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US Bank Stocks Pull Back

Shares of some of the major financial companies dropped on the heels of some dovish comments by some of the major banks on Monday.


Bank of America and JPM Morgan Chase announced that earnings in Q2 will be muted and believe that the total revenue earned for the 2018 year will be flat from the prior year. Daniel Pinto, the head of JP Morgan Chase announced this prediction for the year which helped to temper the run on stocks in financials and other companies.


Pinto provided some additional insight into the flat earnings prediction. He predicted that the core earnings of JP Morgan Chase would grow in the single digits, but that minor growth would be offset by other items. Pinto noted some positive headway in terms of growing interest rates that come on the back of rising interest rates from the Federal Central Bank, rising commodity prices, and improvement in the corporate credit business. The bank did have a major write-off of about $100 million on its fixed income unit.


The Head of Banking at Bank of America, Alastair Borthwick indicated that he couldn’t predict the remainder of the year, though he does see that companies tend to be gaining optimism for the macro economy, which is typically a good sign.


The flat revenue target came as a big disappointment to investors who were expecting that these stocks and companies would grow as a result of an overall growth of the economy. Other factors can also harm banks such as a decreased need to borrow money on the back of tax relief for businesses, which leave them flush with cash and decrease their need to borrow domestically to avoid repatriating foreign sourced cash.


Both Bank of America and JP Morgan Chase were down on the news. Both of these stocks decreased by approximately 5% on Tuesday. These bank stocks have been flat for 2018 after bouncing back from the lows in 2009 and recovering to prices that are close to their pre-crash highs.


Investors seem to be increasingly anticipating a pull back in these financial stocks and the lack of optimism and price reduction may end up being a positive thing for the larger market which may need to consolidate before reaching new heights.

George Soros Warns Of Pending Financial Crisis

George Soros, the iconic billionaire is concerned that the world will soon experience another financial crisis. Soros, while speaking in Paris on Tuesday, says that factors including the disruption of the deal with Iran, increased negative feelings toward the European Union, a soaring dollar, and divestment in emerging markets have combined to potentially create negative effects in the global economy.


Soros said through previously prepared remarks that many things have gone wrong with the European Union and the rise of populism on the continent has become a serious issue.


Soros expanded on these thoughts by saying that strict policies have served to instigate the euro crisis. Soros also explained that the resulting anti-European movements that resulted from these policies share some responsibility for the Brexit crisis as well as the political turmoil that has recently taken place in Italy.


Soros went on to say that young people have grown disillusioned with the European Union and blames the entity for depriving them of jobs and promises of the future. Populists politicians, according to Soros, have effectively exploited these resentments to further their own parties and movements.


Soros pointed to the growing disagreement between the United States and Europe regarding relations with Iran as another major concern that could have negative implications on the global economy.


Soros said that the decision by United States President Donald Trump to no longer honor a previously signed nuclear arms treaty with the Iranian government has in effect destroyed the transatlantic alliance. Soros added that Trump has succeeded in shocking the entire world with his actions.


Soros feels that the end of the deal will directly result in problems for the European economy and other locations just as a strengthening dollar is causing investors to abandon emerging market currencies.


Despite the warnings, Soros did express some optimism that financial turmoil can be avoided.


One measure Soros suggests is a new Marshall Plan, funded by money that can be borrowed by the European Union, that would properly address the problem of refugees in Africa. The original Marshall Plan was enacted by the United States in an effort to rebuild Europe in the wake of World War II.


Soros expressed that there would be difficulty in getting the many countries in the EU to stand in accord on the matter but said that reality may dictate that personal interests be set aside to preserve the union.

A Messy Day For The World’s Stock Markets

Markets around the globe took a beating on Tuesday due to investors being worried about the rising political tensions in Italy. The political crisis in the country could lead to the nation’s withdrawal from the Eurozone, which would follow in the footsteps of Britain, a country that voted to leave it 2 years ago.


Investors sold out of bonds in southern Europe, and the Italian banks and stock markets were jittery due to concerns that Italians may do away with the euro. In terms of some of the worst performances in European stock markets, the Italian and Spanish markets suffered losses of around 2.5%. Stocks in Britain and Germany under performed as well, which was quite expected with the sour news from Italy.


The Dow Jones industrial average closed down 391 points, a slight improvement from the lowest point of the day which was a drop of 505 points. Along with the Dow, the S&P 500 also suffered a loss, as well as the Nasdaq Composite and the Russell 2000.


In terms of this year as a whole, the Dow Jones industrial average is down 1.45%, while the S&P 500 so far stands at a slight gain.


Continuing with the US market, financial stocks took the largest beating, with JP Morgan Chase dropping 4.2%, Goldman Sachs down 3.4%, and American Express sinking 3.3% in late-day trading. Coca-Cola was the only Dow stock finishing in the green instead of the red, barely keeping positive ground before the closing bell.


With regards to the anxiety in the marketplace, billionaire investor George Soros added to the negative sentiments, stating that he believes the globe is headed for yet another financial crisis. The hedge fund manager and philanthropist cited increasing negativity towards the European Union, the United States withdrawing from the Iran Nuclear Deal, and a rising dollar as recipes for a worldwide financial disturbance.


On CNBC Tuesday morning, economist Mohamed El-Erian also shared negative views towards the globe’s overall financial future, stating that the seeming worldwide economic boom may not be exactly what most people thought.

Is America in Debt More Ways Than One? Here’s How to Get Out of Debt Starting Today2018 Number One Debt Solution

Article: Its Official Most Americans are Currently In Debt by Maurie Backman (TMFBookNerd)

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Although we live in one of the richest countries in the world, we are currently $21 trillion dollars in debt. It is a well-know fact that America is run on debt. We are in financial debt as a result and when interviewed, most have ever considered the trickle-down financial affect the overall national economy could possibly have on us as individuals.

According to the Comet’s data in a recent article, Most Americans are Currently In Debt, Maurie Backman (February, 2018), there are many suffering debt, but the following groups are in overwhelming debt:

– 80.9% of baby boomers

– 79.9% of Gen Xers

– 81.5% of millennials

This debt primarily consists of living expenses such as mortgage(s), credit cards, automobiles and unfortunately medical debt.

According to the legal and banking industries, mortgage debt contributes to the majority of bankruptcy filings in the United States.

Statistically speaking, millennials have abused credit card debt the least, yielding an average of $4,868 in average credit card usage versus the $8,291 for Gen Xers and $7. 175 for baby boomers.

Regarding mortgages, it appears the younger generations have signed up for the highest mortgage amounts and although mortgage debt is considered the “better debt”, this has contributed to a constantly flowing stream of bankruptcy cases this year alone ( Motley Fool Newsletter (April, 2018)).

The purpose of this article is to assist in providing steps to get out of debt that are practical and simple. Here are a few things you can do right away and some tips that are assisting our clients:

– Get organized – budget calendar, spending logs, what’s affordable?

– Figure out what you owe, make a chart for repayment and consolidate debts

– Multiple credit cards can be rolled into a single card and interest rates negotiated (balance transfer)

– Use a low interest long-term repayment personal loan to consolidate multiple debts (student loan, auto, wedding loans). One payment is simpler to make than many.

– Refinance home and/or auto for reduced principal and interest to save money for the short and long-term. It may lower your monthly payments.

– Student loans can be recast and there are income-based repayment options and loan forgiveness plans, so call your provide to ask.

– Medical bill providers and credit card companies are willing to negotiate settlements, which could save your credit and create better repayment options. They will still get paid something vs. nothing.

– Steer clear of debt for a few years at least

– Create an 8 year emergency fund (for unplanned events)


Commit to cash and carry for awhile today. Cash is king and there is a freedom in not having or securing future debt burden. Taking action can not only relieve the debt and the stress too! Look for our future articles and click the link below for reference.

A Sneak Peak Into Michael Burwell’s life

The Chief Financial Officer of Willis Towers Station was recently interviewed by Ideamensch concerning his life. He had much to say about his life. His day begins at 5 in the morning. He then makes his bed as it makes him feel that he has accomplished something. After preparation, he gets his Peleton bike or looks for one and thinks about what he needs to accomplish for that particular day. At the beginning of a month or week, he gets to reflect on the upcoming month or week respectively.

His organization consists of many individuals that have bright ideas and therefore he tries to make the ideas are brought to light and don’t stay buried. The trend that most excites him was InsureTech. When asked about what advice he would give to his younger self, he said he would tell his younger self that collaboration doesn’t really equal consensus. Consensus will also lead to one having the lowest common denominator. And the final advice would be to be careful when trying to make everyone happy, although it is always nice if one can do it. See This Article for more information.

When asked about something that’s true but no one agrees with him about it, he said that he believes technology needed to support growing micro-communities would be key. He also went on to say that the one thing he would over and over and recommend to everyone would be to be a good listener and build one’s network. Michael Burwell further went on to say that everyone has something interesting about them and that the question he posed is whether we really have time to know what it is. He concluded on this question by saying he tries to be in the moment when communicating with people and engaging them so as to understand them.

The one strategy that has helped him grow his business was being positive and relentless even though everyone will try to undermine you. Mike Burwell spent more than three decades at PriceWaterHouse Coopers LLC. During his time in PWC, He served on business advisory services for more than a decade. He was elected as a partner in the year 1997 where he moved into PWC’S Detroit transaction business. He went on to be the company’s Chief Financial Officer in the year 2009. His success in PWC led him to be the Vice Chairman Global and U.S. Transformation enabled PWC to grow even further. Mike Burwell is a business graduate of Michigan State University and was named the university’s alumnus of the year 2010. He is also a CPA. He replaced the current CFO because the current CFO retired.



Source: https://interview.net/qa-with-michael-burwell-cfo/


Credit Card Debt and What it Means for You

If you are currently in credit card debt, you know the problems that this could mean for you and your family. This is a real issue for a lot of different people, since millions of individuals all over the country are in some type of debt. Out of all ways to get into debt, credit cards are still the number one cause of debt. If you are dealing with credit card right now and are struggling to see the light at the end of the tunnel, you need to know ways that you can overcome the problem and get your finances back on track where they need to be.

The most important thing to remember is that credit cards should only be used for emergency purposes. If you’re using your card for just about any and every purchase that you make, you’re going to find that this is what causes a lot of problems for you and your family. If this has been an issue, it might be time to close out certain accounts, consolidate and work through the debt so that you owe less. While closing accounts may affect your credit score, this is well worth it when considering you won’t be stuck with a credit card any longer.

You can also work with a financial expert who is trained with debt consolidation specific to credit cards so that you can be sure you’re getting rid of the problems once and for all and will not have to worry that this is a problem for you in the future. Plus, a lot of people find that when they are trying to get out of debt, they have a lot of problems and are unable to do this on their own. Now is a good time for you to take a look at this as a viable option and for you to know that this is a choice that is going to change your finances and have you feeling better about the situation that you have gotten yourself into and are noticing that this is something that is going to be a whole lot better for you.

The Ability to Save Money on Food is a Matter of the Mind

The thing about food that few people fail to realize is that they can save so much more if they put forth the effort. There are a ton of food hacks that would give people the chance to save money on food. It just all comes down to being mindful of what you are spending. Some people find themselves buying with credit cards and they not really think about how much they are actually spending. Others put too much money into food that they may not even eat. This is something that may seem convenient at the time, but it can be a real budget buster.

Delivery service can also be costly. If you are going to pay for service from take out options you may almost find yourself paying as much as you would for a meal over time. It is not going to be worth it for you to order take out on a regular basis because it is going to be far too expensive if it is being delivered.

Another thing that you really have to think about when you are trying to save money on the food that you are eating is that it is always a good idea to do more cooking. So many people get into the habit of buying pre-prepared things that have already been cooked. These are items that just need to be warmed up. Granted, it is convenient to have these type of items sometime, but stalking the entire refrigerator with items like this will definitely set you back. There is no need to buy ready made pancakes when you can get pancakes in a box that you can make yourself for a dollar.

People that are trying to save money on food should not base every purchase on something from the grocery store. There are a lot of items at a Dollar Tree or Dollar General store that can get you better values for your money. It is going to be worth it to shop around and check out print ads for sale. Check the ads online before you shop.

Chris Linkas tips on how to secure your future.

As a young person, you might think you have so much time and do not need to rush into things like investing, however according to Chris Linkas who is a financial advisor; it is essential to think about your future as early possible primarily because the economy keeps on changing things have become more unpredictable. To stay on the safer side, one needs to consider investing.

Chris Linkas has been in the financial industry for many years, this has given him an opportunity to sharpen his skills, and he has acquired vast knowledge on matters concerning finances. In his line of work, Chris has worked closely with people in their 20’s and has been able to guide them and advice them on the importance of saving, investing as well as dealing with debts accrued during their time in college.

Chris Linkas gives us some of the reasons young people should consider investing still at an early age.

  1. That compound interest will make a big difference.

When you invest your earning there is interest received, this is the compound interest. When one starts investing at an early age the years of investing and re-investing will show a change in the compound interest compared to someone who started saving or investing later in life.

  1. Investing early gives one a sense of responsibility.

One becomes more responsible with their spending, you have a goal to achieve every month this will change your spending habits and in most cases for the better. This lessons learned on expenditures are critical in future.

  1. Investing improves the quality of life.

This is one of the most notable changes; everyone wants to have a good life, access to health care, be able to visit places. By investing all the good things will follow. You ask how? This is how once you start investing you always have the desired goal it might be saving for a home; the other advantage is that since you are still young, you can save for your dream house for instance and enjoy a good life after many years of work.

Final remarks.

Investing early guarantees a good future and you will always be ahead of your peers doesn’t winning feel nice, so take it this way when you invest early that a win for you.


Graham Edwards To Lead Housing Department For Center Of Policy Studies

Organizations all across Britain are scrambling to adjust policy that will address the unique set of issues that promise to present themselves now that a post-Brexit Britain is now at hand. One organization giving their attention to these matters is the Center for Policy Studies, the UK think tank that was begun by founders Margaret Thatcher and Sir Keith Joseph in 1974. The Center began with the mission to promote free society principles and has played a large role in the issuance of free-market economics.


The CPS has recently enlisted the aid of a distinguished group of thinkers to provide the organization with insight pertaining to their particular areas of knowledge. One intriguing selection by CPS was the choice of Graham Edwards to become the leader of the organization’s housing policy initiative.

Graham Edwards is the current chief executive officer of Telereal Trillium, the biggest property company that is privately owned in the UK. The experience Edwards has gained working with Telereal Trillium will prove extremely useful while working with CPS. Graham Edwards has been with Telereal since 2001 and played a major role in the company’s successful growth that now includes ownership of 8000 properties.


Graham Edwards himself was the person responsible for a transaction that saw 6,700 properties be transferred from BT to Telereal and has taken a lead role in many dealings with the company over the years.


Edwards was deeply involved in the industry of property investing before joining Telereal and received his degree from the University of Cambridge. After securing his education in economics, he landed jobs with Merrill Lynch as a fund manager and headed the finance division of the property department of the BT Group.


In addition to housing being a central theme to the efforts of CPS, the group will also take a long and hard look at other issues like welfare, tax issues, cost of living, as well as issues concerning business and enterprise. The state mission of the Center is to provide individuals with the necessary tools to provide themselves with a sense of control and ownership of their own lives.

Benefits of Consolidating Your Credit Card Debt

If you have a credit card, chances are pretty good that you have some type of debt to go along with it. Credit card debt is a whole lot more common than you might think, with the vast majority of Americans being in about $6,000 in debt. If this has been a problem for you, it’s time to consider the benefits of choosing a professional to help with debt consolidation. Consolidating your debts might seem like a real project, but it is a whole lot easier than you might think. What it means for you is putting your credit cards all onto one easy and low-interest payment. Plus, the expert can work with creditors to reduce what you owe, so this can wind up saving you money in the long run.

Once you begin to work with a professional to consolidate your debts, it is important that you find someone who is going to be able to help you. There are lots of debt experts out there who claim that they can help all of their clients, but this simply is not true. Now that you know about this as an option and know that this is something right for you, it’s time that you made use of this as a viable option and to see if this is something right for you. Now is a good time for you to look into hiring such an expert who can help with credit card debt.

Once you start getting rid of your credit card debt, it is just a matter of figuring out what you need to do and what to expect out of the process as well. Because there are so many reasons for you to consolidate your debt problems, now is a good time for you to take a look at this and see that it is going to be a huge difference for you in the long run. Make sure that you take a good look at this and see that this is something right for your own personal needs and for the health and well-being of your future finances.