The War on Cash and Then on Gold

Posted on by The INO.com Team

Technical analyst Clive Maund says liquidity issues with banks could lead to restrictions on cash and precious metals.

The global financial system continues to groan under the strain of the accumulated weight of trillions of dollars worth of debt and derivatives, which have built up to even more fantastic levels than those that precipitated the near collapse in 2008, thanks to the policy of solving liquidity problems near term by creating even more debt and derivatives, Quantitative Easing being the most obvious example. However, while the majority considers the situation to be hopeless, there is actually "light at the end of the tunnel."

cash and gold

If only a way could be found to freely tap the funds of savers at will, by imposing duties or taxes on bank accounts, with the additional option to appropriate savers' funds on occasion as required, then the systemic liquidity problems will be solved. Banks need never fear solvency problems again and they can simply fall back on the account holder's funds to meet any obligations. There are in fact already names for these restorative operations, they are called "bails-ins" and NIRP (Negative Interest Rate Policy). Continue reading "The War on Cash and Then on Gold" →

So The Fed Raised Rates: Why Is the Market Acting Surprised?

Posted on by George Yacik

George Yacik - INO.com Contributor - Fed & Interest Rates


It never ceases to amaze me how some people still react to and hang on to the words of former authoritative figures long after they’ve ceased to be relevant.

The other day 76-year-old Martin Sheen – Charlie’s father, for those under 40 – led a group of liberal has-beens and C-list “celebrities” urging Republican members of the Electoral College not to authenticate Donald Trump’s election. Does Sheen really believe people still care about what he thinks, if they ever did? Guess so.

While I admit that Janet Yellen and the other members of the Federal Reserve have hardly reached Martin Sheen status as irrelevant, I have to wonder about the market’s reaction to Wednesday’s decision by the Fed to raise interest rates an entire quarter point. Why did anyone care? Continue reading "So The Fed Raised Rates: Why Is the Market Acting Surprised?" →

Canopy Positioned to Dominate with $430 Million Bid for Mettrum

Posted on by The INO.com Team

Analysis originally distributed on Decemberber 7, 2016 By: Michael Vodicka of Cannabis Stock Trades

Two of my favorite cannabis stocks reported great news.

On December 1 Canopy Growth Corp (TSX:CGC), Canada’s largest medical marijuana company, announced a $430 million bid to purchase industry rival Metrum (TSX.V:MT).

This is one of the most important events of the year in the cannabis industry.

If the merger is approved by regulators and shareholder it would the single largest merger in the history of the young cannabis industry.

It would help solidify Canopy’s status as the giant of the Canadian medical marijuana market.

The combined company would have a market cap of more than $1 billion, 655,000 thousand square feet of annual production capacity and the potential to capture half the entire Canadian medical marijuana. Continue reading "Canopy Positioned to Dominate with $430 Million Bid for Mettrum" →

Weekly Futures Recap With Mike Seery

Posted on by The INO.com Team

We've asked Michael Seery of SEERYFUTURES.COM to give our INO readers a weekly recap of the Futures market. He has been Senior Analyst for close to 15 years and has extensive knowledge of all of the commodity and option markets.

Michael frequently appears on multiple business networks including Bloomberg news, Fox Business, CNBC Worldwide, CNN Business, and Bloomberg TV. He is also a guest on First Business, which is a national and internationally syndicated business show.

Gold Futures

Gold futures in the February contract settled last Friday in New York at 1,161 an ounce while currently trading at 1,135 down about $25 for the trading week retesting prices that we haven't seen since early February as this bearish trend is getting stronger to the outside on a weekly basis. I am currently sitting on the sidelines as the chart structure never met my criteria to enter into a short position as I was actually looking at a bullish position in silver but prices dropped dramatically, so I avoided the trade as I'm currently looking at a possible short position in the copper market. Gold prices settled last year at 1,065 still up about $75 or about 6% for the year & traded as high as 1,387 on July 6th as that is how far prices have fallen all due to a strong U.S dollar. Continue reading "Weekly Futures Recap With Mike Seery" →

CVS - Overreaction or Justified Selloff?

Posted on by Noah Kiedrowski

Noah Kiedrowski - INO.com Contributor - Biotech


Introduction

CVS Health (NYSE:CVS) recently reported what was ostensibly another great quarter reporting a year-over-year increase of 28% and 16% in EPS and revenue, respectively. After reporting its Q3 earnings, CVS sold off 17%, moving down from $84 to $70 at market open. I’ve written several articles putting forth the case that CVS presents a compelling investment opportunity in the growing healthcare space. My investment thesis was based on the fact that CVS has been highly acquisitive, continues to deliver robust earnings growth, revenue growth, growing dividends and has an aggressive share buyback program in place. With its recent acquisitions of Target’s pharmacies and Omnicare, these proactive measures will significantly expand its presence and ability to dispense prescriptions to the general public and in long-term care facilities. As healthcare costs and prescription drug costs continue to rise and the population continues to age with the elderly comprising a larger segment of the overall population, CVS looked poised to benefit. Recent marketplace trends have forced CVS to cut guidance for Q4 2016 and the full-year 2017 numbers. Given this dichotomy between the company’s historically strong fundamentals and share price, was this an overreaction or was the selloff justified? Continue reading "CVS - Overreaction or Justified Selloff?" →