InvestYoung

Turbulence In Financial Markets!

Today on Wall Street might not be a good one. Now insurance giant American International Group is struggling with paying out over $100 million to the group that caused their problems. Some say that this group was due over $120 million. But AIG and the real owner, the U.S People are saying take it or leave it. I don’t think these people are due anything, they should’ve fired all of them, contracts or not. Another problem for AIG is that insurance advertising has really picked up on TV, online, and in the streets. Insurance companies are really pushing for our business. This makes for the outcome of the day very hard to predict. Then again who really knows what will happen anymore. The whole financial markets are in a global credit crisis, yes, still today. Think about it for a second, 3 of the 5 biggest investment banks are gone, 2 in one day last year. And now the world’s largest insurance company, AIG will be gone if they don’t turn themselves around soon. The Fed has left the interest rate at zero percent to stabilize the economy.

Recession Still Here!

Do you thing we’re in a typical recession? If you answered yes, you would be wrong. According to data there is nothing typical about what going on. The world markets are very showing volatility never seen before. In a typical recession, stocks will go up about six months before the economy. But it looks like the economy might need to recover first. Every time a few bad reports come out the markets drop like a bad habit, then go back up the next day. We need good results from the economy to turn the markets around. We need good reports from just about every industry out there. Right now the Insurance Industry is getting hit pretty hard. People are losing their jobs, which means there losing their health care, life insurance and even car insurance. These are only a few insurance products I have listed; there are a lot more out there. Sooner or later people will start to seek out a new life insurance rates, healthcare and auto insurance, but only when they find work. So let’s hope for some go reports on the economy this week.

Bartz And Yahoo!

The new CEO for Yahoo Inc Carol Bartz is shaken things up within Yahoo. One of the major changes she’s making is forcing CFO Blake Jorgensen out. Now he’s not leaving just yet, they need to replace him first. Making changes with top officers of a company will either make their stock raise or sank. So hopeful Bartz knows what she doing here. I was reading that Bartz said “People here have impressed the hell out of me.” I’m guessing here, but I don’t think Jorgensen wasn’t one of them. With these major changes going on within upper management it just might be time to get back into Yahoo. After all their still a major player when it comes to search engines. So who knows what will happen next with Yahoo. I think their setting up for a sale to Microsoft, watch and see.

Starbucks In Trouble!

Today Starbucks Corp. released 1st quarter profits, which where down almost 70 percent. That’s a huge percent to be down, that’s almost bankruptcy, which I’m sure will happen in a few months. There’s no way Starbucks can continue to offer $4.00 cups of coffee and stay in business. Most of their customers are the ones losing their jobs. And most of the other people like me are heading to McDonalds for the same crap. Heck, I can’t even remember the last time I purchased a cup of coffee.

Anyway, Starbucks is closing another 300 hundred stores on top of their 600 already planed. Their stating that this will result in about 6000 retail jobs lost and about 700 office jobs. I read that this cut will save them about $500 million this year. Hopefully they will be able to transfer some of those employees across the street to their other store, you know what I mean, and it’s true.