The explosive growth in passive trading, a fear of missing out, and a blind faith in “celebrity CEOs” have contributed to froth in high growth tech names, according to Harvard lecturer and renowned writer Vikram Mansharamani. Now, the author who made a name spotting market bubbles in his book “Boombustology: Spotting Financial Bubbles Before They […]
Read MoreNovavax Inc. and Beyond Meat Inc. jumped alongside other growth-oriented stocks in Monday trading after an Evercore ISI strategist suggested some of the battered meme stocks could rebound in coming weeks. The biotechnology company — which just filed its Covid-19 vaccine for emergency use in the U.S., as expected — climbed 13% after trading at […]
Read More(Bloomberg) — In another week of severe equity turbulence, the S&P 500 saw three of the biggest intraday reversals of the decade, Microsoft Corp. swung 15% in 15 hours, and stock volatility doubled. In the end, for one last twist, the index rallied Friday, erasing losses for the week to post one of its smallest […]
Read More(Bloomberg) — Evidence is piling up that professional speculators are now betting that the historic new-year stock rout has reached a tentative peak. Take hedge-fund activity in the manic Monday session. When the S&P 500 wiped out an intraday loss of nearly 4%, the fast money tracked by Morgan Stanley duly cut their short positions […]
Read More(Bloomberg) — After a selloff that put global stocks on course for their worst month since the start of the pandemic, strategists from Goldman Sachs Group Inc. to Citigroup Inc. say it’s now time to buy. “Any further significant weakness at the index level should be seen as a buying opportunity, in our view,” Goldman […]
Read More(Bloomberg) — Stocks could face a “slow, laborious” decline in 2022 as a result of a more hawkish Federal Reserve that may raise interest rates four times, according to Dennis Gartman. The University of Akron Endowment Chairman said in an interview with Bloomberg Radio Monday that stocks could trade 10% to 15% lower this year. […]
Read MoreMany folks will tell you the stock market looks expensive. And they’re not exactly wrong. The S&P 500’s forward price-to-earnings (P/E) ratio – the index divided by the estimated next-12 months’ earnings – is historically high at about 21.2, according to FactSet. This is significantly above its 5-year average of 18.5 and 10-year average of […]
Read MoreThey don’t ring a bell at the top, the expression goes, but here’s an indicator that topped in 2000 and 2007. It has to do with margin debt. According to Ned Davis, senior investment strategist at Ned Davis Research, falling margin debt growth, from high levels, triggers a sell warning. When the 15-month rate of […]
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