Here are the latest items and commentary on current economics news, market trends, stocks, investing opportunities, and the precious metals markets. We also cover hedges, derivatives, and obscura. And it bears mention that most of these items are from the “tangibles heavy” contrarian perspective of JWR. (SurvivalBlog’s Founder and Senior Editor.) Today’s focus is on rising interest rates. (See the Economy and Finance section.)
Precious Metals:
First off, at Seeking Alpha: An Update On The Outlook For Platinum Supply
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China Maintains Gold Reserves at 59.24 Million Ounces
Stocks:
Next, at Zack’s: U.S. Banks Stock Outlook – November 2017
Commodities:
A Very Bullish Case For Commodities. Here is a quote: “Goldman Sachs has put forward a very bullish case for the commodity sector, with metals set to continue their hot streak and oil looking to rebound.”
Derivatives:
Derivative Direction Report – November 06 2017 : Choice Equity Brokering
Economy and Finance (Rising Interest Rates):
U.K. Hikes Interest Rates: ETFs in Focus. The article begins: “Bank of England (BOE) hiked its benchmark interest rate by 25 basis points to 0.5%, reversing the August rate hike immediately after Brexit, as widely expected by economists. Despite relatively weak growth and uncertain terms of Britain’s deal with the EU on Brexit, the central bank hiked the interest rate for the first time since July 2007 in order to curb inflation.”
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November 2017 mortgage rates forecast (FHA, VA, USDA, Conventional)
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When Will Interest Rates Rise?
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Nils Pratley: Interest rate hikes are all about timing, which makes this rise bizarre
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At The Balance: When Will the Fed Raise Rates?
Tangibles Investing:
This was published last May, but it is still relevant: Millennials are Driving the Trend in Real Estate Investment
Provisos:
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News Tips:
Please send your economics and investing news tips to JWR. (Either via e-mail of via our Contact form.) These are often especially relevant, because they come from folks who particularly watch individual markets. And due to their diligence and focus, we benefit from fresh “on target” investing news. We often “get the scoop” on economic and investing news that is probably ignored (or reported late) by mainstream American news outlets. Thanks!
I find it very interesting that the ONE THING no one ever seems to talk about is the fact that everyone is chasing yields.
Prime Iowa Farmland was going for $10,000+ an acre because it returns $300 an acre annually, a .03% return which was better than many other investments. Other investments have been improving returns, so farmland has been dropping. Many people didn’t factor in the management hassle of farmland either I’m sure. I’m sitting it out until the price drops to a reasonable level.
This is just one example among many. I was checking out the P/E of the stock market and it’s a fairly similar story- precisely the reason why the DJIA is so high right now. Now some companies such as CAT are seriously overbought, but the fundamentals of many companies are solid enough to warrant the investment and thus the rise in the DJIA.
Only thing that matters out there folks is the “interest rate” and the “return”.
Stocks p/e are often fake through accounting tricks look for “free cash flow” that is real metric for business health.