Benchmarks continued to suffer losses on Tuesday due to another slump in oil prices. Political uncertainty in Greece and Bill Gross’ dismal outlook for 2015 also dented investor mood. Further, data showing weaker-than-expected growth in the U.S. service sector and a drop in factory orders for four consecutive months weighed on investor sentiment.For a look at the issues currently facing […]
Benchmarks dropped sharply on Monday with energy shares leading the decline due to another slump in oil prices. An increase in production of oil and strengthening of the dollar were responsible for dragging oil prices to its lowest level since 2009. Renewed political unrest in Greece that may result in a possible departure of the country from Eurozone also dampened […]
So, the Dow was up 7.5% in 2014 — is that good?From a historical viewpoint, that is almost average. What is unusual is that this is the sixth straight year of a bull market, which tells us more about the severity of the Great Recession than it does about the Dow.From a technical viewpoint, analysts wonder if the Dow was […]
Benchmarks ended in the red zone on Tuesday as reignited political turmoil in Greece continued to weigh on investor mood amidst low trading volume. Moreover, disappointing home price data also dented investor sentiment. The benchmarks witnessed their 12th lightest trade volume this year on Tuesday. The Dow finished below the 18k mark for the first time after crossing the same […]
Benchmarks ended Monday’s trading session little changed as investors received news on slump in oil prices and political turmoil in Greece. The S&P 500 was able to notch up another record close this year despite a rally among energy shares losing momentum due to drop in oil prices. However, the Dow settled in the negative territory and the Nasdaq remained […]
Benchmarks hit another record high on Friday as investors continued to cheer encouraging economic scenario on the domestic front. However, the trading volume remained low as most of investors were enjoying extended Christmas holiday. The Dow registered 38th record high and the S&P 500 posted 52nd record close on Friday, while the Nasdaq finished at the highest since Mar 2000. […]
Markets ended modestly higher on Wednesday’s abbreviated trading session banking on initial claims dropping to a seven-week low and gains in biotechs. The Dow hit a record high for the 37th session and Nasdaq also ended in the green. However, the S&P 500 erased its initial gains and a late selloff dragged the benchmark into the red.For a look at […]
SummaryI examine the impact of lower oil prices and low interest rates on the US stock market.
I argue how both are important measures to examine closely together.
I show that low oil and interest rates are bullish for the US stock market in the short and medium term.
There exists two economies, the real and financial economy. What is the most important […]
My afternoon train reads:
• The Best Thing for Active Managers? Passive Investors. — As institutions slash active mandates, managers on both sides of the active versus passive argument rejoice. (Chief Investment Officer)• The Reformed Broker talks markets and investing (Vanguard)• The State of Consumer Technology at the End of 2014 (Stratechery)• What Life in Cuba Was Like After Castro’s Revolution (New Republic)• D.H. Robertson […]
By Michael Snyder, on December 18th, 2014Do you want to know if the stock market is going to crash next year? Just keep an eye on junk bonds. Prior to the horrific collapse of stocks in 2008, high yield debt collapsed first. And as you will see below, high yield debt is starting to crash again. The primary reason […]
