S&P 500 and Nasdaq close at record highs after strong GDP report

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

Description: Stocks traded slightly higher on Friday as investors weighed better-than-expected economic data against a mixed batch of quarterly earnings. Source: CNBC.com – video report Date: Apr 26, 2019 Link: https://www.cnbc.com/2019/04/26/stock-market-gdp-data-and-corporate-earnings-in-focus-on-wall-street.html Questions for discussion: What explains stock performances, according to the article? What would you expect investors to do going forward at this time?

`FOMO Undertow’ and a Century of Death-Defying S&P 500 Rebounds

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

Description: (Bloomberg) — Memo to traders back from the most bruising bout of the bull market. If the past is any precedent, the rewards of sticking around can be high. Source: Bloomberg.com Date: Apr 16, 2019 Link: https://finance.yahoo.com/news/bullish-history-near-death-experiences-110500656.html Questions for discussion: What does the analysis suggest may happen? Do you agree with this assessment?

Stock market at ‘risk of a melt-up, not a meltdown’, warns BlackRock’s Larry Fink

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

Description: BlackRock Inc. BLK, +3.25%  Chief Exeuctive Larry Fink says that with stocks knocking on the door of records, a surge to the upside appears more likely than a market collapse. That is because so many investors still have lots of cash to put to work, the head of the world’s largest asset manager told CNBC in a Tuesday interview…. Read more »

Alan Greenspan says economy will start to fade ‘very dramatically’ because of entitlement burden

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

Description: Economic growth won’t last as the U.S. labors under the burden of growing entitlement programs and weakness around the world, former Federal Reserve Chairman Alan Greenspan told CNBC. Source: CNBC.com – video report Date: Apr 12, 2019 Link: https://www.cnbc.com/2019/04/12/alan-greenspan-says-economy-will-start-to-fade-out-because-of-growing-us-entitlement-burden.html Questions for discussion: What does Alan Greenspan say about the economy that should concern investors? Do you… Read more »

Mohamed El-Erian says rally could last another year or two

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

Description: Mohamed El-Erian, chief economic adviser of Allianz, said the Federal Reserve made a “massive U-turn” to become more dovish in recent months. Other global central banks have followed suit. For that reason, El-Erian thinks that the current bull market could go on for another one or two more years. Source: CNNMoney.com – video report Date:… Read more »

This is the ‘canary in the coal mine’ for stocks, market analyst warns

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

Description: “We’re back to the levels as if the December decline never happened and I think what’s interesting is what’s pushing that is the Fed has decided to not hike for the rest of 2019 and only once in 2020. Now that is a double-edged sword, that’s a canary in the coal mine,” Sanchez said… Read more »

Opinion: Investors’ widely-held beliefs about ETFs and index funds may be wrong

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

Description: An analysis of mutual fund stock trades over the past two decades has thrown into question the rationale that has sent everybody and her grandmother stampeding into low-cost index funds and exchange traded funds. Source: MarketWatch.com Date: Apr 03, 2019 Link: https://www.marketwatch.com/story/investors-widely-held-beliefs-about-etfs-and-index-funds-may-be-wrong-2019-04-03?mod=mw_theo_homepage Questions for discussion: What is the essence of the research findings and… Read more »

These stocks are seen as a good bet when interest rates fall

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

Description: The Federal Reserve’s policy reversal on interest rates has driven benchmark yields to the lowest levels in more than a year. For stock investors, the falling rates environment is now favoring one particular sector: consumer staples. Source: CNBC.com – video report Date: Mar 27, 2019 Link: https://www.cnbc.com/2019/03/27/these-stocks-are-seen-as-a-good-bet-when-interest-rates-fall.html Questions for discussion: Why are consumer staples favored… Read more »

This time, an inverted yield curve suggests the stock market has already peaked, some analysts say

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

Description: 3 of past 7 recessions have seen stocks peak before recession takes hold Source: MarketWatch.com Date: Mar 29, 2019 Link: https://www.marketwatch.com/story/this-time-an-inverted-yield-curve-suggests-the-stock-market-has-already-peaked-some-analysts-say-2019-03-28?mod=MW_home_top_stories Questions for discussion: Explain the thinking behind the different market predictions for the coming year. Explain what you think is going to happen?

The ETF Tax Dodge is Wall Street’s “Dirty Little Secret”

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

Description: One day last September an unidentified trader pumped more than $3 billion into a tech fund run by State Street Corp. Source: Bloomberg.com Date: Mar 29, 2019 Link: https://www.bloomberg.com/graphics/2019-etf-tax-dodge-lets-investors-save-big/?srnd=businessweek-v2 Questions for discussion: What is motivating heartbeat trades? Should traders be concerned with this issue?