Financial Sense Newshour
Jim discusses the very important topic of dividends this week. Dividends are growing in importance in an environment of low interest rates and financial repression. Jim will also take your Q-Calls this section.
In this segment, Jim looks at the critical issue for today’s Baby Boomers, “Can you afford to retire?” And even more importantly, “If retired, can you afford to remain retired in the future?” Jim also begins a new weekly feature on the Big Picture, “The Market’s weekly Bill of Health."
Jim welcomes back Dr. Marc Faber of the Gloom, Boom & Doom Report this week. Dr. Faber believes shorting the markets can be a risky proposition when the global central banks will print money at the drop of a hat. He believes it is very important to stay diversified in this environment. Dr. Faber recommends dividend-paying stocks, gold, emerging market stocks and real estate. (Transcript Included)
Jim is pleased to welcome back Eoin Treacy, Global Strategist from FullerMoney.com in London. Eoin believes blue-chip dividend-paying companies with global franchises make sense in today’s low interest rate environment and are still undervalued. He is also bullish longer-term on these companies due to their ready access to the growing middle-class in emerging markets around the globe.
When the United States stopped backing dollars with gold in 1968, the nature of money changed. All previous constraints on money and credit creation were removed and a new economic paradigm took shape. Economic growth ceased to be driven by capital accumulation and investment as it had been since before the Industrial Revolution. Instead, credit creation and consumption began to drive the economic dynamic. In "The New Depression: The Breakdown of the Paper Money Economy," Richard Duncan introduces an analytical framework, The Quantity Theory of Credit, that explains all aspects of the calamity now unfolding: its causes, the rationale for the government's policy response to the crisis, what is likely to happen next, and how those developments will affect asset prices and investment portfolios.
Jim welcomes back Brian Pretti this week to discuss the outlook for the balance of 2012. Brian notes the year-over-year numbers are positive, but decreasing. Things feel better in the economy, but it’s hard to determine if they will last.
Jim welcomes technician Bert Dohmen this week. Bert sees a chance for a minor correction ahead, but notes that with all the money-printing in an election year, it should be minor. He also likes the prospects for gold, unless there is a financial crisis like 2008.
In this week’s Big Picture, Jim looks at the serious long-term effects of deleveraging on the markets and the economy, and analyzes how we got here.
In this segment, Jim looks at the growing California fiscal crisis in part 2 of Goodwill Spending. He also discusses the Next Oil Shock, and explains why $4 and $5 gasoline is in your future. Jim also answers more of your Q-Calls this segment.
Jim is pleased to welcome back Grant Williams, Portfolio and Strategy Advisor for Vulpes Investment Management in Singapore and writer of the popular (and free) investment blog 'Things That Make You Go Hmmm...' This week Jim and Grant discuss oil, interest rates and China. Grant is watching the bond market closely, and says when the bubble finally pops, nothing will be able to stop it.