On April 29, 2020 the Federal Reserve announced that it's going to keep its benchmark interest rate near zero until full employment returns and the U.S. economy is at 2% inflation. Joe Davis, Vanguard global chief economist, sees the central bank holding these near 0% interest rates until 2023. Spending has plummeted and Americans are worried about the economy and are hoarding cash to the tune of $2.17 trillion in bank accounts in March. This makes it the highest savings rate for Americans in nearly 40 years at a time when most savings, money market accounts, and Treasury bonds are yielding next to nothing.
Natalee McIntyre, CEO at Centsibly, shares how the virus has transformed the way Americans are spending.
The following announcement from the Fed couldn’t have come at a better time. Fox Business reported that the Federal Reserve announced it’s eliminating the six transactions per month limit on a person’s saving account and this new rule is effective immediately.
National Activity Index (CFNAI) fell to -4.19 in March from +0.06 in February.
30 million Americans are out of work filing for unemployment, yet the S&P 500 index had an impressive 12.7% return in April, its best month since January 1987. Mohamed A. El-Erian is saying these unemployment numbers are a historic shock to the labor force.
Tenants and landlords brace for a rent strike.
I did an in depth commentary on what happened to crude oil last week. The world continues to run out of space to store oil. Where do we put it? Oil producers scramble to find a place to store their product. I also covered the USO oil ETF in my last post, but some investors did not read my article because they keep going long on an ETF they don’t understand. Economic contrarian Brad Huston documents more rookies making investing mistakes.
Some companies offer dividends as a perk to owning their stock by sharing corporate profits. Corporations usually pay dividends to shareholders each quarter. Many stock market investors have become wealthy owning dividend stocks. Per Bloomberg, in the last three decades, compounding effects of reinvested dividends would’ve accounted for almost half the return of an S&P 500 index fund. Warren Buffet doubles down on investing in the S&P 500 and thinks he can’t even beat it over the next 10 years. But a number of companies recently are either suspending or cutting dividends because of the recent economic slowdown. Shell has cut its dividend for the first time in nearly 75 years, this quarterly bar graph of the past five years speaks volumes for the oil giant. The compounding power of owning a dividend stock is still very attractive in my opinion, case in point Royal Dutch Shell if you would have invested 10+ years ago. I’m slowly moving into dividend investing myself in my Stash account. I’ve been dollar cost averaging into the Schwab US Dividend Equity ETF (SCHD) recently.
Stash Stock Party
Along with SoFi Invest and Acorns, Stash is in my app investing arsenal. Since January 27, Stash has been doing a Stash Stock Party Monday through Friday at 4 p.m EDT where you can get a portion (a fractional share ranging from $0.17 to $0.52) of a daily featured company. Here are the stocks scheduled for the first week of May. The giveaway stock gets boosted when more people participate in the party, but set an alarm because this stock faucet only lasts for 10 minutes.
You do need to have a Stash account to participate. If you join Stash with my link, you can get $20 when you add cash to your new Stash account.
I’ve built a spreadsheet of all the companies with stock symbols Stash has given away free during their daily Stash Stock Parties. Currently, the Google Sheet has all of April and May. I still have to add February and March. I have posted an article for Version 1 of the spreadsheet here.
Berkshire Hathaway held its 2020 Annual Shareholders Meeting on Saturday, May 2. Twitter lit up with the hashtags #WarrenBuffet, #BRK2020, and #BRK trending on 5/2/2020 during the first ever virtual meeting. Good investing history and wisdom to draw from if you scroll through any of those hashtag threads and read.
Warren Buffet’s sold all four of Berkshire Hathaway's airline’s holdings and admits he was wrong on investments in the airline industry.
Warren Buffett is forecasting a possible stock market crash soon.
More on Investing
Ray Dalio, the billionaire behind Bridgewater Associates, talking about where investors tend to go wrong in the stock market.
The best hedge ever netted a single investor a $2.6 billion profit.
A 367-year-old water bond still pays interest.
The two paths to extreme wealth; financialization and technology.
I can’t believe I own more Bitcoin than billionaire investor Mark Cuban. You probably do too. Here’s how much the Dallas Mavericks owner has in BTC.
Blockchain Gaming and Artificial Intelligence
Is the future of gaming in artificial intelligence? Fellow Publish0x blogger Teutoniumon, thinks so. He has been crypto gaming for a while. He thinks Artificial Intelligence (AI) can improve game economy aspects and is the future of blockchain gaming. In his recent gaming article, he mentions many big tech players already in AI like Nvidia, Facebook, Amazon, Microsoft, Google, Baidu, Tencent, and Intel. I pulled the trigger last week on a stock that’s been on my buy list by investing in a company in the AI space. I bought a few shares of Applied Materials (AMAT) through my SoFi investing account.
- SoFi currently has a promo to get $75 worth of stock when you fund your SoFi Invest account with at least $1,000.
The Bitcoin Halving
Will we see some new millionaires with the upcoming Bitcoin halving?
More Crypto News
Anybody planning to virtually attend the crypto focused Consensus Distributed conference next week? It looks worthwhile and it’s free.
Adam Cochran conducted an extensive audit of the top 10,000 Ethereum addresses to delve into what whales are doing with their money. Read it, it’s an impressive report. If you prefer a Tweet storm, here you go.
Celsius reporting that deposits of BTC surged in the last two years.
We’re going to look back in disbelief that there was only $9 billion in stablecoins on Ethereum.
Crypto Fund II the latest on next generation payments, Web 3.0, creative ways to monetize, and DeF.
Bitcoin isn’t a cult, we don’t even like each other. We just all believe in real money.
Unlike Mark Cuban, Twitter’s CEO is bullish on Bitcoin. Jack Dorsey has said, "no one person can stop it." Abhi K recently posted his thoughts on Publish0x about the entrepreneur including the following power quote by Dorsey on Bitcoin, “one of the most seminal works of computer science in the last 20 or 30 years.”
Video Games and Multimedia
May the Force be with you! Rise of Skywalker will be streaming early on what other day then May 4, Star Wars Day. That’s tomorrow! Well played, Disney.
Assassin's Creed sneak peek reveals it is set during Viking age. You can watch an eight hour unveiling by artist Bosslogic digitally painting a piece of art for the latest Assassin’s Creed game Valhalla.
Overwatch League announces tournament format.
An SSD can resurrect your old Sega Saturn and Dreamcast consoles.
The recently discovered prehistoric Madagascar dubbed 'crazy beast' sheds light on mammalian evolution. I think the opossum-sized vermin looks a little like Linoone the Gen 3 creature in my Pokemon Go Pokedex.
Pokemon Go Announces Go Battle League Changes for Season 2.
TikTok has passed 2 billion downloads, reports Sensor Tower. TikTok has the best quarter for any app ever.
David Perell offering great copywriting advice. If you are new to blogging on Publish0x read this masterful tweet on business writing 101.
Coping during the quarantine, according to New York Times bestselling author Gretchen Rubin says, “action is an antidote for anxiety” who has written the books The Happiness Project and Better Than Before. Here are her nine low-cost ways to using your time while sheltering in place.
Some New Yorkers say they may never go back as NYC became ground zero for the Covid-19 epidemic in the United States. Yet, cities have endured over the centuries along with heralding many successes in modern society, such as jobs, economic growth, entertainment, and culture. Neal Freyman, managing editor at the Morning Brew, thinks that cities will eventually return to life, but they’ll look different. Take retail spaces for example, where a store could be a showroom, a delivery warehouse, a restaurant, and a pop-up market all in one. Even traditional “10-year commercial building leases” may go the way of the dodo.
James Currier explains how cities can impact your entire life trajectory.
Ideas and information presented in my articles are for educational purposes only and not intended to be investment advice. Investments in the stock market and cryptocurrency could be speculative and volatile, and result in money loss. Always conduct your own research. You may want to obtain independent legal, financial, taxation and/or other professional advice in respect to any information from this content. I may mention products or services that are affiliate links that reward me.