Zero Interest Rate Policy (ZIRP) was instigated by a credit induced collapse of the US financial system and perpetuated in December of 2008 by desperate financial policy makers as a fix to problems they created in the first place.
In reality, it is simply an epic distortion of normal economic signals that cleaned up the mess created by previous policy distortions (like the commercial credit bubble of the Greenspan era) by systematically (5+ years and running) main lining new distortions into the system.
So in addition to this picture, which could one day hang in a monetary museum with the title ‘Grandma and Her Savings Account Bail Out Wealthy Asset Owners’, let’s take a walk down memory lane and marvel at some other pictures created by this policy… Continue reading "ZIRP Era in Pictures" →
In recent days, the financial press has been filled with stories regarding the fifth anniversary of the current bull market. The market bottom came in on March 9, 2009, and few would have guessed that the next half-decade would bring such terrific market action.
Yet March 9 also stands out to investors for another reason: Back on March 9, 2000, the Nasdaq Composite Index hit 5,000 for the first time ever. A few days later, the index went into freefall, eventually moving below 1,500 a few years later. (In a potentially eerie parallel, the Dow Jones Industrial Average has closed lower in each trading session since March 9, 2014.) Continue reading "Should Investors Brace For Another Dot-Com Bubble?" →
Toiling in the shadows of Google (Nasdaq: GOOG), Apple (Nasdaq: AAPL) and many other tech stars in California's Silicon Valley, a team of 1,500 technologists are hard at work on behalf of an unlikely employer: Wal-Mart (NYSE: WMT).
The retail giant has belatedly understood that simply having website for e-commerce won't cut it in the era of social media and mobile surfing. In response, the company is now committing serious resources to its digital efforts.
Will those 1,500 Wal-Mart staffers help turn the company into a leading-edge tech firm? Probably not. But they can identify hundreds of small ways to improve the online shopping experience. After all, consumers now carry the Internet in their pocket, thanks to the proliferation of smartphones.
Continue reading "Wal-Mart Vs. Amazon: Which Should You Buy?" →
Twitter (NYSE:TWTR) has built a digital town square that's teeming with activity but riddled with financial potholes. Seven years after co-founder Jack Dorsey sent the first tweet through the online messaging service, more than 500 million posts are shared each day by everyone from the Dalai Lama to Justin Bieber.
But all the chirping hasn't translated to profits nor is it expected to any time soon.
As Twitter (NYSE:TWTR) prepares to complete its initial public offering of stock this week, the San Francisco company's history of losses totaling nearly $500 million is raising questions about its ability to turn a cultural phenomenon into a sustainable business. Continue reading "Twitter faces a slew of hurdles heading into IPO" →
By Nick Santiago, an Expert Technical Analysist, Chief Market Strategist, President and CEO of InTheMoneyStocks.com, and a gifted teacher in educating other on the truth of the markets.
When it comes to trading, active markets are always the best. If you have traded the markets for a considerable amount of time, you know that the best part of the trading day is within the first hour to ninety minutes. This is a time period when there is typically high volume in the market. Higher volume indicates more participation in the markets, especially by institutions. This activity allows for the key support/resistance levels found on charts to be great trading points. Continue reading "The First Hour is For Binary Options Day Traders" →