Fear not, ye economically downtrodden: Katie Couric is looking out for you.
The "CBS Evening News" broadcasts over the last few months have found a multitude of ways to frame the U.S. economy in the worst possible ways, so much so that Couric compared CBS News correspondent Anthony Mason to the grim reaper on a recent newscast.
But Couric offered a solution to the pending doom and gloom you see every night on the news on the February 11 "Evening News" - stamp futures.
"And are you looking for a safer investment than the stock market these days?" Couric asked. "Well, how about postage stamps? The post office announced today the cost of first class postage is going up a penny in May to 42 cents. So if you buy one of those Forever Stamps now for 41 cents, it'll be worth 42 in May. Return on your investment, 2.4 percent tax free."
Yes, Couric recommended investing in the "Forever Stamp." The "Forever Stamp" is offered by the U.S. Postal Service, and costs the same price as a first-class postage stamp, but is always good for first-class postage, regardless of any increase in postal fees. Couric's suggestion implied flipping those stamps when the postage rate goes up to 42 cents on May 12 for a penny-per-stamp profit.
While a guaranteed 2.4 percent return wouldn't be bad, it's less than other safe investment options. For example, the yield on a one-year certificate of deposit at many banks has a higher return of 3.5 percent, according to BankRate.com.
Let's hope the "Stamp Bubble" isn't next.
Editor at Large
Comments Policy
I'm shorting stamps. I
February 12, 2008 - 18:49 ET by Free ThinkerI'm shorting stamps. I think this internet fad may be around for a while.
Couric and CBS news
February 12, 2008 - 18:51 ET by c5thenNot the brightest bulbs in the bunch.
The day that "politician" became a career choice is the day we started losing the Republic. Let's get it back! Alan Keyes '08.
Katie's a stamp short of a
February 12, 2008 - 18:53 ET by bigtimerKatie's a stamp short of a book.
"If you wish the sympathy
February 12, 2008 - 18:55 ET by rbosque"If you wish the sympathy of the broad masses,
you must tell them the crudest and most stupid things." - Adolph Hitler
The stamp works in May, not a year...
February 12, 2008 - 18:58 ET by sarcasmoI'd say it's still a better deal than the CD considering the time-value of money. For once, Katie's right on economics (assuming only a few stamps you'll use anyway very soon)!! ;)
JMR
If this is winning, I think I'd rather lose...
I can guarantee that the
February 12, 2008 - 18:59 ET by Mr. KafirI can guarantee that the "Jerky One" won't be investing in stamps. After all, where is she gonna store $15 million dollars in stamps??? Under her mattress??? Besides a 2.4% ROI is chump change to the "Anointed One".
I would prefer to invest in that blue stamp
February 12, 2008 - 18:59 ET by Lame CherryI would prefer when listening to Perky to invest in a blue stamp on top of Southern Comfort as it almost makes what she says look good enough like the gals on Fox & Friends.
I still want to sell the Postal Service to private business and the US keep a 50% silent stake. Postal rates would fall to 10 cents a letter and they would make billions ending this problem of another government failed business venture.
*HIC IACET ARTORIVS REX QVONDAM REXQVE FVTVRVS
Return on your investment, 2.4 percent tax free."
February 12, 2008 - 19:24 ET by CarlosSErr..., wait a minute there, perky-one, isn't the USPS a quasi-government agency? So, some, or maybe all, of that 41 cents could be considered a tax or fee by the government... That would make the savvy investor's tax-free ROI considerably less than 2.4 percent.
sarc off
This is Bush League
February 12, 2008 - 19:30 ET by Roger the ShrubberThis is Bush League reporting. I expect to see this kind of dull, boring filler material on the local news, not on a national nightly news broadcast. No wonder they are entrenched at #3.
why when everything else causes global warming, not stamps
February 12, 2008 - 21:05 ET by lunaticcringeradiowhy aren't the looney glob warmers crying that increasing the cost of a stamp will cause global warming? i mean we are cutting down trees to make the paper stamp, i'm sure the glue in some way makes co2 be it the lick or stick type, and isn't this whole idea of actually writing on paper pollution that creates global warming either with ink or pencils(esurance commercials taught me that). oh but wait, it doesn't count when it's a big government agency that does something, it's never researched or looked into, that's the rule, government does nothing that causes global warming, only capitolist private enterpise is to blame for a myth.
lunaticcringeradio
A nit
February 12, 2008 - 21:16 ET by masslibertarianMinor technical point - you can't directly compare a 2.4% 3 month rate of return with a 3.5% annual return. The comparable return on the CD would be 0.875% (3.5% divided by 4), although it requires locking up your money for a year and is an apple-orange comparison.</nit>
That being said, this is one of the dumbest things I've ever heard. The stamp isn't a liquid asset. There is no New York Stamp Exchange to give it liquidity. About the only way to realize the "investment" return is to avoid spending the extra penny next time you mail something.
Ah, so here's an idea for her Perkitude. Buy a bunch of these stamps and then massively increase the amount of letters you send friends and family. Mail in 1/4 of your mortgage payment 4 times a month. And just watch the amount you save on stamps pile up.
What do you expect from The Perky One, though? This sounds like my wife going out and buying a bunch of crap we don't need and then telling me how much money I saved because it was on sale.
Better investing idea - short CBS.
I went with the notion you
February 13, 2008 - 00:41 ET by Jeff PoorI went with the notion you bought the stamp when it went on sale a year ago, but you're right. It was the best apples-to-apples comparison I could make.