Image source: Getty Images Interest rates are falling, and this means that those of us with money in savings accounts will start to receive less passive income. In fact, with interest rates set to fall to around 3.5% in 2026, savers will likely only receive a modest premium to the targeted rate of inflation. Just take a look at this illustration. £20,000 in a savings account with a 3% yield generates a very limited return. Assuming a long-term average inflation rate of 2%, the net gain would be a mere 1% per year. Source: thecalculatorsite.com Why stocks Investors might choose…
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Rate-easing cycles and bear markets tend to go hand-in-hand. Just six trading days remain before we close the curtain on what should go down as a splendid year for Wall Street. As of the closing bell on Dec. 18, the mature-stock-driven Dow Jones Industrial Average (^DJI 1.18%), broad-based S&P 500 (^GSPC 1.09%), and innovation-fueled Nasdaq Composite (^IXIC 1.03%) have gained 12%, 23%, and 29%, respectively. The stock market’s phenomenal year has been propelled by a confluence of factors that include: The rise of artificial intelligence (AI), which is a $15.7 trillion addressable market according to research by PwC. Excitement surrounding…
World – WallitIQ (WLTQ) is capturing attention across the crypto space, with Wall Street Analysts predicting a massive 30,000% surge in just 14 days. Analysts believe this token has what it takes to leave (SHIB) and price in the dust, making it the breakout star of the market. With such explosive potential while selling out massively in the presale market at a low cost, investors should rush to secure WLTQ before it sells out. Wall Street Analysts Predict 30,000% Rally For WallitIQ (WLTQ), Surpassing Rivals WallitIQ (WLTQ) presale draws Wall Street analysts, who predict a massive 30,000% rally in 14…
Image source: Getty Images Building a £100,000 second income is no easy feat. At least, not for those who don’t already have a seven-figure net worth. But by leveraging the power of compounding returns in the stock market, building a passive income of this size in the long run is more achievable than most would think, even when starting with just £1,000. Crunching the numbers Let’s start by figuring out exactly how much a portfolio would need to grow to generate a six-figure income. On average, British dividend stocks offer a yield of 4%. But by being a bit more…
Invesco’s QQQ is still a long-term winner for growth-oriented investors. Picking individual stocks can be rewarding for investors, but it can be a time-consuming and stressful affair. Investors should also ideally diversify their portfolios across a broad range of stocks to avoid putting all their eggs in a single basket. For investors who don’t have the time to buy individual stocks, exchange-traded funds (ETFs) are a simple way to build a diversified portfolio. ETFs hold baskets of stocks that track certain themes or trends, and they can be actively traded throughout the day. That sets them apart from mutual funds,…
Investing.com — A second Trump administration is likely to see little change in the U.S. fiscal deficit, despite campaign promises of tax cuts and spending programs, according to UBS strategists. “An already high deficit will force compromise on tax cuts and spending pledges, and we think corporate tax cuts are unlikely in the absence of much higher tariff income,” the team led by Jason Draho said in a note. The U.S. government deficit currently exceeds 7.5% of GDP, while the debt-to-GDP ratio has climbed past 120%. UBS notes that while a debt crisis is not imminent due to the reserve…
Tropical Storm Helene completely changed the landscape of Western North Carolina, wiping entire towns off the map and leaving more than 100,000 homes and businesses damaged. Helene also changed how we need to think about water infrastructure challenges and solutions.To some extent, we weren’t as surprised when we saw the devastation that Hurricanes Matthew and Florence leveled on North Carolina’s eastern infrastructure. As a state, we have had conversations for years about inland flooding and coastal risk to our water system with each passing storm. But Helene reminded us that this is not an isolated regional risk and that even…
Seemingly overnight, artificial intelligence became a major growth industry. The global AI market was valued at $93 billion in 2020, and now, it’s expected to hit $244 billion in 2025. The AI boom is driving demand for semiconductors, which are crucial components in AI systems. These components provide efficient energy use for the data centers housing AI tech and computing power for AI to execute tasks. This makes investing in semiconductor stocks a great way to capitalize on the AI market’s expansion. Two compelling semiconductor companies to consider are Wolfspeed (NYSE: WOLF) and Advanced Micro Devices (NASDAQ: AMD). Wolfspeed is…
A cargo ship leaves the Panama Canal in Panama City on June 17, 2024.Martin Bernetti | APF | Getty ImagesPresident-elect Donald Trump on Saturday accused Panama of charging excessive rates for use of the Panama Canal and said that if Panama did not manage the canal in an acceptable fashion, he would demand the U.S. ally hand it over.In an evening post on Truth Social, Trump also warned he would not let the canal fall into the “wrong hands,” and he seemed to warn of potential Chinese influence on the passage, writing the canal should not be managed by China.The…
Image source: Getty Images The BP (LSE: BP) share price has had a rough ride in 2024, as it unwinds most of the gains it made during the energy shock. So rough, that I couldn’t take resist taking advantage of its reduced valuation, and buying the FTSE 100 oil and gas giant in September and again in November. Sadly for me, the slide continued. Personally, I’m down 7.5% so far but others have it worse. BP shares are down almost 20% over 12 months. I’m in no way disheartened. BP is a stock I plan to hold in my portfolio…