Showing posts with the label INVESTOPEDIA

Investopedia | Chart Advisor on Tuesday, February 8, 2022:

Source: 6-8 minutes 1/ Volatility pricing points to higher prices for stocks      2 / Good news from airlines implies recovery    3 / Will Uber call-option traders be rewarded?     Please Take Our Six-Minute Investor Sentiment Survey Are you feeling stunned by the recent market selloff, or opportunistic and ready to buy the dip? We want to know, so please take our quick survey so we can learn how the smartest newslette

Investopedia | Chart Advisor on Tuesday, January 18, 2022:

 Source: 5-7 minutes 1 / Interest rate climb pushes bond funds lower    2 / Tapering hits bank industry's bottom line   Interest Rate Climb Pushes Bond Funds Lower    Bond fund prices fell significantly as interest rates rose to their highest level since the pandemic. As the Fed has tapered its open-market bond-buying, investment banks that sell those bonds have felt the pinch, leading stocks lowe

Market News | Why T. Rowe Price Says Dump US, Buy China Stocks

By Mark Kolakowski 5-6 minutes - Source: Investopedia As the trade war between the U.S and China rages on, investors may find bargains in Chinese stocks. “China is the one [region] where we have a preference because of valuation and because of the expectation that Chinese stimulus can provide some uplift to earnings,” as Thomas Poullaouec, the Hong Kong-based head of Asia Pacific multi-asset solutions for T. Rowe Price, the mutual fund giant headquartered in Baltimore with over $1.1 trillion in assets under management (AUM) , in remarks to Bloomberg . T. Rowe Price sees decelerating earnings growth among U.S. stocks, making them increasingly expensive. Meanwhile, the Shanghai Composite Index gained about 9% over the past month, leading its global peer group, Bloomberg notes. By contrast, the S&P 500 Index (SPX) rose only about 2%, and many investment strategists are reducing their recommended allocations to U.S. stocks. Si

News,I Market News I Why Safe Haven News,I Market News I Why Safe Haven Gold ETFs Are Soaring as Trump-Xi Trade Talks LoomGold ETFs Are Soaring as Trump-Xi Trade Talks Loom

By Matthew Johnston 4-5 minutes Gold ETFs , widely regarded as safe havens when equities are expected to fall, are soaring in tandem with the precious metal itself even as stocks reach record highs. The SPDR Gold Shares ETF ( GLD ), VanEck Vectors Gold Miners ETF ( GDX ), SPDR Gold Minishares Trust ( GLDM ), iShares Gold Trust ETF ( IAU ) and the GraniteShares Gold ETF ( BAR ) have all taken off over the past month as gold reaches highs not seen since 2013, according to Barron’s . One of the main drivers of the recent gold rush is the continuing uncertainty surrounding the U.S.–China  trade war and the potential economic fallout. All eyes will be on U.S. President Donald Trump and Chinese President Xi Jinping as the two leaders are expected to meet at some point during the  G-20 summit, which is set to kick off Friday in Japan. An unfruitful meeting could result in additional tariffs, adding further weight on global trade and equity

SAFE Banking Act

Reviewed by Nathan Reiff Updated Apr 24, 2019 4-5 minutes DEFINITION of SAFE Banking Act The Secure And Fair Enforcement (SAFE) Banking Act was introduced to Congress in May of 2017 under the sponsorship of Senator Jeff Merkley (D-OR). This bill would impact the ability of federal banking regulators to intervene in the actions of a depository institution dealing with a legal cannabis business. Specifically, the act would prohibit regulators from terminating or limiting either deposit or share insurance of such a financial institution for the sole reason that it does business with a cannabis company. It would also prohibit regulators from in turn barring such institutions from offering financial services to these companies, as it would stop regulators from encouraging financial institutions to not do business with those companies. Origins of the SAFE Banking Act The SAFE Banking Act is a direct response to issues faced

Company News | A Grand Master's Secret to 10 Years of 20% Stock Returns

By Mark Kolakowski Updated Mar 29, 2019 4 minutes As increasing numbers of active investment managers fail to meet their benchmarks even over relatively short time spans, the rare one with a lengthy track record of beating the averages demands attention. Samantha Lau, co-manager of the AllianceBernstein Small Cap Growth Portfolio (QUASX), fits the bill, having delivered average annual total returns of nearly 20% over the past decade. She's also co- chief investment officer (CIO) of small and SMID cap growth equities at AllianceBernstein, and offers several key words of advice to investors, as summarized below. A Top Stock Picker's Top Rules for Investors "Never sell half of your position." "If you think something is wrong, exit and revisit." It's never too late to sell a loser. " CFOs don't quit to spend more time with family." When CFOs quit, the company's prospects of

Market News | Global Shares Climb After Trump Delays Tariffs

By Daniel Liberto Updated Feb 25, 2019 3-4 minutes Global stock markets rose on Monday after President Donald Trump announced that the world’s two biggest economies are making progress on trade discussions. President Trump previously pledged to hike tariffs from 10% to 25% on $200 billion worth of Chinese imports if an agreement wasn’t reached by Mar. 1. On Sunday, he tweeted that “productive” talks had led him to shelve those plans, adding that good progress had been made on a number of important issues, including intellectual property theft, technology transfers, agriculture, services and currency. “I will be delaying the U.S. increase in tariffs now scheduled for March 1,” he said. “Assuming both sides make additional progress, we will be planning a Summit for President Xi and myself, at Mar-a-Lago, to conclude an agreement. A very good weekend for U.S. & China!” Global Shares RIse Investors cheered the news that a trade wa

Company News | Why Morgan Stanley Loves Defensive Stocks As Market Rallies

By Mark Kolakowski Updated Feb 22, 2019 4 minutes The U.S. stock market has rebounded smartly from its Dec. 2018 low and the bulls anticipate continued gains, but Morgan Stanley is skeptical. "We have been vocal around the idea that we are in a bear market, an environment where defensives typically outperform," as their U.S. Equity Strategy team led by Michael Wilson writes in their most recent Weekly Warm Up report. "With the US equity market so overbought, fully valued and the beta trade somewhat overplayed at this point, we think it makes sense to keep our overweights on Utilities and [Consumer] Staples ," the report adds. In fact, these two sectors are among those that have beaten their expected returns by the widest margins since Sept. 20, 2018, the date of the all-time record high close for the S&P 500. Morgan Stanley on the Defensive: Favorite Sectors (Outperformance vs. Expected Returns, 9/20/18 t

Oil Fades as Stocks Soar

By John A. Jagerson Updated Feb 5, 2019 4-5 minutes Major Moves Traders will often focus on the completion of a technical signal or a technical pattern in their analysis, as these events can mark the beginning of a new bullish or bearish move. But what happens when these signals and patterns fail? We're seeing an excellent example of a failed pattern on the crude oil chart today, as the commodity is falling back below the uptrending neckline of the  inverse head and shoulders  bullish reversal pattern it completed on Friday, Feb. 1. The break above the uptrending resistance level last Friday signaled the beginning of what could have been a new bullish move for oil that, based on the height of the pattern, would have had an initial price target of $65.50 ($54.50 breakout point + $11 pattern height = $65.50 target price). Unfortunately for oil bulls, the price of oil closed below the uptrending level that served as the neckline of

3 Goldman Portfolios That Are Crushing The Market

By Mark Kolakowski Updated Jan 31, 2019 4-5 minutes Goldman Sachs has assembled several baskets of stocks that are outperforming so far in 2019. Three of these baskets, High Revenue Growth, High Sharpe Ratio , and Dual Beta , all delivered total returns , dividends included, of 11% for the year-to-date (YTD) through Jan. 25, 2019, versus 6% for the S&P 500 Index (SPX) . U.S. stocks surged in the afternoon of Wednesday, Jan. 30 on the news that the Federal Reserve would hold its benchmark interest rate steady. "The case for raising rates has weakened somewhat," said Fed Chairman Jerome Powell, as quoted by The Wall Street Journal . The impact should be positive for all three Goldman baskets. The table below lists three representative stocks in each of these baskets. This is the first of two stories on Goldman's baskets. The second will come on Thursday afternoon. 3 Winning Goldman Portfolios (Total Return YTD,

7 Stocks That Options Traders Bet Will Plunge On Earnings

By Shoshanna Delventhal Updated Jan 30, 2019 4-5 minutes Jittery investors are penalizing stocks that miss estimates to the greatest extent in years, sending shares down 4.3% on average in the three days following earnings results, nearly four times the 15-year average, as of Jan. 24 according to data compiled by Evercore ISI. The historically strong reaction from investors has occurred even as analysts have slashed S&P 500 earnings-per-share estimates for the first half of 2019 by the most in four years. With that in mind, Goldman Sachs has screened a list of upcoming earnings announcements where options traders are seeking the most downside protection against a miss, including DISH Network Corp. ( DISH ), Symantec Corp. ( SYMC ), Palo Alto Networks Inc. ( PANW ), Huntsman Corp. ( HUN ), Qorvo Inc. ( QRVO ), Whiting Petroleum Corp. ( WLL ) and Continental Resources Inc. ( CLR ), per Business Insider . 7 High-Risk Stocks (Company; Ticker; Q4 Earnings Date) S

How China's Slowdown Is Biting Into U.S. Corporate Profits

By Shoshanna Delventhal Updated Jan 28, 2019 4 minutes U.S. companies' long-held fears about an economic slowdown in China have become a reality. The downshift of the world's second-largest economy has turned from a boon into a liability for many public companies, and now is biting into financial results at companies such as Caterpillar Inc. ( CAT ), Nvidia Corp. ( NVDA ) PPG Industries Inc. ( PPG ), H.B. Fuller Co. ( FUL ), Stanley Black & Decker Inc. ( SWK ) and ON Semiconductor Corp. ( ON ). More companies are likely to follow the same trend as the the fourth-quarter earnings season unfolds. More important, the negative impact of China's slowdown is expected to persist long after any deal to end the US-China trade war materializes. The latest and most tangible sign was the announcement on Monday that the China slowdown has hurt results of both chipmaker Nvidia and construction equipment giant Caterpillar. Caterpillar, for e