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U.S. Dollar Weakens on Obama Re-Election

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Finance expert Mike Periu on the U.S. Dollar Weakens after post-election. The U.S. dollar fell in value relative to other benchmark currencies last night as President Obama's re-election was confirmed. Currency investors understand that his re-election means that the Federal Reserve will continue its policy of "quantitative easing," which has the effect of diluting the value of the dollar. Investors had expected this practice to change if Governor Romney won the Presidency. Whether this … [Read more...]

What Does Re-Election Mean for Investors?

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Finance expert Mike Periu on What Obama's Re-Election Mean for Investors? With the 2012 elections now over, one major unknown for investors has been answered. Obama's re-election will have a significant impact on many industries and investors need to take this into account when making investment decisions. It is now likely that income tax rates on dividend income will increase dramatically. This will hurt stocks, like utilities, that investors seek out for their dividend income. Technology … [Read more...]

Deal on Fiscal Cliff Seems Less Likely Post-Election

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Finance expert Mike Periu on the likelihood of a Deal on Fiscal Cliff post-election. As the 2012 elections reach their conclusion, political and economic leaders are focusing on the next major issue—the fiscal cliff. Analysts believe that there is a good probability that a long-term solution will not be negotiated before the cliff goes into effect in January. The sentiment among political leaders is that financial markets will not react severely if a solution for the fiscal cliff isn't … [Read more...]

What Is Behind the Sandy Gas Panic of 2012

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Finance expert Mike Periu on the psychology of the sandy gas panic after Hurricane Sandy. The gasoline lines in New York and New Jersey have stretched for hours; police are guarding gas stations as tempers flare and people are frustrated beyond belief at the prospect of waiting six hours for a few gallons of gas. What is driving this? According to Tom Kloza, Chief Analyst of the Oil Price Information Service, it has nothing to do with fuel levels and everything to do with psychology. Kloza … [Read more...]

Will There Be a Global Recession in 2013?

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Finance expert Mike Periu on the G20 Finance Ministers' discussion of a potential global recession next year. The Group of 20 Finance Ministers and Central Bank Governors, also known as the G20, is an influential group composed of the top financial representatives of the 19 largest economies in the world and the European Union's Central Bank Chief. The G20 was formed in 1999 and they meet regularly to address financial and economic issues impacting the global economy. The most recent G20 … [Read more...]

CEOs Ask Washington to Compromise for Economic Good of Country

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OPEN's finance expert Mike Periu on leading CEOs urging Congress to Compromise for Economic Good of Country. CEOs Ask Washington to Compromise for Economic Good of Country A coalition of leading chief executive officers have united to urge Congress to take action to Compromise for Economic Good of Country and reduce the country's more than $1 trillion annual budget deficit. Just like small-business owners, large company CEOs are having a difficult time running their businesses and investing … [Read more...]

Today’s Jobs Report Has Significant Implications

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OPEN finance expert Mike Periu on the release of today's Jobs Report. The Bureau of Labor Statistics (BLS) will release the October employment report today. Economists generally believe that the report will show two things. First, that the unemployment rate has increased to 7.9 percent, and second, there was an increase in the number of non-farm payroll jobs of 125,000. This is the last jobs report before the election. If the report does not match the consensus (either much better or much … [Read more...]

Your Business-Interruption Insurance May Not Cover Losses From Sandy

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OPEN finance expert Mike Periu on Business-Interruption Insurance coverage for small businesses affected by Hurricane Sandy. Business interruption insurance provides compensation to businesses that are forced to shutdown temporarily. It covers the revenues that you would have generated during the time you are closed so you can keep paying your expenses. Typical policies, however, require that physical damage to your building be the cause of your interruption. In the case case of Hurricane … [Read more...]

U.S. Is Once Again Approaching the Debt Ceiling

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OPEN finance expert Mike Periu on the U.S Approaching the Debt Ceiling. The debt ceiling refers to the maximum amount of money the U.S. Federal government can owe and it currently stands at $16.4 trillion. Based on current projections by the Treasury Department and the Congressional Budget Office, we will hit the limit by the end of the year. In order to keep financing its operations, the Federal government needs Congress to pass a bill authorizing an increase to the debt ceiling. The last time … [Read more...]

Protect Your State From the Looming Fiscal Cliff

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OPEN finance expert Mike Periu on how to protect your state and ways to get around the impending estate tax increases. As we approach January 1, 2013, it seems less likely that we will have a solution to the fiscal cliff. One of the biggest impacts to small-business owners will be change to the gift and estate tax exemption. Current law allows you to gift and bequeath a total of $5.1 million to your heirs without paying any estate taxes. In 2013, this exemption limit is reduced drastically to … [Read more...]