The stock market won’t quit. It has been on a tear since the day after Christmas. It feels like it wants to keep climbing. That would be a fairly simple feat at this point, since we are only a percent or so away from regaining those historical highs. What will happen once we get there.?
A Few Dollars More
Sometimes a tragedy can bring people together. In the case of the devastating fire that swept Paris’ Notre Dame Cathedral, the world wept. But even before the fire was completely extinguished, the business community was already making plans to rebuild the 850-year-old edifice.
After a week of low volume consolidation, all three averages broke higher on Friday. The bulls are still in charge and seem determined to push stocks back to their all-time highs. A trigger could be this year’s first quarter earnings season, which is upon us, some of the multi-center banks reported today. They did not disappoint, beating estimates handily and expectations are that most of the big banks will also beat earnings estimates. That won’t be too difficult to do given that earnings estimates have been down-graded not once, but twice, over the last three months. Overall, the Street is…
In this acrimonious political environment, little in the way of new legislation is expected to pass both chambers of Congress. One exception may be the Secure Act. Last Tuesday, a key House committee unanimously approved the bill, which would greatly enhance some private retirement plans.
As fearful as investors were back in December, the greedier they have become in April. Investor sentiment is climbing, interest rates are falling, and the Fed is on hold. All we need to push the markets even higher is a trade deal with China. It’s coming.
A few days ago, Arabica coffee futures prices fell to a price they haven’t seen since December of 2005. But don’t expect your morning cup of coffee to reflect those cheaper prices. The coffee business doesn’t work like that.
Friday marked the end of the quarter for stocks and investors worldwide celebrated by buying. It was a spectacular come back from last year’s fourth quarter. The question on your mind right now is will the run continue?
Attendance is down, as is viewership, as we head into the 2019 season. Major League Baseball is hoping some rule changes will turn around the decline. Will it be enough, and does it matter anyway?
Sometimes too much good news can be interpreted badly. Take the U.S. central bank’s about face on monetary policy late last year. That was good news and investors responded by bidding the stock market up by 20%. But this week we may have received even better news, or did we?
Today, medical marijuana is legal in 33 states, while recreational marijuana is legal in ten states, plus the District of Columbia. Although there has been progress, little of the recent enthusiasm and hype over pot stocks will come to naught unless the Federal government does a major about face and legalizes the substance. What are the chances of that?
What a difference one quarter can make in the stock market. Here we are in mid-March and stocks are back to almost where they were at the beginning of October. The trends have been supporting the bull’s case and investors seem happy to buy stocks.
The country’s national debt hovers at historically record highs, as the nation’s budget battle begins. It’s a pretty safe bet to expect another budget-busting compromise as well as a hefty increase to our already-overwhelming debt load.
Investors were greeted on Friday with two nasty surprises. Both occurred in February. Chinese exports dropped by 20.7%, while in the U.S., the nation added a dismal 20,000 jobs. As you might expect, the stock market did not take the news well.
About a month ago, the national debt topped $22 trillion for the first time. What’s more, it only took a year to tack on another $1 trillion. Unless we do something soon, we could see those kinds of yearly borrowing double within the next decade.
February delivered good gains for the markets. All the main averages were up, continuing January’s climb toward the old highs. This week, momentum stalled a bit, indicating that investors need more good news to continue buying.
In the 2019 fiscal budget, the Department of Veterans Affairs received over $200 billion in spending. That’s a 6% increase over last year and counts as the largest amount ever received by the VA. The money will go a long way in implementing an array of much-needed reforms.