Capital Markets

The phrase “capital markets” describes a financial system that seeks to raise, buy, and sell investment capital for business purposes. It’s an all-encompassing phrase comprising the stock, bond, currency, and commodities financial markets.


It really is quite amazing the amount that spot oil prices have dropped. Naturally, in a lot of areas, the price of gasoline has not dropped the same percentage. Lower oil prices help a lot of industries. The railroads and…

Amid all the turmoil in capital markets, I’m reminded of all the good corporate earnings being released. Of course, the stock market is a system of discounting future business conditions and the recent sell-off has been pronounced, but stocks have…

If there’s one thing the stock market needs, it’s a distraction from global growth worries and geopolitical events. And corporate earnings are the ticket for that as this season’s numbers are starting to pour in. Pharmaceutical benchmark Johnson & Johnson…

Good numbers are one thing, but stocks did go up in advance of what’s turning out to be a fairly decent earnings season. It’s not unreasonable at all to expect the market to take a solid break, perhaps for the…

With the Dow Jones hitting 17,000 being pretty likely in the not-too-distant future, from there, it’s only another 18% or so until the Dow hits 20,000, which is pretty incredible. These numbers seemed so unrealistic just a few years ago…

The resilience the stock market continues to have is a reflection of what continues to be extreme monetary stimulus. And while the stock market is a leading indicator and a bet on a future stream of earnings and economic activity,…

One of the most speculative parts of the equity market is biotechnology. These stocks come to market generally overpriced, and they usually require a lot more capital to develop anything material. But while investment risk is super high with these…

The strength in this market is with oil, as both the spot price and oil stocks are holding up very well. While the broader market has been experiencing a well-deserved price retrenchment, both large- and small-cap oil stocks have been…

The S&P 500 index really hasn’t done much since the beginning of the year but churn…but then again, why shouldn’t it? For stocks, 2013 was an exceptional year. If we get another positive year on top of dividends, then it’s…

If you think Chinese stocks are too speculative to consider and buy, then you need to read what I’m going to say over the next few paragraphs. Yes, it’s true that China-based companies have subjected U.S. capital markets to erroneous…

Ever since Janet Yellen, the new Chair of the Federal Reserve, made her first speech reiterating a stay-the-course policy regarding monetary policy, stocks got a whole new lease on their financial life. This market is holding up extremely well, and…

A good amount of speculative fervor has come out of this market so far this year, but there’s still quite a bit of valuation froth around. Across the board, 3D-printer stocks have come back. 3D Systems Corporation (DDD) still boasts…

Earnings estimates for Microsoft Corporation (MSFT) are going up and the stock, which recently accelerated, finally looks like it has broken out of a 13-year consolidation. Microsoft has been an income play for quite a while. Currently yielding three percent,…

Stocks have been choppy since the beginning of the year and geopolitical events are now the near-term catalyst. It’s a good reminder that it’s worthwhile to review investment risk to equities and what you can tolerate in terms of potential…

The last time we looked at Alexion Pharmaceuticals, Inc. (ALXN), the position was trading around $121.00 a share. Now, it’s $175.00 a share, and once again, the company reported outstanding financial results from its “Soliris” wonder-drug. This stock has been…

The single greatest certainty capital markets are looking for is policy stability from the Federal Reserve, and Janet Yellen, the new Chair of the Federal Reserve, delivered the goods for Wall Street. With certainty in regards to short-term interest rates…