China’s economy is more than five times larger than it was at the dawn of the millennium, meaning that early investors in the country could just sit back and earn massive returns. The country played a starring role in world growth over the last two decades. And despite a minor stock market crash, it’s been a gold mine for investors according to my stock market analysis.
But that ship has .
Over the past several years since the end of the Great Recession, we have seen a strong upward trend in restaurant stocks such as Chipotle Mexican Grill, Inc. (NYSE/CMG). My stock market analysis suggests there will be more gains to come in this area as the economy recovers, jobs are created, and home prices ratchet higher.
Stock Market Analysis of the Big Winners: McDonald’s & Chipotle Mexican GrillMcDonald’s Corp..
To be candid, my stock market analysis continues to yield one overriding factor for this market—it’s all about the Fed. That’s it.
Chinese economic news matters increasingly, and Greece’s sovereign debt problems did affect sentiment. But make no mistake; U.S. equities are trading off monetary policy expectations and global “developments” will fall by the wayside as soon as Janet Yellen and the Fed move on rates (possibly in September).
Earnings season is about to get underway and it’s exactly what this market needs.
But realistically, based on my stock market analysis, there’s not a lot of robust earnings growth out there. Not only is it a slow-growth world, but the stronger U.S. dollar is once again going to have a material impact on currency translation.
The only benefit of lowered expectations is that it makes it easier for a .
I hope you weren’t taken by surprise with the market sell-off last Tuesday; I have been warning that an adjustment was long overdue. For what you can do going forward this July, read on for my stock market analysis right now.
Stock Market Analysis: What’s Behind the Sell-Off?
I read somewhere that the rich lost some $70.0 billion in paper losses after the selling. As a group, they could have .
Stock Market Analysis 101: what companies say about their businesses is the best outlook for the broader market.
While the Federal Reserve’s monetary policy is the single greatest catalyst for stocks on a short-term basis, corporate reporting is the most material information of all. Notably, two brand-name stocks have revealed soft numbers.
FedEx and Oracle Miss Expectations
Not only is the early reporting missing Wall Street consensus, but U.S. dollar .
The Dow Jones Industrial Average (DJIA) has been a bit of a disappointment for widow investors this year, based on my stock market analysis. The blue-chip index, a perceived barometer of how America is doing according to the Dow theory, fell back below 18,000 last Thursday. Moreover, it is up a mere 0.8% this year.
Now some investors in the old school camp would say the DJIA should fall even .
I’m not sure if you noticed, but the big banks and bank stocks are back as attractive investments for both income investors and those looking for more conservative capital appreciation potential, as backed up by my stock market analysis.
If you were one of the astute investors who accumulated big banks stocks after the collapse of Lehman Brothers Holdings Inc. in 2008 following the massive subprime financial crisis, then my .
Tesla Motors, Inc. (NASDAQ/TSLA) is one of the most talked-about and heavily traded stocks on the market. My initial thesis about the company that lay behind my stock market analysis was that it was overpriced based on the sales of its electric car. The company counts its sales in the tens of thousands each month, not the hundreds of thousands as reported by the major non-electric auto manufacturers. But it .
The current initial public offering (IPO) market in some circumstances reminds me of the glory days back in 1999 and 2000; when newly minted technology stocks with little business surged to superlative heights driven by euphoric frenzy buying. While the valuation back then was far more out-of-whack than currently, there are situations now that leave me shaking my head and wondering what just happened, even after I do a thorough .
Immediate term outlook:
The bear market rally in stocks that started in March 2009, extended because of unprecedented central bank money printing, is coming to an end. Gold bullion is up $1,000 an ounce since we first recommended it in 2002 and we are still bullish on the physical metal.
Short-to-medium term outlook:
World economies are entering their slowest growth period since 2009. The Chinese economy grew last year at its slowest pace in 24 years. Japan is in recession. The eurozone is in depression. With almost half the S&P 500 companies deriving revenue outside the U.S., slower world economic growth will negatively impact revenue and earnings growth of American companies. Domestically, America’s gross domestic product grew by only a meager 2.3% in the second quarter, which will negatively impact an already overpriced equity market.
Estimates Aug. 31, 2015
Trailing 12-month EPS for Dow Jones companies (Most Recent Quarter)