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| How to Protect Your Money and Profit From the U.S. Credit Crisis |
| Sunday, 20 January 2008 | ||||||||
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Bad news for the country’s major financial institutions is pouring in so fast it’s hard to keep track of it all. Investors are growing more pessimistic as the nation’s biggest financial institutions including Merrill Lynch & Co., Citigroup Inc. and JP Morgan Chase & Co. continue to report dismal numbers from the sub prime fallout. Recently Citigroup, the nation’s largest bank, received $18 billion in bailout money from outside investors, including a whopping $6.88 billion from the Government of Singapore Investment Corp. Other investors were Capital Research Global Investors, Capital World Investors, the Kuwait Investment Authority, the New Jersey Division of Investment, shareholder Prince Alwaleed bin Talal of Saudi Arabia and former chief executive Sanford Weill and his family foundation. Citigroup is posting staggering losses including a recent fourth-quarter loss of $9.83 billion, or $1.99 per share, compared with earnings of $5.13 billion, or $1.03 per share, during the same quarter in 2006. Citigroup's revenue fell to $7.22 billion in the fourth quarter, down 70% from $23.83 billion generated during the final quarter of 2006. If you think this will put an end to America’s sub prime credit crisis, think again. The U.S. economy is headed for a major downturn. The bad news is already shaking the gains out of Wall Street. The major indexes all lost ground, including the Dow Jones industrials, which finished down nearly 250 points. To make matter worse, American Express Corp. sent shock waves through the market after reporting that slowed consumer spending and increased delinquencies on credit-card payments will hamper profits throughout 2008. “When Amex comes out and says that some of their well-to-do cardholders are having problems making payments that's just not good news,” said Brandon Thomas, chief investment officer of Portfolio Management Consultants, the investment arm of Envestnet Asset Management. Even helicopter Ben Bernanke can’t save the U.S. economy. Wholesale inflation shot up 6.3% in 2007, the largest amount in 26 years. When Bernanke and his team of 11 Open Market Committee members decide the fate of interest rates, you can bet they’ll cut them. When that happens, they will slash the yield investors can make on their money in the U.S. -- and hammer the last nail in the coffin of the U.S. dollar. This is no longer an issue of what’s going to happen or even when. The U.S. is already suffering the worst housing bust and mortgage meltdown of recorded history. Now, the only questions remaining are: What do you do about it? How do you safeguard your nest egg? How do you turn lemons into lemonade and transform crisis into opportunity?
We’ll answer those questions and more in the Taipan Group’s first ever video summit, “How to Protect Your Money and Profit From the U.S. Credit Crisis.”The video summit is absolutely FREE, but I need to know you’re participating. Time is running out. Reserve your spot right now before all slots are taken. Hurry! Sincerely, S. Lee Franks S. Lee Franks Executive Publisher The Taipan Publishing Group
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