Global markets continue to get rocked. Closing at 1,893 on Monday, the S&P 500 fell 3.9% in one day. And it’s now down 11.3% from its all-time high of 2,134, which it set on May 20.So, is it time for investor to panic, dump everything, and head for the hills?BMO Capital’s Brian Belski doesn’t think so.”We remain steadfast with our call […]
The Athens stock exchange closed 16 percent lower on Monday after it reopened for the first time in five weeks, according to an unofficial tally.Reuters reported that Greek banking stocks fell 30 percent, hitting the bourse’s daily volatility limit, with sellers lining up and no buyers. Earlier, the sector was being pummeled across the sector, including Alpha Bank, Attica Bank […]
Indexing is the new stock picking.It is, by far, the most efficient way to obtain a low-cost and diversified portfolio. So it makes sense that index funds are gobbling up the financial markets. But that has some people concerned. What will happen when indexing gets so large that it becomes “the market”? Will prices become less efficient? Will the market […]
Are stocks disconnected from reality? Probably, according to Tobin’s Q, a rather elegant way to assess equity valuations developed by the late Nobel Prize-winning Yale economist James Tobin. Put simply, Tobin’s Q compares the total value of stock prices with the value of underlying assets such as plants, inventory, and equipment (i.e. replacement costs). Add up the value of the […]
Kai Pfaffenbach/ReutersAll of a sudden, things in the stock market are boring. Since the excitement we saw earlier this year with the S&P 500 falling 3% in January, oil searching for a bottom, the Swiss National Bank removing its peg against the euro, and the European Central Bank starting a quantitative easing program, US stocks have settled into one of the […]
I recently wrote that, “the single greatest mistake investors make is to extrapolate recent history out into the future.” As an example of how dangerous this natural tendency is, I shared a bit of Warren Buffett’s warning from late 1999 in which he wrote that the amazing returns from the stock market during that period had led to investor expectations rising […]
Coral Gables, FL / ACCESSWIRE / October 28, 2014 / CytRx Corporation (NASDAQ: CYTR) announced that a paper, titled “A Phase 1b/2 Study of Aldoxorubicin in Patients With Soft Tissue Sarcoma,” has been published online in Cancer, the prestigious, peer-reviewed journal of the American Cancer Society.The paper discusses results from CytRx’s completed Phase 1b/2 clinical trial where 25 patients were […]
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After an incredible 5-year bull market run, which saw the S&P 500 double from its March 2009 low of 666, many stock market watchers were sure this would be the year that things would finally turn.There certainly has been no shortage of bad news that would cause investors and traders to sell.”Just this year alone, the list of anxiety-provoking […]
MomentumOptionsTrading.com Midday Update for 8/7/2014Trade of the Week Update: RealD (RLD) Back in Single-Digit Territory/ Put Options Double12:45 p.m. (EST) Earlier this week, I profiled RealD’s (RLD, $9.10, down $0.15) upcoming earnings release and showed investors and option traders several different ways to play a possible 10% move in the stock and a possible triple-digit profit with the right option. It […]
Back in 2001, Buffett said in an interview with Fortune Magazine that “the single best measure” of stock market valuation is by taking the total market cap (TMC) and dividing it by the total gross domestic product (GDP). Today, TMC is equal to 114.5% of total GDP.At the market top in 2007, just prior to a -54% crash in stocks, […]
