|
| Home | About Us | Resources | Archive | Free Reports | Market Window |
The U.S. dollar declined [on Wednesday], reaching multi-month lows against some major rivals Wednesday, as equities gained traction, reducing the need for the safe-haven the U.S. currency has provided throughout the credit crisis.
The dollar index, a measure of the greenback against a basket of currencies, dropped to 81.222 from 82.108 on Tuesday. It earlier touched 81.181, the lowest in five months.
The dollar index, a measure of the greenback against a basket of currencies, dropped to 81.222 from 82.108 on Tuesday. It earlier touched 81.181, the lowest in five months.
- MarketWatch
A modest rebound in single-family home construction in April raised hopes Tuesday that the three-year slide in housing could be bottoming. But with the supply of unsold homes bulging, foreclosures rising and prices falling, no broad recovery is expected until next spring at the earliest.
The Commerce Department said construction of new homes and apartments fell 12.8 percent last month to a seasonally adjusted annual rate of 458,000 units – the lowest pace on records going back a half-century. Applications for new building permits dropped 3.3 percent to an annual rate of 494,000, also the lowest on record.
The Commerce Department said construction of new homes and apartments fell 12.8 percent last month to a seasonally adjusted annual rate of 458,000 units – the lowest pace on records going back a half-century. Applications for new building permits dropped 3.3 percent to an annual rate of 494,000, also the lowest on record.
- Newsmax
-
The Biggest Reason to Get Excited About Investing in Agriculture
By Chris Mayer Wednesday, May 20, 2009 The Biggest Reason to Get Excited About Investing in Agriculture -
Up 800% on My Favorite Gold Stock... Hundreds More to Come
By Dr. Steve Sjuggerud Tuesday, May 19, 2009 Up 800% on My Favorite Gold Stock... Hundreds More to Come -
This Country Is the World's Most Likely Candidate for Hyperinflation
By Tom Dyson Monday, May 18, 2009 This Country Is the World's Most Likely Candidate for Hyperinflation -
What I Learned at the Best Investment Conference of My Life
By Dan Ferris Saturday, May 16, 2009 What I Learned at the Best Investment Conference of My Life -
This Indicator Holds the Key for Investors
By Tom Dyson Friday, May 15, 2009 This Indicator Holds the Key for Investors
The Secret to India's Three-Month, 100% Gain
By Dr. Steve SjuggerudThursday, May 21, 2009
Indian stocks have doubled since March 9. (That's in U.S. dollar terms, measured by shares of PIN, the U.S.-traded India ETF.)
Back on January 9, I told you, "This is a heck of an opportunity... The last time Indian stocks were close to this cheap (mid-2003), they rose roughly 750% in U.S. dollar terms until they peaked at the end of 2007."
The biggest individual investment I personally made in the last six months was buying an India-based hedge fund. Why did I buy?
Because of the situation at that moment...
As I wrote in that January 9DailyWealth issue, I bought because "there's nobody left to sell." It wasn't about buying "value." Indian stocks appeared to be unbelievably good values when I bought... but that wasn't it. My Indian fund manager friend said it well: "We have crisis prices, with no crisis."
Buyers had disappeared... and there was nobody left to sell.
It was like the entire country was in a foreclosure sale on the courthouse steps... There had been so many sellers for so long and no buyers, the market was way below any rational level.
I couldn't be sure when Indian stocks would go up again. But I was confident they would... The situation they were in would change at some point, and I figured it would happen soon.
The problem was "liquidity" – trading had dried up. Buying into an illiquid situation is dangerous. You simply don't know when the selling will end. And without liquidity, it's hard to cut your losses if you need to – there are no buyers.
But the problem is also your opportunity... When trading activity returns, shares can jump like you can't imagine. On Monday, for example, the entire Indian stock market rose 17%!
To capture gains like you see here, you have to be positioned in advance.
Of course, sometimes markets go into a "zombie" state, and it takes years for them to get back to normal trading. So, honestly, I don't recommend this technique for most people. You'll get burned more than you hit the jackpot.
But back in January, the "foreclosure sale" in Indian stocks was so outrageous, I felt compelled to buy. Now the liquidity has returned. And we've seen the huge gains.
Earlier this year, I couldn't have been more optimistic about India... I said you have "the potential of triple-digit returns in as soon as a year." I hope you took me up on it.
If you didn't... Well, it's not too late. As I wrote in January, "If 2003 repeats, you'll see 750% in less than five years... or better."
Good investing,
Steve
Editor's note: Steve Sjuggerud is a regular contributor to DailyWealth, a free investment newsletter focused on the world's best contrarian opportunities. We write with a simple belief in mind: You don't have to take big risks to make big money with your investments.
Sign up today to read more investment ideas from Steve Sjuggerud.
Back on January 9, I told you, "This is a heck of an opportunity... The last time Indian stocks were close to this cheap (mid-2003), they rose roughly 750% in U.S. dollar terms until they peaked at the end of 2007."
The biggest individual investment I personally made in the last six months was buying an India-based hedge fund. Why did I buy?
Because of the situation at that moment...
As I wrote in that January 9DailyWealth issue, I bought because "there's nobody left to sell." It wasn't about buying "value." Indian stocks appeared to be unbelievably good values when I bought... but that wasn't it. My Indian fund manager friend said it well: "We have crisis prices, with no crisis."
Buyers had disappeared... and there was nobody left to sell.
It was like the entire country was in a foreclosure sale on the courthouse steps... There had been so many sellers for so long and no buyers, the market was way below any rational level.
I couldn't be sure when Indian stocks would go up again. But I was confident they would... The situation they were in would change at some point, and I figured it would happen soon.
The problem was "liquidity" – trading had dried up. Buying into an illiquid situation is dangerous. You simply don't know when the selling will end. And without liquidity, it's hard to cut your losses if you need to – there are no buyers.
But the problem is also your opportunity... When trading activity returns, shares can jump like you can't imagine. On Monday, for example, the entire Indian stock market rose 17%!
To capture gains like you see here, you have to be positioned in advance.
Of course, sometimes markets go into a "zombie" state, and it takes years for them to get back to normal trading. So, honestly, I don't recommend this technique for most people. You'll get burned more than you hit the jackpot.
But back in January, the "foreclosure sale" in Indian stocks was so outrageous, I felt compelled to buy. Now the liquidity has returned. And we've seen the huge gains.
Earlier this year, I couldn't have been more optimistic about India... I said you have "the potential of triple-digit returns in as soon as a year." I hope you took me up on it.
If you didn't... Well, it's not too late. As I wrote in January, "If 2003 repeats, you'll see 750% in less than five years... or better."
Good investing,
Steve
Editor's note: Steve Sjuggerud is a regular contributor to DailyWealth, a free investment newsletter focused on the world's best contrarian opportunities. We write with a simple belief in mind: You don't have to take big risks to make big money with your investments.
Sign up today to read more investment ideas from Steve Sjuggerud.
OUR INFLATION HOUND IS GETTING LOUDER AND LOUDER
Our gold stock rebound trade is turning out to be a monster...
In early December, we recommended buying gold stocks as a way to play a rebound in 2008's most beaten-down assets. The gold stock ETF (GDX) is up 68% since then. But as we mentioned here, the GDX also a world-class "inflation hound."
Right now, governments around the world are "bailing out" everybody who can't balance a checkbook or show up for work in the morning. Tax receipts are falling because of the recession... so the only way to get more bailout money is to create it out of thin air. This new paper money dilutes the value of your bank account. In other words, the government is quietly stealing money from you.
This stealing makes folks flock to "real wealth." And by real wealth, we mean gold. That's why gold stocks are creeping higher. As you can see from today's chart, the GDX is jumping in big leaps and bounds right now. Our inflation hound is barking louder and louder...
In early December, we recommended buying gold stocks as a way to play a rebound in 2008's most beaten-down assets. The gold stock ETF (GDX) is up 68% since then. But as we mentioned here, the GDX also a world-class "inflation hound."
Right now, governments around the world are "bailing out" everybody who can't balance a checkbook or show up for work in the morning. Tax receipts are falling because of the recession... so the only way to get more bailout money is to create it out of thin air. This new paper money dilutes the value of your bank account. In other words, the government is quietly stealing money from you.
This stealing makes folks flock to "real wealth." And by real wealth, we mean gold. That's why gold stocks are creeping higher. As you can see from today's chart, the GDX is jumping in big leaps and bounds right now. Our inflation hound is barking louder and louder...