Your Questions Answered

Mike Norman
This week FOX News business contributor Mike Norman answers YOUR money questions. Ask FNC's business team your questions by e-mailing and check back each week. Plus, tune in to "The Cost of Freedom," Saturday starting at 10am ET.

Question: What are your thoughts on Nortel (NT)? I bought the stock at $6.50. — Kristy

Mike Norman: Kristy, I'm sort of in the same boat becasue I own Lucent (LU), but not from such a high level. The good news is that capital spending on telecom equipment is picking up. The bad news is that Nortel keeps losing money. I'd stick with it a little longer and hope that the strength in capex floats all these telecom stocks, then I'd dump it.

Question: I got in late with palladium and don't want to make the same mistake with silver. I can't seem to get an answer to the question of when the silver ETF is going to go on sale. I want to be there on the first day. What should I do? Thanks, and I never miss the business block on FOX News. — John (Feasterville, PA)

Mike Norman: John, from what I can gather the silver ETF is being opposed by some of the mining companies, and it may still take a while before it is introduced. My advice to you is to relax. This delay may actually prevent you from repeating the same mistake you made with palladium. Silver prices are likely to trend lower between now and the time that ETF debuts, so you will have saved yourself some money. If prices are substantially higher at that point in time, my advice is to walk away and put your money into something else.

Question: What are your thoughts on Apple (AAPL)? Hold or dump? — Tom (Dubuque, IA)

Mike Norman: Apple is a hard stock not to like, Tom, though I admit we may see some more near-term weakness as it discounts rising competition. It could also get hurt if the economy slows. Personally, I would not sell it, but rather accumulate more on weakness.

Question: Would you be buying bank stocks now? If so, which stocks would you recommend? — Lloyd (Buies Creek, NC)

Mike Norman: Lloyd, bank stocks have actually had a good run and many of them seem fairly valued and attractive deals are hard to find. Having said that, it would seem that the entire group has priced in an end to the Fed's rate hike cycle. There are two that I like, however, and they are Citigroup (C) and TCF Financial Corp (TCB). Both still show value.

Question: I have some Proctor & Gamble stock that hasn't done too much this last year. Should I hold on to it or sell it? — Dennis

Mike Norman: Dennis, I'd get rid of it. The problem with this stock is that it is overvalued and a consumer retrenchment may be about throttle it. I'm confident you'll have a chance to buy it back cheaper.

Question: Shares of newspaper stocks are falling. Do you think they will rebound? — Ray (Massachusetts)

Mike Norman: Yes I do, Ray. Take a look at Gannett (GCI) and Tribune Co (TRB). Both are very undervalued.

Mike Norman is a FOX News business contributor and the founder and publisher of the Economic Contrarian Update.