Author Archives: Rick Pendergraft

The Fed Minutes, Inflation, and Personal Biases

The minutes from the most recent FOMC meeting were released on Wednesday, and it revealed mostly what we already knew. The Fed doesn’t see the need to raise or lower rates at this time. Even though investors pretty much knew this, the market rallied after the release. With investors seemingly more interested in the Fed than actual company related news, ...

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Tight Labor Market Could Hurt in the Long Run

The U.S. labor market has been in the spotlight over the past week with several different economic reports being released. The bulk of the reports show that the U.S. labor market is the strongest it has been in decades. The March employment report was released on Friday, and it showed that non-farm payrolls bounced back nicely after the subpar report ...

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Ready Or Not, The Next Earnings Season Starts Next Week

Believe it or not, the next round of corporate earnings will start coming out next week with the banks kicking off the first quarter earnings season. I have mentioned on several occasions that I am concerned about this earnings season because the year over year results are going to be compared to the first round of results after the tax ...

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When is ‘Bad News’ Good for the Market?

I have been writing about the economy and the stock market for almost 20 years now. During that span I have seen the market go through many different phases. There are phases when the market views everything as bad news, and there are ones where all news is viewed as good news. There are even ones where good news is ...

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Should Investors be Concerned with the Selloff in Chip Stocks

Since the Christmas low, the semiconductor industry has been among the top performing groups—outpacing the tech sector as a whole and the overall market. However, the chip sector has gotten hit with some selling pressure in the last week and the industry has been lagging the overall market as a result. From March 21 through March 27, the VanEck Vectors ...

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Did the Yield Curve Invert or Not, and So What if It Did?

Because of what I do, I see a lot of financial news from many, many sources. I keep Bloomberg TV on in the background in my office most of the day. The websites I visit most often are either sports or financial sites. Even my social media feeds are filled with reports about the economy or market as many of ...

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Confused as an Investor? Fed Turn Dovish

The Federal Open Market Committee held a two-day meeting on Tuesday and Wednesday, and the decision on rates was released at 2:00 PM Eastern Time on Wednesday. The committee did exactly what people thought it would do, and left the target rate exactly where it is. But, the committee surprised everyone with the statement that accompanied the rate decision. The ...

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Investor Survey: Here is the Straight Poop on Global Stocks

The March edition of Bank of America Merrill Lynch’s monthly investor survey was released on Tuesday, and it revealed several things that I think can help investors going forward. While I have been cautious about the post-Christmas rally and whether or not it could continue, the BAML survey showed that investment managers are also cautious. The survey was conducted between ...

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Analyzing a Stock vs. Analyzing a Company

I have mentioned in previous articles that, in addition to the writing I do for Bull Market Rodeo, that I also write articles for Seeking Alpha. Most of the articles I write for Seeking Alpha are earnings previews—breaking down the whole picture of the stock ahead of the earnings report. When I say whole picture, I am talking about the ...

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Brazilian Market Outperforming in the Last Few Quarters

Over the last few quarters, we have seen global stock markets experience extreme declines followed by big rallies. The S&P 500 fell 19.3% from the beginning of the fourth quarter through the low close in December and finished the quarter down 14%. For comparison purposes, the Shanghai Composite fell 11.6% in the fourth quarter, and Mexico fell almost 19%. Eurozone ...

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