Tags: Trump | Stocks | markets | money

Trump: I Just Bought Stocks

Thursday, 11 Aug 2011 08:57 AM

Real estate mogul Donald Trump says he is buying stocks — something he never does — because banks just aren’t providing attractive conditions to hold money these days, while good real estate is hard to find.

Markets are a mess and the future is cloudy, but there is some value in stocks, he says.

“I did something the other day that is very shocking to me — I bought some stocks. I’m not a stock person, I love real estate but good real estate is very hard to get. I guess it’s a little like gold,” Trump tells CNBC.

Donald Trump
(Getty Images photo)
Not only did Trump buy equities, but he also bought financial stocks as well, which have taken a beating on fears that debt issues in the U.S. and Europe may damage banking sectors worldwide.

“I bought Bank of America, I bought Citi. I bought two troubled companies that I think that have an upside. Let’s see what happens.”

Trump said he bought non-financial stocks as well.

“Caterpillar, Intel, Johnson & Johnson, Procter and Gamble — I loved those companies and I have watched them for years.”
Editor's Note: Exposed: You Deserve to Know What Obama and Bernanke Are Hiding From Americans
This gripping Newsmax investigative report reveals the truth about America's economic future and the disastrous path that Obama’s and Bernanke’s reckless policies are taking us down. Watch, learn, and receive a free Survival Guide ($49 value) for your personal financial future.

Stocks are better than saving, Trump says.

“You get no interest on your money in the banks,” Trump says. “I’ve read now where one bank wants to charge you for you holding your cash.”

Stock prices have taken wild rides in the past few days following a series of unprecedented headlines.

The U.S narrowly avoided default when Congress and the Obama administration agreed on deficit reducing terms to lift the debt ceiling at the last minute before an Aug. 2 deadline.

Then Standard & Poor’s said those terms fell short of its expectations and stripped the country of its AAA ratings and just after that, the Fed said it would likely keep interest rates low for about two years.

Now all eyes are on Europe, which is scrambling to contain an economic crisis to periphery countries like Greece so financial institutions in bigger countries like Italy, Spain and France don’t succumb.

“The world is a mess. You see it going up, you see it going down. I’ve never seen anything like it,” Trump says.

Bank of New York Mellon has said it will now charge institutional clients a fee for unusually high deposits, as a flight to safety is pushing money-market rates below zero, thus flooding the bank with cash, Bloomberg reports.

“I’ve never seen this happen, not in 25 years,” Gerard Cassidy, an analyst with RBC Capital Markets in Portland, Maine, tells Bloomberg.

Other banks may follow BNY Mellon’s lead, Cassidy adds.

© 2015 Newsmax Finance. All rights reserved.

1Like our page

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

© Newsmax Media, Inc.
All Rights Reserved