The way the market has been behaving lately—well, saying it is a minefield would be an understatement. Investors may have gotten—wrongfully—used to the easy money days of 2020-2022, when the Federal Reserve (the Fed) was forced to cut interest rates to near zero as a result of the COVID-19 pandemic. Low rates and cheap money have made just about any stock a winner in the past couple of years; however, that trend could be about to change. With sticky inflation rates and a disappointing 1.6% gross domestic product (GDP) growth rate in the past quarter, the U.S. could be facing stagflation (low economic growth with high inflation). A lackluster economy that drags consumer—and business—buying power lower each year makes for a tricky stock market. .
Equity markets advanced on Tuesday, and the S&P 500 is on the cusp of setting a new all-time high. That high may come today if the CPI data cooperates. Cooperative data will show inflation receding appropriately to allow the FOMC to start cutting interest rates later this year. Uncooperative data will include hotter-than-expected inflation that keeps the FOMC in a hawkish stance and its current policy unchanged.
Results from Home Depot helped the index to advance. Shares of Home Depot fell in early trading on tepid results but regained the lost ground throughout the day to close in the green. The company's results were tepid but pointed to normalizing economic conditions that will sustain growth over the long term, cash flow, and capital returns. The next test for the market will come tomorrow with Walmart's results.
The way the market has been behaving lately—well, saying it is a minefield would be an understatement. Investors may have gotten—wrongfully—used to the easy money days of 2020-2022, when the Federal Reserve (the Fed) was forced to cut interest rates to near zero as a result of the COVID-19 pandemic. Low rates and cheap money have made just about any stock a winner in the past couple of years; however, that trend could be about to change. With sticky inflation rates and a disappointing 1.6% gross domestic product (GDP) growth rate in the past quarter, the U.S. could be facing stagflation (low economic growth with high inflation). A lackluster economy that drags consumer—and business—buying power lower each year makes for a tricky stock market.
Bitcoin has surged past $70,000. Are you prepared for what's next? Our free guide, "Navigating the Future: A Comprehensive Guide to Cryptocurrency Investments in 2024," is essential for staying ahead in the fast-evolving crypto market. It's crafted for both beginners and seasoned investors. Click below to opt-in and receive up to two additional free bonus subscriptions. Unsubscribe at any time.
Meme stocks are shaking Wall Street once again. That shouldn't be much of a surprise. Ever since bands of smaller-pocketed and novice investors began taking stock prices of downtrodden companies to breathtaking heights three years ago, the potential for more flareups has been obvious. Some things are different this time. The biggest change from the initial supernova for GameStop's stock is how the experience of 2021 makes this all feel familiar. That familiarity, plus some changes in the market, should allow Wall Street to more easily digest the sharp movements, experts say. GameStop in 2021 put securities markets' capacity and resilience to a test that "few could have anticipated," the staff of the U.S.
Analysts' sentiment is a powerful force in the market that can make the difference between winning and losing a trade. The stocks on this list are among the Most Upgraded Stocks tracked by MarketBeat and have bullish support from analysts. They also have secular tailwinds to support their business growth, suggesting analysts' support will remain firm this year and continue to lead their markets higher. The takeaway for investors is that Domino’s Pizza (NYSE: DPZ), Target (NYSE: TGT), and Texas Roadhouse (NASDAQ: TXRH) can all set new highs this year while paying solid dividends. Domino’s Pizza Rally has Legs Domino’s is not a new name on the list of Most Upgraded Stocks, but it is creeping up the rankings, entering the top ten in Q2 2024.
Argentina's monthly inflation rate eased sharply to a single-digit rate in April for the first time in half a year, data released Tuesday showed, a closely watched indicator that bolsters President Javier Milei's severe austerity program aimed at fixing the country's troubled economy.Prices rose at a rate of 8.8% last month, the Argentine government statistics agency reported, down from a monthly rate of 11% in March and well below a peak of 25% last December, when Milei became president with a mission to combat Argentina's dizzying inflation, among the highest in the world. "Inflation is being pulverized," Manuel Adorni, the presidential spokesperson, posted on social media platform X after the announcement.
Shares of Alibaba Group (NYSE: BABA) fell by as much as 5% in the pre-market session of May 14th; the reaction came after a wild first quarter 2024 earnings result, which is arguably the most critical report of the year as it sets the tone for what may come in the following months. Without digging deeper into the company’s financials, any retail investor would be wrongly scared away. After a massive decline in net income, the stock should have made new all-time lows, yet it remains within the tight range it has traded under for the past three years. This means some are out there providing enough buying pressure to keep the stock from plummeting.
A brand-new guide from the host of one of the world's largest cryptocurrency podcasts lays out an action plan that could help you retire quickly and comfortably in today's crypto market.
Federal Reserve Chair Jerome Powell said Tuesday that the central bank is unlikely to raise its key interest rate in response to signs of stubborn inflation and underscored his view that price increases would soon start to cool again
The Night Owl is an evening newsletter published by The Early Bird and powered by MarketBeat. The Night Owl covers top stories on the stock market and outlook on interesting stocks. If you give a hoot about the market, read your copy every Tuesday, Thursday, and Sunday evening.
MarketBeat Media, LLC 345 N Reid Place, Suite 620, Sioux Falls, SD 57103. contact@marketbeat.com
Post a Comment
Post a Comment