Stocks are hot again, but as in 2000, not all of them are reaping the benefits.
VIDEO ON MSN MONEY
With prices of the yellow metal at a two-week low, this gold fund will deliver big profits if the slide continues
Back in February, gold took a big hit when the Federal Reserve announced it was lifting the discount rate. After pushing briefly above $1,200 an ounce at the beginning of December 2009, the safe-haven metal slumped over 12% in two months to a low of around $1,050.
Here we are about three months removed from that low, and we're right back where we started price-wise -- or at least, we were until gold spiraled downward this week to mark a two-week low.
So everyone is asking the question, "Is gold going lower, or is it going higher?" Well the real question investors should ask isn't about the long-term fate of the commodity but rather how they can play the volatility in the short-term. And the answer to that is bank on a brief correction via the ProShares UltraShort Gold (GLL) ETF. Here's why:
Is just investor confidence crumbling or is the economy crumbling too?
My yardstick for measuring the economy is the monthly report for the
Conference Board's Leading Economic Index published just yesterday. Now comes the bad news. The Index has been positive every month since October 2009. This was the first month that Index reversed itself. The following components were negative, beginning with the largest:
The newly passed financial reform bill includes plans for the derivatives market that could create huge costs for the banking industry and the economy.
By Lauren Tara LaCapra, TheStreet
Bank investors are freaking out, and with good reason: The companies they own have gotten hammered recently and may see up to 36% in additional losses in the weeks ahead, according to one estimate.
The bad news? Financial reform may slash revenue by at least 25%, profits by as much as 75% and force the industry to raise $200 billion in fresh capital. The good news? Things may not turn out quite as bad as those dire, doomsday predictions. The recovery will offset some of the downside, the capital burden may not be placed on shareholders, and bank stocks have already taken a big hit.
The outcome depends on lawmakers. Let's break it down.
With no country driving global growth and the US reining in banks, stocks and economies worldwide will struggle to gain momentum.
Are we headed for a double-dip recession?
On the "Today Show," Matt Lauer asked me whether it’s going to happen in light of unemployment claims and problems in Europe. Three weeks ago I would have said the odds don't favor it, maybe 25% chance, which is why I thought the Dow ($INDU) could stay north of 10,000.
But now it has to be considered a 35% chance, which is why we could see the Dow at 9,500. As Europe dithers, that odds of a double-dip recession will go up by the week. It’s that important.
Consumers aren't happy with the new look of Starbucks' low-priced brand Seattle's Best Coffee.
Starbucks (SBUX) made a splash recently with news that it would be focusing on its Seattle's Best Coffee brand in the coming months as a way to broaden its appeal to consumers who prefer a milder cup of java -- and a lower price point.
Unfortunately, it appears the coffee giant was too busy crunching numbers and not busy enough working on how to present the Seattle's Best brand. A recently redesigned logo is getting panned by the public, with a whopping 68% of consumers saying Starbucks should try again, a recent survey has found.
Derisive comments from bloggers about the logo include "Seattle's Best Blood Bank," among others.
McDonald's executives have no plans to say goodbye to their long-time mascot.
Ronald McDonald is staying, McDonald's (MCD) executives said Thursday, sending a clear message to critics who say that the red-haired mascot manipulates children into unhealthy eating.
"He is a force for good," chief executive Jim Skinner told shareholders. "He communicates effectively with children and families around balanced, active lifestyles. He does not hawk food."
High-quality stocks are falling to bargain prices in this rocky market -- but owning them might cause you to suffer short-term losses.
"What do I do with gold, Jim?" "What do I do with Citigroup (C), Jim?" "What do I do with tech, Jim?"
OK, here's what you do when you are in a bad market. You make judgments -- judgments about pain. These assets are going down. They are going down for a variety of reasons -- bets from hedge funds going wild, fear from Europe that we will be in deflation mode, and worries about government intervention.
So, you have to ask yourself: Can I take the pain if they go down more?
New iPad owners are complaining about lack of support for Flash in the devices.
All are reasons that Apple has decided not to support Flash on the iPad, iPhone and iPod touch. But a recent survey of iPad users indicates that Jobs may have missed the mark when it comes to his customers and Flash.
Who needs the Midas touch when you have the Oprah effect?
You know how it works. The billionaire talk-show queen invites an aspiring businessperson, author, designer, etc., to be a guest on her show, and suddenly that person's project goes through the roof.
Well, The Wall Street Journal reports she's just hired a top money manager to run her personal fortune, and he's no doubt both hoping the Oprah effect works for him, too.
A personal, dedicated money professional is, of course, one of the privileges of wealth. Most of have to work with mutual funds, busy brokers and planners, or simply try to pick stocks all by ourselves.
The wireless chief at AT&T says customers will stay even if Verizon gets an iPhone.
A Verizon iPhone? Pfft. Bring it on. AT&T will survive, says Ralph de la Vega, the head of wireless at AT&T (T).
AT&T has exclusively offered the iPhone in the U.S. for years. But the rumors are growing that Verizon (VZ) may soon also get approval to sell Apple's (AAPL) popular phone.
AT&T isn't worried about a mass defection to Apple, de la Vega says. That's because 70% of its wireless customers are on family plans, and it can be a pain -- and expensive -- to switch out all family members at once, Electronista reports.
The Treasury Department to sell its last remnant of ownership in Wells Fargo this week.
By Lauren Tara LaCapra, TheStreet
The warrants are related to the government's initial $25 billion TARP investment in Wells Fargo in October 2008. With a minimum bid price of $6.50, the offering will reel in at least $716.7 million in proceeds for taxpayers.
Shares of the hipster retailer drop after it widens its first-quarter loss and receives a delisting warning.
By Jeanine Poggi, TheStreet
The Los Angeles-based company also said it might not be in compliance with a covenant under its credit agreement. Non-compliance may impact the company's ability to carry out its operating plan for 2010, American Apparel said in a statement. The company is working with its second-lien lender to amend a covenant regarding total-debt-to-adjusted-EBITDA by June 30.
The New York Stock Exchange also told American Apparel that it must submit a plan to return to compliance by June 1. The company must be compliant by Aug. 16 or face a delisting of its stock.
It's easy to be a naysayer when it comes to bank stocks, but there are plenty of reasons to be optimistic.
When you say something positive and it doesn't work out immediately, you get an "I told you so."
I have been advocating that when the smoke clears, the pain for the major banks -- Well Fargo (WFC), Bank of America (BAC), JPMorgan Chase (JPM) and Morgan Stanley (MS) -- will not only be bearable but will create buying. I exclude Goldman Sachs (GS) because it’s clear that both the Senate and President Obama are not going to rest until this firm is stripped of much of its greatness.
So what happens? At every turn of every potential pitfall, I get emails from people saying, "I told you so."
Chico's, or how finding new investments can be as easy as keeping your eyes open at the mall
Years ago I remember reading an interview with famed investor Peter Lynch in which he was asked how he kept coming up with new and original investing ideas. He mentioned how when he went shopping in the mall with his wife, he'd sit outside a new store he never heard of and watch not only how many people went in and out but how many of them were carrying bags of new purchases. He would then go back to his office and research that company.
I recently had one of those Peter Lynch moments.
I was visiting my Mom in Fort Lauderdale, and since my daughter was going to get married soon on the beach at Isle of Palms near Charleston I thought it might be nice to buy my Mom a new outfit for the wedding
Resist the urge to buy in China's bear market; the better bet is to use caution.
It's official. China is now in a bear market.
Technically defined as a 20% decline following a rally of at least 20%, the bear surfaced in Chinese stocks last week when the Shanghai Composite index posted losses that took it 21% below November 2009 highs.
While it may be tempting to buy Chinese stocks on such a large retreat for stocks of companies working in an economy with robust 11.9% annual growth, it's wiser to remain cautious with this bear.
MORE ON MSN MONEY
Copyright © 2013 Microsoft. All rights reserved.
Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.
For years, Todd Mills pushed Frito-Lay to make taco shells from Doritos. He died from a brain tumor on Thanksgiving.
Top Stocks provides analysis about the most noteworthy stocks in the market each day, combining some of the best content from around the MSN Money site and the rest of the Web.
Contributors include professional investors and journalists affiliated with MSN Money.
Follow us on Twitter @topstocksmsn.
[BRIEFING.COM] The S&P 500 shed 0.1%, registering its fourth consecutive decline. Today's session proved to be a bit of a roller coaster ride for stocks as the S&P 500 opened in the red, rallied into positive territory, fell to fresh lows, and regained the bulk of its losses into the close.
For the second day in a row, the early weakness coincided with heavy selling in Europe. In addition, bonds and risk assets were pressured by a better-than-expected ADP Employment report, which ... More
More Market News
|There’s a problem getting this information right now. Please try again later.|