What I Learnt about Investing from reading the news

Some of the most important information about market trends can be found in the daily news. When I say this I don’t only think about business and market news that you can read on specialized websites like Bloomberg, but also on regular news pages that cover everything from international politics to local sport. In this article I’m going to sum up all the useful information you can find out in typical news agency websites that can help your business and investment planning.

How-i-learnt-to-invest-by-reading-newspapers

Politics

Here you can find lots of information about domestic politics, and since politics strongly influence the country’s economy and business, this is the right place to find new investment opportunities. One of the best examples from recent history was the Colorado Amendment 64 and the stock traders that received this information at the right time, and made billions from investing in hemp-based companies.

Recently, the Huffington Post reported about the approaching date of the most crucial court hearing for Obamacare, in a famous King vs Burwell case. The article deals with the alternatives Republicans have if the court rules against the subsidized health insurance for millions of people in two-thirds of US states. Since Obamacare  was called a “lifetime opportunity for venture capitalist”, following this topic in the daily news is important for investors who realize the full potential of changes in health insurance system. As we can see from this article Republicans don’t have fully elaborated plan for the transitional period that should follow the verdict if the court rules in their favour.

Entertainment

Most of the investors skip news from this section, because they can’t see how naked Kim Kardashian can affect their business. Me neither, but let me remind you about the infamous celebrities that were promoting certain pump and dump schemes on their social network pages in public. A well-known successful trader, Tim Sykes, publicly exposed celebrities who promoted schemes like this, including Justin Bieber and Shaquile O’ Neal.

One of the news that I read in the entertainment section on The Verge, can largely influence market trends, and I’m not only talking about companies from entertainment industry. American Idol’s 15th season that’s going start in January will be the last season of this genre-defining talent show. Several months ago Coca Cola ended show’s sponsorship and for those who didn’t figure out this back then, now we officially know that this show is on its death-bed. Since it’s by far the biggest talent show ever broadcasted on American TV its discontinuation is definitely going to have a big influence on the business sector.

International Politics 

For businessmen who want to go global this is by far the most important news section. These are the people who have huge gains when it comes to business, so this is the news section for top dog investors only. It is also crucial for most of international blue-chip companies, just remember how Western sanctions on Russia influenced the companies that do business on Russian market.

Recent news that I found on Russia Today, about US Secretary of State John Kerry travelling to Russia for the first time after the start of the conflict in Ukraine sounds very optimistic when it comes to USA-Russia relations. This can lead to major profits for Western companies and their Russian branches. For people who regularly follow the news this is not too surprising, especially after several articles on major business-oriented websites that mentioned Russia as one of the best countries for future investments, in spite of its reputation in Western media and the conflict in Ukraine that’s still on.

Sports

The sports section is not only important for people who make calls to their bookies. Each popular athlete usually has several sponsorship contracts with big blue chip companies. Sport triumphs and losses influence these contracts and market trends. Tennis player Roger Federer was the seventh highest paid athlete in 2014 with sponsorship contracts with giants like Nike and Rolex. His defeat against aspiring young Australian player Nick Kyrgios in Madrid few days ago is definitely going to influence the Swiss Maestro’s sponsorship contracts, and Nick is definitely going to get his share of fame and sponsor money.

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