Solvency Crisis Looms Over The Economy

The Federal Reserve and the US government together have injected more than $6 trillion into the economy. The US government's spending directly puts money in the hands of its citizens either by creating government jobs, or by sending out paychecks…

The Federal Reserve Kicks The Can Down The Road

The US Stock market has been all over the place. Mr. Market becomes euphoric when any bad news is released, which isn't "that bad". Needless to say, the euphoria continues when there is any good news. With Federal Reserve's "whatever…

Disconnect Between The US Economy and The Stock Market

The stock market, for the most part, reflects the condition of the economy. So, if the economy is in a bad shape, then the stock prices will drop and reflect those worsened economic conditions. Mr. Market has this bad habit…

Why Is The Federal Reserve Not Ready For The Next Recession?

The Federal Reserve plays a key role in jump starting the economy during a downturn. As outlined on the Federal Reserve website, the Congress has directed the Fed to conduct the nation's monetary policy to support three specific goals: maximum…

Tariffs on China Equate to Stagflation in the United States?

This past week, the US Stock market was highly volatile. The markets had big fluctuations because of the trade tension between the United States and China. On May 10, 2019, President Trump tweeted that the United States has started levying…

Billionaire Ray Dalio’s All Weather Portfolio

I first learned about the "All Weather Portfolio" when I was reading Tony Robbins' book - MONEY Master the Game: 7 Simple Steps to Financial Freedom. In this book, Robbins introduced everyone to Ray Dalio, the billionaire hedge fund manager,…

Interest Rates and the Recent Market Conditions

In second half of December 2018, the stock market experienced lots of uncertainty. With the market being up one day and down the next, speculators do not know how to position themselves. It looks like volatility is back and it…

How the US Economy affects the World Economy?

Have you ever wondered how much influence can one country actually have on the world? Let's see how much influence the United States has on the workings of foreign countries. This influence gets stronger by the day due to globalization.…

What moves the United States Dollar?

You might have heard the phrase "strong dollar" and "weak dollar" thrown around by media outlets. What does that actually mean? We discussed in a previous blog post the implication of "strong dollar" and "weak dollar" on economies; if you…

How do Foreign Investments affect the US Economy?

United States is a Superpower, and everyone wants to be a part of this wealth creating machine. In order to fully utilize this machine, it is important to know the impact that foreign countries have on the US Economy. At…