Will the rollercoaster ride end?
The U.S. stock market plunged Monday, with the Dow Jones falling nearly 1,600 points at one point, the biggest single day drop in its history. It then turned around and regained 567 points on Tuesday. The whipsawing continued for the rest of the week. At the close on...
Crisis? What Crisis?
On Friday, the Dow Jones Industrial Average plunged 666 points as a strong employment report sent Treasury yields toward 3 percent. The S&P 500 ended an unprecedented streak of going without a major pullback. Everything from stocks to bonds and commodities fell....
Trying hard to be unprofitable?
Earlier this week, United Airlines posted fourth-quarter profit topping estimates with United's revenue for each seat it flew a mile, rising 0.2 percent, up from a previous forecast of no growth year over year. The airline forecast earnings per share of between $6.50...
Fire Sale Includes the Store as well
“Everything Must Go” sign at a retail store did not always mean stores were closing for good but instead was usually a sign of a massively discounted sales promotion over Thanksgiving or other holidays. But, as Bob Dylan wrote in 1964 - “The times they are...
Impartial Advice Kills the Bonus
Here is an excerpt from the front page of the Wall Street Journal on Jan 11, 2018 - “Investors who seek advice from discount brokerage firms might assume the counsel they get is impartial, given how these firms have rejected the old Wall Street model of working on...
Investment Outlook for 2018
Even as all eyes are on the upcoming tax reform, income gains and confidence in the economic outlook has prompted Americans to open their wallets this holiday season. Buoyant financial markets, modest inflation and low unemployment have all been major contributors as...
Knowing when to stay away
Knowing when to stay away Bitcoin’s wild ride this week—trading between $10,000 and $20,000 has garnered global attention on the cybercurrency. Few pundits have even begun to dub bitcoin as "digital gold" because of the fact it has a finite supply and has, at times,...
In Search of Normality
Just when you think the market cannot go any higher without a correction, the markets bounced back yet again to record highs this week. While it is true that possibility of tax reform and appointment of a new Fed Chair have buoyed the markets, the underlying economic...
The Power of Low Correlation Investing
This week has been a choppy one on Wall Street. In an uncertain market, a well diversified portfolio across different geographies, sectors and asset classes is what the doctor ordered. However, intuition and guesses are not always the best way of finding...