Share to Twitter Share to Linkedin Warren Buffett's lesser known right hand man Charlie Munger once said, “If you’re going to invest in stocks for the longer term, there are going to be periods when there's a lot of agony. I think you just have to learn to live through them.” The Pump & Dump The last ten months have been very rough to say the least if you are a stock investor. The S&P 500 Index is down 22 percent year to date, but that isn't representative of the base of the 24 million new investors that have come to the market in the last two years. Many popular held stocks are down a great deal more and the technology sector has been decimated. Investors have been heavily selling off growth businesses on the theory that the companies that performed best during boom times will be disproportionately affected by the rising interest rates and inflation we are now enduring. The NASDAQ is down 30 percent year to date. We are having a very … [Read more...] about Wealth Can Be Created On The Way Down In The Stock Market. It’s Just Not Obvious. Here’s How.
Stock market crash of 1929
Share to Twitter Share to Linkedin To make gains and be ahead of the masses in the stock market, I frequently say, look in places that others are not looking. Further, smart investing is about looking in the right places. It’s not about being first contrary to popular belief. The rub? You usually have to do a little more work and that doesn't fit well with most investors these days who are after a quick profit. Monitoring company executives buying and selling their own shares is an absolute must for our firm and clients and an essential ingredient to analyze when approaching an investment. I mean, why wouldn’t you want to buy and sell with the people who actually know what’s going on in their company? Of course you would, but the interpretation and mimicking of their stock transactions can leave you with big losses if you fail to do the analysis and just blindly do what they do. Lets clarify the concept of trading by company executives in their own shares, … [Read more...] about The Stock Market Will Only Bottom When Company Executives Start Buying Their Own Shares. They Are Not.
People walk through the City of London financial district during rush hour in London, Britain, October 3, 2022. REUTERS/Henry Nicholls LONDON – Britain’s new Prime Minister Liz Truss promised to “unshackle” the City of London to fuel growth, but crash ing the bond market over tax cuts will take the shine off her “ Big Bang ” plan for financial services. Market s took fright last month when UK finance minister Kwasi Kwarteng unveiled plans to increase borrowing to fund lower taxes, sending government bond yields rocketing and the pound plunging to a record low against the dollar. In a rare move, the Bank of England was forced to buy unlimited gilts to restore calm and avert what some have called a near “Lehman moment” in UK government bond s, casting a pall over the City of London financial district. “ Market s are all about confidence, and if you lose that confidence, which we are in serious danger of doing, then we have to show that fiscal … [Read more...] about UK bond market crash takes shine off Big Bang plans for London
Share to Twitter Share to Linkedin In the NFL and NBA, the fourth quarter is when winners and losers are often separated. That’s because (barring overtime) the game ends. Many investors think of calendar years the way sports fans think of individual games. Unless 1-year return is a specific part of their objectives, I think this is a mistake. But I have come to realize over the years that there are some aspects of investing and investment evaluation that are unlikely to change. Thank human nature for that. Of course, the long-term in anything is made up of a series of short-terms, so with that in mind, I present to you the remarkable history of the fourth quarter, at least in terms of the S&P 500 Index. I went back three decades, starting in 1988. This was the year after the crash of 1987, which did occur in the fourth quarter (October), which produced a 23.3% return in that year’s final three months. As you can see in the table below, … [Read more...] about The Remarkable History Of 4th Quarters In The Stock Market
Share to Twitter Share to Linkedin JetBlue Airways Corporation stock (NASDAQ NDAQ : JBLU) is down 17% in the past month, strongly underperforming the S&P 500 which was down 8.9% over this period. If you look at the change over the last one week and ten days, too, the stock has returned -6.3% and -18%, performing much worse than the broader markets on both occasions. JetBlue’s most recent Q2 ’22 earnings report, saw revenue rising from $1.5 billion in Q2 ’21 to $2.45 billion in Q2 ’22, driven primarily by a $1 billion rise in sales from the passenger segment. Rising fuel expenses saw operating costs nearly triple over this period, and the company reported an operating loss of $113 million, down strongly from an operating profit of $147 million for Q2 ’21. Combined with a rise in the effective tax rate, the company’s net earnings dropped, and EPS came in much lower at -$0.58, compared to $0.20 in Q2 ’21. Now, is JetBlue stock set to continue its … [Read more...] about JetBlue Stock Looks Unlikely To Bounce Soon After 17% Fall Last Month
Share to Twitter Share to Linkedin Southwest Airlines Co (NYSE: LUV) stock price lost more than 50% from $65 in 2017 end to around $31 currently, primarily due to unfavorable changes in its P/S multiple. During this period, the company’s sales have remained roughly flat and there was a marginal drop in the outstanding share count. Additionally, over the same period, the S&P 500 returned around 35%, meaning that Southwest stock has strongly underperformed the index since 2017-end. In our interactive dashboard, Why Southwest Airlines Stock Moved: LUV Stock Has Lost 52% Since 2017 , we break down the factors behind this move. LUV’s Total Revenue has remained flat around $21 billion, the same level it was at in 2017 LUV’s total revenue initially rose from $21.1 billion in FY 2017 to $22.4 billion in FY 2019, but dropped sharply to $9 billion in FY 2020. Revenues have strongly recovered since, jumping to $15.8 billion in FY ’21, and … [Read more...] about Southwest Airlines Stock Has Lost More Than 50% Since 2017- Here’s Why
Hong Kong’s flailing stock market tumbled Monday to its lowest point in more than a decade as fears for China’s economy deepens this year’s investor rout. The Hang Seng Index shed 0.83 percent, or 143.32 points, to close at 17,079.51. But crucially it crossed below the 17,000 level in the afternoon, touching a nadir not seen since October 2011 and the aftermath of the global financial crash and during the eurozone debt crisis. The city’s stock exchange has been on a steady slide since February when the coronavirus broke through nearly two years of already economically painful zero-Covid defences and has yet to recover. Hong Kong has kept up strict coronavirus controls even as rivals reopen — although it recently ended quarantine for international arrivals — and is set to end the year in recession. While most markets have recently taken a battering as central banks hike rates to tamp down inflation, Hong Kong’s stocks face other major headwinds including jitters over the … [Read more...] about Battered Hong Kong’s stocks hit 11-year low
Share to Twitter Share to Linkedin Topline The stock market rallied Monday as investors backed off their most dire recession fears as the typically auspicious fourth quarter kicked off trading, with the Dow Jones Industrial Average on track for its best day since July 19. Key Facts The Dow rose 2.1%, or 600 points, while the S&P 500 gained 1.9% and the tech-heavy Nasdaq jumped 1.4%. The rally comes after all three indices posted their worst September in more than a decade and the S&P declined for the third straight quarter for the first time since 2009. Mark Haefele, UBS' chief investment officer, pointed out the more positive sentiment the fourth quarter brings in a Monday note to clients, and for good reason; on average, the S&P has risen 4.8% over the last three months of the year since 1988 . Investors responded positively to the Federal Reserve beginning to move to an “incrementally dovish” attitude on interest … [Read more...] about Dow Surges 600 Points As Market Hopes For Positive Fourth Quarter
Share to Twitter Share to Linkedin Topline The stock market rallied Monday and investors backed off their most dire recession fears as the typically auspicious fourth quarter kicked off trading, with the Dow Jones Industrial Average posting its second-best day of 2022. Key Facts The Dow rose 2.7%, or about 760 points—its second-largest increase of the year on a percentage basis—while the S&P 500 gained 2.6% and the tech-heavy Nasdaq jumped 2.3%. The rally comes after all three indices posted their worst September in more than a decade and the S&P declined for the third straight quarter for the first time since 2009. Mark Haefele, UBS' chief investment officer, pointed out the more positive sentiment the fourth quarter brings in a Monday note to clients, and for good reason—on average, the S&P has risen 4.8% over the last three months of the year since 1988 . Investors responded positively to the Federal Reserve … [Read more...] about Dow Surges 760 Points As Market Hopes For Positive Fourth Quarter
Representative image Trade Watchlist Portfolio Message Set Alert live bse live nse live Volume Todays L/H More × ONGC led oil drillers and refineries on a demand wave on October 3 after crude oil prices climbed and the government slashed windfall tax on production and diesel exports. ONGC, India's largest oil marketing company, was trading up 4 percent around 12.50pm. Oil prices in the international market jumped more than 3 percent in early Asian trade on Monday, as OPEC+, which is a group of oil producing nations, weighed output cuts by more than 1 million barrels a day for its biggest reduction since the pandemic, in a bid to support the market. Brent crude futures rebounded $2.51, or 3 percent, to $87.65 a barrel by 0206 GMT, after settling down 0.6 percent on Friday. US West Texas Intermediate crude was also up 3 percent, or $2.39, at $81.88 a barrel, after the … [Read more...] about ONGC leads oil stocks on a joyride as crude prices rebound, India lowers levy