• The World's Leading Investment Mind Has Been   


  • Mike Stathis is the best financial analyst in the world. He is also the most widely banned financial expert in U.S. history. Learn why.

  • ALL MEDIA is controlled by the JEWISH MAFIA, which engages in Massive Fraud

  • The Media Doesn't Want You to Know the Truth 

  • Advertisers Control ALL Media Content

  • The Media's Goal is to Promote Clowns as Experts

    The Media Works With Wall Street to Rip You Off

  • Find Out What the Wall Street and Media Cabal Don't Want You to Know. Learn how to beat them at their own game.

  • AVA Investment Analytics Provides Research from

    the Best Investment Forecaster in the World

  • Stathis holds the Best Forecasting Track Record Since 2006.       

    Check his track record [1][2][3][4][5][6

  • Mike Stathis is neither a perma-bear nor perma-bull. He is a real investment analyst.  Perma-bears and perma-bulls are NOT credible.

  • Mike's ability to see what others cannot has enabled those who have had access to his research to make tremendous amounts of money 

  • Mike's rise as the World's Greatest Analyst began during his early years working on Wall Street

  • Today, he publishes investment research far superior to anything coming out of Wall Street

  • Skeptical?  Check His Track Record Yourself [1][2][3][4][5][6]

  • Don't Rely on Clowns and Disinformation. If you are not able to think for yourself you will always be a slave to scam artists.   

  • If You Keep Listening to the Media, You Will Keep Losing Money

  • AVA Investment Analytics is World's Best Source of

    Investment Research & Investor Education 

  • Mike Stathis' advice and research have been utilized by multi-billion dollar mutual funds, hedge funds & pension plans

  • AVA Investment Analytics is the World's Best investment research firm. Mike Stathis serves as the firm's chief investment strategist


Opening Statement from the August 2019 Dividend Gems 

Opening Statement from the August 2019 Dividend Gems 

Originally published on August 19, 2019

Global Rate Cuts Signals Problems

As discussed in 2018, for the first time since the financial crisis central banks around the globe entered a trend of interest rate hikes. But things have reversed over the past couple of months, as we now see a trend of rate cuts. The Fed’s questionable rate cut serves as further impetus for central banks throughout the globe to cut rates. Recently, Brazil’s central bank announced a 50-basis point cut in the Selic rate pushing it to a new record low of 6.00 percent. Meanwhile, New Zealand cut rates by a larger than expected 50-basis points on August 7. The same day Thailand unexpectedly cut rates by 25-basis points to deal with a decline in export trade, India also slashed rates by 35-basis points, followed a day later by a 25-basis point cut in the Philippines. We believe there is a good chance the ECB will cut rates in September. And Japan’s central bank is also likely to cut rates in September. 

Even more pressure is being placed on the Fed to lower rates in 2019 considering the recent cut was largely based on escalating trade tensions between Washington and Beijing. As well, the 10-year U.S. Treasury yield recently collapsed to 1.53 percent signaling a high chance of another cut in September. And there’s a good chance of two rate cuts for 2019. But if the Fed cuts rates in absence of supportive economic data, it could lead to major problems down the road.

Moving forward, investors should focus more on the Fed’s communication as opposed to the economic data because monetary policy is no longer being “data driven.” It’s being determined based on speculation in addition to pressure from the White House.

Stock Market Reacts to the Rate Cut

Investors responded negatively to the Federal Reserve’s 25-basis point rate cut on July 31 by selling stocks. We believe the July rate cut had already been factored into the stock market during the weeks leading up to the FOMC meeting (“buy on the rumor”).

Once Powell announced the rate cut, a “sell on the news” reaction caused investors to take profits. We discussed this scenario prior to the FOMC meeting (July 2019 Intelligent Investor & Market Forecaster and session 11 of the Securities Analysis & Trading Webinar).  

The day following the rate cut (Thursday, August 1) the selloff in stocks continued, but was exacerbated

This article continues.

To continue viewing this entry please sign in to your Client or Member account.

Print article

Restrictions Against Reproduction: No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without the prior written permission of the copyright owner and the Publisher.

These articles and commentaries cannot be reposted or used in any publications for which there is any revenue generated directly or indirectly. These articles cannot be used to enhance the viewer appeal of any website, including any ad revenue on the website, other than those sites for which specific written permission has been granted. Any such violations are unlawful and violators will be prosecuted in accordance with these laws.

Article 19 of the United Nations' Universal Declaration of Human Rights: Everyone has the right to freedom of opinion and expression; this right includes freedom to hold opinions without interference and to seek, receive and impart information and ideas through any media and regardless of frontiers.

This publication (written, audio and video) represents the commentary and/or criticism from Mike Stathis or another individual affiliated with Mike Stathis or AVA Investment Analytics (referred to hereafter as the “author”). Therefore, it is only an opinion and thus should not be taken to be factual. There is always a possibility that the author has made one or more unintentional errors, misinterpreted information, and/or excluded information which might have altered the commentary and/or criticisms. Hence, you are advised to conduct your own independent investigation so that you can form your own conclusions. We encourage the public to contact us if we have made any errors in statements or assumptions. We also encourage the public to contact us if we have left out relevant information which might alter our conclusions. We cannot promise a response, but we will consider all valid information.