5 of the Biggest Financial Stories From 2019

By Frank Holmes, CEO and Chief Investments Officer for U.S. Global Investers According to the Chinese Zodiac Calendar, 2019 was the Year of the Pig. Investors and traders, I believe, will likely also remember it as the year of the bull. Every asset type, it seems—from large-caps to small-caps, from foreign to domestic, from gold to oil—finished not just up for the year, but up. A significant share of the appreciation—in equity prices anyway—occurred in the second half of the year, following the Federal Reserve’s first rate cut in more than a decade.…

The U.K. Just Said No to EU Socialism. Will U.S. Voters Do the Same in 2020?

By Frank Holmes, CEO and Chief Investments Officer for U.S. Global Investors Let’s begin with a thought experiment. Imagine you wake up tomorrow from a three and a half-year coma. Everything that’s happened in the meantime—the election of Donald Trump, impeachment, Brexit and more—is a complete mystery to you. Now imagine that I try to catch you up on what you’ve missed, but instead of handing you a stack of newspapers and magazines with manic headlines, or logging you on to Trump’s Twitter feed, I show you only the data:…

Is the Fed Gearing Up for a New Round of Quantitative Easing? Here Are the Possible Signs

By Frank Holmes, CEO and Chief Investments Officer for U.S. Global Investors “This is not QE. In no sense is this QE.” That was Jerome Powell in early October, answering a reporter’s question on whether the Federal Reserve’s intervention in the overnight U.S. repo market constituted another round of quantitative easing (QE). No, the Fed chairman insisted, the bank’s $60 billion-per-month Treasury purchases are intended simply to add extra liquidity to the financial system after repo rates spiked in September. Be that as it may, because of the purchases, the…

Why is gold this billionaire investor’s favorite investment

Investors sought safe haven investments on a number of geopolitical risks, including protests in Hong Kong over an extradition bill and an attack on two oil tankers near Iran and the Strait of Hormuz, the world’s busiest sea lane through which a fifth of global oil consumption passes. After placing the blame on Tehran, President Donald Trump now faces a tough decision on how to respond, if at all. Billionaire investor Paul Tudor Jones, founder of and hedge fund manager at Tudor Investment Corp., said in a Bloomberg interview this week that…