Warren Buffett: Stock Market Right Now Is Not Expensive

Ben Stein is an actor, writer, and commentator on political and economic issues. He used to write for president Nixon and Ford. He recently had a dinner with my favorite Investment Guru, Warren Buffett on December 14. The two talked for about three hours.

Fox Business Network interviewed Ben Stein on December 16, 2009.

Stein provided an summary of Warren Buffett’s view:

1. Buffett is “a bit” pessimistic about the short run, but quite optimistic about the long run.
2. America will be a much richer country than it is now in 20 years.
3. Burlington Northern will carry a lot more freight than it does now. Likewise, Buffett thinks his brick companies, furniture companies will do a lot more business 20 years from now.
4. Buffett thinks people should only buy a stock if they can see how the company works and buy with a margin of safety.
5. He thinks people who do not have a job are not likely to have one for a long time to come.
6. He does not thinks stock market are overvalued at this point.
7. He is not a buyer of gold now, nor has he bought gold in the past.
8. He does not see inflation as big a threat as nuclear proliferation

If you do not see the video player, click here to watch it on FBN.

Government Spending Is Out of Control

A significant risk to economic growth in the U.S. is the record amount of debt being taken on by the U.S. government. The brief video below explains the spending in this crisis compared to past crises.

Since this crisis began in late 2008, the government has spent $4 trillion supporting various new programs. The government has committed to spend an additional $7.8 trillion over the next several years which will bring the total new spending amount to $12 trillion. As year-end approaches, Congress wants to increase the U.S. debt limit by nearly $2 trillion. The spending coming out of Washington does need to stop.

How does this spending compare to spending in past crises?

• Marshall Plan-$115 billion
• New Deal-$500 billion
• TARP-$700 billion
• Stimulus Plan-$787 billion
• World War II-$3.6 trillion

Some of this spending is finding its way into the hands of government employees. USA Today reports the average pay for federal workers is now $71,206 versus $40,331 in the private sector.

As Margaret Thatcher once said, "the problem with socialism is that you eventually run out of other people's money." I think we could be on a slippery slope to that outcome if the government does not reign in its current rate of spending growth.

The Company About to Exploit its Vast Mineral Resources

http://email.angelnexus.com/ct/3626908:5278520734:m:1:155622893:611A97C25A520D8C5F15E59AE0B955E4

Wealth Daily reports on how, on January 1^st, Denmark will relinquish its sovereign hold over Greenland's mineral rights... and how for the first time in history, the country's $273 billion Rare Earth resource will become private property.

Lithium Battery Market to Hit $15 Billion in 2010

http://email.angelnexus.com/ct/3626880:5278520734:m:1:155622893:611A97C25A520D8C5F15E59AE0B955E4

Wealth Daily revisits the lithium production boom and talks about another little-known element that could literally change the world.

Investing in Smart Meter Companies

http://www.energyandcapital.com/articles/smart-meter-companies/1007

Energy & Capital Editor Nick Hodge discusses smart meter companies before turning to the next areas of interest for smart grid profits.

U.S. Economy Will Dodge a Double-Dip Downturn, But Won't Escape Unemployment Woes During 2010 Jobless Recovery

Historically, the U.S. stock market has been one of the key leading indicators of a U.S. economic rebound.

With the Standard & Poor's 500 Index up more than 60% from its March lows – and the Dow Jones Industrial Average up nearly 40% – prognosticators are finally confident that the U.S. economy will dodge the "double-dip" recession that has been the focus of much fear since the Bush and Obama administrations launched their financial counterattacks on the worst financial crisis since the Great Depression.

But those same forecasters are reluctant to forecast a sharp economic rebound for 2010. In fact, as opposed to a classic "V-shaped" economic recovery that would accelerate as the year goes on, many economists are predicting that the rate of growth will slow as the New Year unfolds.

Forecasts from Standard & Poor's Inc. (NYSE: MHP) and Goldman Sachs Group Inc. (NYSE: GS) illustrate this outlook. S&P recently projected average GDP growth of 1.6% for all of 2010, while top Goldman Sachs economists expect to see the U.S. growth rate decline from 3% early in the year to 1.75% by the fourth quarter.

Read Full Article »

G20 Meet To Finalize Dumping Of Dollar?

http://www.prisonplanet.com/g20-meet-to-finalize-dumping-of-dollar.html

India Buys 200 Tons Of Gold And Moves From The Dollar

http://247wallst.com/2009/11/03/india-buys-200-tons-of-gold-and-moves-from-the-dollar/

Property Values Set to Fall 43% from Current Depressed Levels

http://seekingalpha.com/article/170526-property-values-set-to-fall-43-from-current-depressed-levels?source=email

Rio de Janeiro won the bid to host the 2016 Olympics

Good video to get your weekend started

Well with a bunch of depressing news in the stock market. Here is something a bit more upbeat for the weekend. Here’s a “one-take” video shot at the University of Montreal that’s quite amazing when you think about how many people not only had to be involved, but had to get it right.

http://www.youtube.com/watch?v=-zcOFN_VBVo&feature=player_embedded

Have a good weekend.

SHOCKER

Fed set to print $1.45 TRILLION: Click here to post your comments … It’s starting to look.. http://bit.ly/16PmUJ

4 Problems That Could Sink America

http://www.usnews.com/money/blogs/flowchart/2009/09/02/4-problems-that-could-sink-america.html

Fireworks in gold and the dollar!

http://www.gliq.com/cgi-bin/click?weiss_uwd+17301-3+UWD173

U.S. hasn’t fixed underlying financial problems

http://www.google.com/url?sa=t&source=web&ct=res&cd=2&url=http%3A%2F%2Fwww.newsweek.com%2Fid%2F208486&ei=ZZmuSpDKA4PYsQOB9KSPBQ&usg=AFQjCNEeKI0ErME7Q1sr-5tsws-HpAbK9Q&sig2=O1YNDm2asm7HCkOe7__Hvw

Why FSLR is a Sell?

http://www.businessinsider.com/why-first-solar-faces-a-tough-future-2009-9

Thorium Energy (THPW)

A Thorium Based Energy Economy would Have Several Core Key Benefits

- You can not use Thorium to make Nuclear Weapons

- There is 4 time as much Thorium on the planet as Uranium

- The United States has 1000 years worth of Thorium

- Thorium Power will recycle and eliminate nuclear waste

- The U.S. has built Liquid Flouride Thorium Reactors (LiFTeR) before

- A Thorium generator , LiFTeR , can be developed in a few years

- Thorium creates less than 1% of the waste of Uranium Power

- A Thorium power plant needs no pressure vessel or containment building

- The cost per Megawatt would be less than 2 million dollars

Trend Analysis for AAPL, TSYS,

TELECOM SYSTEM (NASDAQ:TSYS)

Smart Scan Chart Analysis indicates that the upward trend for this market is at a crossroads and has possibly ended. Look for choppy trading conditions in the near term Trading Range Mode. Based on a pre-defined weighted trend formula for chart analysis, TSYS scored +50 on a scale from -100 (strong downtrend) to +100 (strong uptrend): +10 Last Hour Close Above 5 Hour Moving Average +15 New 3 Day High on Friday -20 Last Price Below 20 Day Moving Average +25 New 3 Week High, Week Ending August 8th -30 New 3 Month Low in May +50 Total Score

Open High Low TSYS Price Change 7.35 7.62 7.26 7.61 +0.30 Streaming Chart

APPLE INC (NASDAQ:AAPL)

Smart Scan Chart Analysis confirms that a strong uptrend is in place and that the market remains positive longer term. Strong Uptrend with money management stops. A triangle indicates the presence of a very strong trend that is being driven by strong forces and insiders. Based on a pre-defined weighted trend formula for chart analysis, AAPL scored +100 on a scale from -100 (strong downtrend) to +100 (strong uptrend): +10 Last Hour Close Above 5 Hour Moving Average +15 New 3 Day High on Friday +20 Last Price Above 20 Day Moving Average +25 New 3 Week High, Week Ending August 22nd +30 New 3 Month High in August +100 Total Score

Open High Low AAPL Price Change 167.81 169.10 166.80 168.93 +2.60 Streaming Chart

The Next Millionaire-Maker Megatrend

http://us.rd.yahoo.com/finance/external/mfool/SIG=13295vm1q/*http%3A//www.fool.com/investing/high-growth/2009/08/20/the-next-millionaire-maker-megatrend.aspx?source=eptyholnk303100&logvisit=y&npu=y

http://blog.lohas.com/blog/clean-tech/0/0/clean-energy-options

EV Innovations (EVII) is near the cutting edge of Electric Car

Looking good today however keep a tight stop as the first solid support is 1.70 Resistance is 1.86 1.99 2.06 and a possible test of 2.20
http://finance.yahoo.com/news/EV-Innovations-Inc-OTCBB-EVII-iw-3878834666.html?x=0&.v=1

Megaatrend

"Check out this 'megatrend'," says Ian Mathias. "97% of global population growth over the next 40 years will occur in Asia, Africa, Latin America and the Caribbean, says the shiny new 2009 World Population Data Sheet. The headline data point was the total growth projection for the world population: 7 billion by 2011. That's 200 million extra people on this earth in just two years.

"But it's the fine print that's really getting our attention. Here are the highlights... Some serious investment trends, to say the least:

90% of the world's youth, about 1.2 billion people, live in developing nations.

Africa's population just passed 1 billion and is set to double by 2050.

Half of the population growth in the US and Canada over the next two years will come from immigration.

By 2050, India's population will reach 1.7 billion, passing China as the world's most populous nation.

"That last one was a particular surprise to us. In fact, the whole rundown of world population growth by nation is worth a quick look:

The following Biotech stocks are on run

These stocks are worth looking into, probably has a huge growth potential.
VNTA, SVA, OPK, CVM, INO

Good Luck, investing.

Futures Rise on Upbeat Earnings

http://online.wsj.com/article/SB124895288819293431.html?mod=googlenews_wsj

Index futures point to weaker Wall Street open