They say good things come in threes. If so, biotech companies could be in for not just another year of outperformance, but another decade. The first era of biotech was a building phase, when companies created their first blockbuster drugs. The second, current one, has resulted in a four-year rally that reflects the sector’s transition from a cluster of one-hit […]
If there is such a thing as a poster child for volatility in the stock market, the biotech sector would likely take top honors.Biotech stocks are unique. While stocks in other sectors are typically valued based on their past performance and future earnings potential, the majority of biotech stocks don’t have a cent in recurring revenue. Instead, biotech stocks are […]
Today was the typical move that sounds the “all-clear” for stocks to run back to new highs, as they have done for 2+ years now. Trading volume was light, however. Leading stocks also lagged on the day, aside from the invincible biotech group. There were qualified buy signals on MDXG and INCY today, both of which I passed on (but […]
More Charts
Corporate America has been benefiting from low interest rates, which have kept interest costs low and profit margins fat.So, as the Fed prepares everyone for what could be an era of higher interest rates, investors are left with a big question: what does this mean for all of the debt held by corporations?For one thing, we should remember that […]
A record $13 billion (£8.4 billion) went into Chinese equity funds in the last week, according to Bank of America Merrill Lynch, as China’s government scrambles to put a floor under tanking stocks.A BAML Global Research note sent to clients Thursday shows $25 billion (£16 billion) went into stocks globally last week, the biggest inflow since December 2014. More than half of the worldwide total was […]
Stock market investors in eastern China’s Zhejiang province. Photograph: AP
What goes up, can also come down, as the old adage and the modern-day investor warning go. And that is precisely what the tens of millions of people who hold shares in China have been discovering.Chinese stocks had doubled between last November and mid-June, to the delight of a fast-growing army […]
2015 to date, has been good for my model fund. I am up 23% vs 0% for the S&P500 and vs 20% for the IBB biotech index.
My long-term performance also remains strong – I have turned 385% over the past 10 years vs 76% for the S&P500.I anticipate the second half of 2015 will also be good for my fund. […]
Akin Oyedele
Jun. 29, 2015, 10:37 AM
1,350
Bloomberg TVTom LeeUS stocks have started the week firmly in the red.It’s the first big reaction to the bad news from Greece over the weekend, as it heads into a missed payment to the IMF on Tuesday, and implements capital controls all week long.As stocks sell off, there’s the question of how all of this […]
Above is a useful short-term measure of whether we are trading in an “overbought” versus “oversold” mode in the U.S. stock market. The blue line is the cash SPX; the red line is a five-day moving average of the following:(5-day new highs minus 5-day new lows) + (20-day new highs minus 20-day new lows) + (100-day new highs minus 100-day […]
More Charts
There’s been a growing disconnect in stocks. Over the last few weeks, we’ve highlighted versions of the following chart from Bank of America Merril Lynch, which shows that US equity funds have seen massive outflows this year while stocks continue to climb to record highs. The big questions surrounding this disconnect relates to where the outflowing cash is being invested and who’s propping up […]
