Analysis Topic: Stock & Financial Markets

The analysis published under this topic are as follows.

Thursday, May 30, 2013

What Japan's "Lehman Brothers" Moment Means to You / Stock-Markets / Japanese Stock Market

By: Money_Morning

Keith Fitz-Gerald writes: Japanese markets suffered an elevator shaft-like failure late last week, dropping 7.32% in the single largest decline since the horrific March 2011 earthquake and tsunami. Global markets followed suit but recovered.

This is the third-largest economy on the planet in the fastest-growing region in the world.

Thursday, May 30, 2013

Stock Market Partying Like the Great Gatsby? / Stock-Markets / Stock Markets 2013

By: InvestmentContrarian

George Leong writes: Wall Street reclaimed its merry ways on Tuesday as the Dow surged over 200 points in the first hour of trading, while strong small-cap buying pushed the Russell 2000 up over two percent to above the 1,000 level for the fourth time since its initial break on May 20.

All I can say, folks, is enjoy the stock market ride.

Thursday, May 30, 2013

Stock Market Preview of What Will Happen as Feds Pull Back on Money Printing / Stock-Markets / Stock Markets 2013

By: InvestmentContrarian

Sasha Cekerevac writes: There’s nothing a market hates more than uncertainty. Investors, both large and small, build a model from which they can then generate an investment strategy. The greater the uncertainty, the more difficult it is to come up with an investment thesis.

Over the past few years, the Federal Reserve, through its aggressive monetary policy stance, has tried to reduce uncertainty and bring confidence back to the stock market. But due to the long period in which there has been a lack of volatility, this has brought complacency into the market—a dangerous situation for investors.

Thursday, May 30, 2013

Stock Market Needed Selling...... / Stock-Markets / Stock Markets 2013

By: Jack_Steiman

That's what the market needed and that's what it got today. Some selling that helped unwind things at least a little bit and every little bit helps when you have a combination of events that tells us the market could use a break. We had overbought RSI's on the daily index charts. We had elevated oscillators such as those MACD's and stochastic's. We had a high number of bull- to-bears coming in to this week. Some selling would help things on many fronts for the bigger picture bull market. This began last night when the futures were quite nasty heading in to the pre-market hours.

Wednesday, May 29, 2013

What Was Behind the Stock Market’s Massive Breakout? / Stock-Markets / Stock Markets 2013

By: Profit_Confidential

Something big happened at the beginning of the year—Wall Street gave up on Washington.

I’ve been trying to figure out how this incredible stock market action started at the beginning of the year. Things were trending fairly normally, and then institutional investors just started buying—blue chips first, a little break in February, then blue chips again, with a broadening out into the NASDAQ.

Wednesday, May 29, 2013

Japan’s Big Money Printing Gamble / Stock-Markets / Japanese Stock Market

By: Investment_U

Carl Delfeld writes: Before this year’s sharp upturn, Japan’s economy and stock market had been going nowhere fast for a long, long time.

Let’s put things in perspective.

In 1990, when I was head of Japan equity sales for Robert Baird & Co., the market value of Japan’s stock market was at its peak – roughly 50% the value of all world markets combined.

Wednesday, May 29, 2013

The Dow Could Easily Correct to 14,000 / Stock-Markets / Stock Markets 2013

By: DailyWealth

Predicting a stock-market correction is a rough business these days. The Dow Industrials seems to add a few hundred more points each and every week.

It makes sense to expect a market correction. No stock, commodity, or sector runs higher without taking a break. That's just how the market works. But if stocks do sell off, how much can we expect from a natural, healthy market decline? Today's chart provides a clue...

Wednesday, May 29, 2013

Stock Market Bubble - Not So Sweet Sixteen / Stock-Markets / Liquidity Bubble

By: Doug_Wakefield

"In the spring of 1720, Isaac Newton stated, "I can calculate the motions of the heavenly bodies, but not the madness of people." On April 20, accordingly, he sold out his shares in the South Sea Company at a solid 100 percent profit of £7,000. Unhappily, a further impulse later seized him, an infection from the mania gripping the world that spring and summer. He reentered the market at the top for a larger amount and ended up losing £20,000. In the irrational habit of so many of us who experience disaster, he put it out of his mind and never, for the rest of his life, could he bear to hear the name South Sea." [Manias, Panics, and Crashes: A History of Financial Crises, Fourth Edition (2000), Charles P. Kindleberger, pg 31]

Wednesday, May 29, 2013

The Stock Market is Very Expensive! / Stock-Markets / Stock Market Valuations

By: John_Mauldin

Vitaliy Katsenelson is a modern-day American success story, the kind we need more of. He grew up in Murmansk, in the extreme northwest corner of Russia, north of the Arctic Circle and close to the Finnish border. He says he barely escaped a career in the engine rooms of Russian Navy vessels when his family wrangled a visa to emigrate to the US in 1991.

He finished high school here, knocked out a BA in finance at the University of Colorado at Denver, and followed up with an MS in finance and his CFA.  At that point, a local Denver firm, Investment Management Associates, snapped him up; and before long he was one of the two principals in the company, alongside Michael Conn.

Tuesday, May 28, 2013

Stock Market Bounce is Nearly Finished / Stock-Markets / Stock Markets 2013

By: Anthony_Cherniawski

I am coming of an unbelievably busy weekend. After spending two days helping our friends prepare their duplex at Lake Charlevoix for the summer season, we came back to host my wife’s 87 year-old mother and family on Sunday. Aunt Betty (age 84) and uncle Al (age 94) decided to visit their sister on Monday and a dozen cousins decided to come as well to make a family reunion out of it. We hosted 26 guests yesterday and were completely exhausted by the end of the day. Suffice it to say there will be no Weekend Update this weekend.

Tuesday, May 28, 2013

Stock Market Bubble: Wait for it to Pop / Stock-Markets / Stock Markets 2013

By: Toby_Connor

I'm going to start off today and show you what Fed policy has given us over the last decade and a half. What the Fed has accomplished has been one bubble after another.

Tuesday, May 28, 2013

Stock Market Correction In Progress / Stock-Markets / Stock Markets 2013

By: Andre_Gratian

Current Position of the Market

SPX: Very Long-term trend - The very-long-term cycles are in their down phases, and if they make their lows when expected (after this bull market is over), there will be another steep decline into late 2014. However, the severe correction of 2007-2009 may have curtailed the full downward pressure potential of the 40-yr and 120-yr cycles.

Intermediate trend - SPX continues to progress according to its structure. If the count is correct, an intermediate reversal could be on the way, but this may also be only a short-term reversal followed by new highs.

Tuesday, May 28, 2013

Japan Stock Market Investing - It's Not A Bet If You Can't Win / Stock-Markets / Japanese Stock Market

By: Submissions

The reactions to the $314 billion, 7.3% plunge in the Nikkei last week were, let's say, for the best part amusing. The army of experts and analysts stood at the ready to name the external factors that made it happen (by the way, that army seems to have grown a hundredfold or so over the past 5 years, or is that just me? So where's the added quality?). Some blamed it on something Bernanke did or did not say, some on the Dow's drop (0.5%?!) the day before, and others on weakish China's manufacturing numbers. Very few addressed Japan's own internal issues. But that's still where Japan's problem lies, and what can and will lead to more of that volatility.

Monday, May 27, 2013

Economic Prosperity - You Can't Print, Borrow, ZIRP, QE, or OMF It / Stock-Markets / Quantitative Easing

By: Bill_Bonner

Gold rose $24 per ounce Thursday. The Dow fell 12 points.

The smart money is using this dip to buy gold.

Why?

Monday, May 27, 2013

Stock Market No Confirming Signal for a Top, Yet / Stock-Markets / Stock Markets 2013

By: Michael_Noonan

There is a reason why the trend is the most important consideration when positioning in any market. The number of profitable shorts, as of last week, can still be counted on one hand, at least those who remain amongst the ranks of the devastated ones still trying to pick a top. The most money is lost picking tops and bottoms, but top-pickers are always at odds with that fact. Richard Dennis lost more money trying to buy sugar under 5 cents than he did buying at higher prices on previous occasions. He ranks as a poster child for money lost in bottom-picking, and he was a highly regarded professional player.

Monday, May 27, 2013

Stock Market Rally Takes a Pause / Stock-Markets / Stock Markets 2013

By: PhilStockWorld

After four weeks on steroids, the worldwide rally took step back, a big one for Japan’s Nikkei 225. Seven of the eight indexes on my watchlist posted losses. China’s Shanghai Composite was the one index to show a gain for the week, a rather unimpressive 0.25%. Four seven losers gave back between 1% and 1.25%. Hong Kong’s Hang Seng dropped two percent, India’s SENSEX slipped a more dramatic 2.87%, and the Nikkei plunged 3.47%, which, of course, was little more than a rounding error, since it was up 45.6% at the previous weekly close.

Sunday, May 26, 2013

Topping Stocks, Falling Gold, Rising Dollar Adds upto Deflation / Stock-Markets / Financial Markets 2013

By: Robert_M_Williams

The big news this week revolved around all the comments coming from different Fed personalities. On Tuesday St. Louis Fed President James Bullard and New York Fed President William Dudley set the table nicely for Federal Reserve Chairman Ben Bernanke’s appearance on Wednesday at the congressional Joint Economic Committee. They clearly stated that the Fed wasn’t yet ready to tighten. What they say matters because one of the main transmission methods for this whole quantitative-easing thing is trickle-down economics — build up the stock market, and let people who own those stocks spend money, and this will supposedly feed the rest of the economy. Aside from that you keep rates as low as possible thereby maximizing the proceeds from mortgage refinancing and providing support for housing and car sales.

Saturday, May 25, 2013

Stock Market Week Of Overall Selling..... / Stock-Markets / Stock Markets 2013

By: Jack_Steiman

Finally a bit of selling. Nothing to write home about if you're an ardent bear, but at least you have some lower prices this week for the first time in quite a while. The bears didn't do anything in terms of taking out any major support, which will be their goal in the days and weeks ahead, but for now, they've at least stopped the upside bleeding that have their short positions in a lot of pain. The real question for the bears now that we look back on the week that was, is did the Fed Bernanke really say anything relevant to their bearish case, or was the selling really more a function of overbought daily and weekly index charts? The answer to me is clear.

Saturday, May 25, 2013

The Fed’s Hands Are Tied… Right as the Financial System Begins to Crack / Stock-Markets / Financial Markets 2013

By: Graham_Summers

The Fed would do well to look at Japan.

Japan’s Nikkei, after rallying over 70% since November, just collapsed 11% in less than two days. Looking at the chart, it’s pretty clear where this thing is heading: the same as the NASDAQ in 2000.

Saturday, May 25, 2013

Stock Market Trend, There’s More To Consider Than Just The Fed! / Stock-Markets / Stock Markets 2013

By: Sy_Harding

Fed Chairman Bernanke spooked investors with his testimony before Congress on Wednesday by indicating that the Fed could begin to withdraw the punch bowl of stimulus as soon as at one of its next monthly FOMC meetings.

What? The Fed might abandon investors? Might remove the ‘Bernanke put’ and let market forces return to normal? That’s not fair! Since the economic recovery and bull market in stocks began in 2009 we’ve been guaranteed the full force of central bank stimulus to keep them going, with the Fed even rushing in with more stimulus, QE2, Operation Twist, QE3, each of the last three summers when the economy and markets faltered.