As recently as the November 2016 election, the S&P 500’s dividend yield (2.0%+) was higher than the 10-year Treasury bond’s yield (1.75%). Many exclaimed that ultra-low interest rates alone justified extremely high stock valuations, including a GAAP-based price-to-earnings ratio (P/E) of 25. A year and a half later, the S&P 500’s dividend yield (1.8%) offers…
Inflationistas think a major inflationary move is at hand and they bet that with futures. I suggest the opposite. A commitment of traders (COT) report for 10-year treasuries shows record bets that treasury yields are headed higher. Large Spec Contracts Long: 606,022 Short: 1,058,155 Net Short: 452,133 Bullish: 36% Small Spec Contracts Long: 371,438 Short: 575,158 Net…
Tesla (TSLA) released earnings after the close today. The stock went up a little and then went down a little so it doesn’t look like there is going to be a huge afterhours impact. But it is what happens in the coming days and weeks with the stock that is going to be interesting because…
Video length: 00:08:14 No previous day has so clearly shown that only a few stocks are holding up the market than today. Despite 80% of the S&P 100 stocks being lower today AAPL and FB was able to keep the market from real selling. Watch this video right now because although volatility hasn’t be lit…
Just like that, June natural gas prices were right back down today, losing all their gains from yesterday as traders looked for a loosening supply/demand balance into May. After the prompt month contract led the way higher yesterday it led the way lower today, with quite a bit of weakness into the fall as well. …
In this morning’s ADP employment report we got the April estimate of 204K new nonfarm private employment jobs from ADP, a decrease over March’s revised 228K. The popular spin on this indicator is as a preview to the monthly jobs report from the Bureau of Labor Statistics. But the ADP report includes a wealth of information that’s worth…
With widespread volatility and uncertainty, Wall Street is struggling to find a solid footing this year. The worries include inflationary pressure, a faster-than-expected rates hike, political instability in Washington, trade tensions, technology sector turmoil and rising yields. Additionally, rounds of weak economic data related to manufacturing, consumer spending, and GDP growth took a toll on…
We have not focused on the lithium space so far but we are getting super excited about lithium miners right now. Lithium Americas Corp, one of the leading lithium miners, flashes a buy signal for 2018. This article gives details on an attractive entry price, and which conditions should be met before buying this lithium stock….
CNBC’s Deirdre Bosa reports on the quarterly earnings for Square.
The Fed did what was expected with interest rates today which was nothing. Their words were carefully sifted, and after an initial push higher stocks slumped. The Dollar was interesting as it initially dumped, and then spiked higher into the close. The bottom line is that nothing has changed. The ‘recovery’ continues weakly, with its…
