Share to Twitter Share to Linkedin The Dow Jones Industrial Average (DJI) , S&P 500 Index (SPX) , Nasdaq Composite (IXIC) , Dow Jones Transport Average (DJT ) and Russell 2000 Index (RUT) have negative weekly charts. These charts are shown below. Each of these indices are below death cross patterns on their daily charts. This occurred when their 50-day simple moving averages fell below their 200-day simple moving average The Weekly Chart For The SPDR Dow Jones Industrial Average ETF Trust DIA DIA has a negative weekly chart with the ETF below its five-week modified moving average at $321.25 and above its 200-week simple moving average or “reversion to the mean,” at $297.36. The 12x3x3 weekly slow stochastic reading is declining at 54.85. DIA is below its semiannual and annual risky levels at $347.84 and $356.19, which are the horizontal lines on the chart. The Weekly Chart For The SPDR S&P 500 ETF Trust ( SPY ) … [Read more...] about S&P, Nasdaq And Dow Have Negative Weekly Charts. Here’s How To Trade Them.
Share to Twitter Share to Linkedin Sometimes stocks do well, and bonds underperform. Some years bonds do well, and stocks underperform. This year, both stocks and bonds have performed poorly. For investors, this makes it extremely difficult to garner a positive return. Let’s look at current conditions for these two asset classes and explore what we might expect. Stocks As I wrote in yesterday’s article, “U.S. Stocks Plummet Amid Worse Than Expected Inflation Data,” stocks are facing a serious headwind over the next 6-12 months. With the Fed removing the punch bowl through higher interest rates and a reduced money supply, coupled with a likely global recession, corporate earnings will fall, and stock prices could follow. The relevant question is how well will the U.S. economy hold up under these conditions? We know corporate earnings, which are currently strong, will likely fall as the Fed continues to reduce demand to bring down inflation. If the Fed … [Read more...] about Investors Face 2 Serious Headwinds As Stocks And Bonds Perform Poorly In 2022
Share to Twitter Share to Linkedin One of the biggest trends that has taken hold of the financial industry has been environmental, social and governance (ESG) considerations. However, hedge funds are widely seen as being among the slowest groups to adopt ESG factors in selecting investments. A recent paper from Peltz International highlighted fund managers' progress on ESG issues and the outlook for ESG going forward. Why are hedge funds slower to adopt ESG? According to Peltz, ESG investments now represent about one-third of all assets managed by professionals, but hedge funds have lagged large traditional asset managers in adoption. Eurekahedge tracks 65 ESG-focused hedge funds that account for only about 3% of all hedge funds. According to Peltz, only 7% of hedge funds feature "high" ESG integration, the lowest of the 13 different manager types. Additionally, this segment of the industry had the second-highest percentage of managers with low … [Read more...] about Are Defense Stocks Now ESG?
Share to Twitter Share to Linkedin The expected 0.75% increase by the FOMC last week instead of reassuring investors caused them to sell more stocks. It was the so-called dot-plot expectations that rates would reach 4.25-4.50% by year-end and move even higher in 2023 that panicked the market. It dashed the remaining hopes that the FOMC would stop raising rates and therefore increased recessionary fears. These fears were not helped by Thursday’s Conference Board Leading Economic Index as their Senior Director of Economics Ataman Ozyildirim commented “The US LEI declined for a sixth consecutive monthly potentially signaling a recession”. For a full discussion of how the LEI readings often have predicted past recessions, I suggest you read the excellent research in Advisor Perspectives . But stocks were not the only market that saw heavy liquidation as crude oil futures dropped 7.1% for the week. Many traders decided that the increased odds of a recession … [Read more...] about Will These Stocks Now Drop Like Tech?
Share to Twitter Share to Linkedin Billionaire business magnate Donald Trump pulled off a stunning upset early Wednesday morning to become the next President of the United States, picking up key battleground states to beat Democratic rival Hillary Clinton. The victory took investors around the world by surprise and sent markets into a tailspin. Overnight, Dow futures fell as much as 800 points and the S&P 500 tumbled 5%, tripping up circuit breakers meant to halt trading in periods of extreme swings. Markets also tumbled overseas as investors digested what a President Trump means for trade and global growth. Japan's Nikkei stock exchange finished 5.4% lower. European stocks also dropped initially, but by the end of the day the Stoxx Europe 600 had added 1.5%. (Photo credit: Mandel Ngan/AFP/Getty Images) "Most investors had calculated that Clinton would win, and markets are now recalibrating," said Richard Dunbar, senior investment … [Read more...] about Stock Market Slingshots Higher After Trump Victory Sparked Overnight Plunge
Well, just when we thought sour sentiment, egged on by more hawkish talk from Federal Reserve officials, would drive the markets to new lows, a funny thing happened last week: buying–and a lot of it. Call it support , call it a trend reversal , or just call it a bearish bounce , but the buyers were back last week and they got busy on some beaten-down sectors, especially tech stocks. All three major averages snapped a three-week losing streak last week. The Dow added 2.66%, while the S&P 500 gained 3.65%, and the Nasdaq Composite –it was up 4.14%. Those big moves tend to happen when the market gets beaten down, which is why we don't sell after a downturn , if we can help it. Let's get to our big three things this week. They say that super-negative investor sentiment is a contrarian sign. If everyone's negative or pessimistic, that usually leads to a tipping point where sellers get exhausted, all the bad news gets priced into the market, and the bold buyers start … [Read more...] about eToro Charges on Through the Crypto Winter
Share to Twitter Share to Linkedin Most folks don’t know it, but real estate has clobbered stocks in the long run, and it’s poised to pull off a win again in 2023. And we dividend investors are nicely lined up to cash in, thanks to a fund throwing off a blockbuster 9.9% yield that’s the perfect play here. I’ll drop the name and ticker in a sec. First, you read that right: real estate does outperform stocks over the long haul—and by no small amount, either! It’s clear as can be in this comparison between the SPDR Dow Jones REIT ETF (RWR RWR ), the index fund for publicly traded real estate investment trusts (REITs), and the S&P 500 over the last 20 years. Bear in mind that this period included the COVID-19 crash and the subprime mortgage crisis, which, of course, walloped housing. No problem. REITs—publicly traded companies that own everything from warehouses to apartment buildings—bobbed right back up to the surface! The key to … [Read more...] about This 9.9% Payer Is The Most Overlooked Dividend Trade Of 2022
Share to Twitter Share to Linkedin TL;DR The U.S. market performed well through the week, finishing up 1.76% on Thursday against five days earlier, and climbing over 1% higher in early trade on Friday Jerome Powell has made it clear the Fed plans to hike rates aggressively in their bid to bring record high inflation rates down Apple’s latest releases fail to create excitement for the stock price, closing down almost 1% the day after the event Top weekly and monthly trades Subscribe to the Forbes AI newsletter to stay in the loop and get our AI-backed investing insights, latest news and more delivered directly to your inbox every weekend. Major events that could affect your portfolio After a rough few weeks, the S&P 500 closed on Thursday up 1.76% over the previous five days and followed this up with a strong open on Friday morning. It’s one of the few positive periods that investors have experienced since stocks began a … [Read more...] about Fed Not Backing Down On Monetary Policy And Investors React To Apple Releases: Forbes AI Newsletter – September 10th
By DAMIAN J. TROISE and ALEX VEIGA Stocks finished broadly lower Tuesday as Wall Street, increasingly anxious about the slowing economy, looks ahead to a widely expected interest rate hike by the Federal Reserve in its bid to squash the highest inflation in decades. The S&P 500 index fell 1.1%, as more than 90% of stocks and every sector in the benchmark index lost ground. The Dow Jones Industrial Average and Nasdaq composite also fell 1%. The selling came as traders waited to see how high the Fed will raise interest rates at its meeting that ends Wednesday. The central bank is widely expected to announce a hefty three-quarters of a point interest rate increase, its third such hike in a row. Investors also will be listening intently to Fed Chair Jerome Powell for any clues on how aggressively the Fed will move from here to tame inflation. “The market is certainly bracing for the worst and you’re seeing a little bit of selling pressure coming in,” said Paul Kim, CEO of … [Read more...] about Stocks close lower ahead of Fed decision on interest rates
Share to Twitter Share to Linkedin Key takeaways Adobe ADBE has acquired cloud design company Figma for $20 billion Founder Dylan Fields is expected to pocket around $2 billion of that himself, making him the richest alumnus of the Thiel Fellowship The controversial program was founded by Paypal founder Peter Thiel, who’s known in Silicon Valley as the ‘Don’ of the Paypal Mafia Figma has been the darling of the design world for a number of years now, and they’ve just been acquired by industry heavyweight Adobe for an estimated $20 billion in cash and stock . It’s a notable transaction for a number of different reasons. Firstly, Figma was started as the design industry’s “anti-Adobe” with its key features being based around the ability to work collaboratively on projects through a browser and cloud based software. Many designers who have been burned by Adobe’s bloated, expensive and often buggy software have expressed their … [Read more...] about PayPal Mafia Lands Another Hit With Adobe’s $20 Billion Figma Acquisition