|Day's Range||4.6300 - 4.6300|
What's more wild, the story unfolding with General Electric (NYSE:GE) or the volatility in the stock market?Headline after headline has been wreaking havoc on the broader markets, as volatility remains elevated and as investors try to figure out their next step. Trade war worries, imploding foreign stock markets and recession concerns are engulfing the news flow.InvestorPlace - Stock Market News, Stock Advice & Trading TipsCasual investors will at least like the news from the stock market today, where the SPDR Dow Jones Industrial Average (NYSEARCA:DIA) rose 1.25%, the SPDR S&P 500 ETF (NYSEARCA:SPY) climbed 1.48% and the PowerShares QQQ ETF (NASDAQ:QQQ) jumped 1.61%.Amid that calamity, the story unfolding with General Electric is even more interesting. Is GE Stock a Sham or a Buy?General Electric has been under pressure since it reported earnings. For months, readers here have been cognizant of $10.50 range resistance and $9 range support. The breakout never materialized and GE stock quickly sank down to support. * 10 Cheap Dividend Stocks to Load Up On It was an unimpressive showing, but not surprising given the volatility in the broader market and the suspect nature of GE's balance sheet. The most recent quarter showed that General Electric is inching its way out of trouble, but could still have some unknown risks, particularly with Boeing's (NYSE:BA) 737 issues.On Thursday, range support between $9 and $9.25 blew out, as reports began circulating that a whistleblower was sounding the alarm on GE's accounting practices. That whistleblower was Harry Markopolos, who also raised concern over Bernie Madoff before his ponzi scheme was uncovered.GE pushed back, saying it stands behind its financials and that it remains in a strong position of liquidity. GE even went as far as to say that Markopolos is being "compensated by unnamed hedge funds [that] are financially motivated to attempt to generate short selling in a company's stock."Wow, dramatic.It doesn't end there, though. GE CEO Larry Culp refuted the claims even more aggressively, calling it "plain and simple" market manipulation. He then went out and bought 2 million shares of GE stock!Analysts came out to GE's defense on Friday morning, as did the well-known short-seller of Citron Research, Andrew Left. The latter also corroborates GE's stance regarding hedge fund compensation, noting that, "As noted in the disclaimer on his site, Harry is being paid a % of profits from an unnamed hedge fund that is short GE. No credible hedge fund or short seller would ever do this."GE jumped almost 9% in response to Friday's news, (Here's the trade layout). Movers in the Stock Market TodayGE was an obvious mover on the day, but it wasn't the only one.Nvidia (NASDAQ:NVDA) rallied 7.5% on the day, showing some upside momentum after the company beat on earnings and revenue estimates. While the headline numbers look good and many believe in its long-term future, there are still some short-term concerns. Revenue sank 17.3% year-over-year and management expects third-quarter sales of $2.84 billion to $2.96 billion. Expectations were at $2.98 billion.Still, NVDA is on the move higher, which may be good news for bulls should the overall market start to rally too.Deere (NYSE:DE) stock was also on the move higher, climbing over 4% despite missing on bottom-line expectations. Earnings of $2.71 per share missed analysts' expectations by 13 cents. However, revenue of $10.04 billion handedly beat estimates by $660 million despite sinking 2.6% year-over-year.Shares of Palo Alto Networks (NYSE:PANW) were trading well on the day, up several percent before collapsing in the afternoon. PANW ended lower by 7.2% on news that Dave Peranich, EVP of worldwide sales, is leaving his post after three years on the job. Seems like it could be an overreaction, even if he was a top sales exec.Disney's (NYSE:DIS) latest billion-dollar hit is Toy Story 4, the company's fifth billion-dollar film this year. It now holds the record for most such films in a single year, while there is only one other competing film this year to top the nine-figure mark (Spider-Man: Far From Home). Further, the company announced last month that it had broken its prior annual box office record total of $7.61 billion, pulling in $7.67 billion in sales already in 2019.Don't forget, there's Frozen 2 and a Star Wars film still slated for 2019. It's going to be a huge year for Disney.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell is long NVDA and DIS. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Cheap Dividend Stocks to Load Up On * The 10 Biggest Losers from Q2 Earnings * 5 Dependable Dividend Stocks to Buy The post Stock Market Today: Is GE a Fraud or a Screaming Buy? appeared first on InvestorPlace.
U.S. markets and stock ETFs stabilized late Thursday as upbeat retail data helped offset the recessionary fears. On Thursday, the Invesco QQQ Trust (NASDAQ: QQQ) was flat, SPDR Dow Jones Industrial Average ...
It has been a very tough couple of days for traders, with the choppy action in United States stocks frustrating both the bulls and the bears. As for Wednesday, well, it was another tough session in the stock market today. The SPDR S&P 500 ETF (NYSEARCA:SPY) fell 2.96%, while the PowerShares QQQ ETF (NASDAQ:QQQ) dropped 2.99%.The cause? The yield curve.InvestorPlace - Stock Market News, Stock Advice & Trading Tips What's the Yield Curve All About?Before we do anything, let's talk about this yield curve and spreads.In a healthy environment, one can plot the yields of bonds on a chart and see a positive slope, basically meaning that as the duration of the bond gets longer, the yield goes higher. However, when you keep hearing about a flattening or inverting yield curve, it means that the opposite is occurring -- that short-duration bonds are yielding more than long-duration bonds. * 15 Growth Stocks to Buy for the Long Haul This development shows itself in the spread. Traders often look at the 10-year/2-year Treasury spread. As this spread -- measured by the 10-year yield minus the 2-year yield -- approaches zero, investors start to grow leery. When it inverts, meaning the 2-year yields more than the 10-year, then investors get a bit finicky.That's what happened on Wednesday and that's what caused the selloff. Recession ImplicationsSome of you might be wondering, "what's all this hoopla about bond yields anyway?" Well, the hoopla comes from the fact that an inverted yield curve -- and in particular, a negative 10-year/2-year spread -- has historically preceded economic recessions with surprising reliability.Don't forget, when the algos see the negative spread on the 2-year/10-year or recession headlines start spreading, they start selling. That's just the way it is. It doesn't help that China's economic numbers aren't all that hot, while Europe's strongest member -- Germany -- hovers just above contraction territory.For argument's sake, let's assume that a U.S. recession is on the way, even though the U.S. still has a strong labor market and relatively healthy businesses. What does that mean for the stock market?Stocks tend to be forward looking, while economic readings are lagging indicators. So we should surely expect the market to be in trouble before a recession is actually on the books. However, that doesn't mean markets peak or decline directly after a 2-year/10-year inversion.This is noteworthy.Of the last five recessions, the yield curve inverted an average of 17 months before the start of the recession. At its fastest, it was 10 months early. At its slowest, it was 24 months -- two years full years.Referring to the time between the inversion and the recession as the "lag period," stocks performed well. The S&P 500 was positive four of the five times, recording gains of at least 11% on each of those four years. Three of those years boasted gains of more than 22%. The one year it didn't was amid the dot-com bust, a bubble we certainly aren't matching in U.S. equities at the moment.So while the worry is real, investors need to remember that the U.S. economy is still doing relatively well and that just because we have a brief 2-year/10-year inversion (so far), doesn't mean we're headed for the gallows tomorrow. Movers in the Stock Market TodayMacy's (NYSE:M) did well to rally off the lows, but the 13.3% decline was still enough to send shares to new 52-week lows. The company badly missed on earnings, reporting a profit of 28 cents per share vs. expectations of 45 cents per share. In-line revenue and a cut to management's full-year earnings outlook didn't help matters.Nordstrom (NYSE:JWN), Kohl's (NYSE:KSS), J.C. Penney (NYSE:JCP) and others heavily sold off in sympathy. Keep in mind, Walmart (NYSE:WMT) will report on Thursday too. It has been a stalwart in the retail space.Keeping with retail, Canada Goose (NYSE:GOOS) and The RealReal (NASDAQ:REAL) were hammered too. Canada Goose fell 7.5% even as revenue of $71.1 million scorched estimates of $41.1 million. Worsening profitability likely alarmed investors, despite the torrid revenue growth.For REAL, a top- and bottom-line earnings beat led to an initial surge of almost 20% in after-hours trading. That flipped to a 15% decline for the stock, as the recent IPO makes new lows. Traders can wait for a reversal before diving into this one.World Wrestling Entertainment (NYSE:WWE) was one of the few winners on the day. Shares climbed 1.1% after Rosenblatt analysts initiated the stock with a buy rating and $85 price target. Although, it's worth pointing out that this name is down 16% in the last three months and 23% in the last six.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 15 Growth Stocks to Buy for the Long Haul * 5 More Cloud Stocks With Plenty of Potential * 5 Clean Energy ETFs to Buy for 2019 The post Stock Market Today: Are We About to Enter a Recession? appeared first on InvestorPlace.
According to John Sheehan, accommodative Fed policy and favorable market technicals drove the investment grade credit market’s strong start to 2019, by John Sheehan Continue reading...
While history does not always repeat, prudent investors should still be students of it. Please click here for a chart showing the yield curve. Please click here for an annotated chart of S&P 500 ETF (SPY) Even though many investors focus on the Dow Jones Industrial Average (DJIA) it is better to use the S&P 500 or Nasdaq 100 ETF (QQQ) For the sake of transparency, this is the same chart that was previously published without any changes.
Four small-cap specialists discuss positives that investors may be overlooking, by Chuck Royce, Francis Gannon, Jay Kaplan and Steve Lipper Continue reading...
U.S. markets and stock ETFs climbed Tuesday after the Trump administration pushed off a previously planned 10% tariff on Chinese products. On Tuesday, the Invesco QQQ Trust (QQQ) surged 2.3%, SPDR Dow Jones Industrial Average ETF (DIA) rose 1.6% and SPDR S&P 500 ETF (SPY) was 1.6% higher. Shifting away from its hardline approach to trade, the administration said it would delay increased levies on some Chinese products, including laptops, cellphones, video game consoles and certain items of footwear and clothing, which were scheduled to start next month, Reuters reports.
These international value ETFs have been in the list of top gainers over the last five days. These are also known for sturdy yields, which make them nice picks amid the current global market volatility.
On multiple occasions, Trump has said the US economy is doing phenomenally well, calling it “the greatest economy in the HISTORY of America.”
Investing in the stock market may seem like a daunting challenge, but this Investing In Stocks 101 guide can help you get started.
What a volatile week for equities. While the headlines may not show it, we had an up-and-down day in the stock market today. The SPDR S&P 500 ETF (NYSEARCA:SPY) fell 0.68% on Friday, but conflicting reports on trade had investors scratching their heads.Last week, the markets crept lower each day, with the steepest decline occuring Wednesday, July 31, when the Federal Reserve cut interest rates.InvestorPlace - Stock Market News, Stock Advice & Trading TipsOn Monday, U.S. equities plunged as tensions flared between the U.S. and China. As tempers calmed, Wall Street staged a rebound.The SPY finished the week relatively flat, with the PowerShares QQQ ETF (NASDAQ:QQQ) ending slightly higher and the SPDR Dow Jones Industrial Average ETF (NYSEARCA:DIA) ending slightly lower.Clearly, it's been an eventful week for investors. Let's look at the Nasdaq Composite to get an idea of what to expect come Monday: Nasdaq Update Click to Enlarge On Thursday, we went through the "what-ifs" of the S&P 500. The QQQ doesn't look all that different.I love simple setups and it's actually what we have when looking at the QQQ chart above.We knew it was likely that the markets would struggle with the 50-day moving average, simply on account of how quickly it rallied from its lows.While the ETF sold off on Friday, it held the 100-day moving average at its lows and bounced nicely on the day. * 7 Stocks Under $7 to Invest in Now Now back toward the 50-day, this can go one of two ways.Bears will look to gain control on a break below the 100-day moving average. Below it and $181 is on the table. Should shorts press it lower and break Monday's low, the 200-day is possible.On the upside, bulls could push the QQQ over the 50-day and reclaim the 20-day moving average. If that occurs, $192.50 to $195 is possible. Keep it simple: Over the 20-day is good for bulls, below the 100-day is good for bears. Tough Week for Warren BuffettIt was a tough week for some of Warren Buffett's top holdings at Berkshire Hathaway (NYSE:BRK.A, NYSE:BRK.B). Buffett's second-largest holding, Bank of America (NYSE:BAC), fell 3.1% over the past five days. His eighth-largest holding, JPMorgan (NYSE:JPM) sank 2.4%. Fifth-largest in Buffett's portfolio, Wells Fargo (NYSE:WFC), dropped 2%. Buffett's seventh-largest holding, meanwhile, U.S. Bancorp (NYSE:USB) slipped 4.6%.Okay fine, so a number of bank stocks ended the week with only marginal losses, even though many were getting rocked at the start of the week. But none of it covers up the losses that Kraft Heinz (NYSE:KHC) and Teva Pharmaceuticals (NYSE:TEVA) logged. They dropped 17.2% and 10.6%, respectively.At just ~$300 million, Teva isn't that big of a position for Buffett. The flip side is that Berkshire has roughly the same number of shares as it did in the fourth quarter, according to the 13-F filings. With Teva down 55% on the year, this week's losses only added insult to injury. KHC is a much bigger holding, at No. 6 in the portfolio. That's despite the stock's 38% drop in 2019 and 55% fall over the last 12 months.Warren Buffett is still Warren Buffett, but he may want more than a Coke on Friday after the close. Movers in the Stock Market TodayYelp (NYSE:YELP) jumped over 5.5% on Friday after a better-than-expected earnings results. Shares are now teetering on an important level. Support is nearby, but a move back over Friday's highs could trigger an even further rally. Although the company grew revenue just 5.1% year-over-year and slightly missed expectations, investors are feeling good after management reaffirmed guidance.Yelp wasn't the only one rallying Friday, but there were a lot of losers.For starters, Dropbox (NASDAQ:DBX) fell more than 12.5% on the day and made new 52-week lows, albeit barely. The move comes despite the company beating on top- and bottom-line earnings estimates. The worry? Future growth.A day after Lyft (NASDAQ:LYFT) beat estimates and kickstarted an 8% rally in Uber (NYSE:UBER), the latter is giving almost all of those gains on Friday, falling about 6% after reporting a quarterly loss of more than $5 billion.Holy moly, how is that even possible? A lot of it is stock-based compensation from the IPO, but still, how can anyone feel good about a headline like that? Here are the must-hold levels for Uber stock.While General Electric (NYSE:GE) didn't report earnings on Friday, shares still slid lower by more than 3.5%. That's now the stock's seventh day of decline in eight trading sessions. Interesting Mortgage TidbitWith U.S. mortgage rates at their lowest level in three years, some economists are saying it won't do much to help the housing market.According to Issi Romem, senior director of housing and urban economics at Zillow, "It's a bit of an added lease on life for this housing cycle. I don't think it's going to dramatically change anything."Even crazier though? Denmark citizens saw its rates for 20-year mortgages hit 0% this week. One bank even offered a negative interest rate of 50 basis points on 10-year mortgages.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 8 Dividend Aristocrat Stocks to Buy Now No Matter What * 7 Stocks to Buy to Ride the Vegan Wave * 4 Safe Stocks to Buy Amid Trade War Turbulence The post Stock Market Today: Tough Week for Warren BuffettÂ appeared first on InvestorPlace.
The markets were just grappling with the news of increasing trade tensions between the US and China when Trump stepped in to increase the pressure.
It's time to get technical at the YFi Interactive touch screen. Joining Yahoo Finance's Myles Udland is Jared Blikre to break down today's moves in stocks, bonds, market internals, semiconductors and the Nasdaq 100 component heat map.