With the bulk of stocks enjoying a rise this year and many stocks and indices near or at all-time highs, under normal circumstances, it would make sense for investors to take some profits off the table. However, with the possibility of tax reform seemingly certain, at least in some form, many investors may choose to hold on until after the ...
Read More »Investing and Analysis
Sentiment Toward Oil Running High
Oil prices have been surging in the last four and a half months with the price of West Texas Intermediate Crude vaulting above the $57 a barrel price earlier this week and that is the highest the price has been since June ’15. We see on the weekly chart how the price just moved above the consolidation area in the ...
Read More »‘Dovish’ Rate Hike Causes Pound to Drop
The Bank of England raised its baseline interest rate to 0.5 percent on Thursday and that was the first time since 2007 that the BOE has made a rate hike. Normally when a country’s central bank raises interest rates, the currency of the country climbs against other currencies, but that wasn’t the case with the Pound. When interest rates are ...
Read More »High-Flying Chip Sector Under the Earnings Spotlight Over the Next 10 Days
The semiconductor industry has been one of the top performing industries over the past six months. The VanEck Vectors Semiconductor ETF (NYSE: SMH) has gained 24.64 percent from April 20 through October 20. The S&P 500 has gained 9.31 percent during that same time period. That means the SMH has gained 2.5 times what the overall market has in only ...
Read More »A New Chapter in American Retail
Heading into this holiday shopping season, E-commerce has matured to the point that Amazon is now the pre-eminent 800 pound gorilla in the popular perception of America’s retail space. “Amazoned” and “Amazonization” have become accepted terms in common parlance to describe retail businesses that have failed due to their inability to compete on-line. And there is no doubting that on-line ...
Read More »The United States of Liquified Natural Gas
2016 could prove to be a pivotal year in America’s history for a reason that few Americans currently appreciate. At Cheniere Energy’s Sabine Pass property in Cameron Parish, Louisiana, America exported its first cargo of domestically produced liquefied natural gas (LNG) from the contiguous United States in over 50 years. Before year end 2017, Dominion Energy’s LNG plant in Cove ...
Read More »How Much Overseas Cash Should We Expect to be Repatriated? The EU May Be Helping.
When President Trump rolled out his tax reform proposals in late September, investors took the proposals as a good sign as stocks moved higher and the domestic indices all spiked to new highs after the announcement. One of the biggest reforms deals with repatriating cash and cash equivalents at a lower tax rate than the current corporate income tax rate. ...
Read More »Third Quarter Brings Another Round of Gains for Stocks: Diversified Mix of Sectors Represented in the Top 10 Stocks
With the third quarter coming to a close on Saturday, it brought gains to the S&P 500 for the eighth straight quarter. The last quarterly loss for the index was the third quarter of 2015. The end of September also marked the tenth monthly gain out of the last eleven for the S&P. Looking at the third quarter results for ...
Read More »Junk Bonds Suddenly Garnering Media Attention
Much has been written lately about junk bonds and how they are overvalued. Type “junk bond news” into a search engine and you will see what I mean. I did this earlier and saw articles from Barron’s, Bloomberg and The Financial Times, and all three had been published in the previous 24 hours. Go back a month, and you will ...
Read More »Predicting the Impact of a Hurricane on Insurance Stocks is as Difficult as Predicting the Hurricane
The past month has seen three major hurricanes rip through the Atlantic Ocean, through the Caribbean and hit the United States and or its properties in the Caribbean. This has led to a tremendous amount of speculation on how the storms would impact different property insurers and that has created a volatile environment for the sector, but predicting what will ...
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