Archive for March, 2019

Yield Curve Inversion Talk is Wasteful Gossip

0 | By Shah Gilani

Talking about the yield curve is usually a turn-off for most investors.

That’s because the relationship between any two bills, notes, or bonds that make up the yield curve is wonky at best, and only interesting to bond traders who calculate things in basis points.

But, suddenly, everyone’s talking about the yield curve, the inversion of a part of the curve.

Here’s what the fuss is about, how listening to it is a waste of time, and what it means for stocks

President Trump’s Fed Governor Pick Could Be the Beginning of the End

2 | By Shah Gilani

Last Friday, President Trump announced his pick for one of two vacant Federal Reserve board of governors seats.

If the candidate, Stephen Moore, gets through the vetting process and is confirmed by the Senate, he could be the ultimate infiltrator who upends the Fed, meaning he’ll brings about its destruction.

That would be great because the Fed’s a private central bank that owns the United States’ currency, sets interest rates that affect every aspect of the economy, and bails out its constituent big bank owners when they implode themselves chasing profits.

Only the remedy could be worse than the disease.

Here’s who the candidate is, how he could undermine the Fed, and what the consequences might be

Lyft’s IPO Won’t Be Worth the Ride

0 | By Shah Gilani

There’s a magical unicorn coming our way, and we’re being offered a ride high into profitable skies if we grab its horn and jump on.

At least that’s what Lyft’s IPO bankers and early investors want us to believe.

The truth is there’s no such thing as a unicorn in real life (in business, a unicorn is a private company that investors claim is worth more than $1 billion), and Lyft isn’t any kind of highflying substitute.

What the upcoming Lyft IPO is more likely to be is a fat payday for bankers, underwriters, and especially early investors, and a bucking-off of late-to-the-party IPO share buyers.

And while Lyft may not have much higher to go, if you’re still interested in learning about IPOs, I have the perfect IPO opportunity for you

Bayer’s Weed Killer Causes Cancer – Now What?

2 | By Wall Street Insights and Indictments Staff

Bayer AG (OTC:BAYRY) is under fire now as a jury found that a man developed cancer from exposure to Roundup weed killer. This is the second case to go to trial over the allegations – and there are more than 11,000 pending lawsuits that claim the same. And according to Shah Gilani on Varney & Co. this morning, an 11% drop in stock price is only the beginning of the hardships to come for Bayer… Click here to watch.

The Frightening Truth Behind the Boeing 737 Max 8 Crashes

5 | By Shah Gilani

As if two new Boeing 737 Max 8 jets crashing and killing 346 people isn’t frightening enough, government investigations might reveal even more frightening news.

Like the fact that Boeing didn’t require pilots who were certified on 737s to get certified on the new Max 8 aircrafts.

Or like the fact that Boeing marketed the cost savings of the lack of these certifications as a positive.

These facts, and yes, they’re facts, not speculation, are just the tip of the iceberg that sank the Titanic, or rather, brought down the 737s.

Today, I’m going to tell you the real story of what happened, most of which has been kept from the public.

And, as a bonus, when Boeing flops, I’ll show you a way to play the airspace sector…

I Want to Own Facebook Stock, But…

0 | By Shah Gilani

There was a time when Facebook Inc. (NasdaqGS:FB) was one of my favorite stocks. I mean, I loved it and thought it would be something I’d probably never sell.

Then, all kinds of negative press hit the stock – and my opinion of its worth.

While I’m presently out of FB, I want to buy back in at some level.

The problem is I don’t think the company’s cleared the hurdles that brought it down. The stock probably has lower to go.

FB has made routine mistakes, and one particular lame maneuver it just pulled says a lot.

Here is what’s holding me back from buying the stock and what you can do in the meantime before jumping in…

The Finest of the FAANG Stocks

0 | By Wall Street Insights and Indictments Staff

When it comes to the FAANG Stocks – Facebook, Amazon, Apple, Netflix, and Google – plus Microsoft, it can be difficult to choose which one of these heavy hitters to invest in. But with Microsoft being about 2.5% away from its all-time high and being the most resilient amidst the turbulence of October through December 2018, Shah Gilani says that Microsoft would be the one to buy… Click here to watch.

Any Trade Dispute Resolution with China Will Still be a Problem

2 | By Shah Gilani

While I’m cautiously optimistic there will be a trade dispute announcement out of the proposed late March summit between President Xi Jinping and President Trump, it won’t be great.

In fact, it will probably be just enough of a positive kind of “we’re going to keep working on it and agree to agree” announcement, with lots of concessions and positives to move the markets up, possibly to new highs.

My optimism is based on the needs of both presidents to make nice for their own reasons.

President Trump wants the stock market to go a lot higher and knows clearing the economic forest of tariffs and uncertainty will do that.

President Xi desperately needs a deal because China’s economy is slipping into indebted slow-growth (and possibly stagnation) and exports are still China’s lifeblood.

But, there’s a big difference between the removal of tariffs and a comprehensive trade deal that covers what’s really at the bottom of the two nations’ “trade” dispute.

And the chance of that happening is exactly between slim and none.

Here’s why…

The Markets Will Be Flat Until the China Deal Comes Through

0 | By Wall Street Insights and Indictments Staff

Unsurprisingly, the markets are dead flat this morning as they hang on every word that comes from Washington and China. As our very own Shah Gilani has said multiple times on Fox Business’s Varney & Co., he believes that the markets will remain flat until we get a deal – and a positive one, at that. Once the news hits, it’ll be enough to move the market higher… Click here to watch.