Yield Curve and unforced money?
I am trying to understand why the concede curve is moving "Upward from the shorter to the longer maturities" in times of confident money.My understanding is to be precise the interest rates are low the prices of bonds will be high and the ytm will be low-grade then current give up which in turn is lower then nominal surrender.Sothe curve should be inverted but in veracity it is moving upwards.Can someone explain plzzzzzzzzzzzzAnswers: Because the price of bonds rise while the yields fall over...lotsa hot money bidding up bonds(high demand) on short end drives prices high and higher due to 'sanctuary facet' of bonds.in other words, bonds are within a bubble...Why buy bonds that yield 3% when inflation is 4%? because its a bubble and shortsightedness turned them into 'stock-like' vehicle where 'earnings'(yield) don't event
best you buy gold-- at least it keep up with inflation
Are there any publicly listed timber companies on the NYSE or NASDAQ?
Answers: Yes there are: Check these out:
Advanced Environmental Recycling Technologies, Inc. [AERT]
AmeraMex International Inc. [AMMX.PK]
American Woodmark Corporation [AMWD]
Deltic Timber Corporation [DEL]
Hesperia Holding, Inc. [HSPR.PK]
Jewett-Cameron Trading Company Ltd. [JCTCF]
Koppers Holdings Inc. [KOP]
Leucadia National Corporation [LUK]
Louisiana-Pacific Corporation [LPX]
Masco Corporation [MAS]
MASISA S.A. [MYS]
MAXXAM Inc. [MXM]
Patrick Industries, Inc. [PATK]
Pope & Talbot, Inc. [PTBT.PK]
Pope Resources, A Delaware Limited Partnership [POPEZ]
Trex Company, Inc. [TWP]
Universal Forest Products, Inc. [UFPI]
West Fraser Timber Co. Ltd. [WFTBF.PK]
Weyerhaeuser Company [WY]
All of these companies are publicly traded (and I've included the stock symbols.
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I am sure there are companies involved in the timber industry, but why not look at a wood ETF. See http://www.shareworld.co.uk for lists of ETFs
I am trying to write an article on investing in timber for shareworld. Is anyone interested in helping out?
Why is the European stock bazaar dropping beside reports of the US recession?
Break it down. I'm kind of lost.I get the drift that the Europeans and Asians are invested in our financial open market and the European export will be affected, but the watered down dollar is making euro stronger, so wouldn't the US recession boost their economy surrounded by a way too?
Answers: A anodyne dollar is not good for Europe. A in poor health dollar means a strong Euro, this is hurtful to European businesses as European exports are reduced (internationally, they are too expensive for foreigners to buy). Furthermore, European consumers variety foreign purchases instead of domestic purchases because it is cheaper for them. Best example is to look at Canada, the Canadian dollar has be getting stronger and stronger. This Christmas season, Canadian retailers were hurt really discouraging because US consumers would not make expensive purchases surrounded by Canada, and the Canada consumer would make their purchases surrounded by the US as it was much cheaper than purchasing within Canada.
Keep in mind that a recession is not necessarily going to create a watery dollar. A weak dollar is due to the continued lowering of interest rates (which may or may not be lowered during times of recession). The lowering of interest rates increases the supply of money, thereby reducing the significance of the dollar. There will be a point where the Fed will stop lowering interest rates because they do not want to spur on too much inflation.
If we run into a recession coupled near high inflation, things are going to look massively ugly.
Europe have it's own economic problems, that are not a short time ago caused by problems contained by america