Stockmarkets Exchanger

These 5 tech stocks are in a dotcomlike bubble and they arent all FAANGs

noreply@blogger.com (jack luxor) — Wed, 08 Aug 2018 15:01:00 +0000

collected by :Haron Adler

as informed in 5 tech stocks in a micro bubbleFigure 1 lists the five tech stocks we put in our first micro bubble. Today's politicians and policy makers are heavily shaped by both the housing bubble of the mid-2000s and the tech bubble of the late 1990s. While the market's PEBV has more than doubled since 2012, from 0.7 to 1.5, it's nowhere close to its tech bubble level of 5.7. People forget that high valuations weren't confined to tech stocks in the late 90's. At the height of the tech bubble, Walmart had a P/E ratio of 46 and a PEBV of 5.1.

U.S. stocks brush off trade jitters to close higher as tech shares gain

Market SnapshotU.S. stocks brush off trade jitters to close higher as tech shares gainNasdaq extends winning streak to fifth sessionU.S. stocks finished higher Monday, with the Nasdaq rising for a fifth straight day as investors focused on healthy corporate earnings, which have so far helped to buoy the market over recent sessions. Technology and consumer discretionary stocks led the gains, underpinning the market's move higher. Investors continued to weigh solid earnings against repercussions of retaliatory tariffs from trading partners and their impact on financial markets. Cardinal Health Inc. CAH+1.5% fell 0.5% after the company reported fourth-quarter profit and revenue beats. Shares of Tyson Foods Inc. TSN+0.4% rallied 3.3% after the firm reported higher profit than expected, though sales fell short of estimates.

A third straight bludgeoning for tech stocks drives Nasdaq to 3-week closing low

As it stated in These 5 tech stocks are in a dot-com-like bubble (and they aren't all FAANGs)Market SnapshotA third straight bludgeoning for tech stocks drives Nasdaq to 3-week closing lowFacebook's shares officially drops into bear-market territoryAn unraveling of popular technology bets on Monday, marked by a third straight session in the red, helped to push the tech-laced Nasdaq Composite Index to its lowest close in more than three weeks. Read: The fate of the stock market for 2018 could rest on the next couple of daysWhat drove the markets? Facebook saw its shares on Monday fall by 2.2%, a sufficient retreat to push shares of the social-media giant officially into bear-market territory. Tyson Foods Inc.'s TSN+0.4% stock sank 7.6% after it gave a cautious full-year earnings outlook, citing uncertain trade policies and higher tariffs. Juniper Networks Inc.'s JNPR+1.45% stock rose 0.5% after Deutsche Bank upgraded the stock to buy and raised its price target to $32 from $25.

Money flows of 11 popular tech stocks show Alphabet and Apple getting stronger

One of the best tools is to look at the X-rays of popular stocks in the form of segmented money flows. • Smart money flows are mildly positive in Apple AAPL, -0.94% but momo crowd money flows are extremely positive. • Momo crowd money flows are positive in Alphabet (Google) GOOG, +1.42% GOOGL, +1.47% but smart money flows are very positive. • Momo crowd money flows are very positive in Netflix NFLX, +0.26% but smart money flows are mildly negative. • There is quite a contrast between the momo crowd flows and smart money flows, as shown on the chart.

Traders debate how a trade war will affect the stock market

noreply@blogger.com (jack luxor) — Wed, 08 Aug 2018 14:31:00 +0000

collected by :Haron Adler

as informed in It's that "to date" part that has gotten a large part of the investor base considerably more nervous. This is a major issue that the market, up until today, has been completely neglecting."The commodity markets aren't neglecting the threat. Copper is down dramatically in the past month on concerns over a slowdown in China and an increase in trade tensions. The Fed said this a month ago (June 12 to 13) — a time when tariffs looked like only a remote possibility. What side of this debate do you think they will be on now that tariffs have become very real?

The stock market's biggest bear calls out a huge investing mistake that could have 'brutal consequences' — and explains how it will cause the next market crash

Reuters / Cheryl Ravelo-GagalacIn the stock market , the concept of valuation can mean different things, depending on the investor. Ever the market skeptic, he says such an approach is a big mistake, and creating a dangerous situation. "Market returns and economic growth have underlying drivers," Hussman wrote in a recent blog post . The chart below provides a visual representation for why Hussman thinks these consequences could be manifested as a two-thirds decline for the S&P 500 . And as the stock market has continued its seemingly unstoppable grind higher, he's persisted with his calls, undeterred.

as mentioned in

Bank and tech shares lead stock market higher a 4th straight day

noreply@blogger.com (jack luxor) — Wed, 08 Aug 2018 14:01:00 +0000

collected by :Haron Adler

as informed in Industrial companies rose and banks moved higher as interest rates increased. Rental car company Hertz soared 24.6 percent to $19.53, its biggest gain in almost a decade. A little more than four years ago, Hertz stock traded above $120 a share. He said the $52 billion deal costs too much and that Express Scripts faces several major threats. Icahn owns Cigna stock and has bet that Express Scripts stock will fall.

Trump trade war: U.S. stock market is faring better than China's since dispute began

Trump trade war: U.S. stock market is faring better than China's since dispute beganAdam Shell | USA TODAYAPEconomists say there are no winners in a trade war, and American farmers, appliance companies and automakers are proof that tariffs can inflict financial harm. But if you're using the stock market as a measure of who's winning the trade dispute, the U.S. has a clear lead over China and its other trading partners. The Standard & Poor's 500, a stock index filled with America's biggest companies that get more than 43 percent of their revenues from overseas sales, is up 6.1 percent this year. The major stock index in Japan is down a little less than 1 percent and European shares are up just 0.3 percent. If Trump wins concessions from China or the European Union, it could prove bullish for stocks as trade terms improve for U.S. companies.

The fate of the stock market for 2018 could rest on the next couple of days

as declared in These 5 tech stocks are in a dot-com-like bubble (and they aren't all FAANGs)Market ExtraThe fate of the stock market for 2018 could rest on the next couple of daysThe S&P 500 ETF sets a new milestoneThe fate of the stock market for this year may arguably hinge on how shares trade in the next couple of days. According to analysts at Bespoke Investment Group, if the market gains from April through July, stocks almost always finish out the year higher and despite Monday's weakness, it's looking good for the S&P 500 so far. "Barring an epic collapse in the last five trading days of the month, this will mark the fourth straight monthly gain for the S&P 500," said Paul Hickey, cofounder of Bespoke, in a note last week. Meanwhile, Ryan Detrick, senior market strategist at LPL Research, noted that the stock market tends to follow the path of the 10-year Treasury yield BX:TMUBMUSD10Y-0.03%"Two years ago this month, the 10-yr yield bottomed at 1.36%. During each of those periods, the S&P 500, too, has risen, he said.

Four reasons why the stock market has ignored the noise and is nearing another record

From tweets to tech to trade wars, investors have had multiple reasons to bail out of stocks this year. Instead, the S&P 500 is just another nudge away from setting a fresh all-time high. Rather than get shaken by scary headlines, the market instead has maintained a laser-like focus on fundamentals. Yet four factors have combined to continue pushing the market higher. The S&P 500 is up about 7 percent year to date, just about 22 points away from its all-time closing high, as of Monday's close.

This stock market isn't as strong as you think, economist David Rosenberg says

"What has kept the market near record terrain are a mere six stocks — Alphabet, Apple, Amazon, Netflix, Microsoft and Facebook," Rosenberg said in a note to clients Wednesday. "Strip out these six flashy stocks, and the overall market has done practically nothing year-to-date."Through mid-July, Alphabet, Apple, Amazon, Netflix, Microsoft and Facebook had contributed nearly 80 percent to the S&P 500's gains. Netflix and Amazon are up 86 percent and 57 percent in 2018, respectively. Microsoft and Facebook have both risen more than 20 percent while Alphabet and Apple have jumped 19.8 percent and 14 percent, respectively. Rosenberg said such concentration in the stock market has not been seen since the late 1990s, just before the dot-com bubble burst.

11 Simple Tips for Stock Market Success

noreply@blogger.com (jack luxor) — Wed, 08 Aug 2018 13:31:00 +0000

collected by :Haron Adler

according to In 2018, employees can contribute up to $18,500, or $24,500 if you're age 50 or older, to a 401(k) or 403(b) plan. If you can't contribute that much money immediately, see if your plan offers automatic escalation, a feature that increases your contribution rate every year. Automatically increasing your contribution rate can be easier on your budget and it can pay off handsomely. For example, a 30-year old earning $40,000 per year, who contributes 3% of income, and earns a 6% return annually, would wind up with a nest egg worth $133,721 at age 65. Increase that contribution rate to 10%, and that portfolio would be worth $445,734 at 65.

What Happened in the Stock Market Today -- The Motley Fool

As for individual stocks, Etsy (NASDAQ: ETSY) popped on strong sales and growing margins, while Zillow Group (NASDAQ: Z) (NASDAQ: ZG) tumbled after the company lowered its outlook and announced an acquisition. Etsy crafts strong sales momentumOnline marketplace Etsy reported strong sales gains in the second quarter and raised guidance for the year, causing shares to jump 3.3%. Revenue growth and improved margins led to a 118% increase in adjusted EBITDA to $27.7 million. The company's projection for revenue growth was raised a percentage point to 33% to 35%. Investors were pleased with results and an outlook for strong sales ahead.

The Stock Market Is Shrinking. That's a Problem for Everyone.

as informed in For a far larger assortment of smaller companies, though, profit is often out of reach. In 2015, for example, the top 200 companies by earnings accounted for all of the profits in the stock market, according to calculations by Kathleen Kahle, a professor of finance at the University of Arizona, and Professor Stulz. That's one of the main arguments for buying stock in the first place. Aside from the top 200 companies, the rest of the market, as a whole, is burning, not earning, money. ■ A quirk of accounting is at the root of some of that profit deficit, especially for smaller and younger companies.

Does the Stock Market Deserve to Be Near Records?

noreply@blogger.com (jack luxor) — Wed, 08 Aug 2018 13:01:00 +0000

collected by :Haron Adler

as informed in Stock prices are hovering around records again. Bank stocks continue to under-perform. FANG stocks such as Facebook (FB) and Netflix (NFLX) continue to lag. Meanwhile, Tesla's (TSLA) stock is losing momentum after a strong response to second quarter earnings. Why Jim Cramer's Action Alerts PLUS member club owns Facebook shares.

Jim Cramer Reveals the Key to the Recent Stock Market Rally

The stock market has been on the rise amid a slew of share buybacks driven by the newly passed tax cuts. That's the assessment from TheStreet's founder and Action Alerts PLUS Portfolio Manager Jim Cramer. "I think one of the reasons the market is up is that as much as people thought a lot of the money was going to go to CAPEX from the tax code changes, it is going to buybacks," Cramer said. "If you do buybacks, it puts a floor to the market. Apple's (AAPL) CFO told Cramer last week that there are government limits on how much the company can buyback its own stock.

Is The U.S. Stock Market Overvalued?

as informed in One of the most prominent market debates is whether the US stock market is overvalued or possibly even in a bubble? That said, whether or not the US stock market is overvalued does not mean the market is going to go up or down. From the Charts, It's Clear the US Stock Market is Overvalued, Right? As a result, many investors and financial pundits state that the US stock market is overvalued. Finally, here is a chart from The Leuthold Group on price to sales showing the US stock market trading at Dotcom-era levels, implying the US stock market is in a bubble.

Why Investors Are Frightened By the Stock Market Nailing Down Fresh Records

Investors can't seem to be content with the return of record highs. "We are in the second longest expansion and we have this great bull market -- the second longest of all time -- and I think people are nervous about when are we going to turn to the other side." Lerner says he isn't seeing euphoria in the markets, just an appreciation for a still strong investment case for equities. One sector that isn't playing in the return of market highs is the once popular FANG (Facebook (FB) , Apple (AAPL) , Netflix (NFLX) , Alphabet (GOOGL) ) stock complex. What Lerner told TheStreet about risks to the broader market rally.

3 Things to Watch in the Stock Market This Week -- The Motley Fool

Below, we'll take a closer look at the announcements that could send shares of Weight Watchers (NYSE: WTW), Disney (NYSE: DIS), and Arcos Dorados (NYSE: ARCO) moving this week. Weight Watchers' subscriber numbersInvestors could hardly be more optimistic heading into Monday's earnings report by Weight Watchers. Weight Watchers managed a 29% year-over-year spike in paid subscribers last quarter, for example, to 4.6 million users. Disney's streaming updateMedia giant Disney will announce its fiscal third-quarter 2018 results before the market opens on Tuesday. Disney's sales ended up higher by 9% last quarter as theatrical hits like Black Panther dominated the box office.

Vakrangee: Stock market update: Market recovers a bit; these stocks surge over 9%

noreply@blogger.com (jack luxor) — Tue, 07 Aug 2018 12:22:00 +0000

referring to Asian Paints, Ultratech Cement, Hindalco Industries, Zee Entertainment and Coal India were among the top gainers in the Nifty index. NEW DELHI: Shares of Vakrangee (up 13.06 per cent), Jain Irrigation (up 9.71 per cent) and Renaissance Jewellery (up 9.64 per cent) surged over 9 per cent on NSE in morning trade on Tuesday as market moved alightly up after trading flat.Dalmia Bharat (up 7.53 per cent), Honeywell Automation India (up 6.54 per cent), Transport Corporation of India (up 6.54 per cent), Deepak Nitrite (up 6.05 per cent), Eros Media (up 6.03 per cent), Usha Martin (up 5.79 per cent) and Vimta Labs (up 5.63 per cent) were trading over 5 per cent higher at around the same time.Equity benchmarks were up on gains in ITC, Asian Paints, ICICI Bank, Infosys and Larsen & Toubro.However, losses in Adani Ports, Reliance Industries, State Bank of India, Tata Consultancy Services and Bharti Airtel restricted gains for the benchmarks.The NSE Nifty index was trading 18 points up at 11,405, while the BSE Sensex was up 56 points at 37,748 around 10:10 am.In the Nifty index, 30 stocks were in the green, while 20 were in the red.Asian Paints, Ultratech Cement, Hindalco Industries, Zee Entertainment and Coal India were among the top gainers in the Nifty index.On the other hand, Adani Ports & SEZ, Lupin, Cipla, Bharti Airtel and State Bank of India were among the top losers in the Nifty pack of stocks.

Stock market continues to ignore threats from trade war

According to FactSet's Senior Earnings analyst John Butters, 17% of the S&P 500 companies have reported so far, with 87% of them beating profit estimates and 77% beating revenue forecasts. Meanwhile, economic data have also been positive, showing healthy job gains and inflation rates in line with Federal Reserve's desired target of 2%. Yet, the threat of full blown trade war is looming large, whether people are noticing it or not, according to Kristina Hooper, chief global market strategist at Invesco. Helping boost such attitudes are positive earnings and economic data. Next week, 174 S&P 500 companies are expected to report their financials, including 11 Dow components.

Stock market to get $1 trillion boost via buybacks, says Goldman

as declared in Indeed, analysts at Goldman Sachs project that stock repurchases will reach $1 trillion this year, up 46% from 2017 on the back of tax reform and strong corporate cash flows. And investors are likely to see immediate the impact of those repurchases as August tends to be the most popular month for buybacks. Second-quarter repurchases are up 57% from the same period a year earlier, with notable activity in the tech sector where buybacks surged 130% year-over-year, according to Silverblatt. But since the start of the second-quarter earnings season, the consensus forecast for 2019 tech sector EPS has actually increased by 1%," he said. Tech stocks are expected to be among the biggest beneficiaries of the $1 trillion-buyback bonanza given many tech companies still have yet to complete their existing repurchase programs.

collected by :Molly Tony

The Stock Market And The FAANGs

noreply@blogger.com (jack luxor) — Tue, 07 Aug 2018 11:52:00 +0000

as informed in Last Friday, I wrote about "The Future of the Stock Market and the Future of the FAANGs."The FAANGs are, of course, Facebook (NASDAQ:FB), Apple (NASDAQ:AAPL), Amazon (NASDAQ:AMZN), Netflix (NASDAQ:NFLX) and Alphabet's Google (NASDAQ:GOOG) (NASDAQ:GOOGL). However, in the dot-com boom, "Big Tech" was much smaller and was made up of many early stage companies..."But, one cannot ignore the fact that the current stock market is so dependent upon just a small number of very large companies, in terms of market valuations. Jeff Sommer writes in the New York Times about the fact that "The American stock market has been shrinking. Much of "research and development" happens in smaller companies, sometimes helped out by the larger companies, and then, when success is imminent, the "larger" companies swallow the "smaller" companies. This is the "new" financial market for the "new" Modern Corpiration.

James Altucher on the Coming Stock Market Boom

James Altucher on the Coming Stock Market BoomYou ain't seen nothing yetIn his newsletter and blog "Altucher Confidential," maverick investor and author James Altucher usually focuses on out of the box investments like bitcoin, obscure pharma stocks, or buying a laundromat. But the common stock market is not beyond him. Again, profits for companies are going to be enormous and the boom in the stock market is going to be incredible. So until then, we are in that sweet spot where the stock market is just going to go up. I mean the stock market was booming, it reached the high in November 2007 before the housing crisis started to kick in.

according to

collected by :Molly Tony

What Happened in the Stock Market Today -- The Motley Fool

noreply@blogger.com (jack luxor) — Tue, 07 Aug 2018 11:22:00 +0000

as mentioned in Today's stock marketIndex Percentage Change Point Change Dow 0.16% 39.60 S&P 500 0.35% 10.05Consumer stocks led the market; the Consumer Discretionary Select SPDR ETF (NYSEMKT: XLY) closed up 0.7%. The strong results and positive comments about the momentum of its business had the stock hitting 52-week highs today. Net sales from continuing operations fell 12.8% to $2.2 billion and earnings per share fell 41.3% to $0.27. Looking forward, Newell lowered its sales forecast for the full year from $14.4 bilion-$14.8 billion to $8.7 billion-$9.0 billion, mainly due to divestitures. The forecast for operating cash flow for the year was lowered $250 million to $0.9 billion to $1.2 billion.

Why a Trade Truce Could Add Almost $2 Trillion to the Stock Market

__________The United States stock market might be worth nearly $2 trillion more if not for the trade war. Consider that the cost that investors appear to be ascribing to President Trump's efforts to upend decades of trade relationships. But a closer look at the factors that usually drive the stock market suggests that the escalating trade tensions are holding stocks back. Two things happened at the start of the year that worried investors. Then, at the end of February, the Trump administration announced plans to impose tariffs on steel and aluminum, the first clear shot in the trade war.

8 Dirt Cheap Technology Stocks at Huge Discounts to the Stock Market

referring to 24/7 Wall St. has looked at numerous market sectors to outline where investors may find value in an expensive stock market. The reason is simple: investors are enthralled growth, and the market's continued rise just is not the right climate for slower earnings growth (or no growth). Here are eight large-cap and mid-cap technology stocks trading at or under 10 times expected earnings. AT&T is valued at about 11 times last year's earnings, and it is valued at just nine times expected earnings for this year. Its stock performance has suffered, and its 6.3% dividend rarely gets the attention it may deserve for value investors.

Stock Market Fights Off Big Tech Stumbles

For months, analysts and investors have been debating whether a stock market whose gains have largely been driven by a handful of technology companies may be subject to a sudden reversal. Yet through much of those shock waves, the broader stock market has remained resilient. As Facebook suffered its biggest slide as a public company, dragging other technology stocks down with it, the S&P 500 slipped just 0.3%. Earnings across the rest of the stock market have been strong, buoyed by corporate tax cuts, consumer spending and an economy growing at its fastest pace in years. Ten of the 11 sectors in the S&P 500 are posting gains over the past three months.

Housing Sector is Giving Warning Signs to the Stock Market

The strength of the housing sector is one of the leading indicators for the strength of the economy as a whole, and this summer it's flashing a potential warning signal. Other recession indicators, however, still mostly give a green light for the economy. The average price-to-earnings ratio of stocks is high, the price of bonds relative to the interest they pay is high (resulting in low interest yields), and housing prices remain elevated. However, recent reports show that record high housing prices in Southern California, where some of the nation's highest real estate valuations can be found, is causing sharply reduced home sales. The top right quadrant is a full-on expansion, where the economy is growing and the rate of growth is accelerating.

collected by :Molly Tony

Quick Thoughts On The Stock Market Impact Of The Trade War

noreply@blogger.com (jack luxor) — Tue, 07 Aug 2018 10:52:00 +0000

according to Trump may be riveted on the stock market, and think that swings in Chinese equity prices drive politicians there. [Wonks will recognize that a net increase in Treasury purchases by non-residents must necessarily be matched by a net increase in the trade deficit.] Yes, tariffs can (and will) affect goods while they're in transit, so the price impact will be felt more quickly than changes in quantity. But the impact will consist on small increases in the prices of a large number of goods. Consumers may not connect the dots between trade policy and why they're having such a hard time making ends meet.

How to Prepare for a Stock Market Surprise

The second quarter wasn't spectacular for stocks in the United States, but it produced solid returns with relatively little volatility. Stocks elsewhere around the world didn't fare quite as well and the bond market gave up ground, but for the most part, investors had some very welcome breathing room. Still, it's a good bet that difficult times will return to financial markets at some point, so this may be good moment to prepare for a future shock. In our quarterly report on investing, we've analyzed one time-tested approach: the balanced fund. Our survey includes articles with reporting on where the markets have been and analysis that suggests where they may be heading.

Remember: The Stock Market Still Has Downside Tripwires

as mentioned in At this point three months ago, ��market correction" and "Dow Theory" were hot button topics. However, the stock market then began its volatile slog away from the precipice, and the meaning of "tariff" morphed from global nightmare to negotiation strategy. However, if the stock market continues to meander, the downside alarms will remain primed. Downside alarm #1: Dow TheoryBecause the Dow Theory was widely discussed and analyzed in April, it is at the top of the list. The Dow Theory still labels the stock market as being in an uptrend.

Intel's Stock Is Spiraling Right Into a Bear Market

The market continues to dump water all over Intel's (INTC) circuit-board. Shares of the chip maker opened below the key 200-day moving average on Monday amid fresh concerns on its leadership and competitive positioning. Intel saw a fresh bout of selling Monday following a rating downgrade from Barclays analyst Blayne Curtis to hold from buy. Read TheStreet's exclusive interview with AMD (AMD) CEO Lisa Su. Intel's stock isn't working.

Three Metrics Of Stock Market Overvaluation

The other thing investors need to do, in an era of historically rich stock prices, is to think about what they might do if and when a crash arrives. To get a Cape for the current market, I took at face value the analyst forecasts for S&P earnings through June 2019. Some of this explosion in stock prices is justified. The stock market is stretched. I repeat my caution that we cannot know in advance the timing of a correction, or be sure that stock prices will resume ratios that are in line with historical averages.

collected by :Molly Tony

Just try to find a stock market year like 2018, because you won't

noreply@blogger.com (jack luxor) — Tue, 07 Aug 2018 10:22:00 +0000

as informed in This year has already been remarkable for the stock market because the moves seen in 2018 are unlike any in the past, according to an analysis by Bespoke Investment Group. The most similar year to 2018 in the stock market is 1942, with a correlation coefficient of just 0.533, Bespoke found. The S&P 500 is up more than 4 percent year to date but it has not been a smooth ride. The S&P 500 has had 36 days where it rises — or falls —at least 1 percent. Market volatility has spiked this year as investors grapple with a number of different factors combining to make this year quite unique.

Only 23% of millennials prefer investing to cash—here's why they're skeptical of the stock market

Millennials are hesitant to invest in the stock market, according to a new survey from Bankrate: Only 23 percent of those aged 18 to 37 say that the stock market is the best place to put money they won't need for 10 years or more. There's a good reason so many millennials are hesitant to put their savings into the stock market: Many have seen investments collapse. Bankrate also posits that younger people prefer cash because it's hard to imagine owning funds they won't touch for decades. "Millennials may avow a love for cash because they are in such desperate need for it," the report says. And although the stock market can be volatile, history shows that investing almost always pays off: Over the past 90 years, the average annual return for the S&P 500 is over 9 percent.

Here's how much money you could be losing by avoiding the stock market

as declared in Keeping so much money in the bank could mean missing out on the potential rewards that come with investing that money. "People keep money in cash because they want something that's guaranteed," says Erik Davidson, Chief Investment Officer at Wells Fargo. Here's how to get started:Open a retirement accountIf you have access to an employer-sponsored retirement account, that's the easiest way to begin investing in the stock market. Of employers who offer a retirement plan, 76% will match some of your savings. Stay the courseWhile the stock market has been marching steadily upward for nearly a decade, it's going to fluctuate.

collected by :Molly Tony

Technology companies fall again, sending stock market tumbling

noreply@blogger.com (jack luxor) — Tue, 07 Aug 2018 09:52:00 +0000

according to Tech companies have done far better than the rest of the market in recent years, but they've fallen after Facebook and Twitter both reported weak user growth in the second quarter. Microsoft and Alphabet slumped Monday, and Facebook, Twitter and Netflix have all fallen at least 20% from their record highs this month.

The stock market just experienced the most seismic shift from growth to value since Lehman Brothers, says Nomura

So far this week, the S&P 500 Growth index XX:SP500G+0.45% is down 1.2%, while, the S&P 500 Value index XX:SP500V+0.24% is up 0.2% over the same period. To be sure, over the longer-term, growth has been a steady outperformer, gaining 9.4% year-to-date, compared against action in value names that have left the S&P 500 value index little changed. In a Monday note, Morgan Stanley said the outperformance by growth had it poised for an eventual reversal, as MarketWatch's Ryan Vlastelica writes. "The rotation I think isn't necessarily growth to value, it's about selling the winners and that [happens to involve] growth stocks," he told MarketWatch. However, so-called growth names were bouncing back higher again, with the Nasdaq rebounding on Tuesday to finish up 0.6% in Tuesday action, helping buoy the broad market.

China loses status as world's second-largest stock market amid trade war with US

referring to Chinese shares ceded their ranking as the second-largest stock market in the world to Japan, the Financial Times reported on Friday. Chinese stocks were worth a total of $6.09 trillion at the market close on Thursday, the FT said, referring to figures from Bloomberg. That compared to the $6.16 trillion market value of the Japanese shares at the end of the Thursday trading session. China's market surpassed Japan in market value in November 2014 to become the world's second-largest, the FT said. The U.S. stock market, which continues to be the world's largest, was valued at $31 trillion at the end of Thursday, it added.

China's stock market plunge will not force the country to give up in its trade war with US

Amid a U.S.-China trade war, the two major stock indexes in China have lost one-quarter of their value from highs this year. You can bet that if the U.S. stock market was suffering like that, the president would feel the pressure. In similar fashion, Bank of America Merrill Lynch predicted the trade war will take some time to be resolved. J.P. Morgan said China's stock market will not rebound until the trade war is resolved. Over the weekend Trump said the U.S. was winning in its trade war with China, citing the dramatic outperformance of the domestic stock market versus the Asian country's market.

The stock market is on pace to hit another, more impactful trillion-dollar milestone

"Corporate repurchases remain the largest source of demand for shares," Kostin said. But while the dollar-value of buybacks is on pace to reach record-highs, it's important to note that the stock market is also near all-time highs. And as such, the number of announced buybacks as a percentage of the stock market's total value is actually far from a record high. "The buyback blackout period has now ended for most companies," Kostin said. But Kostin also identifies another, far more problematic trillion-dollar metric in the market.

collected by :Molly Tony

The complete bullandbear cases for stock market investors

noreply@blogger.com (jack luxor) — Tue, 07 Aug 2018 09:22:00 +0000

as declared in Jeff Reeves's Strength in NumbersOpinion: The complete bull-and-bear cases for stock market investorsWe're at Peak Worry — againIn a Dickensian chapter for the stock market, we are in the middle of an earnings season that illustrates both the best of times and the worst of times for investors. Record valuations: Even after recent volatility, many market experts are still concerned that stock valuations are simply too far out of whack with historical norms. Big trouble for big tech: The very public and very serious declines in some big tech stocks, including Netflix and Facebook, didn't just burn individual stockholders. Their declines also create broader problems for market-cap-weighted indexes that are heavily reliant on big tech stocks. There was fear that the pain of this sector would spill over into all parts of the market via cascading defaults that sparked a broader credit crisis, and that the bond market itself would roll over.

Emotions are getting the best of stock market investors

To control emotions, prudent investors must understand this one thing before making buy or sell decisions in this stock market. Internet ETF FDN counts Amazon, Facebook, Netflix NFLX, +2.28% and Alphabet GOOG, +0.09% GOOGL, -0.04% as its largest holdings. At The Arora Report, in addition to what to buy and sell, every recommendation is accompanied by recommended position size. Disclosure: Subscribers to The Arora Report may have positions in the securities mentioned in this article. He is the founder of The Arora Report, which publishes four newsletters.

This stock market has bigger muscle than you might think

as informed in "The stock market is not currently being driven by just a handful of stocks," writes Carlson, Ritholtz Wealth Management's director of institutional asset management. One "tell-tale sign that this isn't the case" comes from the fact that small-cap stocks are outperforming this year, he says. Carlson also points to a key indicator for market breadth — the NYSE Advance-Decline Line. "Instead, we see the advance-decline fairly in line with the stock market. (2:31) President Donald Trump and Russian President Vladimir Putin will meet in Helsinki on July 16.

Fear and volatility are likely to strike the stock market in August

After Kroger strikes back at Visa, battle over credit-card fees that may only get worseOpinion: Fear and volatility are likely to strike the stock market in AugustThere are three reasons whyThe CBOE Volatility Index is not necessarily the most accurate measure of volatility, but it is the most popular. Commercial hedgers (considered the "smart money") have been increasing their bullish VIX bets (see bottom graph of chart). S&P 500 risk vs. rewardSince the VIX reflects implied volatility of S&P 500 index options, it makes sense to see if the S&P 500 SPX+0.35% shows tell-tale signs of a bigger drop. It would take a good close below 2,800 points to invalidate the bullish pattern. A closer look at the S&P 500 breakout pattern, the bearish divergences and a bearish Nasdaq COMP+0.61% setup is available here.

The stock market is seeing abnormally large moves this earnings season — Goldman Sachs explains why, and how traders can capitalize

Getty Images / Spencer PlattIf you've noticed that stock prices have been swinging more than usual this earnings season, it's not just your imagination playing tricks on you. The 252 companies in the S&P 500 that have reported so far have seen an average absolute move of 3.9%, according to data compiled by Goldman Sachs . That's well above the mean fluctuation for both the past eight quarters (3.2%) and the previous four (3.3%), the firm finds. Fogertey & Co. go as far as to make four single-stock recommendations meant to help traders make a killing over the rest of earnings season. All of the quotes below are attributable to the derivatives team at Goldman.

collected by :Molly Tony

The stock market is undergoing a shift not seen since the financial crisis — and 3 ignored areas suddenly look like great bets

noreply@blogger.com (jack luxor) — Tue, 07 Aug 2018 08:52:00 +0000

according to Reuters / Brendan McDermidDon't look now, but a much-maligned area of the stock market appears to be mounting quite the comeback. We're referring to so-called value stocks , or equities characterized by their bargain pricing, relative to the rest of the market. Put simply, value is having a resurgence not seen since the aftermath of the financial crisis. So what does it mean if the value resurgence is here to stay? It appears, for the time being at least, that as historically stretched tech stocks lose their luster , traders are content to rotate into unloved areas, rather than completely exit the stock market.

This 'prophet of doom' predicts stock market will plunge more than 50%

After Kroger strikes back at Visa, battle over credit-card fees that may only get worseMarket ExtraThis 'prophet of doom' predicts stock market will plunge more than 50%Hussman sees Nasdaq sinking 57%, Dow tumbling 69%John Hussman, president of Hussman Investment Trust, describes himself as an economist, a philanthropist, and a "realist optimist often viewed as a prophet of doom" on his Twitter profile. That last bit may be the one investors care about on Monday as the stock market shows signs of unraveling on the back of the tech sector's stumble. Hussman's claim to fame includes forecasting the market collapses of 2000 and 2007-2008. Since then, however, he's also become known as a permabear for his repeated calls for sharp stock market declines and his oft-repeated mantra of "overbought, overvalued, overbullish" as the bull market continues into its ninth year by some measures. And he warns that the stock market won't be able to escape this "danger zone" until it shifts to a less dangerous combination of valuations, internals and overextended conditions.

GOLDMAN SACHS: The stock market is hurtling toward disaster, and only one thing can save it

according to "From a fundamental perspective, narrow market leadership typically reflects narrow earnings strength, which is often a symptom of a weakening operating environment," David Kostin, the firm's chief US equity strategist, wrote in a client note. It all boils down to today's earnings landscape, which Goldman identifies as a saving grace of sorts for the market. While market returns are highly concentrated into a handful of stocks, Goldman finds that the earnings environment is surprisingly broad-based. Going forward, it will be up to investors to continue assessing the relationship between market breadth and its earnings-specific counterpart. It's when earnings breadth starts dipping that investors should start to worry, so keep your eyes peeled.

Great news for bulls: The stock market just did something it hasn't done in 60 years

One, the stock market just made a positive move that has not happened since 1958, the same year that NASA was born and President Dwight Eisenhower, a Republican, was in the White House. Historically, when the market gains in April, May, June and July of midterm election years, the market has finished higher in that year, according to Saut. "The history of midterm election years is that stocks become dicey in August, but tend to rally as we approach the midterm elections," said Saut, in a note. The large-cap index jumped 45% in 1954 and rallied 38% in 1958, according to Dow Jones Market Data. Even without the added boost from politics, stocks almost always gain in years when the market finished higher between April and July, according to Paul Hickey, an analyst at Bespoke Investment Group.

Trump has trained stock market investors

After Kroger strikes back at Visa, battle over credit-card fees that may only get worseOpinion: Trump has trained stock market investorsIn many instances, 'buying the news' on the president's tariff- and trade-related comments has proven to be a winning strategyPresident Trump may have trained stock market investors. Although he appears to be unpredictable, some reactions to him in the stock market have become quite predictable. Whenever the debate becomes heated and global tensions surface, the stock market reacts adversely as well. Read: This is the only second-half investment strategy you needThe action in the stock market overnight after Thursday's session was indicative of that. Although Donald Trump himself may be very unpredictable, the stock market considers the tariff battle to be a provider of rather predictable opportunity instead.

collected by :Molly Tony

Stock Market LIVE: Sensex, Nifty at record highs led by banking stocks; HDFC AMC sees stellar debut

noreply@blogger.com (jack luxor) — Mon, 06 Aug 2018 08:15:00 +0000

collected by :Haron Adler

as informed in Net profit for the June quarter stood at Rs 395.03 crore as against Rs 263.43 crore in the year-ago quarter. HDFC AMC shares rose to Rs 1,801 at day's high on BSE, as compared to issue price of Rs 1,100. Titan's standalone profit for the June quarter rose to Rs 349.17 crore from Rs 266.91 crore in the year-ago period. Read more9.25 am IST Banking stocks gain Banking stocks trade higher with Nifty Bank Index rising 0.67% and Nifty Bank 1.5%. State Bank of India rose 1.2%, ICICI Bank 1.2%, Axis Bank 1%, Indusind Bank 1%, Yes Bank 0.6%, Punjab National Bank rose 1.4%.

A Stock Market Crash With Chinese Characteristics

The last time Chinese stocks popped, in early 2015, was a classic example of Chinese market dysfunction. The bull market in Chinese stocks, which started in 2016, had better fundamental economic support—but that support is now eroding. An investor watches stock prices at a brokerage in Beijing on July 6. More cash trapped in China chasing fewer empty houses raises the probability of a less severe Chinese housing downturn this time around. AdvertisementA stock market crash—so far much smaller than in 2015—is something China can likely handle.

Facebook Just Had the Worst Day in Stock Market History

referring to Just days after hitting a fresh all-time high, the social media company saw its stock drop almost 19%, losing $120 billion in market capitalization in the process and earning the dubious record for the worst one-day loss in market value in U.S. stock market history. Facebook shares closed Thursday's session down 18.96% to $176.26, giving it a market capitalization of $510.45 billion. Facebook's market cap stood at nearly $630 billion at the close of Wednesday's session, meaning the stock lost just shy of $120 billion. No other company has ever lost 12 figures in nominal value in a single market session. Intel Corp. (INTC) previously had the record, losing almost $91 billion on Sept. 22, 2000, according to FactSet, as the dotcom bubble burst.

Cramer: 10 reasons why Apple hitting $1 trillion matters for the stock market

noreply@blogger.com (jack luxor) — Mon, 06 Aug 2018 07:45:00 +0000

collected by :Haron Adler

referring to Until recently, a $1 trillion valuation would have seemed inconceivable for any company, Cramer said. In March 2000, right around the peak of the dotcom bubble, Cisco's market cap reached $550 billion; the internet giant then proceeded to loose nearly three-quarters of its value over the next year. "The notion that any company could ever be worth more than a half-trillion was considered dangerous, foolhardy, seditious, maybe the sign of a pending crash." But once the $500 billion level was successfully breached, the market's tone changed, enabling juggernauts like Apple to surge toward $1 trillion. And, Cramer added, Apple managed to achieve a $1 trillion market cap — the first U.S. company to do so — without being "hideously expensive," trading at only 15 times next year's earnings estimates.

Facebook's $100 billion-plus rout is the biggest loss in stock market history

Facebook on Thursday posted the largest one-day loss in market value by any company in U.S. stock market history after releasing a disastrous quarterly report. The social media giant's market capitalization plummeted by $119 billion to $510 billion as its stock price plummeted by 19 percent. No company in the history of the U.S. stock market has ever lost $100 billion in market value in just one day, but two came close. View Related ChartOn Sept. 22, 2000, Intel shed $90.74 billion in market value as the dot-com bubble burst. Earlier that year, Microsoft lost $80 billion from its market cap in one day.

China's stock market bulls and bears are locking heads, leaving room for cautious investor optimism

as declared in Nicholas Spiro says despite the recent market turbulence, the divergence of views on Chinese stocks and the economy means the country's equities could still be attractiveThat was quick. According to Bloomberg, the Shanghai Composite Index, nearly 40 per cent of whose constituents are banks, is currently trading at earnings multiples below the levels of the troughs during the 2015-16 crisis. While Chinese equities have clearly cheapened, the current risk premium does not adequately compensate investors for the plethora of domestic and external risks confronting China's economy, bears insist. Although a boon to most investors, the recent stimulus measures also raise concerns that Chinese policymakers are backsliding on deleveraging. The bears are giving the bulls a run for their money, but Chinese equities are starting to present an enticing opportunity.

The stock market is due for a pullback in the next week

Opinion: The stock market is due for a pullback in the next weekThere are two bullish paths to followThe stock market has been ignoring talk about trade wars having negative implications, and has continued to rally, as many market participants look upon it in disbelief. While the S&P 500 Index SPX+0.46% rose to 2,800 points, as we expected, this past week, I think the market is likely set up for a pullback within the next week or so. But I am still unsure how deep the market can pull back over the next couple of months. And, since the market is made up of individual stocks, this could be quite telling as to how deep the next pullback takes shape. The only caveat I have this week is the same I have presented in the past many times.

Extreme fear will actually keep the US stock market grinding higher

Opinion: Extreme fear will actually keep the U.S. stock market grinding higherSentiment plays an outsized role in the marketThere's a consistent pattern that occurs in stock market sentiment. The AAII Sentiment Survey saw one of its biggest weekly jumps in bearish sentiment. The majority of market participants feel this current stock market rally is about to end any day now. Part of the reason behind my theory is that this constant fear and "one foot out the door" mentality will keep stock markets grinding higher. There are non-stop headlines about trade wars and tariffs, but the market has ignored them and marched higher.

The Stock Market Is Shrinking. That’s a Problem for Everyone.

noreply@blogger.com (jack luxor) — Sun, 05 Aug 2018 07:10:00 +0000

collected by :Molly Tony

For a far larger assortment of smaller companies, though, profit is often out of reach. In 2015, for example, the top 200 companies by earnings accounted for all of the profits in the stock market, according to calculations by Kathleen Kahle, a professor of finance at the University of Arizona, and Professor Stulz. That's one of the main arguments for buying stock in the first place. Aside from the top 200 companies, the rest of the market, as a whole, is burning, not earning, money. ■ A quirk of accounting is at the root of some of that profit deficit, especially for smaller and younger companies.

Stock Market Manias Of The Past Vs. The Echo Bubble

It should also be mentioned that past stock market peaks as a rule coincided with record highs in buybacks. Diverging Indexes and Major Stock Market TopsIn view of the growing intra-market divergences mentioned above, we decided to create a few comparison charts which show three major market indexes on occasion of major stock market peaks of the past three decades, plus one additional indicator, namely the spread between 2- and 10-year US Treasury yields as a proxy for the yield curve. The 2007 market peak was a bit trickier, as there was actually no outright divergence between the three indexes. The last time a major market peak in Japan was preceded by an inverted yield curve was in 1989. It certainly does not look as if anyone is worried about the possibility of a stock market downturn.

3 Things to Watch in the Stock Market This Week -- The Motley Fool

according to Below, we'll take a closer look at the announcements that could send shares of Weight Watchers (NYSE: WTW), Disney (NYSE: DIS), and Arcos Dorados (NYSE: ARCO) moving this week. Weight Watchers' subscriber numbersInvestors could hardly be more optimistic heading into Monday's earnings report by Weight Watchers. Weight Watchers managed a 29% year-over-year spike in paid subscribers last quarter, for example, to 4.6 million users. Disney's streaming updateMedia giant Disney will announce its fiscal third-quarter 2018 results before the market opens on Tuesday. Disney's sales ended up higher by 9% last quarter as theatrical hits like Black Panther dominated the box office.

U.S. stock market steady on strength of jobs report

noreply@blogger.com (jack luxor) — Sun, 05 Aug 2018 06:40:00 +0000

collected by :Molly Tony

☰BusinessU.S. stock market steady on strength of jobs reportAfter the U.S. levied tariffs on $34 billion worth of Chinese goods, China retaliated with similar tariffs on U.S. goods. (Spencer Platt/Getty Images)A strong jobs report Friday pushed stocks to a positive note despite the first real shots across the bow in a trade war between the United States and China. The U.S. Labor Department's closely watched jobs report issued Friday had Wall Street wags giddy. But trade pressures are pushing the other way."Many Wall Streeters had pointed to July 6 as the trade war D-Day. Swagel said the most interesting tidbit from the jobs report may be that 601,000 Americans entered the labor force.

Japan's place at the top of the stock market may be fleeting

China overtaking Japan's stock market capitalisation in 2014 was yet another blow – one that, at least superficially, has been rectified. This reversion to the mean, if you will, has more to do with China than anything afoot in Japan. At the same time, President Xi Jinping and the People's of Bank of China are curbing financial excesses. If anything, Japan investors should be internalising the sudden burst of honesty from the Bank of Japan. In its zeal to destabilise China, Team Trump is scuttling the best chance Japan had at a true revival in decades.

as mentioned in

Trump trade war: U.S. stock market is faring better than China's since dispute began

noreply@blogger.com (jack luxor) — Sun, 05 Aug 2018 06:10:00 +0000

collected by :Molly Tony

Trump trade war: U.S. stock market is faring better than China's since dispute beganAdam Shell | USA TODAYAPEconomists say there are no winners in a trade war, and American farmers, appliance companies and automakers are proof that tariffs can inflict financial harm. But if you're using the stock market as a measure of who's winning the trade dispute, the U.S. has a clear lead over China and its other trading partners. The Standard & Poor's 500, a stock index filled with America's biggest companies that get more than 43 percent of their revenues from overseas sales, is up 6.1 percent this year. The major stock index in Japan is down a little less than 1 percent and European shares are up just 0.3 percent. If Trump wins concessions from China or the European Union, it could prove bullish for stocks as trade terms improve for U.S. companies.

FANG surge leads stock market recovery, putting Netflix in spotlight

Six of the S&P's 11 sectors remain in negative territory for the year, while the S&P 500 is up 4.8 percent, just 2.5 percent short of its January high. The S&P 500 tech index, which led last year with a 37-percent rise, is up more than 15 percent so far this year. S&P 500 companies are expected to post 20.9 percent earnings per share growth for the second quarter, according to Thomson Reuters data. Stock valuations are more reasonable now than back in January, with the S&P 500 price-to-earnings multiple at 16, roughly its five-year average. "They have the kind of top-line growth that is the envy of the rest of the companies in the S&P 500."

The fate of the stock market for 2018 could rest on the next couple of days

as informed in New warnings about cuts to Social Security and Medicare are a reason to worryMarket ExtraThe fate of the stock market for 2018 could rest on the next couple of daysThe S&P 500 ETF sets a new milestoneThe fate of the stock market for this year may arguably hinge on how shares trade in the next couple of days. According to analysts at Bespoke Investment Group, if the market gains from April through July, stocks almost always finish out the year higher and despite Monday's weakness, it's looking good for the S&P 500 so far. "Barring an epic collapse in the last five trading days of the month, this will mark the fourth straight monthly gain for the S&P 500," said Paul Hickey, cofounder of Bespoke, in a note last week. Meanwhile, Ryan Detrick, senior market strategist at LPL Research, noted that the stock market tends to follow the path of the 10-year Treasury yield BX:TMUBMUSD10Y-1.31%"Two years ago this month, the 10-yr yield bottomed at 1.36%. During each of those periods, the S&P 500, too, has risen, he said.

When earnings are up, why are investors anticipating a stock market downturn?

One issue is that investors often think only very loosely about the distinction between earnings levels and growth rates. After a year of extraordinary profit growth such as 2017, it would be unrealistic to expect further acceleration. Emerging market profit growth this year should be very similar, in the mid-teens. The rally in shares last year was to a large degree driven by the anticipation of strong earnings growth to come. As a result, developed equity markets are now trading at just 15.5 times earnings over the next 12 months.

Traders debate how a trade war will affect the stock market

It's that "to date" part that has gotten a large part of the investor base considerably more nervous. This is a major issue that the market, up until today, has been completely neglecting."The commodity markets aren't neglecting the threat. Copper is down dramatically in the past month on concerns over a slowdown in China and an increase in trade tensions. The Fed said this a month ago (June 12 to 13) — a time when tariffs looked like only a remote possibility. What side of this debate do you think they will be on now that tariffs have become very real?

Stock market ends lower after disappointing results from Twitter, bellwethers

noreply@blogger.com (jack luxor) — Sat, 04 Aug 2018 05:32:00 +0000

collected by :Haron Adler

as declared in While Alphabet reported strong results, Netflix disappointed earlier this season. Generally speaking there's a lot of confidence about earnings growth, and the number of firms that are meeting or beating expectations, even in light of names like Facebook," he said. Twitter Inc. TWTR-2.62% tumbled 21% after it reported its second-quarter results and gave a third-quarter outlook that was below forecasts. Shares fell 0.4%. Electronic Arts Inc. EA+1.73% shares fell 5.7% after the videogame maker issued an earnings beat late Thursday but fell short of Wall Street targets for coming quarters.

Nifty gainers losers: Stock market update: Top Nifty gainers and losers of Friday's session

As many as 39 stocks hit 52-week highs, compared with 26 stocks that touched 52-week lows on NSE. NEW DELHI: Indiabulls Housing Finance, Axis Bank, Vedanta, YES Bank, GAIL (India), ICICI Bank, HDFC and Lupin emerged as the top gainers among the Nifty scrips on Friday.On the other hand, Tech Mahindra, Tata Motors, Grasim Industries, Hero MotoCorp, IndusInd Bank, UltraTech Cement, HDFC Bank and Bharti Infratel stood as the top losers in the Nifty index.After two consecutive sessions of drubbings, bulls took charge on D-Street on Friday, owing to strong buying in bank, financial, metal and IT stocks despite weak Asian cues.Bank and financial counters staged an impressive comeback from their lows after the RBI on Wednesday raised the repo rate by 25 basis points amid concerns of rising inflation.The 30-share Sensex zoomed 391 points, or 1.05 per cent, to finish at 37,556, while Nifty 50 closed the day at a fresh record high of 11,361, with a gain of 116 points, or 1.03 per cent.For the week, Sensex inched up by 0.60 per cent, whereas Nifty clocked a gain of 0.73 per cent.In the Nifty basket of stocks, 33 stocks closed the day with gains, 16 with losses and one remained unchanged.All sectors on NSE finished in the green, with Nifty PSU Bank (up 1.89 per cent) as the top gainer. Shares of Canara Bank and Punjab National Bank jumped up to 4 per cent in the PSU bank index.As many as 39 stocks hit 52-week highs, compared with 26 stocks that touched 52-week lows on NSE.

Stock market continues to ignore threats from trade war

referring to According to FactSet's Senior Earnings analyst John Butters, 17% of the S&P 500 companies have reported so far, with 87% of them beating profit estimates and 77% beating revenue forecasts. Meanwhile, economic data have also been positive, showing healthy job gains and inflation rates in line with Federal Reserve's desired target of 2%. Yet, the threat of full blown trade war is looming large, whether people are noticing it or not, according to Kristina Hooper, chief global market strategist at Invesco. Helping boost such attitudes are positive earnings and economic data. Next week, 174 S&P 500 companies are expected to report their financials, including 11 Dow components.

Stock Market Fights Off Big Tech Stumbles

noreply@blogger.com (jack luxor) — Sat, 04 Aug 2018 05:02:00 +0000

collected by :Haron Adler

as informed in For months, analysts and investors have been debating whether a stock market whose gains have largely been driven by a handful of technology companies may be subject to a sudden reversal. Yet through much of those shock waves, the broader stock market has remained resilient. As Facebook suffered its biggest slide as a public company, dragging other technology stocks down with it, the S&P 500 slipped just 0.3%. Earnings across the rest of the stock market have been strong, buoyed by corporate tax cuts, consumer spending and an economy growing at its fastest pace in years. Ten of the 11 sectors in the S&P 500 are posting gains over the past three months.

Ranking The Worst-Ever One-Day Stock Market Cap Crashes

Facebook on Thursday posted the largest one-day loss in market value by any company in U.S. stock market history after releasing a disastrous quarterly report. CNBC put together the chart below showing the Top 12 market cap crashes for individual stocks. What would happen if we adjusted the largest one-day market cap losses for these individual stocks to account for that factor? And that's covering the biggest one-day market cap crashes for individual stocks since January 2000! If we went further back in time, who knows what the real all-time one-day market cap crash champion would turn out to be!

Tenable IPO vs. Facebook's Flop: Identifying a Stock Market Trend

referring to First, there's Tenable Network Security ($TENB), the third cybersecurity firm to go public this year. Indeed, the cybersecurity market rally shows no signs of flagging. Now, the counterpoint: the collapse of Facebook's market value just a day prior to Tenable's IPO. These market trends are good news for cybersecurity firms gearing up for the next highly anticipated IPOs: CrowdStrike, Tanium, and Cylance, among them. This article first appeared in Cyber Saturday, the weekend edition of Data Sheet, Fortune's daily newsletter on the top tech news.

The Stock Market Is At A Crossroads

As Larry Kudlow, the former CNBC contributor and head of the president's economic council says, "corporate profits are the mother's milk of the stock market." Higher rates are bearish because the market thinks they areEconomic expansion is a mixed blessing for the stock market which has moved higher on the back of optimism about the future. The Chinese stock market has been suffering over recent months, while the U.S. market remains near its high. I continue to favor buying volatility on the U.S. stock market during periods where it moves to the downside. The stock market is at a crossroads as the Q2 earnings season comes to an end.

Because of the Trade War, China Has Lost Its Status as the World's No.2 Stock Market

Evidently, the shuffling of stock market ranks didn't have much to do with Japan's rise but with China's fall. April 2: China imposed tariffs between 15 percent and 25 percent on 128 U.S. products worth a total of $3 billion. June 17: Trump announced he was imposing a 25 percent tariff on $50 billion worth of goods from China. July 16: China filed another complaint to the WTO over Trump's $200 billion tariff plan. August 3: China announced plans to slap a 25 percent tariff on $60 billion worth of U.S goods.

Crypto Bank Galaxy Digital Takes Massive Hit in Stock Market Debut

noreply@blogger.com (jack luxor) — Sat, 04 Aug 2018 04:32:00 +0000

collected by :Haron Adler

referring to Crypto Merchant Bank Has Rocky DebutDays after revealing that Galaxy Digital, his cryptocurrency merchant bank, posted a $134 million loss during Q1, the firm took a massive hit in its stock market debut. CNBC reports that Galaxy Digital, which trades under ticker symbol GLXY, saw its shares plunge by 20 percent during the first half hour that it was listed on the Canada-based TSX Venture Exchange (TSX-V). The stock had opened at C$2.75, a full 45 percent below the C$5.00 at which investors had purchased it during a January private placement and began to careen downwards as soon as the markets opened. Thursday, however, brought a moderate recovery for GLXY shares, which traded as high as C$2.40 shortly after the market opened and were valued at C$2.27 at the time of writing at 12:20 pm ET. Novogratz Stays OptimisticOf course, the fact that Galaxy Digital's stock began trading at all is its own silver lining.

Jim Cramer: We Have a Stronger Stock Market Than China

Amid renewed worries about a trade war with China, TheStreet's founder and Action Alerts PLUS Portfolio Manager Jim Cramer reminds investors that the U.S. stock market is stronger than China's. Industrials stocks moved lower Thursday amid worry that President Trump may raise tariffs against China.

Using the Stock Market to Invest in the Future of Sneakers Could Prove Lucrative

As it stated in Just do it: open that digital checkbook and place a bet on the future of footwear using the stock market. Greenberger thinks Foot Locker's lagging stock price this year (down slightly) is a sign of what's to come in a world shifting to digital shopping. "With Nike products representing 67% of Foot Locker merchandise, investors assume if Nike returns to growth, so must Foot Locker. Cautions Greenberger, "If these core customers increasingly shop directly with Nike, Foot Locker could experience outsized sales declines. A wager against Foot Locker would be the way to go, based on Greenberger's analysis.

What Happened in the Stock Market Today -- The Motley Fool

Groupon is focusing on growing gross profit in a turnaround effort, and had some success in its international business. International gross profit increased 11%, or 4% in currency-neutral terms, to $104.3 million. North America gross profit fell 6% to $219.4 million. Overall, gross profit fell 1%, or 3% excluding currency effects. Compared with last quarter, the number of active customers fell from 49.6 million to 49.3 million, but the gross profit per active customer improved from $27.16 to $27.27.

Japan's Biggest Theme Is Proving Tough to Play in Stock Market

Some companies will adapt better than others, deploying automation and boosting productivity so they can afford bigger pay packets to lure job applicants. Bank of America, Goldman Sachs Group Inc. and Morgan Stanley all came out with calls on sectors or companies that would do better or worse than others thanks to the labor-market's transformation. Bank of America, Goldman and Morgan Stanley all picked a winner with Recruit last year. "There will be various winners and losers."Rather than make specific bets on companies or sectors, another tactic to consider could be to go with market capitalization. "Larger firms can substitute capital for labor," or outsource work overseas, allowing them to keep costs down, he said.

How to Prepare for a Stock Market Surprise

noreply@blogger.com (jack luxor) — Sat, 04 Aug 2018 04:02:00 +0000

collected by :Haron Adler

as declared in The second quarter wasn't spectacular for stocks in the United States, but it produced solid returns with relatively little volatility. Stocks elsewhere around the world didn't fare quite as well and the bond market gave up ground, but for the most part, investors had some very welcome breathing room. Still, it's a good bet that difficult times will return to financial markets at some point, so this may be good moment to prepare for a future shock. In our quarterly report on investing, we've analyzed one time-tested approach: the balanced fund. Our survey includes articles with reporting on where the markets have been and analysis that suggests where they may be heading.

Remember: The Stock Market Still Has Downside Tripwires

At this point three months ago, ��market correction" and "Dow Theory" were hot button topics. However, the stock market then began its volatile slog away from the precipice, and the meaning of "tariff" morphed from global nightmare to negotiation strategy. However, if the stock market continues to meander, the downside alarms will remain primed. Downside alarm #1: Dow TheoryBecause the Dow Theory was widely discussed and analyzed in April, it is at the top of the list. The Dow Theory still labels the stock market as being in an uptrend.

The Future Of The Stock Market And The Future Of The FAANGs

referring to But, one cannot ignore the fact that the current stock market is so dependent upon just a small number of very large companies, in terms of market valuations. I concur with this conclusion, but it still doesn't the fact that we need to understand the importance of this sector in the behavior of the stock market. In many cases the rising stock market was supported by two sectors, consumer goods and consumer services. In the near future, the stock market will not be moving in "lock step" with the Fed as it has over the past nine years or so. As a consequence, major sectors, like "technology" may play a much bigger role in overall movements in the stock market than they have.

Can President Trump Really Take Credit for the Stock Market Rally?

Can President Trump Really Take Credit for the Stock Market Rally? But how much credit for the stock market rally and growth belongs to the president? As measured by the S&P 500, the stock market sits at 2,812 as of Wednesday. Ken Rogoff, Harvard economics and public policy professor, discussed the stock market rally and several reasons for recent stock market growth on CNN recently. When fixed investment returns are low, investors — seeking decent returns — have nowhere to go but the stock market.

Why a Trade Truce Could Add Almost $2 Trillion to the Stock Market

The stock market's biggest bear calls out a huge investing mistake that could have 'brutal consequences' — and explains how it will cause the next market crash

noreply@blogger.com (jack luxor) — Sat, 04 Aug 2018 03:32:00 +0000

collected by :Haron Adler

as informed in To novices, it's frequently used as a simple barometer of when an investment gets overextended. Conventional wisdom there suggests once valuation gets stretched too far, it might be time to sell. Piggybacking off the Iron Law, he points out that as prices have surged, people still seem ... Sponsored: If you enjoyed reading this story so far, why don't you join Business Insider PRIME? Simply click here to claim your deal and get access to all exclusive Business Insider PRIME benefits.

China dethroned by Japan as world's No. 2 stock market

An intensifying trade spat with the U.S. just led China to cede its four-year title as the world's second-largest stock market to Japan. After a Thursday slump, Chinese equities were valued at at US$6.09T, losing out to Japan's $6.17T, while the U.S. remains the world's largest with a market cap of $31T. The Shanghai Composite Index has lost more than 16% YTD to be among the world's worst performers, while the yuan has fallen 5.3% against the dollar. ETFs: FXI, DXJ, EWJ, KWEB, ASHR, FXY, YINN, CAF, YCS, EWH, CQQQ, YANG, MCHI, GXC, CYB, FXP, PGJ, CN, KBA, TAO, CHIQ, HAO-OLD, CHIX, TDF, QQQC, CNY, PEK, CHN, DFJ, DBJP, CWEB, CXSE, JYN, CHAU, XPP, CNXT, JOF, ASHS, AFTY, JPNL, DXJS, CHAD, FCA, YAO, YXI, HEWJ, JEQ, YCL, GCH, EWV, EZJ, SCJ, JPXN, FXCH, ECNS, CHIM, CHII, DXJR, CHIE, KFYP, DXJF, EWHS, JFC, FCHI, JPN, OBOR, ASHX, CNYA, JHDG, DXJH, FHK, HAHA, JPMV, XINA, FJP, CNHX, DXJT, HJPX, QJPN, DEWJ, DXJC, GSJY, KGRN, HFXJ, JPNH, DDJP, BBJP, DJPY, FLCH, FLHK, FLJH, FLJP, UJPY, WCHN

Just try to find a stock market year like 2018, because you won't

according to This year has already been remarkable for the stock market because the moves seen in 2018 are unlike any in the past, according to an analysis by Bespoke Investment Group. The most similar year to 2018 in the stock market is 1942, with a correlation coefficient of just 0.533, Bespoke found. The S&P 500 is up more than 4 percent year to date but it has not been a smooth ride. The S&P 500 has had 36 days where it rises — or falls —at least 1 percent. Market volatility has spiked this year as investors grapple with a number of different factors combining to make this year quite unique.

Only 23% of millennials prefer investing to cash—here's why they're skeptical of the stock market

Here's how much money you could be losing by avoiding the stock market

Keeping so much money in the bank could mean missing out on the potential rewards that come with investing that money. "People keep money in cash because they want something that's guaranteed," says Erik Davidson, Chief Investment Officer at Wells Fargo. Here's how to get started:Open a retirement accountIf you have access to an employer-sponsored retirement account, that's the easiest way to begin investing in the stock market. Of employers who offer a retirement plan, 76% will match some of your savings. Stay the courseWhile the stock market has been marching steadily upward for nearly a decade, it's going to fluctuate.

Fear and volatility are likely to strike the stock market in August

noreply@blogger.com (jack luxor) — Sat, 04 Aug 2018 03:02:00 +0000

collected by :Haron Adler

as mentioned in Commercial hedgers (considered the "smart money") have been increasing their bullish VIX bets (see bottom graph of chart). S&P 500 risk vs. rewardSince the VIX reflects implied volatility of S&P 500 index options, it makes sense to see if the S&P 500 SPX+0.46% shows tell-tale signs of a bigger drop. The S&P 500 is now caught between a (massive?) It would take a good close below 2,800 points to invalidate the bullish pattern. A closer look at the S&P 500 breakout pattern, the bearish divergences and a bearish Nasdaq COMP+0.12% setup is available here.

The stock market is seeing abnormally large moves this earnings season — Goldman Sachs explains why, and how traders can capitalize

Technology companies fall again, sending stock market tumbling

as informed in Tech companies have done far better than the rest of the market in recent years, but they've fallen after Facebook and Twitter both reported weak user growth in the second quarter. Microsoft and Alphabet slumped Monday, and Facebook, Twitter and Netflix have all fallen at least 20% from their record highs this month.

The stock market just experienced the most seismic shift from growth to value since Lehman Brothers, says Nomura

So far this week, the S&P 500 Growth index XX:SP500G+0.32% is down 1.2%, while, the S&P 500 Value index XX:SP500V+0.64% is up 0.2% over the same period. To be sure, over the longer-term, growth has been a steady outperformer, gaining 9.4% year-to-date, compared against action in value names that have left the S&P 500 value index little changed. In a Monday note, Morgan Stanley said the outperformance by growth had it poised for an eventual reversal, as MarketWatch's Ryan Vlastelica writes. "The rotation I think isn't necessarily growth to value, it's about selling the winners and that [happens to involve] growth stocks," he told MarketWatch. However, so-called growth names were bouncing back higher again, with the Nasdaq rebounding on Tuesday to finish up 0.6% in Tuesday action, helping buoy the broad market.

China loses status as world's second-largest stock market amid trade war with US

Chinese shares ceded their ranking as the second-largest stock market in the world to Japan, the Financial Times reported on Friday. Chinese stocks were worth a total of $6.09 trillion at the market close on Thursday, the FT said, referring to figures from Bloomberg. That compared to the $6.16 trillion market value of the Japanese shares at the end of the Thursday trading session. China's market surpassed Japan in market value in November 2014 to become the world's second-largest, the FT said. The U.S. stock market, which continues to be the world's largest, was valued at $31 trillion at the end of Thursday, it added.

Great news for bulls: The stock market just did something it hasn’t done in 60 years

noreply@blogger.com (jack luxor) — Sat, 04 Aug 2018 02:32:00 +0000

collected by :Haron Adler

as mentioned in One, the stock market just made a positive move that has not happened since 1958, the same year that NASA was born and President Dwight Eisenhower, a Republican, was in the White House. After a fairly rocky month, stocks closed out July with solid gains, extending the S&P 500's SPX+0.46% winning streak to four months. Historically, when the market gains in April, May, June and July of midterm election years, the market has finished higher in that year, according to Saut. "The history of midterm election years is that stocks become dicey in August, but tend to rally as we approach the midterm elections," said Saut, in a note. Even without the added boost from politics, stocks almost always gain in years when the market finished higher between April and July, according to Paul Hickey, an analyst at Bespoke Investment Group.

Trump has trained stock market investors

Although he appears to be unpredictable, some reactions to him in the stock market have become quite predictable. Whenever the debate becomes heated and global tensions surface, the stock market reacts adversely as well. Read: This is the only second-half investment strategy you needThe action in the stock market overnight after Thursday's session was indicative of that. That is the lesson the stock market is learning from Donald Trump. Although Donald Trump himself may be very unpredictable, the stock market considers the tariff battle to be a provider of rather predictable opportunity instead.

The complete bullandbear cases for stock market investors

as informed in Jeff Reeves's Strength in NumbersOpinion: The complete bull-and-bear cases for stock market investorsWe're at Peak Worry — againIn a Dickensian chapter for the stock market, we are in the middle of an earnings season that illustrates both the best of times and the worst of times for investors. Record valuations: Even after recent volatility, many market experts are still concerned that stock valuations are simply too far out of whack with historical norms. Big trouble for big tech: The very public and very serious declines in some big tech stocks, including Netflix and Facebook, didn't just burn individual stockholders. Their declines also create broader problems for market-cap-weighted indexes that are heavily reliant on big tech stocks. There was fear that the pain of this sector would spill over into all parts of the market via cascading defaults that sparked a broader credit crisis, and that the bond market itself would roll over.

Emotions are getting the best of stock market investors

To control emotions, prudent investors must understand this one thing before making buy or sell decisions in this stock market. Internet ETF FDN counts Amazon, Facebook, Netflix NFLX, -0.41% and Alphabet GOOG, -0.20% GOOGL, -0.24% as its largest holdings. At The Arora Report, in addition to what to buy and sell, every recommendation is accompanied by recommended position size. Disclosure: Subscribers to The Arora Report may have positions in the securities mentioned in this article. He is the founder of The Arora Report, which publishes four newsletters.

This stock market has bigger muscle than you might think

"The stock market is not currently being driven by just a handful of stocks," writes Carlson, Ritholtz Wealth Management's director of institutional asset management. One "tell-tale sign that this isn't the case" comes from the fact that small-cap stocks are outperforming this year, he says. Carlson also points to a key indicator for market breadth — the NYSE Advance-Decline Line. "Instead, we see the advance-decline fairly in line with the stock market. (2:31) President Donald Trump and Russian President Vladimir Putin will meet in Helsinki on July 16.