Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.Sunday, January 30, 2011
Creative Art of Bullish Excuses, Stock Market Still Good to Go, Hook Has Been Set / Stock-Markets / Stock Markets 2011
While reading more on the Egyptian riots in a Bloomberg article, I found this nice quip on global equity prices.
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Sunday, January 30, 2011
Stock Market Crash Warning, FTSE World Equities BubbleOmics / Stock-Markets / Financial Crash
Intriguing to see John Authers’ chart in an article about the “Carry Trade” in this weekend’s Financial Times, had all the hallmarks of classical BubbleOmics.
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Sunday, January 30, 2011
Stock Market SPX Reverses from Cycle Top Resistance / Stock-Markets / Financial Markets 2011
The FDIC Expands the Problem Bank List. - The FDIC Failed Bank List announced four new bank closures this week. Before BankUnited FSB collapsed in May 2009, employees lit candles and prayed that Florida's biggest bank would survive the bad loans it made before the housing bubble burst. The miracle came in the form of Uncle Sam, or more precisely, the Federal Deposit Insurance Corp., which sold the failed BankUnited to a group of Wall Street financiers led by a longtime New York banker. The FDIC agreed to reimburse as much as $10.5 billion in future loan losses—and gave the new owners $2.2 billion in cash. The buyers paid $945 million.
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Sunday, January 30, 2011
Friday’s Panic in the Stock Market S&P 500 and Gold Futures / Stock-Markets / Financial Markets 2011
Mr. Market has thrown traders a few curve balls lately as precious metals and crude oil have been selling off while the U.S. Dollar Index futures were consolidating. Additionally, the volatility index has been very choppy and was indicating that we could be seeing a potential change in the underlying trend with regards to future price action. In previous articles that I have proffered, I was warning about a likely correction in gold and equities as prices were extremely overbought and both asset classes were due for pullbacks.
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Sunday, January 30, 2011
Schumpeter vs. Wall and the Business Cycle Count in the Long Wave / Stock-Markets / Cycles Analysis
Joseph Schumpeter was a Harvard economist and president of the Econometric Society (1940-41). He was author of the two-volume tome Business Cycles (McGraw-Hill 1939). Schumpeter’s cycle research is of particular interest because he was one of the first to attempt to integrate sociological understanding into economic trends. He also presented an integrated approach to cycles that presented the Kondratieff long wave as a larger scale of the smaller cycles. In Business Cycles, he introduced a theoretical model for how all the various cycles fit together.Read full article... Read full article...
Sunday, January 30, 2011
Stock Market Elliott Wave Analysis and Forecast for Week Starting 31st Jan / Stock-Markets / Stock Markets 2011
During the past six trading days the market had cleared the Ops-Ex and the FOMC potential obstacles, but on friday ran into serious trouble with a lower than expected Q4 GDP. Just after the open on friday the SPX was at a new bull market high and up 1.6% on the week. After friday’s close it ended down 0.6% for the week. This week’s economic reports were more mixed than in recent weeks: seven improving and five weakening. The decliners were Case-Shiller housing prices, durable goods, the M1-multiplier, the WLEI, and a rise in jobless claims.
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Saturday, January 29, 2011
Smart Money is Still Leaving Stock Market as Retail Money is Coming Back / Stock-Markets / Financial Markets 2011
U.S. Consumer Sentiment Falls Less Than Forecast - (Bloomberg) Confidence among U.S. consumers fell less than expected in January, a signal the biggest part of the economy may extend gains from late 2010. The Thomson Reuters/University of Michigan final index of consumer sentiment decreased to 74.2 from 74.5 in December. The median forecast in a Bloomberg News survey called for a reading of 73.3, up from a preliminary figure of 72.7 issued earlier this month.
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Friday, January 28, 2011
Making Money with Stocks: Two Big Things That Make All the Difference / Stock-Markets / Stock Markets 2011
Mitchell Clark writes: Being long the stock market is certainly paying off. In fact, it’s been paying off quite handsomely since the financial crisis low set in March 2009. Of course, the stock market is still in recovery mode. Share prices still aren’t back to their highs set over a decade ago. They’re getting closer, but, really, we’re only talking about breaking even. If it weren’t for dividends, most equity investors would have been in the red over the last 10 years.
There are two extremely important things that make all the difference for the equity investor. Time and timing.
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Friday, January 28, 2011
The Fed Effect, Full Spectrum Dominance of Stock and Financial Markets / Stock-Markets / Financial Markets 2011
Dual mandates of Maximum Employment and Price Stability are noble headline goals of the Federal Reserve.
Unfortunately, over a long period of time, the perceptibly infinite concentrations of power in concert with the short comings of human nature has inflated the Federal Reserve System into an all-powerful godlike entity to both fear, and worship.
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Thursday, January 27, 2011
Stock Market Top Ahead? These Two Stocks Say Yes / Stock-Markets / Stock Markets 2011
Michael Lombardi writes: While I hate to be the bearer of bad news, something is suddenly happening in the luxury high-end consumer market that stock analysts and economists have failed to pick up on.
Coach, Inc. (NYSE/COH), a seller of high-end leather handbags and a stock I follow closely to monitor consumer spending patterns on luxury items, yesterday reported that it made $303 million in its latest quarter on $1.26 billion in sales. Same-store sales climbed 13% and the company announced a $1.5-billion stock buyback program.
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Thursday, January 27, 2011
Inflation to cool soon, Metal & Commodities to correct further / Stock-Markets / Financial Markets 2011
No. This is mere healthy pullback. This correction will drive out weak holders from the market, presenting fresh buying opportunity at lower levels.
I have not changed my long term outlook about Gold by one iota.
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Thursday, January 27, 2011
Stock Market Train Crash 2011, Continued / Stock-Markets / Stocks Bear Market
Below are two charts showing the cyclical behaviour of the S&P 500 – over a +-9 month cycle and a +-4 year cycle. (source: DecisionPoint.com)Essentially, the way cycles are measured on a computer is that the computer looks for dips or valley bottoms and then looks to see whether there is any periodicity to those dips. 9 months and 48 months appear to be recurring periods of valleys. It is never “precisely” the same – but always +- a similar amount. That’s why the perpendicular dashed lines are not always equidistant.
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Thursday, January 27, 2011
Strength Continues as S&P Tags New 2-Year Highs / Stock-Markets / Stock Markets 2011
The stock market indices started off today with a gap up. They pulled back and tested support, and then took off, setting new S&P 500 highs just under 1300. Nasdaq 100 exploded to a high of 2321.22, and then pulled back in the morning, tested support successfully, and then ran up to the highs on several occasions. It backed and filled all day, but could not get through, and then rolled over in the last 10 minutes.
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Thursday, January 27, 2011
Fed A Non Event for Stock Market / Stock-Markets / Stock Markets 2011
Someone needs to enlighten me as to why many think the fed was going to begin speaking about, or hinting at, raising rates. The economy is the stock market. The stock market is rising, based on liquidity from the fed. Raise rates, and the liquidity supporting Qe2 goes away. So again, I don't get why people thought he would begin speaking about raising rates. It's not going to happen in 2011. If the stock market falls we go in to a double dip as the real economy is not recovering. It's supported by printed dollars.
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Wednesday, January 26, 2011
Why Investors Should Fear America's "Sputnik Moment" / Stock-Markets / US Stock Markets
Martin Hutchinson writes: In his State of the Union Address yesterday (Tuesday) evening, U.S. President Barack Obama said the United States is experiencing another "Sputnik moment."
For a free marketer like myself, that's deeply depressing rhetoric: It reflects the reality that President Obama believes that this crisis - like others that came before it - is best solved by still more government action.
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Tuesday, January 25, 2011
Markets Forecasts 2011 Follow Through - Economies And Equities / Stock-Markets / Stock Markets 2011
As usual, most of the first Journal issue of the year is given over to that annual exercise in masochism known as predictions for the year. We note several potential problems but, overall, we think the markets should be ok, and the sector we deal with will be more than ok.
There has been a small pullback to start the year as those who waiting for the next tax year to book profits have been putting stock in the market. We won’t be surprised if the pullback gets deeper before it’s over but we are not concerned about it.
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Tuesday, January 25, 2011
BubbleOmics Financial Markets and Economic Forecasts for the Year of the Rabbit / Stock-Markets / Financial Markets 2011
On 4th February 2011 the Year of The Tiger transforms to The Year of The Rabbit. If you believe in Chinese horoscopes the “Rabbit” is going to be a walk-in-the-park compared to all the excitement of the past two years.
http://www.theholidayspot.com/chinese_new_year/more_zodiacs/rabbit.htm
Of course, when you consult with soothsayers it’s a good idea to read around a bit and get a second opinion. I saw that I Ching says, “In the year of the Rabbit without concentration you will fail”. So the secret to success presumably, is “laid-back-concentration”?
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Tuesday, January 25, 2011
Why China Stocks Remain Tops in My View / Stock-Markets / Chinese Stock Market
George Leong writes: China is on the right path to developing into a rising world economic power as well as a basin for incredible and sustained growth across many sectors, including industrial, mining, energy, services and technology. The reality is that, if it is saleable and in demand, then you know that China will likely have the consumer market for it. China knows that and so do many of the other global multinational companies, including many in the United States.
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Tuesday, January 25, 2011
Investment Strategies 2011, What to Buy and Sell / Stock-Markets / Investing 2011
This week I am really delighted to be able to give you a condensed version of Gary Shilling's latest INSIGHT newsletter for your Outside the Box. Each month I really look forward to getting Gary's latest thoughts on the economy and investing. In 2009 in his forecast issue he suggested 13 investment ideas, all of which were profitable by the end of the year. Last year he gave us 16 which the large majority hit the mark. It is not unusual for Gary to give us over 75 charts and tables in his monthly letters along with his commentary, which makes his thinking unusually clear and accessible. Gary was among the first to point out the problems with the subprime market and predict the housing and credit crises. His track record in this decade has been quite good. I want to thank Gary and his associate Fred Rossi for allowing us to view this smaller version of his latest letter, where he gives us 18 investable strategies for 2011.
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Tuesday, January 25, 2011
Stock Market Holds Support...Bounces... / Stock-Markets / Stock Markets 2011
The difference between a bull market and a bear market is action such as you saw today. The overall market holds up, while froth stocks continue to mostly head lower and continue their correction off their most recent tops. The market is bifurcated and that's never great news. The Dow is well out performing while the Nasdaq is well under performing. That's simply because the highest froth and P/E stocks live in the Nasdaq. That won't be changing any time soon, thus, the correction to the down side should remain mostly in technology. That doesn't mean the overall market won't take a hit as well but the biggest damage will be in the land of technology.
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