Archive for the Michael Douville Category

The Next Recession will be EPIC! Featuring Michael Douville

Posted in Michael Douville, Uncategorized with tags , , , , , , , , , , , , , , , , , , on May 24, 2018 by paulthepoke

Ecclesiastes 3

1 For everything there is a season, and a time for every matter under heaven:

2b a time to plant, and a time to pluck up what is planted;
3b a time to break down, and a time to build up;
5a a time to cast away stones, and a time to gather stones together;
6 a time to seek, and a time to lose; a time to keep, and a time to cast away;
7 a time to tear, and a time to sew…

MichaelSomething has changed! A Global down turn is underway; it can be seen in the Industrial statistics, the”Yield Curve” Spreads, the Baltic Dry Index. The slowdown can be seen in declining  Home Mortgage Applications and increasingly higher Auto loan delinquencies;  much, much higher credit card debt with slower repayments. Not surprisingly, the Spring Real Estate market in many regions of the US are exhibiting slowing sales when Property sales should be seasonally expanding. These are all signs of an aging Business Cycle.

This happens in Free Markets; it happened in 2010, 2012, and a longer decline in 2015. Each decline was met with Global Central Bank interference in the form of massive Liquidity injections via purchases in the Equity Markets and massive purchases of all forms of Bonds and Debt Instruments. Maybe a not so “Free market”.

Something has changed! Instead of ZIRP (zero interest rate policy), rates are rising! Instead of Massive Global Central Bank purchasing in a declining market, the Federal Reserve is actually selling! In April of 2017, the Central Banks were purchasing at the rate on $1.7 Trillion Dollars; tapering in April 2018 to an alleged big fat ZERO! The ECB is still caught supporting the European Markets as is the Bank of Japan for the Japanese Markets. The simple reason is that no else is willing to enter theses markets; no one entering at the current reduced and manipulated rates!

Something has Changed! Without the Financial Credit Pulse of coordinated Global Central Banks, Volatility and RISK have reappeared. The support has been removed and The Federal Reserve has announced not only are they NOT purchasing, but they are selling; $8 Billion Feb 5, 2018 alone. It is time to Pay Attention!!!

Recession-ahead

Your Wealth is at Risk! Americans 55 years and older  have a 70% of their Nest Egg in the Stock Market and 20% in the Bond Market; rising rates devastate Bond Funds! Those approaching retirement age are not “in it for the long Haul!” There is not enough time to recoup losses before the funds are needed.  There are times to be Aggressive and times to be Conservative; the Fed has transparently announced their intentions. This may be a time to be very conservative. In fact, one does not need to be fully invested 100% of the time. Without support, the Markets are free to act the way Markets are suppose to act. The next downturn could be EPIC!

Something has changed! Your Future is at stake! Now might be a very appropriate time to review your goals and concerns with your Financial Professional. Maybe an “Exit Strategy” should be developed with a goal to transfer into different asset classes.

https://michaeldouville.com

michael@michaeldouville.com

 

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Time to Raise Cash…Featuring Michael Douville

Posted in Michael Douville with tags , , , , , , , , , , , , on May 3, 2018 by paulthepoke

Leviticus 19:35-36 You shall do no wrong in judgment, in measurement of weight, or capacity. You shall have just balances, just weights, a just ephah, and a just hin; I am the LORD your God, who brought you out from the land of Egypt.

Proverbs 11:1 A false balance is an abomination to the LORD, but a just weight is his delight.

Currency manipulation is global issue. The above verses are two of many examples provided in Scripture. All currencies are not balanced the same. Imagine that, the world’s economy is out of balance in regards to the standard of the Bible. All currencies are not created equal. There are global economic consequences when standards are out of balance and there is reconfiguration. God is not a big fan.

 

Michael

Many Researchers have been forecasting a rising US Dollar. This seems like an impossibility, but technical methodology from several different disciplines are coming to the same conclusion. A top researcher in March placed a 103.8 target from 88.1; currently, the dollar has risen to 92.46. Should the target be exceeded, a Spike could develop going much higher. The Dollar rose .7% on May 1, 2018 alone.  A strong dollar will pressure the repayments of debt across the Globe in an environment of struggling Municipalities, States, and Sovereign debtors. A stronger dollar will not only change the repayments dynamics, but the exports in Emerging Market Countries are affected as Commodities expressed in US Dollars lose value.

A stronger Dollar is enhanced not only by the perception that the US Economy will be stronger than any other, but also by the Interest Rate differential across the Globe and the avowed Federal Reserve policy of raising short term rates. Higher rates from both the Federal Reserve and the LIBOR affect 40-60% of all Global Debt; currently exceeding the 2008 Debt Record and now over $217 Trillion Dollars. Charles Nenner called the 10 year Treasury low at 1.6% in July of 2016. The trend line from 1981 has been broken at the 2.65% level and has now exceeded 3%; better than an 85% increase. With the trend line broken, rates could rise swiftly and approach 4.5% faster than thought possible. Normalization is occurring as Central Bank intervention recedes. Normal could easily be 5-6%; a double from here.

Prices in asset classes will be affected. Housing prices will be compressed as rates rise; Home buyers buy based on payments. Higher rates equal lower affordability; some Luxury Markets are already affected!  Equity prices will be affected as repatriated funds are reduced inversely with a stronger dollar. The US Dollar has depreciated 24% since the Presidential election. Take for example a US manufactured auto sold for 20,000 Euros in Germany in December 2016; the same car sold for 20,000 Euros in December 2017 netted the US Manufacturer 20+% more profit due to the Dollar decline; great news for Stock Prices. Bad news when the US Dollar rises; the same formula works negatively in reverse. Look for earnings to decline; stocks are correlated to earnings. Need I mention Bonds? Higher rates will decimate Bond values as well as higher rates will cause many more defaults across the Globe, again affecting the value of Fixed Income. Commodities will also be negatively affected by a spiking US Dollar as it will take fewer Dollars to purchase in local Currency as well as higher rates will certainly curb demand.

What to do? Everything cycles! Raise cash to purchase assets at lower US pricing. Research is indicating it will probably be a Spike; vicious, but not exceedingly long term. This will present HUGE opportunities for those prepared. Every Investor has personal goals. Review your portfolio and make the proper adjustments.

michael@michaeldouville.com

https://michaeldouville.com

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The Yield Spread, a Sign of Economic Turmoil?…Featuring Michael Douville

Posted in Michael Douville with tags , , on April 20, 2018 by paulthepoke

Deuteronomy 23:19-20 You shall not charge interest to your countrymen: interest on money, food, or anything that may be loaned at interest. You may charge interest to a foreigner, but to your countrymen you shall not charge interest, so that the LORD your God may bless you in all that you undertake in the land which you are about to enter to possess.

Michael

Interest free lending would promote national unity and good will toward your fellow countryman. It is a matter of looking after your neighbor and brother. Financial collaboration would be an outcome. People would be more interested in the success of others.

God does not want us to take financial advantage of our fellow man. These loaning practices were built into society by God. He understands the capacity of greed demonstrated by humanity. Don’t shaft your neighbor.

These financial concepts are nowhere to be seen in today’s economic world. Most people are not aware these statutes exist. Would our lives be economically easier if this were in place today? What a concept, it is a universal blessing from God if one loans interest free to their countryman.

April 2018: The Yield Spread is down to .43, is this a sign of economic turmoil to come? Watch this short video to learn about the Yield Spread, lowest level since 2007. See the video link for Michael’s analysis.

 

Do you have all your money in stocks and bonds? What happens if we see a sharp reduction in the markets. Have you prepared your life boat? Michael talks about alternate ways to make income without worrying about the markets. Check us out at https://michaeldouville.com. The first consultation is always free. Michael’s Book, How to Create a Real Estate Money Machine and Retire with Income, is available on line. Email Michael at michael@michaeldouville.com

 

Tough Times Ahead…Featuring Michael Douville

Posted in Michael Douville with tags , , , , , on April 2, 2018 by paulthepoke

Proverbs 30:24-25 Four things on earth are small, but they are exceedingly wise: the ants are a people not strong, yet they provide their food in the summer…

Michael

Economic Indicators from around the world point to Tough Times Ahead. Learn how to prepare for them, especially geared toward Real Estate Investors.

Video was originally posted by Michael on March 8, 2018. He has been talking about a market correction since the summer of 2017…

 

https://michaeldouville.com

michael@michaeldouville.com

 

Taking Care of the Elderly…Featuring Michael Douville

Posted in Michael Douville with tags , , , , on March 20, 2018 by paulthepoke

Proverbs 23:22 Listen to your father who begot you, And do not despise your mother when she is old.

Leviticus 19:32 ‘You shall rise up before the grayheaded and honor the aged, and you shall revere your God; I am the LORD.

1 Timothy 5:8 But if anyone does not provide for his relatives, and especially for members of his household, he has denied the faith and is worse than an unbeliever.

Over 50% of people are retiring with no income. People over 75 are going back to work at alarming numbers. What is happening to our elderly population?

There will always be a rainy day. Prepare for it.

 

Do you have all your money in stocks and bonds? What happens if we see a sharp reduction in the markets. Have you prepared your life boat? Michael talks about alternate ways to make income without worrying about the markets. Check us out at https://michaeldouville.com

Michael

The first consultation is always free. Michael’s Book, How to Create a Real Estate Money Machine and Retire with Income, is available on line. Email Michael at michael@michaeldouville.com

 

Economic Tug-Of-War…Featuring Michael Douville

Posted in Michael Douville with tags , , , on March 13, 2018 by paulthepoke

1 Timothy 5:18 For the Scripture says, “You shall not muzzle an ox when it treads out the grain,” and, “The laborer deserves his wages.”

Very good employment numbers came out today, over 300,000 new jobs were created in February 2018. However other numbers came out indicating the economy might be slowing down.

 

Michael

Do you have all your money in stocks and bonds? What happens if we see a sharp reduction in the markets. Have you prepared your life boat? Michael talks about alternate ways to make income without worrying about the markets. Check us out at michaeldouville.com. The first consultation is always free. Michael’s Book, How to Create a Real Estate Money Machine and Retire with Income, is available on line.

 

Email Michael at michael@michaeldouville.com

https://michaeldouville.com

 

Living in Economic Extremes…Featuring Michael Douville

Posted in Michael Douville with tags , , , , , , on February 27, 2018 by paulthepoke

Hebrews 11:7 By faith Noah, being warned by God concerning events as yet unseen, in reverent fear constructed an ark for the saving of his household. By this he condemned the world and became an heir of the righteousness that comes by faith.

What if Noah had not acted and had not prepared on God’s warning? One can believe God and not act accordingly…

Kentucky 2016 016

Do you have a life boat?

Author: Michael Douville

Trey Smith of God in the Nutshell Productions, author and documentarian, interviews Michael Douville, author, fiduciary and financial advisor, about the economy, stock market and debt.

The interview also has excerpts from noted economic experts like Harry Dent, Zero Hour author and business analyst; Jim Rogers, financial commentator; Peter Elindes, Stockmarket Cycles editor and publisher; Robert Kiyosaki, Rich Dad Company founder and author; and Joe Needham, an investor.

They discuss a correction in the stock market of 40-50% and they also discuss that the US and the World have an unsustainable amount of debt.

Do you have all your money in stocks and bonds? What happens if we see a sharp reduction in the markets. Have you prepared your life boat? Michael talks about alternate ways to make income without worrying about the markets. Check us out at  https://michaeldouville.com. The first consultation is always free. Michael’s Book, How to Create a Real Estate Money Machine and Retire with Income, is available on line. Email Michael at michael@michaeldouville.com

 

 

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