If you're frantically buying or selling stocks based on what the inversion and the subsequent uninversion of the yield curve is signalling, Jim Cramer has a message for you: Calm down. That's Cramer questioning the wisdom of traders who seem to be reacting to every headline popping up in the financial news cycle these days. Specifically, the television personality and former hedge-fund manager was talking about how stocks were hit hard Wednesday after the 10-year Treasury yield (BX:TMUBMUSD10Y)briefly inverted and slipped below the 2-year yield for the first time since before the 2008 financial crisis.
Studies have shown it is very difficult to predict recessions, interest rates or financial markets. We need to predict future political conditions that will affect tax rates, the health-insurance marketplace and Social Security. Most political “experts” couldn't accurately predict the outcome of our last presidential election the day before it occurred.
For would-be Aurora Cannabis (NYSE:ACB) bulls intent not to get drawn-in and smoked in a promising secular market trend, the suggestion remains the same. Don't fix what isn't broken and stick with the ACB stock price chart rather than outside influences. It has been a month since cautiously writing about ACB stock and putting the cannabis producer on the radar for purchase. But similar to an even earlier discussion of Aurora, action was specific to the price chart.
The Kansas Insurance Department issued a statement Monday regarding allegations made by forensic accountant Harry Markopolos. In it, the Department says it takes allegations of fraud seriously, but adds that “after initial review, components of this particular report appear fairly simplistic in nature. Markopolos, known for correctly identifying the Bernie Madoff Ponzi scheme, alleged last Thursday that (GE) (ticker: GE) is engaged in accounting fraud in its long-term care insurance business—a claim the company has denied.
Warren Buffett has more cash than ever, and he's on the hunt for his next big purchase. Buffett's Berkshire Hathaway reported a record $122 billion of cash on its books last quarter, which the legendary investor has said is “far beyond” the level he prefers. In his most recent letter to shareholders, Buffett told investors he was looking for an “elephant-sized acquisition,” but that things were too expensive for his liking.
You — yes, you the investor reading this — have nobody to blame but yourself if you lose your shirt ahead of what looks to be a mild U.S. recession that starts later this year and carries over into the first half of 2019. The logic is simple to grasp: U.S. consumers won't be able to handle tariff-related price increases, while mega corporations delay capital investment due to the high levels of fiscal uncertainty. Take the currently inverted yield curve — an indication of heightened nervousness in risk markets — for example.
It is no secret that President Trump watches the stock market. It is less well understood that he has an uncanny sense of stock market timing. Having said that, even opponents of Trump with some objectivity ought to give him credit for his sense of market timing.
Jyske Bank A/S, Denmark's third-largest lender, announced in August a mortgage rate of -0.5%, before fees. Mikkel Hoegh, Jyske Realkredit housing economist, explains the dynamics behind the offering on "Bloomberg Markets: European Close."
As unemployment hovers a 49-year low, there are more professions to choose from that will give people the one thing that gets them out of bed in the morning: a meaningful job with the possibility of advancement. Access to career momentum opportunities in the workplace is one of the strongest predictors of employee satisfaction based on millions of reviews left on Glassdoor, in addition to culture and values and quality senior leadership, according to a study released Wednesday by the company. The report used the following criteria: a median base salary over the past year of $80,000 a year or higher, well above the June 2019 U.S. median annual pay of $53,411, and at least 2,000 job openings as of July 5 on Glassdoor.
A former Walt Disney Co. accountant says she has filed a series of whistleblower tips with the Securities and Exchange Commission alleging the company has materially overstated revenue for years. Sandra Kuba, formerly a senior financial analyst in Disney's (DIS)revenue-operations department who worked for the company for 18 years, alleges that employees working in the parks-and-resorts business segment systematically overstated revenue by billions of dollars by exploiting weaknesses in the company's accounting software. Kuba said she has met with officials from the SEC on several occasions to discuss the allegations.
Analysts on average expected the company to report a loss of 3.17 renminbi on revenue of RMB7.16 billion. Total number of subscribers was 100.5 million, up nearly 50% from 67.1 million a year ago with 98.9% paying for the service. The company also undershot analysts' expectations with its second-quarter forecast, guiding for revenue of 7.21 billion to 7.63 billion renminbi, while the average analyst forecast was for 7.98 billion renminbi, according to FactSet.
Metallicus, the startup behind the peer-to-peer payments platform Metal Pay, received an undisclosed angel investment from the youngest bitcoin millionaire, Erik Finman. In partnership with Metal Pay CEO Marshall Hayner, the two look to develop the first “all-in-one” cryptocurrency banking platform, which includes a 17 digital asset exchange, a digital bank and a payments application with social features similar to Venmo. Founded in September, Metal Pay has processed approximately $11 million in total payments from nearly 130,000 registered users across 38 states.
Christopher Rolland of Susquehanna and Vivek Arya of Bank of America both maintained their bullish 'buy' ratings, along with price targets of $190 and $225, respectively. To watch the analysts' track records, click here) Nvidia's automotive segment remains a massive opportunity for the company. Though Arya says segment revenue was likely boosted by non-recurring development agreements, on its way to reaching a quarter-record $200 million in sales, Nvidia is a leader in processing chips for automobiles.
Jason Pang, portfolio manager for Asia fixed income at JPMorgan Asset Management, discusses China's new reference rate for bank loans and what it means for the fixed income market. He speaks on “Bloomberg Markets: China Open.
The one bright spot in the economy, the strength of the U.S. consumer, could throw a wrench in the Fed's messaging this week, as central bankers gear up for an annual policy conference in Jackson Hole, Wyoming. “There is a risk [Fed Chair Jerome] Powell and his colleagues end up disappointing the bond market next week – by not signaling clearly enough that additional rate cuts are coming in mid-September and beyond,” Paul Ashworth, chief U.S. Economist at Capital Economics, wrote in a note to clients. Just last Thursday, July retail sales were released, a key data point on consumer health.
Chinese technology group Baidu on Monday posted a revenue of 26.33 billion yuan ($3.73 billion) for the quarter that ended in June, beating analysts' estimates of 25.77 billion yuan ($3.65 billion) as its video streaming service iQiyi continues to see strong growth. "With Baidu traffic growing robustly and our mobile ecosystem continuing to expand, we are in a good position to focus on capitalizing monetization and ROI improvement opportunities to deliver shareholder value," Herman Yu, CFO of Baidu, said in a statement. Today's results for Baidu, which has been struggling of late, should help calm investors' worries.
One of the great things about Vanguard, aside from the low costs, is that when the issuer's index, mutual, and exchange traded fund (ETF) lineups are added, there are plenty of choices for wide varieties of investors, including those on the more risk-averse side of the ledger. Of course, costs, as in low costs, are one of the biggest reasons why Vanguard is a behemoth in the index fund universe and the second-largest U.S. ETF issuer.
The heads of nearly 200 U.S. companies said Monday they are committing to a move away from the idea that the main purpose of a company is to maximize shareholder value, marking a break with a long-held conviction. The Business Roundtable, a group of chief executives that was formed to promote pro-business interests, said it is shifting its statement of the purpose of a corporation to include all of its stakeholders, including employees, suppliers and broader society. The group, which is currently led by JPMorgan (JPM)Chief Executive Jamie Dimon, previously promoted the idea made famous by economist Milton Friedman that companies' primary purpose is to reward shareholders.
General Electric (GE) has been defending its finances after last week's report by Madoff whistleblower Harry Markopolos, which claimed the company hid billions in losses. Meanwhile, GE's former Vice Chairman Bob Wright says these financials are old news. “Most everything that was alleged has already been discussed internally and externally,” Wright tells Yahoo Finance's The Ticker.
But retirees responding to this Quora post said people need to make a few more considerations, such as understanding the transition to retirement may be tougher than expected, being flexible about part-time work and knowing not to overcommit to activities and events in the adjustment period. See: 21 lessons for how to get the most out of life, from a guy who retired at 50 Still, there are a few more lessons. Ensure you're on the same page as your partner Sometimes spouses don't agree on what to do in retirement, and that can have a devastating effect on the relationship — and quality of life.
United States Steel Corp will temporarily lay off hundreds of workers at its Great Lakes facility in Michigan in coming weeks, according to a filing the steelmaker made with the State of Michigan. In a Worker Adjustment and Retraining Notification filed on Aug. 5, the Pittsburgh-based company said it expects to let go fewer than 200 workers following its decision to halt production at the Michigan facility. In mid-June, the company said it would idle two blast furnaces at its Great lakes and Gary Works plants, citing lower steel prices and softening demand.
While looking for these kinds of investments, we turned to the TipRanks stock screener to zero in on three stocks garnering praise from the Street. Let's take a closer look at these 3 'Strong Buy' stocks that analysts believe could double in 2020. Canaccord's Patrick Walravens, a five-star analyst according to TipRanks, stated that he believes the results suggest the company is stabilizing thanks to new pricing and product offerings.
With the Fed's first rate cut in a decade not having the desired effect on markets and a trade deal looking less likely every week, these two puts (the Fed and Trade Deal) may have expired, leaving investors facing the potential reality there is no second half rebound coming. Eight months of magical thinking in financial markets, in other words, have come to an end. Last week, the stock market endured its worst day of the year with the Dow (^DJI) dropping 800 points on Wednesday and the Nasdaq falling 3% after an inversion of the Treasury yield curve.
The couple are among at least 70,000 investors who have become collateral damage from a cleanup of Ghana's banking industry. The crackdown, which reduced the number of lenders by a third and saw the closure of 23 savings and loans companies, also triggered a run on fund managers, who couldn't sell their holdings fast enough to meet demand. “My wife was very disturbed,” the 36-year-old said by phone from Kumasi in Ghana's Ashanti Region.
The company's margins have come under significant pressure thanks to tariffs, and in response, investors have sold off FL stock to an anemic 8-times forward earnings multiple, versus a five-year-average forward multiple north of 12, a consumer discretionary sector average multiple north of 20, and a footwear sector average multiple north of 28. The Breakout Catalyst: Foot Locker's demand trends are healthy. Last quarter, Foot Locker reported nearly 5% comparable sales growth.