portfolio - How You Do It Matters
- There's Still No Rush To Buy IBM