financial market news

End of year gathering?  Stock market uptrend set to come up against stagflation fears

End of year gathering? Stock market uptrend set to come up against stagflation fears

The period between now and the end of the year marks a historically bullish home stretch of the year for US equities, especially just before and after Christmas. The question for investors is whether favorable seasonal factors will be offset by economic fundamentals. The momentum for a year-end run in equities only seems to be …

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Why China's COVID policies are rattling investors again

Why China’s COVID policies are rattling investors again

Investors in China-related assets who had expected a significant easing of COVID restrictions were disappointed this week as the country battles the worst wave of cases since the outbreak in Shanghai earlier this year. China-related ETFs fell this week, with shares of the iShares MSCI China MCHI ETF, -1.82% lose 3.4%. The KraneShares CSI China …

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Has the market bottom been reached?  5 reasons why US stocks could continue to suffer as we approach next year.

Has the market bottom been reached? 5 reasons why US stocks could continue to suffer as we approach next year.

With the S&P 500 holding above 4,000 and the CBOE volatility gauge, known as Wall Street’s “Vix” or “fear gauge,” VIX, +0.74% having fallen to one of its lowest levels of the year, many Wall Street investors are starting to wonder if the lows are finally being reached for stocks – especially now that the …

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Bear markets occur in three stages;  and we've only just started the second, says a seasoned analyst.

Bear markets occur in three stages; and we’ve only just started the second, says a seasoned analyst.

Stocks will start the Black Friday half-session near 10-week highs, having rebounded in part on hopes that the Federal Reserve will slow the pace of interest rate hikes while they wait to see how much tightening previous had an impact on the economy. Investors are therefore anticipating when the Fed will eventually pivot and borrowing …

Bear markets occur in three stages; and we’ve only just started the second, says a seasoned analyst. Read More »

These 2 ETFs show why owning small-cap stocks is key to beating the market in times like these

These 2 ETFs show why owning small-cap stocks is key to beating the market in times like these

Small has been fine this year on Wall Street. This is because the smaller cap stocks of the S&P 500 SPX, +1.36% have largely outperformed larger cap stocks since January. The eight stocks with the largest market capitalizations at the start of the year – which at the time represented 27.2% of the total market …

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Black Friday can offer investors clues as to how much gas is left in the tank: here's what to watch out for

Black Friday can offer investors clues as to how much gas is left in the tank: here’s what to watch out for

Black Friday comes at an interesting time for the American consumer. Buyers have seemingly persevered this year despite an all-out assault on their wallets and net worth — from falling stock prices and, more recently, home valuations, to runaway inflation that has eroded their purchasing power. But after a host of major US retailers, including …

Black Friday can offer investors clues as to how much gas is left in the tank: here’s what to watch out for Read More »

The new bull market will be led by the stocks of these three industries.  Tech and the FAANGs will fall by the wayside

The new bull market will be led by the stocks of these three industries. Tech and the FAANGs will fall by the wayside

We do not yet know if the recent rally triggers a new bull market in equities. But here’s a sure bet: once the new bull market is here, entirely different groups will lead. It will be with the old – think of the FAANGs – and with the new. To find out which new sectors …

The new bull market will be led by the stocks of these three industries. Tech and the FAANGs will fall by the wayside Read More »

Here are four worrying signs that inflation may persist, from a bond fund manager

Here are four worrying signs that inflation may persist, from a bond fund manager

What last week’s consumer prices and then Tuesday’s producer price index data both show is that the market was pricing in more bad news on the inflation front than of relief, and therefore large short cover rallies when the data is weaker than expected. SocGen This graph from Societe Generale clearly shows that the biggest …

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Even JPMorgan bullish strategist Kolanovic says the markets are getting ahead of themselves.  Here's what he and a Goldman strategist say do now.

Even JPMorgan bullish strategist Kolanovic says the markets are getting ahead of themselves. Here’s what he and a Goldman strategist say do now.

A bullish day is looming for equities after more upbeat inflation news as producer prices fell more than expected. That’s when the clock ticks down to Wednesday’s retail sales report. But while some investors cling to hope that last week’s stock run started with last week’s weaker CPI inflation report, Wall Street remains wary, with …

Even JPMorgan bullish strategist Kolanovic says the markets are getting ahead of themselves. Here’s what he and a Goldman strategist say do now. Read More »

The Dow is outperforming, which could be a sign that the latest stock market rally is about to die down

The Dow is outperforming, which could be a sign that the latest stock market rally is about to die down

As investors seek refuge in more defensive stocks, a market tech sees the Dow’s growing outperformance margin against the S&P 500 and Nasdaq as a sign that the latest rally in stocks could fade quickly like the last . In a Monday note to clients, Jonathan Krinsky, chief market technician at BTIG, said the Dow …

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