Stocks were flat to start the morning after yesterday’s Fed-induced sell-off that led to the first losing session of 2022. Concerns over tighter monetary policy seem to be weighing heavy on investor sentiment a day after minutes from the December Federal Reserve meeting revealed plans to taper economic help at a faster pace than anticipated.
Wall Street strategists expect a bumpy road ahead for stocks as the Fed begins to tighten its policy. The median year-end target for the S&P 500 stands at 5,050, representing a gain of only 7% from yesterday’s close.
Today we’ll discuss a stock that will likely do well as Fed policy changes come to fruition in 2022.
Jeff Bezos Just Poured $10 Billion Into This…
Not many people know this story… But in 1998, Bezos invested $250,000 of his own money in Google, when the company was just getting started out of a garage in California. When Google went public in 2004, that $250,000 investment translated into 3.3 million shares of Google stock. Nobody knows if Bezos has sold any shares. If he hasn’t, today they’re worth more than $5.6 billion.Jeff Bezos is betting big on a new trend. This time he’s planning to invest $10 billion of his own money in this exciting new trend. That’s 40,000 times more money than what he invested in Google. That’s how big he thinks this could be. [Full Story…]
Bank of America Corporation (BAC) provides banking and financial products and services for individual consumers, institutional investors, large corporations, and governments worldwide. It operates through the following segments: consumer banking; global wealth & investment management; global banking; and international market segments.
Thanks to its global investment banking and financial services portfolio, most are familiar with this financial titan. In the U.S., BAC currently operates via 4,300 retail financial centers, 17,000 ATMs, and digitally serves 41 million active users. Furthermore, the company is also present in 34 other countries across the globe.
After more than doubling since its pandemic-era low, let’s take a look at the factors that could boost BAC going forward. For one thing, the Fed has signaled two interest rate hikes, and they could both come next year, which should help BAC increase its interest income down the road. Zooming in a little closer, according to Globe Newswire, the global financial services market is expected to grow at a 9.9% CAGR to hit $22.5 trillion this year.
Furthermore, BAC’s shift in focus towards the digital space seems to be benefiting the company. Earlier this month, BAC reported that its Bank of America app facilitates 85% of deposit transactions on its network now. This accounts for nearly 48 million checks that BAC customers deposited in the second quarter.
Jim Cramer recently cited Bank of America as one of the potential beneficiaries of rising rates. He thinks that BAC will “make a killing if the Federal Reserve is forced to tighten.”Consider BAC’s uninterrupted 21-year history of rewarding investors through dividends if you need another reason. The company recently raised its quarterly dividend to $0.21 per share, up 16.7% from the previous quarter.
Where to invest $1,000 right now...
Before you consider buying Bank of America, you'll want to see this.
Investing legend, Keith Kohl just revealed his #1 stock for 2022...
And it's not Bank of America.
Jeff Bezos, Peter Thiel, and the Rockefellers are betting a colossal nine figures on this tiny company that trades publicly for $5.
Keith say’s he thinks investors will be able to turn a small $50 stake into $150,000.
Find that to be extraordinary?
Click here to watch his presentation, and decide for yourself...
But you have to act now, because a catalyst coming in a few weeks is set to take this company mainstream... And by then, it could be too late.
Click here to find out the name and ticker of Keith's #1 pick...
Banyan Hill Publishing:
Just $2 a Share Today — The No. 1 Investment of the 2020s
New technology’s user base growing at 5X the speed of the internet in the 1990s. Could dwarf dot-com boom. [Click here to get details on $2 stock now.]