Momentum traders – relying on the ‘trend is your friend’ theme – may have a rude awakening soon as momentum stocks trade at a stunning 50% premium to the market (vs an average 20%). As BofAML notes, high growth, high multiple names that have been leading the market over the past year are showing some signs suggest we are close […]
by Joshua Brown, The Reformed BrokerThe pendulum always swings too far in both directions. I would tell you the ratio of passive fund inflows to active fund inflows over the last few years but I can’t because the latter category would be a negative integer.Instead, I’ll just tell you that almost 100 cents of every dollar has gone into index […]
The bull market is now more than six years old. Equities are trading at what is a historically high premium against earnings, and there has not been a 10% correction in over three years. All of this sets up continued discussions about a stock market bubble or an argument for a big correction — or even a crash.Credit Suisse has […]
Europe slips lower, Deutsche Bank surges up to 5% – CNBCThe bank said it will appoint John Cryan to become co-chief executive effective July 1, 2015 to replace Anshu Jain who steps down on June 30, 2015.Read MoreDeutsche Bank: Why the dual-CEO system failedThe lender also said co-CEO Juergen Fitschen to remain in his current role until conclusion of annual […]
Get ready for tighter China margin-trading rules
Author: Asia Unhedged June 5, 2015Asia UnhedgedChina, crowd funding, margin trading rules, stocksChina’s securities regulator said it is amending margin-trading and short-selling rules. It’s just not telling us when.Zhang Xiaojun, a spokesman for the China Securities Regulatory Commission, made the comments at a weekly news conference. He did not elaborate, reported Reuters. Zhang also […]
Friday was almost the complete opposite of Thursday – especially in the NASDAQ. Yesterday we wrote how it was difficult for the NASDAQ to rally without the potent combo of Apple + biotechs, which both suffered yesterday. Today both jumped and the results were predictable. The S&P 500 rallied 1.09% and the NASDAQ 1.29%. We will begin to see more […]
“Fast Money” trader Tim Seymour says shares of fellow content streaming provider Pandora may get a boost thanks to competitor Spotify’s surprise valuation.Investors have valued its Spotify at about $8.4 billion, according a Dow Jones report, as it plans to raise some $400 million in funding. That values the firm at more than double Pandora’s current market cap of $3.6 […]
Read MoreGE unveils massive financial unit restructuring”The rumor had been out there,” said Dan Nathan, a CNBC contributor, who first wrote about the activity on RiskReversal.com. “GE is not a name we usually see short-term speculation in the options market.”Most curious about those purchases is that those April calls expire next Friday, giving whoever bought them precious little time for […]
Wikimedia CommonsThere is probably a bubble in biotech stocks. In a big note on published on Friday, analysts at Credit Suisse ask if we’re in a biotech bubble, and answer that no, it’s not a bubble, merely a “new era” for biotech stocks. Which is exactly what it sounds like when something is a bubble. Credit Suisse hinges its argument on what it […]
View gallery.(Wikimedia Commons)There is probably a bubble in biotech stocks.
In a big note on published on Friday, analysts at Credit Suisse ask if we’re in a biotech bubble, and answer that no, it’s not a bubble, merely a “new era” for biotech stocks. Which is exactly what it sounds like when something is a bubble. Credit Suisse hinges its argument on what […]
