Here’s Why Momentum Investors Will Love Apple (AAPL)

Posted by & filed under Company Analysis, Economic Analysis, Financial analysis, Growth & Valuation, Market Analysis, Personal Finance.

Description: Momentum investing revolves around the idea of following a stock’s recent trend in either direction. In the ‘long’ context, investors will be essentially be “buying high, but hoping to sell even higher.” With this methodology, taking advantage of trends in a stock’s price is key; once a stock establishes a course, it is more… Read more »

Monetary policy will not be enough to fight the next recession

Posted by & filed under Economic Analysis, Governments & Regulators, Growth & Valuation, Personal Finance.

Description: The biggest challenge economists face today is how to deal with downturns. America’s expansion is the longest on record; a slowdown at some point is inevitable. The fear is that central banks will not have enough tools to fight the next recession. Source: Economist.com Date: Jan 09, 2020 Link: https://www.economist.com/leaders/2020/01/11/monetary-policy-will-not-be-enough-to-fight-the-next-recession?cid1=cust/dailypicks1/n/bl/n/2020019n/owned/n/n/dailypicks1/n/n/NA/375620/n Questions for discussion: Summarize the… Read more »

A revival is under way in the chip business

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Description: The high-tech industry is as cyclical as any commodity Source: Economist.com Date: Jan 11, 2020 Link: https://www.economist.com/business/2020/01/11/a-revival-is-under-way-in-the-chip-business?cid1=cust/ednew/n/bl/n/2020/01/9n/owned/n/n/nwl/n/n/NA/375381/n Questions for discussion: Summarize the key points made about the industry in the report. What does the report suggest about the near future for the industry?

The fourth industrial revolution is already disrupting our economy — that’s why it’s so hard to read

Posted by & filed under Economic Analysis, Governments & Regulators, Growth & Valuation, Market Analysis, Personal Finance.

Description: Kevin Carmichael: BoC Governor Stephen Poloz argues history shows major technology advances need to be accommodated by neutral monetary policy Source: FinancialPost.com – video report Date: Nov 15, 2019 Link: https://business.financialpost.com/news/economy/the-fourth-industrial-revolution-is-already-disrupting-our-economy-thats-why-its-so-hard-to-read?video_autoplay=true Questions for discussion: What is the theory related to the “fourth industrial revolution” and interest rates? What is the recommendation to central bankers… Read more »

Economist Perspective: Negative Rates—An Option in the Fed’s Playbook?

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Description: Could the Federal Reserve ever adopt a negative rate policy? Source: MarketWatch.com Date: Nov 12, 2019 Link: https://sponsor.marketwatch.com/cme-group/economist-perspective-negative-rates-an-option-in-the-feds-playbook/ Questions for discussion: Summarize Blu Putnam’s opinions on future Fed actions. Do you agree? What should investors take away from these thoughts?

Opinion: Why the prospective $70 billion buyout of Walgreens may signal the stock-market rally is about to end

Posted by & filed under Economic Analysis, Growth & Valuation, Market Analysis, Personal Finance.

Description: The deal would be the biggest LBO ever — and carry echoes of a troubled deal of the past Source: MarketWatch.com Date: Nov 07, 2019 Link: https://www.marketwatch.com/story/walgreens-possible-70-billion-buyout-is-a-clear-sign-the-stock-market-rally-is-about-to-end-2019-11-06?mod=home-page Questions for discussion: What are the concerns, as highlighted in the article? Do you share these concerns?

Goldman says there are three big stock buyers that will keep the record rally going

Posted by & filed under Economic Analysis, Growth & Valuation, Market Analysis, Personal Finance.

Description: The S&P 500 surged to a new all-time high on Monday, and Goldman Sachs says the bull market will keep on rolling into 2020 on the back of three big buyers: corporations, foreign investors and US households. Companies will spend $470 billion on stocks next year, with foreign investors and US households contributing $50 billion and… Read more »

These ‘Secret’ Recession Signs May Provide Clues to When the Next Downturn Is Coming

Posted by & filed under Economic Analysis, Governments & Regulators, Growth & Valuation, Personal Finance.

Description: With stocks near all time highs, and the Fed signaling that after three rate cuts they’re ready to hit pause (indicating they don’t believe the economy is about to slide into recession) it may be tempting for investors to breathe easy, too. Source: Fortune.com – video report Date: Oct 31, 2019 Link: https://fortune.com/2019/10/31/secret-recession-signs-next-downturn-2019-2020/ Questions… Read more »

Citi predicts the greenback could weaken ‘substantially’ — to as low as 85 on the dollar index

Posted by & filed under Economic Analysis, Growth & Valuation, Personal Finance.

Description: The U.S. dollar index could fall to as low as 85 as the Federal Reserve grows its balance sheet again by purchasing more bond assets, a Citi strategist said Thursday. Source: CNBC.com – video report Date: Nov 01, 2019 Link: https://www.cnbc.com/2019/11/01/us-dollar-could-weaken-to-85-on-the-dollar-index-citi.html Questions for discussion: Summarize the predictions made in this report for the value of the U.S. dollar. How should… Read more »

‘This is a tragedy for Canada’: Fear and dismay as Encana chooses U.S. as its new home

Posted by & filed under Economic Analysis, Growth & Valuation, Management Issues, Market Analysis, Personal Finance.

Description: CALGARY / EDMONTON – Described as a “tragedy” in a downtrodden industry, one of Canada’s oldest and largest energy companies Encana Corp. is dropping Canada from its name and moving to the United States to attract more investors. Source: FinancialPost.com – video report Date: Oct 31, 2019 Link: https://business.financialpost.com/commodities/energy/bitter-pill-to-swallow-fear-and-dismay-as-encana-chooses-u-s-as-new-home?video_autoplay=true Questions for discussion: Why is… Read more »