rjunior79
4 years ago
This ETF will surely be a winner in the long run!!
While interest rates are low and massive fiscal stimulus is record breaking, and unemployment has not reached record levels, the real estate market will benefit from increased inflation and is therefore likely to increase in price, possibly substantially. According to Moody's Investors Service, "When the period of monetary stimulus ends, the demand for real estate, as reflected by the rise in housing prices, is likely to rise dramatically."
But this is not the time to be complacent about a recession, but the upside is that such recessionary environment will only last for a short time. It is important that you remain vigilant. When your economy turns down, demand can temporarily increase, because of the increased value of real estate.
The Consumer Confidence Index continues to fall, and it looks like more consumers are looking for ways to save money. Banks are showing a lot of concern over the housing market, and many have increased their lending requirements.
During this time of great concern, the Federal Reserve is currently in the process of purchasing mortgage backed securities (RMBS) and other assets from the largest financial institutions in order to keep inflation under control. If the consumer wants to keep their money, they must help keep inflation under control.
The fiscal stimulus plan is also being used to continue the home foreclosures process. When these homes are sold, they can be turned into tax losses for the federal government, which could make it profitable for the government to sell back additional foreclosure properties and take in some additional money, as well.
This has an adverse effect on inflation, which is already at a low level. This sort of action could actually encourage the real estate market to increase in price, because the government makes more money when the housing market increases.
It is critical to understand that when the real estate market increases in price, there will be increased demand, and that will lead to higher inflation. A stronger dollar has an adverse effect on inflation, and the government is using this as a reason to increase the monetary supply, but if we could have more gold to stimulate the economy, we would have done so already.
Even in places like Canada, real estate prices in Vancouver, North Vancouver and Lower Mainland is rising dramatically:
Look at these cities for example:
https://www.strawhomes.com/mls/vancouver-west-condos/
https://www.strawhomes.com/mls/vancouver-east-condos/
https://www.strawhomes.com/mls/vancouver-east-homes/
https://www.strawhomes.com/mls/vancouver-west-yaletown-condos/
The current inflation problem is more due to the Fed keeping rates low than it is due to the factors listed above. The Consumer Confidence Index does not necessarily reflect the state of our economy, as the index includes items such as debt consolidation, credit card debt, and other items that might be inflated because of the Fed's stimulus program.
If we had a certain rate of inflation that was a lot higher than the current inflation level, there would be a huge problem. It would not matter whether or not we were in a recession.
The best strategy is to continue to gather and interpret new information, and to use that information to your advantage. When I received a report from a brokerage firm, it showed that the MLS sales had increased about five percent in a month, but mortgage rates were still very low.
That tells me that there is a possibility that the real estate market is not inflated, and that the credit crunch may just be a temporary phenomenon. The US Dollar is moving in an upward direction, and the situation with interest rates is not the reason for this move.
I do not think that the Federal Reserve is playing a role in increasing inflation, as I believe they are trying to keep inflation under control. If the Federal Reserve knew that we were in a housing slump, they would not be buying trillions of dollars worth of Treasuries and mortgage backed securities, and the spending cutbacks would not be occurring.
stocktrademan
11 years ago
Direxion Shares ETF Trust [$DRN] due diligence
bullish
http://etfdb.com/etf/DRN/
$DRN
DD Notes ~ http://www.ddnotesmaker.com/DRN
##### recent news/filings ~ source: finance.yahoo.com
Fri, 30 May 2014 16:56:12 GMT ~ The State Of The Housing Market, April 2014
read full: http://seekingalpha.com/article/2246163-the-state-of-the-housing-market-april-2014?source=yahoo
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Tue, 20 May 2014 18:55:25 GMT ~ The Apartment Boom
[at Seeking Alpha] - If the construction of single family homes has completely stalled for the last 16 months, apartment and other multifamily construction is on a tear. Here's the same graph comparing single family permits ...
read full: http://seekingalpha.com/article/2228493-the-apartment-boom?source=yahoo
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Fri, 16 May 2014 19:22:23 GMT ~ Real Estate: Is Quality Back In Style?
read full: http://seekingalpha.com/article/2223253-real-estate-is-quality-back-in-style?source=yahoo
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Thu, 08 May 2014 13:07:03 GMT ~ Delrand Announces Share Consolidation and Appointment of CEO
[Marketwired] - Delrand Resources Limited announces that it will be filing articles of amendment to consolidate the outstanding common shares of the Company on a three to one basis . It is expected that the Company's ...
read full: http://finance.yahoo.com/news/delrand-announces-share-consolidation-appointment-130703504.html
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Tue, 06 May 2014 14:39:05 GMT ~ Is This The End Of The Housing Recovery?
read full: http://seekingalpha.com/article/2193443-is-this-the-end-of-the-housing-recovery?source=yahoo
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##### chart ~ source: stockcharts.com
##### chart ~ source: eoddata.com
##### company info ~ source: otcmarkets.com
Link: http://www.otcmarkets.com/stock/DRN/company-info
Ticker: $DRN
OTC Market Place: Not Available
CIK code: not found
Company name: Direxion Shares ETF Trust
Incorporated In:
##### extra dd links
Latest filings: http://www.otcmarkets.com/stock/DRN/filings
Latest financials: http://www.otcmarkets.com/stock/DRN/financials
Latest news: http://www.otcmarkets.com/stock/DRN/news - http://finance.yahoo.com/q/h?s=DRN+Headlines
Major holdings: http://data.cnbc.com/quotes/DRN/tab/8.1
Insider transactions (1): http://finance.yahoo.com/q/it?s=DRN+Insider+Transactions
Insider transactions (2): http://www.secform4.com/insider-trading/DRN.htm
Insider transactions (3): http://www.insidercow.com/history/company.jsp?company=DRN
RegSho: http://www.regsho.com/tools/symbol_stats.php?sym=DRN&search=search
DTCC: http://search2.dtcc.com/?q=Direxion+Shares+ETF+Trust&x=10&y=8&sp_p=all&sp_f=ISO-8859-1
Spoke company information: http://www.spoke.com/search?utf8=%E2%9C%93&q=Direxion+Shares+ETF+Trust
Corporation WIKI: http://www.corporationwiki.com/search/results?term=Direxion+Shares+ETF+Trust&x=0&y=0
Short Sales: http://www.otcmarkets.com/stock/DRN/short-sales
Insider Disclosure: http://www.otcmarkets.com/stock/DRN/insider-transactions
Research Reports: http://www.otcmarkets.com/stock/DRN/research
Historical Prices: http://finance.yahoo.com/q/hp?s=DRN+Historical+Prices
Basic Tech. Analysis: http://finance.yahoo.com/q/ta?s=DRN+Basic+Tech.+Analysis
Company Profile: http://finance.yahoo.com/q/pr?s=DRN+Profile
Key Statistics: http://finance.yahoo.com/q/ks?s=DRN+Key+Statistics
Industry: http://finance.yahoo.com/q/in?s=DRN+Industry
Insider Roster: http://finance.yahoo.com/q/ir?s=DRN+Insider+Roster
Income Statement: http://finance.yahoo.com/q/is?s=DRN
Balance Sheet: http://finance.yahoo.com/q/bs?s=DRN
Cash Flow: http://finance.yahoo.com/q/cf?s=DRN+Cash+Flow&annual
Market Watch: http://www.marketwatch.com/investing/stock/DRN
Bloomberg: http://www.bloomberg.com/quote/DRN:US
Morningstar: http://quotes.morningstar.com/stock/s?t=DRN
Bussinessweek: http://investing.businessweek.com/research/stocks/snapshot/snapshot_article.asp?ticker=DRN
Barchart: http://www.barchart.com/quotes/stocks/DRN
OTC Short Report: http://otcshortreport.com/index.php?index=DRN
Investopedia: http://www.investopedia.com/markets/stocks/DRN/?wa=0
http://www.pennystocktweets.com/stocks/profile/DRN
##### last known share structure ~ source: otcmarkets.com
Market Value: Not Available
Shares Outstanding: Not Available
Float: Not Available
Authorized Shares: Not Available
Par Value: No Par Value
##### business description ~ source: otcmarkets.com
DD Notes ~ http://www.ddnotesmaker.com/DRN