Articles About Trading & Investing

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…

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…

Modern Monetary Theory Is Just Plain Stupid

1 | By Shah Gilani

The suddenly simple answer to funding the Green New Deal, Medicare-for-all, free college, and two Teslas in every garage, making the rounds as Modern Monetary Theory (MMT), is a joke.

Only no one should be laughing.

MMT is not only dangerous for reasons that no one’s bothering to bring up, but also it’s just plain stupid.

Here’s why MMT is really a proposition, why it’s dangerous, and how stupid you must be to believe it’s legitimate

The Real Problem(s) With the Fed

1 | By Shah Gilani

There’s a problem with the Federal Reserve.

Actually, there are tons of problems with the Fed.

Besides the fact that they shouldn’t exist at all, they are always behind the curve on everything.

Take interest rates, for example.

One of the biggest things the Fed does (the biggest is bailing out their too-big-to-fail bank constituents when they implode into insolvency from their greed) is manipulate interest rates.

The Fed’s original fake mandate was to manipulate rates to effect stable prices – in other words, to curb inflation when it reared its ugly head and guard against deflation when it cast a shadow on the economy.

Not that it matters, because it is what it is, but the Fed’s timing in manipulating rates is mostly what causes inflation or deflation.

Today, we’re going to talk about the wool that’s been pulled over everyone’s eyes, and what the Fed should be doing.

But first, I’m going to share something amazing and potentially very profitable.

Let’s get to it

Elon Musk’s Twitter Ego Could Destroy Tesla

0 | By Shah Gilani

Elon Musk, the founder, chief executive officer, and former chairman of Tesla Inc. (NasdaqGS:TSLA), is in trouble with the Securities and Exchange Commission (SEC)…

Again.

This time, he’s in hot water for doing what he agreed not to do in the September 2018 settlement he made with the SEC over his infamous August 2018 “Am considering taking Tesla private at $420. Funding secured” tweet.

What happened this time and what led up to it isn’t just a problem for Musk, it’s a problem for Tesla.

And it’s all coming to a boil

Elon Musk and Jussie Smollett Have the Same Problem

1 | By Shah Gilani

Poor Elon Musk, he just can’t get enough attention. Apparently, Jussie Smollett has the same problem.

Good thing for one of them there’s a difference between them.

In terms of their crimes, in Smollett’s case the wrongdoing is alleged, while in Musk’s case he signed his own admission.

I’m not interested in Jussie Smollett’s big part on a waning show on the small screen or his small life off-screen and his desire to be on TMZ, which turned into national news.

But I am very interested to see if the TMZ-lite of Wall Street, the SEC, slaps Elon Musk on the wrist again for his latest crime – or does its job properly, once and for all.

You can follow the Smollett saga on TV (be careful what you wish for, Jussie).

But you’re not going to get the “inside edition” of what’s happening with Tesla Inc. (NasdaqGS:TSLA), what could happen to Musk, and how you can make money on the situation anywhere…

Except for right here at Wall Street Insights & Indictments.

Let’s dive in…

What the New JPMorgan Cryptocurrency Means for the Price of Bitcoin

2 | By Shah Gilani

The price of bitcoin rose 8.6% from the end of last week to yesterday, February 18, on news that JPMorgan Chase & Co. (NYSE:JPM) was launching the first-ever major bank-backed cryptocurrency, JPM Coins.

Apparently, after Jamie Dimon, JPMorgan Chase’s chairman and CEO, called bitcoin a “fraud,” saying in October 2017, “If you’re stupid enough to buy it, you’ll pay the price for it one day,” the big bank honcho has had second thoughts.

Something changed for Dimon and JPMorgan Chase, and today I’ll tell you what a bank coming to market with its own coin means for bitcoin and other cryptocurrencies – and it isn’t what you think.

Later, I’ll show you how you to learn more about bitcoin – and maybe it’ll help you form an opinion on the controversial cryptocurrency

Europe’s Canary in the Coal Mine is About to Croak

0 | By Shah Gilani

Deutsche Bank Aktiengesellschaft (NYSE:DB)’s “troubles” aren’t just a concern for the survival of Germany’s largest bank; they’re the same troubles most European banks face.

Frighteningly, those troubles collectively threaten the future of the European Union and, by extension, global markets.

That makes Deutsche Bank Europe’s canary in the coal mine.

Bond and equity markets better be listening to the chirping noise coming from Frankfurt, because it’s getting louder.

Let’s talk about what’s ailing Deutsche Bank and what DB tells us about other European banks. Then we’ll get into how the European Central Bank (ECB) is the common thread in their flawed knitting, and what could happen to bond and equity markets if the canary croaks.

And, later, I’ll show you a way you can make money no matter what the ever-evolving market conditions are

Buybacks Aren’t Inherently Evil, But…

5 | By Shah Gilani

Last week, senators Chuck Schumer (D. NY) and Bernie Sanders of (D. VT) co-authored an opinion piece in the New York Times titled, “Limit Corporate Buybacks” with the subtitle “Corporate self-indulgence has become an enormous problem for workers and for the long-term strength of the economy.”

They’re right that buybacks should be limited, but wrong about their impact on workers and the economy.

So, today I’ll tell you what the senators got right, what they got wrong, and how buybacks should be treated.

But before we dive right in, let me share a quick tidbit on how you can get your share of a multi-billion cash pool