1,313 results found
Invest
The market’s 8.5% decline during August sent shockwaves through the media and investors. The drop raised concerns about whether this was the start of a larger correction or a temporary pullback. However, a powerful reversal, driven by investor buying and corporate share repurchases, halted the decline, leading many to wonder if the worst is behind […]
Economics
I was recently asked about the seemingly strong “economic growth” rate as the Federal Reserve prepares to start cutting rates. “If economic growth is so strong, as noted by the recent GDP report, then why would the Federal Reserve cut rates?” It’s a good question that got me thinking about the trend of economic growth, the debt, […]
Invest
Are the “Mega-Cap” stocks dead? Maybe. But there are four reasons why they could be staged for a comeback. The recent market correction from the July peak certainly got investors’ attention and rattled the more extreme complacency. As we noted previously: “While there have certainly been more extended periods in the market without a 2% […]
Invest
On Monday morning, investors woke up to plunging stock markets as the “Yen Carry Trade” blew up. While media headlines suggested the sell-off was due to fears of a recession, slowing employment growth, or fears over Israel and Iran, such is not the case. As previously noted, headline events like the economy, employment, or geopolitical […]
Invest
Overly optimistic investor expectations of market returns may be a problem. To wit: “While consumers are not very confident about the economy, they are highly optimistic about the stock market. In that same consumer confidence report from the Conference Board, the expectations for rising stock prices over the next 12 months are near the highest […]
Invest
In the most recent report from FINRA, margin debt levels have surged as bullish investors leverage their bets in the equity market. The increase in leverage is not surprising, as it represents increased risk-taking by investors in the stock market. We previously discussed that valuations, in the short term, reflect investor optimism. In other words, […]
Invest
Throughout history, bull market cycles make up on one-half of the “full market” cycle. During every “bull market” cycle, the market and economy build up excesses which must ultimately be reversed through a market reversion and economic recession. In the other words, “What goes up, must come down.”
Invest
With a global recession underway, there are too many uncontrollable risks currently to maintain high levels of equity exposures. With the long-term bull trend now broken, cash is king.
PRO BLOG
With a global recession underway, there are too many uncontrollable risks currently to maintain high levels of equity exposures. With the long-term bull trend now broken, cash is king.