We are happy to have you back with us. We hope that you had a good week in the markets, as we watched most of our models outperform during this snap-back rally. The Door is Open Investors have been anxiously waiting for the Fed to “take action” and reverse the interest rate tightening they began in early 2022. This past week, new “data” came out that showed a continued decline in wholesale and consumer prices.With the CPI trending down and heading in the right direction, most economists and investors are optimistic that the door is wide open for the Fed to lower rates. Economists, analysts, and investors are all waiting for Fed Chai...
Image Source: Pixabay Fundamental Analysis & Market Sentiment I previously wrote on Sunday, Sept. 8 that the best trade opportunities for the week were likely to be: Long of the EUR/USD currency pair following a bullish daily close above $1.1066. This did not set up. Long of gold in US dollar terms following a daily close above $2,525. This set up at Thursday’s close, and the price rose by 0.78%. Short of the USD/JPY currency pair. Short of the 2-year US Treasury yield. Last week’s key takeaways were: US CPI data: The headline rate dropped from 2.9% annualized to 2.5%, as expected, but the Core CPI came in a fraction higher...
The global economy is showing signs of stress, indicators are flashing red, and a slowdown could be around the corner. If there is a global slowdown, expect to see more volatility in the financial markets. This could have an impact on your portfolio.So, what’s really happening?In order to assess where the global economy is headed, one must pay attention to certain indicators, such as oil prices, copper prices, and how shipping rates are looking. These indicators have proven to be very effective when it comes to analyzing the global economy, and they have flashed red prior to previous global growth slowdowns as well. Copper Prices Tumbl...
Image: BigstockSolar stocks witnessed quite a rebound this week following Tuesday’s presidential debate in which democratic nominee Kamala Harris emphasized building out alternative energy assets.Despite housing attractive stocks such as First Solar (FSLR – Free Report), Sunrun (RUN – Free Report), and Array Technologies (ARRY – Free Report), the Zacks Solar Industry is in the bottom 43% of over 250 Zacks industries.With the production and usage of solar energy still somewhat in the beginning stages of its development, the industry has struggled amid a high inflationary environment although there are pockets of oppo...
Photo by Steve Johnson on UnsplashLately, I’ve been particularly happy with a new addition to my Flying Five Portfolio, International Business Machines Corp. (IBM). It is our best-performing stock in the past two months, propelled by its leadership in Artificial Intelligence (AI) research, highlights Mark Skousen, editor of Forecasts & Strategies.AI goes back a long way with IBM. The company gained notoriety when its Big Blue supercomputer beat world champion Garry Kasparov in a chess match in 1997. IBM remains an AI leader today with its Watson AI engine and mainframe servers. It also designs its own AI accelerator chips, compl...
Image Source: PixabayAs part of an ongoing series, each week we typically conduct an analysis on one of the companies in our screens. This week, however, we will take a look at one of the stocks that is not currently in our screens: Adobe Inc. Profile Adobe provides content creation, document management, and digital marketing and advertising software and services to creative professionals and marketers for creating, managing, delivering, measuring, optimizing, and engaging with compelling content multiple operating systems, devices, and media.The company operates with three segments: digital media content creation, digital experience for ...
Image Source: Unsplash NZD/USD The New Zealand dollar initially fell during the course of the trading week, only for it to turn around and show signs of life. By turning around the way it did, the market ended up forming a bit of a hammer, and that may suggest that there could be a little bit more bullish pressure to come.The 50-week EMA offered support, and it looks as though the 0.63 level above could end up being a bit of a barrier. If we were to see a break above there, then the New Zealand dollar could continue to go much higher. USD/CHF The US dollar rallied during the course of the week, but it’s worth noting that the Frida...
Image Source: Kevin Smith on FlickrA trio of biotech companies’ shares rose on Friday in their first trading sessions. Bicara Therapeutics, MBX Biosciences, and Zenas BioPharma each sold more shares in their respective initial public offerings than they had planned.Meanwhile, earlier in the week, Galaxy Payroll, a Hong Kong-based provider of outsourced payroll and employment services, raised about $7 million in a downsized IPO after the company had previously filed to raise $8 million. Latest IPOs and Direct Listings Bicara Therapeutics (BCAX) opened on Sept. 13 at $26.25. Bicara, a clinical-stage biopharmaceutical company that say...
Image Source: Unsplash This Week’s Summary The cryptocurrency market looks set to end the week at a total market capitalization of $2.09 trillion. Bitcoin moved up by over 10% to trade at around $60,000. Ethereum increased by almost 6% to trade at around $2,410. XRP moved up by 11%, Solana by 4%, and Dogecoin by 10%. Almost all altcoins have been seen trading in the green, with very few exceptions. The DeFi sector increased the total value of protocols (TVL) to around $82 billion. Crypto Trends for the Week of Sept. 9-15, 2024: Market Analysis and Performance In an unexpected turn of events, the cryptocurrency market made a sensationa...
Image Source: PexelsThis week will feature critical central bank meetings, with the Fed on Wednesday, the Bank of England on Thursday, and the Bank of Japan on Friday. While the Fed will capture most of the focus in the U.S., the BOJ may be more significant, especially if they signal that more rate hikes are likely if the economy continues to develop as expected.This week is also a tax week, so we’ll likely see the Treasury General Account (TGA) refill after last week’s drawdown. The TGA fell sharply ahead of this week’s gains, leading to an increase in reserve balances throughout the week. This added overall liquidity to the market wh...