Adios to February, which disappointed many investors who enjoyed the start of the year.
But the fear of a major collapse from those who have invaded the dark side of Wall Street may be unfounded, we say. call the dayFrom the chief market strategist at the Finom Group, Seth Golden, who said that the fear of a major recession, falling interest rates, housing and manufacturing industries are not enough, despite the rapid increase of the Fed.
What investors are forgetting, and perhaps Wall Street as well, is that “markets are futures that are part of an ongoing process,” Golden said, in a blog post.
While Wall Street’s S & P 500 forecast is negative, Golden’s own expectations are on the bullish side as he aims for 4,350 at the end of 2023. And while Wall Street worries about the number of hikes, the strategist provides another chart show that there are no outliers. Indeed higher rates have done little to prevent equity in the past:
Finom team
As for those who fear a recession, Golden said we’re not nearly where we were a year ago when inflation first came down, because the job market is still strong. On that note, he also dismissed Wall Street’s fears that the Fed was moving into a “marked stock market,” as this Bank of America chart suggests has been the norm since the 1970s:
Golden also wants to ignore the fear that the higher rates and inflation that has declared the bear market of 2022, will be the same as 2023. At first the reversal of the falling market is difficult, and now it is back to his first place, the markets. they really are “discounted ways forward.”
He noted that earnings per share rose in 2018 and 2022, yet the market fell in both years, which likely means futures markets are reducing the chance of earnings per share in 2019/2023. His chart below shows how markets have been higher 77% of the time since 1930, despite the weakness:
Golden added that one of the biggest in the history of the market was in 1974, when the EPS was the highest every year. He said this flies in the face of strategists such as Morgan Stanley’s Mike Wilson, who insists that stocks are down because of future falls.
“The hope that the Fed has gone too far, and deems it necessary to pull out of the recession seems to be the last source of hope for the belief that there could be new tapering during the current cycle to 2023.”
As for what investors should do, Golden told MarketWatch in an email that they have been buying the S&P 500 SPX,
since October, where they saw the market collapse. And while he doesn’t expect the soft move to be much bigger, the strategist said they are “looking for a pullback in the highs/highs as an opportunity to leverage.”
While his team is more focused on the performance of the S&P 500, Golden said they are looking for weakness to increase exposure to several large stocks, including Amazon.com AMZN,
PayPal PYPL,
Boeing BA,
Visa V,
JPMorgan JPMorgan,
and health Select Sector SPDR XLV,
here are a few.
Markets
The stock price of ES00,
YM00,
NQ00,
are trending higher as the bond yields TMUBMUSD10Y,
TMUBMUSD02Y,
divided. Dollar DXY,
and CL.1 fuel price,
are bigger, while gold GC00,
it is falling.
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Organization
TGT source,
The stock is rising on the beat of profits and rising revenues, although the broker’s view was a big mistake. AutoZone AZO,
shares fell on profit loss, and Norwegian Cruise NCLH,
stocks are falling after larger-than-expected losses. AAP Auto Parts Development,
because of reporting.
Owner of theater and meme stock AMC AMC,
whose shares rose 20% on Monday, HPQ,
Rivian RIVN,
Novavax NVAX
First Solar FSLR,
and Luminar LAZR,
will report after closing.
ZM stock zoom,
they came up after a successful and profitable projection from the video conferencing group.
Baytex Energy BTE
buys Ranger Oil ROCC,
of $2.5 billion, including debt.
Robin Hood,
received a subpoena regarding his crypto business from the Securities and Exchange Commission.
Investors named Tesla TSLA,
Elon Musk is the richest man in the world.
Opinion: The reason why Tesla investor Ross Gerber backed away from his decision to run for a board seat
The U.S. trade deficit widened 2% to $91.5 billion, as consumer goods rose 0.3% and manufactured goods fell 0.4%. The S&P 500 Case-Shiller home price index is due at 9 a.m. and consumer confidence at 10 a.m. Chicago Fed President Austan Goolsbee will speak at 2:30 p.m.
The White House said federal agencies have 30 days to take down TikTok. And the Feds have warned tech companies about “AI hype.”
Best website ever
How a large house in Turkey became a death trap for a football star and hundreds of other people.
America’s best metro area for first-time home buyers is this Texas disaster.
A year after the war in Ukraine, it is difficult to find the animal shelters that were left behind.
Amazon will soon allow employees to use stock options as collateral for home loans.
The tickers
These are the top tickets analyzed on MarketWatch as of 6 a.m.:
|
Ticker |
Security name |
|
TSLA, |
Tesla |
|
AMC, |
AMC Entertainment |
|
BBBY, |
Bed Bath & Beyond |
|
TRKA, |
Troika Media |
|
GM, |
GameStop |
|
Skill, |
AMC Entertainment Holdings Ltd |
|
NIO, |
Nio |
|
NVDA, |
Nvidia |
|
AAPL, |
Apple |
|
DAD, |
Alibaba |
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