Here’s a quick look at the most significant economic indicators of the day and what they tell us. International Trade in Goods The U.S. imported $101 billion more goods than it exported in December, the biggest trade deficit for any month since at least 1992, according to preliminary data from the Census Bureau. It’s also the first time it’s broken the $100 billion threshold. (It widened from $98 billion in November....
When you want to know the average returns of a stock, bond, mutual fund, or exchange-traded fund (ETF), you can use the TTM to see how it has done. But what does that mean, and how does it help you as an investor? Learn more about the TTM and how to use it when looking at a stock, bond, or fund. TTM Yield Definition and Calculation The trailing 12-month yield is the average return a fund gave over the past 12 months....
To be successful at flipping houses, you will need: Proper planningTechnical know-howAccessible funding Traditional mortgage loans are rarely the right choice for house flipping. So how do you get the best terms on loans when you’re a real estate investor? Learn why private investors are often the best sources for loans when you’re flipping houses, as well as how to fund your next project. Mortgage Loans for Flipping Houses Loans from banks and traditional lenders are relatively inexpensive because their interest rates are among the lowest you’ll find for investment properties....
In 2019, the U.S. trade deficit in goods alone was $866 billion. The United States exported $1.65 trillion in goods. The biggest categories were commercial aircraft, automobiles, and food. It imported $2.51 trillion. The largest categories were passenger cars, cell phones, and pharmaceutical preparations. Why America Can’t Just Make Everything It Needs The United States could make almost everything it needs. But some countries can make products just as well for a lower price....
A recent survey of 215 first-time buyers shows what some economists have suspected all along—that many people took those pandemic relief checks (three rounds totaling up to $3,200 per person in 2020 and 2021) and applied them toward down payments. As the chart below shows, it was the second-most common answer the real estate firm Redfin received from survey respondents who were asked how they accumulated the money for a house....
The Birth of the DJIA The Dow Jones Industrial Average got its start on May 26, 1896. The Dow was created by a man named Charles H. Dow, one of the founders of Dow Jones & Company (formed in 1882). Dow’s first index was created in 1884. It had 11 transportation-related stocks. He changed the original index (on Wall Street, this process is known as “reconstituting”) and renamed it the Dow Jones Rail Average....
EBITDA is a measure of revenue performance that includes operating costs but excludes several other parts of a business’s finances. In some cases, it can be used instead of a company’s net earnings. If a business is getting a loan or trying to attract investors, EBITDA can be helpful. It gives lenders and investors a view of how a business performs and earns a profit that is different than metrics like operating income, net income, or cash flow....
In order to understand the structure of mutual funds, it is helpful to compare them to other “40 Act Funds”—industry jargon for investment companies registered under the Investment Company Act of 1940. Open-End Mutual Funds You can think of a mutual fund as having an open-end structure because the cash flow door—both into and out of the fund—is always open. In other words, the portfolio manager continues to invest new cash from investors, and the fund company continues to offer new shares of the fund to new investors....
Goldman Sachs, among the most bullish, revised estimates it made last week for gross domestic product (GDP) growth to 7% for the year, up from 6.9%. By the fourth quarter, year-over-year growth is forecast to be 8%, rather than 7.7%, the investment bank said. As a result of the stronger outlook, it trimmed its expected unemployment rate to 4.0% from 4.1%. Goldman Sachs increased its GDP outlook because the $1....
What makes these countries such successful exporters? They have a comparative advantage in at least one of three areas. Some are best at supplying low-cost goods. That’s China, Canada, and Mexico. Germany provides high-quality items. Japan’s strategy is to focus on specific products for targeted markets. Each has adopted the most successful strategies that match their strengths. Here’s what the United States imports from these five countries and why they’re the best at producing these goods for the U....
The increase likely reflects how quickly prices are rising for gas and other items, Shandor Whitcher, associate economist at Moody’s Analytics, wrote in a commentary. It’s also a sign of how strong the American consumer is right now, he said, given the growth in wages and low unemployment. Credit card balances are the bulk of revolving debt balances. Consumers may have been reaching for plastic to fill their gas tanks as the national average for a gallon of gas hit a record high of $4....
The chart below shows how spending on in-person dining has changed in the last two years, broken down by states with vaccination rates above or below 48%. It’s based on spending data released by Earnest Research last week, with vaccination rates from a New York Times analysis of data from the Centers for Disease Control and Prevention. Consumers in states with lower vaccination rates have consistently spent more money on indoor dining than those in more heavily vaccinated states throughout the pandemic, and now they’ve returned to their pre-pandemic restaurant dining habits, the data shows....
Cryptocurrency has become an increasingly popular investment over the past several years. But before investing in Verge or any other digital currency, it’s important to understand exactly what you’re buying into. Keep reading to learn about Verge’s history and mission, as well as how you can invest today. What Is Verge (XVG)? Verge is a cryptocurrency founded in 2014 by Justin Valo to improve upon Bitcoin’s original blockchain technology. The coin was founded under the name DogeCoinDark but rebranded to Verge Currency in 2016....
A Matter of Control Vicarious liability may exist when one party directs the actions of someone else. Typically, the party in control benefits from the acts committed by the other person. Vicarious Liability Example For instance, suppose that Bob is voluntarily helping Ralph, his neighbor, construct a fence on Ralph’s property. Ralph is much more knowledgeable about construction than Bob, so Bob is working under Ralph’s direction. Ralph asks Bob to drive Ralph’s truck to a local hardware store and buy some lumber....
With this historical perspective and pressure, you may think that visionary leadership is rare and certainly not something an average person can have. But, visionary leadership doesn’t have to be world-changing. You may already have visionary leadership and not even know it. What is Visionary Leadership? A visionary leader is an individual who sees the potential for how the world should exist and then takes steps to get there. You can achieve visionary without a leadership role—become an idea guy, for instance....
A hold will be placed on your card for the nightly room rate for the length of your stay when you use your card to check into a hotel. A hold might also be placed for anticipated costs such as food and beverages. Your card will be charged for the actual amount you spend. The block should fall off your card shortly after you check out and your bill is finalized....
Definition and Examples of Normalized Earnings Normalized earnings are earnings that have been adjusted to better reflect the core operations of a business. Normalized earnings can be earnings adjusted for one-time or otherwise extraordinary items, or earnings adjusted for seasonality or cyclicality. In both instances, earnings are adjusted to give a more normal picture. Normalizing earnings is a common practice among business valuation practitioners, but may be problematic for stocks that do it every year....
The number of outstanding shares of common stock fluctuates frequently, increasing when companies issue additional shares to raise cash, initiate a stock split, or when employees exercise stock options. Total outstanding shares decrease if there is a reverse stock split or when a company buys back outstanding shares of its own stock. Let’s look at an example of the fluctuation of common stock. In May 2021, technology company Nvidia announced it would initiate a four-for-one stock split—its fifth split since the company went public in 1999—of its common stock....
But where are the best college towns to retire? And what sets them apart from other cities that have a strong student focus? This list highlights 10 college towns that may be an ideal place to spend your retirement years. Best College Towns to Retire The best college towns to retire are very different but they have certain things in common that make them more attractive for seniors. The factors used to evaluate college towns for inclusion on the list are as follows:...
As you map out your future, these four types of insurance should be firmly on your radar. 1. Auto Insurance Auto insurance is crucial if you drive. Not only is it required in most states, but paying for damaged caused by car accidents is expensive. According to data from 2019, a car accident could cost you more than $12,000, even without any injuries; it can cost more than $1.7 million if a crash is fatal....
