Government profits to soar more than $700 million with new student loan rates

But she thinks it’s important for her children to get college degrees, even though her student loan debt could affect her ability to retire. “I think that I’ll still be able to pay it off. That’s my goal. I just can’t see not paying the debt,” Rose said. It is ironic since Rose, who lives outside Orlando, Fla., is director of housing for Consumer Debt Counselors, counseling people about their mortgage debt. Rose is just one of a new group of Americansparents struggling to pay off student loans even as their children take on new debts to pay for their own schooling.
Source: http://www.cnbc.com/id/100984688

Republican Rep. Tim Walberg, a member of the House Higher Education Committee, also cheered the move. “This is a win for students, families and taxpayers,” he said in a statement. But the CBO analysis shows it’s only a short-term win for students and families. While the CBO projects profits for the government each of the next 10 years, it shows that starting in 2016, the profit level will increase.
Source: http://www.usatoday.com/story/news/nation/2013/08/25/student-loan-rates-will-feed-fed-profits/2696241/

A negative subsidy exists when theres more money coming in than going out, CBO officials and financial aid policy experts agree. The CBO projections show an average subsidy rate of just over negative 20% for each of the next 10 years. That means the government will have 20% more coming in than going out. Thats an increase of 2 percentage points over what would have been coming in had Congress not passed this law. The government will particularly increase its profits on parent loans, with an average increase of 9 percentage points each year between 2013 and 2023.
Source: http://www.freep.com/article/20130825/NEWS05/308250092/federal-government-student-loan-profits-going-up

<img http://www.obamastudentloanforgiveness.net src=’http://blog.sprinklebit.com/wp-content/uploads/2012/07/student-loans.jpeg&#8217; />

Bankruptcy Should Be An Option For Some Student Loans: Report

Debt that remains after 20 years is forgiven. Public service workers (teachers, nurses, and those in military service) will see any remaining debt forgiven after 10 years. All new loans will be direct loans delivered and collected by private companies under performance-based contracts with the Department of Education. [More from Manilla.com: Personal Budgeting Tips ] Arguments for and against So far, reviews of the changes are mixed. On the plus side, there is stability.
Source: http://finance.yahoo.com/news/student-loans-calculation-130109975.html

Student Loans: The New Calculation

Under CAP’s proposal, a Qualified Student Loan would have to have interest rates that do not exceed caps established by Congress, would offer deferment and forbearance provisions, and would allow for income-based repayment. In addition, the institution at which the borrower enrolls would have to meet minimum standards for completion (i.e., graduation rates), job placement and evidence-based future salary projections. Non-qualified student loans in CAP’s model — like those with unaffordable repayment plans for students who enroll in ineligible education programs — could be discharged in Chapter 7 bankruptcy after a specified waiting period. “We know there is an increasing share of our adult population that has student loans, and that’s a trend that will continue for a foreseeable future,” said David Bergeron, co-author of the report and vice president for postsecondary education at CAP. “Some number of those will find themselves in the unfortunate circumstance in having taken out a loan with a excessively high interest rate and face the possibility of wage garnishment.” Another added benefit, CAP’s report suggests, is that the Qualified Student Loan model would push higher education institutions to improve their academic programs and ensure their graduates are getting real jobs in the fields they study.
Source: http://www.huffingtonpost.com/2013/08/20/bankruptcy-student-loans_n_3782816.html


SPDR Gold ETF Posts First Weekly Inflow In 9 Months

None of the BMO ETFS are sponsored, endorsed, sold or promoted by any of its aforementioned trade-mark owners and the related index providers or their respective affiliates or their third party licensors and these entities make no representation, warranty or condition regarding the advisability of buying, selling or holding units in the BMO ETFs. The Dow Jones Industrial Average(SM) is a product of Dow Jones Opco, LLC, (“Dow Jones Opco”), a subsidiary of S&P Dow Jones Indices LLC and has been licensed for use. “Dow Jones(R)” and “Dow Jones Industrial Average(SM)” are service marks of Dow Jones Trademark Holdings, LLC (“Dow Jones”) and have been licensed to Dow Jones Opco for use for certain purposes. BMO ETFs based on Dow Jones indexes are not sponsored, endorsed, sold or promoted by Dow Jones Opco, Dow Jones or their respective affiliates, and Dow Jones Opco, Dow Jones and their respective affiliates make no representation regarding the advisability of trading in such product(s). Further information about BMO ETFs can be found at http://www.bmo.com/etfs. About BMO Exchange Traded Funds (ETFs) Established in May 2009, BMO Financial Group’s ETF business is a leading ETF provider in Canada.
Source: http://online.wsj.com/article/PR-CO-20130820-905061.html

This trend first struck China, then India, and now Indonesia is in the crosshairs too (see all the Asia-Pacific Emerging ETFs ). Indonesia Sell-Off in Focus Indonesian stocks experienced a massive sell-off in Monday trading with the Jakarta stock exchange plunging by 5% in the session. The nation’s currency also tumbled, pushing the rupiah to multi-year lows against the U.S. dollar. The reason for this latest sell-off stems from the country’s growing current account deficit as exports decreased yet again. It doesn’t help that many of the country’s top exports are commodities that have fallen out of favor, including 25% losses in price for coal and palm oil since the end of 2011, according to Bloomberg .
Source: http://www.nasdaq.com/article/indonesia-etfs-in-crash-territory-on-currency-woes-etf-news-and-commentary-cm268584

The Market Vectors Gold Miner ETF Is A Lousy Way To Bet On Gold

Boy was it miserable! This first chart looks at the total GLD bullion holdings in metric tons superimposed over the gold price. GLD has always been extraordinarily transparent, publishing its total bullion holdings daily right down to the long list of serial-numbered individual gold bars. GLDs holdings offer a fantastic window into stock-trader gold sentiment, showing when American stock-market capital is flowing into or out of gold. For fully 8 years after its inception, which conspiracy theorists went apoplectic over, GLD was hugely beneficial for the secular gold bull. Stock-market http://www.etftradingsignals.com/ investors and speculators alike bought GLD shares faster than gold was being bought, their capital literally flowing into this ETFs underlying gold bullion as its custodians kept issuing new shares to maintain price tracking.
Source: http://markets.financialcontent.com/stocks/news/read/24917502/The_SPDR_Gold_Trust_ETF_

The SPDR Gold Trust ETF (GLD) Exodus Is Reversing

The $316.8 million EPU has tumbled over 26% this year, putting it firmly in bear market territory, due to a plunging sol and sliding precious and industrial metals prices. Peru entered 2013 on a high note, bolstered by expectations the country would be South Americas fastest-growing this year. Indeed, the country posted first-quarter GDP growth of 4.8%, which sounds nice, but is not compared to the 5.9% growth clip seen in the fourth quarter. [ Plunging Metals Prices Victimize Peru ETF ] Perus status as the worlds largest silver-producing country and a major gold and copper producer has done more harm than good to EPU this year.
Source: http://finance.yahoo.com/news/despite-weak-sol-peru-etf-122019966.html

Notable ETF Outflow Detected – IWS, SRE, STI, PPL

Another reason that the GDX is a lousy way to play rising gold prices is the fact that there are several companies that mine other metals. Many of them have a lot of copper and silver exposure. Furthermore there are several companies that are predominantly silver mining companies While many people who are bullish on the gold price will also be bullish on the silver and copper prices, there are different factors impacting the fundamentals for each metal. Silver, and to a greater extent, copper, are industrial metals.
Source: http://seekingalpha.com/article/1643342-the-market-vectors-gold-miner-etf-is-a-lousy-way-to-bet-on-gold

Indonesia ETFs in Crash Territory on Currency Woes – ETF News And Commentary

Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique — learn more about the 200 day moving average . Exchange traded funds (ETFs) trade just like stocks, but instead of ”shares” investors are actually buying and selling ”units”. These ”units” can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed).
Source: http://www.thestreet.com/story/12012388/1/notable-etf-outflow-detected–iws-sre-sti-ppl.html


Obama’s Approval Rating Has Plunged To Near All-Time Lows

Seniors aides are accompanying Obama, who will receive daily briefings during Post to Facebook Obama starts Martha’s Vineyard vacation on USAToday.com: http://usat.ly/19l2z7f Incorrect please try again A link has been posted to your Facebook feed. Sent! A link has been sent to your friend’s email address. 62 To find out more about Facebook commenting please read the Conversation Guidelines and FAQs Obama starts Martha’s Vineyard vacation The Oval David Jackson, USA TODAY 10:43 a.m. EDT August 11, 2013 President Obama and first lady Michelle Obama wave as they arrive Aug. 10 in Cape Cod, Mass., to fly via helicopter to begin their family vacation in Martha’s Vineyard.
Source: http://www.usatoday.com/story/theoval/2013/08/11/obama-marthas-vineyard-rice-nabors-carney/2640025/

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Obama talks to Boehner on budget and immigration

26-28, 2011. It has dropped as low as 38% in the first term of his presidency. Meanwhile, Obama’s disapproval rating was up to 50%. Overall, it was a 7-point swing from the previous day. In the Real Clear Politics average of nine recent polls, Obama’s approval rating languishes at a putrid 43.3% seven months into his second term. His average disapproval rating is 51.1%, for a net negative of 7.7. Here’s a look at how much his approval rating has swung after highs in late December and early January:
Source: http://www.businessinsider.com/obama-approval-rating-gallup-fall-down-2013-8

Obama announces aid initiative to help wounded veterans

Army ranger who suffered a severe brain injury in Afghanistan and has slowly been on the mend. The war in Afghanistan may just be ending, but for Cory and our disabled veterans, the work has only just begun, he said. Obama also used his appearance in Orlando to discuss two policy and political challenges he is facing in Washington: the deep across-the-board spending cuts known as sequestration, which exempts the Department of Veterans Affairs, and challenges to his health-care law. Going forward, the best way to protect the VA care you have earned is to get rid of this sequester altogether, Obama said. He also urged veterans not to be hoodwinked by those claiming that the Affordable Care Act will affect the care they receive from Veterans Affairs.
Source: http://www.washingtonpost.com/business/economy/obama-announces-aid-initiative-to-help-wounded-veterans/2013/08/10/7ed6190c-01f4-11e3-9a3e-916de805f65d_story.html

Summers might have an inside track simply had to do with a bunch of attacks that I was hearing on Mr. Summers preemptively, which is sort of a standard Washington exercise that I don’t like,” Obama said. Summers served as the head of the National Economic Council during Obama’s first term and Treasury secretary under President Bill Clinton. Bernanke’s current term ends on Jan. 31.
Source: http://www.newsobserver.com/2013/08/09/3095481/obama-says-he-has-range-of-candidates.html

Will Democrat Voters Support Obama’s Suspension Of Democracy And Calculated Deception?

Independent analysis also found that the proposed Obamacare individual health insurance premiums in Oregon for 2014 are 66% higher on average than for 2013 today, and that the proposed Obamacare individual health insurance premiums in Washington state for 2014 are 80% higher on average than for 2013 today. Moreover, the Obamacare premiums insurance companies are proposing today for 2014 are based on the assumption that younger and healthier workers will buy the Obamacare insurance as required by the individual mandate. They are going to be sorely disappointed in that, and many are going to be scrambling to raise premiums even more the following year just to survive. They are going to be shocked as well by the employment market reorganization just now beginning to evade the employer mandate as well. In addition, the Obamacare insurance that companies are proposing for the Exchanges are sharply restricted as to the doctors and hospitals covered by the insurance. That is necessary to keep the premiums they are proposing from soaring even more next year. That means if you think that under Obamacare if you like doctor, you can keep your doctor, you and millions of other consumers are going to be sorely disappointed as well. Not to mention the docs that are going to start phasing down their practices under Obamacare. And did Obama talk about choices under Obamacare? There are no real choices under Obamacare. You have to buy the health insurance the government mandates you to buy, covering what the government says it must cover, and you actually have no say in the matter. Under Obamacare, you have only three choices, bronze, silver, or gold, which means paying a lot more, a lot lot more, or a lot, lot, lot more. Obama added further at his White House Obamacare circus event, Just yesterday, state officials in New York announced that average premiums for consumers who buy insurance in their new marketplace will be at least 50 percent lower next year than today. To mislead people about whether this would be replicated nationwide, Obama emphasized, Think about that50 percent lower.So if you already buy insurance on the individual market, meaning that you dont get insurance through a big group plan through your employer, that could mean thousands of dollars a year that can go towards paying a mortgage, or putting a kid through college, or saving for retirement. But New York had already imposed on its individual health insurance market 20 years ago even more draconian and costly regulation than Obamacare. Moreover, after 20 years of that regulation, with guaranteed issue and community rating assuring everyone no matter how sick they became while uninsured that they could still get insurance at standard rates, costs were driven up further by adverse selection. The younger and healthier dropped out of coverage altogether, while those who waited until they became very sick and costly to get coverage were sure to sign up. People could even wait until they got sick to sign up, and drop coverage again when they recovered. As a result, New York already had the highest individual health insurance premiums in the nation.
Source: http://www.forbes.com/sites/peterferrara/2013/08/11/will-democrat-voters-support-obamas-suspension-of-democracy-and-calculated-deception/

Obama says he has range of candidates to lead Fed

The two talked shortly before the [House] went on recess, Carney added. I think it was within the last week. Boehners spokesman, Michael Steel, told The Daily Caller on Sunday that the talk took place, but he declined to provide any details. Early this year, Boehner swore off future closed-door negotiations with Obama, after Obama used his post-election clout, plus his allies in the media, to force a tax increase through Congress. The political fights this fall are expected to be critical for the president, whose declining approval ratings fell to 41 percent late this week, only 3 points above his record low in mid-October 2011, according to Gallup.The poll , which averages 1,500 daily responses over three days, also showed a 51 percent disapproval rate. Unless Obama scores a real or symbolic political victory this fall, his ratings may decline enough to wreck his ambitious political plans and ruin his chances of winning a Democratic majority in the House in November 2014.
Source: http://dailycaller.com/2013/08/11/obama-talks-to-boehner-on-budget-and-immigration/