Overvalued Stocks are Ruining the Economy - Rory Hall
September 13, 2017
From our perspective, the the corporate stock buybacks have been doing
major damage to corporate America. If these companies were not buying
their own stock for the past three years their “price” would be half or
less than it is today. Who in the right mind believes Amazon’s stock is
worth upwards of $1,000 per share? What is this based on?
The damage corporate stock buybacks has done to the economy can not
be over-emphasized. If the “C” level executives are simply “recycling”
company stock and driving the price higher they are unable to reinvest
in the company. This means no new equipment, no new hires, no R&D
and the list continues. This is destructive to the economy. Nothing
Now we see the S&P littered with overvalued stocks. This is not
going to end well and as the economy continues to rot-on-the-vine as “C”Read More
About Article Author
Established in February 2008, Sprott Money Ltd. is a leading precious metals wholesale, institutional and retail dealer selling gold, silver and platinum bars, coins and wafers online and over the phone. Sprott Money's storage program gives clients the ability to store their precious metals in multiple storage facilities located in Canada, the United States and internationally. Sprott Money Blog, which covers world events, geopolitics and of course precious metals.
Observations Russell 2000 Index reaches an all-time high. Energy stocks on both sides of the border, led by oil service stocks were the strongest sector. A move by WTI Crude Oil above $52.00 per barrel also helped the sector. S&P Technology Index led the U.S. equity market on the downside, br ...
The Louisiana Offshore Oil Port has seen a month-on-month drop in heavy Latin American crude imports, impacted by high regional prices and falling Venezuelan crude production. Month on month, LOOP has imported about 355,740 fewer barrels so far in September than it did in August, according to data ...
The Canadian dollar depreciated on Monday hit by rising risk aversion as geopolitical events around the world dominated headlines. The German elections over the weekend showed that not even the largest member of the European Union is immune to the rise of eurozone opposition within its borders. The ...
September 25, 2017 Carl Menger, father of the Austrian School of Economics, showed the world that money is not the product of the state. He did not mean that government is intrinsically incapable of decreeing something to be money while other groups, organized for different purposes, could do it. H ...
Many invest in precious metals to diversify their portfolios and hedge against global turbulence. Volatile markets and an ever-evolving political climate have produced a new awareness of alternative investment options and the peace of mind provided by physical asset ownership. Individual retirement ...
Brent and WTI explode higher as global tensions uncap Brent’s long-term resistance. The wellhead was uncapped, and oil gushed higher overnight with Brent rising nearly four percent and WTI three percent. Sabre rattling rhetoric from Iran and North Korea sent jitters through the market, but it is ...
Brompton Group has announced (although not yet on their website because they’re … um, well, I’ve sent an eMail to my friend ChrisC): Life & Banc Split Corp. (the “Company”) (TSX:LBS)(TSX:LBS.PR.A)is pleased to announce it is undertaking an overnight treasury offering of class A and prefer ...