Shortly after U.S. stock markets hit multi-year highs on September 14, Pacific Investment Management Co. (PIMCO) declared that the probability of widespread recessions in developed countries is rising. In early October, the International Monetary Fund (IMF) warned that the chances of economic contraction in the U.S. and Japan are 15% and 25% respectively, while essentially confirming [...] Continue Reading...
Election Results and ETFs, Fiscal Cliff and ETFs, Earnings Season and ETFs, Income-Generating ETFs, Treasury Bond ETFs Click here to listen to the show: 10-28-2012 Continue Reading...
There are times when I like what an exchange-traded fund asset is offering the investment public… at least in theory. Yet, over time, an ETF may fall short on things like tracking error, performance, methodological changes, liquidity and provider commitment. In the case of ALPS Sector Dividend Dogs (SDOG), the relative newcomer’s theoretical construct appears sound. [...] Continue Reading...
On an intra-day basis through Thursday (10/25), the Dow has pulled back 4.6% from a 52-week high. Similarly, since tagging a multi-year, intra-day peak, the S&P 500 has forfeited 4.8%. Is the presence of corrective activity and consolidation alarming? Hardly. The fact that investors were able to ignore earnings and revenue warnings until those admonitions became [...] Continue Reading...
Two weeks ago, I talked about reducing risk by leaning toward revenue beaters. Today, with a meager 37% of corporations surpassing expected sales targets, investors appear nervous about the possibility that companies will lose their footing on “Revenue Mountain.” Disappointing earnings reports, year-over-year revenue declines and uninspiring growth projections are not the only reasons for the [...] Continue Reading...
It would be easy to blame the S&P 500’s 50 point intra-day pullback from a September peak on quarterly corporate numbers alone. After all, roughly one-quarter of companies have reported and a mere 60% surpassed earnings expectations — a “beat rate” that is lower than at any other point since the bull market began in [...] Continue Reading...
Fiscal Cliff and ETFs, Yield-Oriented ETFs, Consumer Cyclical ETFs, Real Estate and ETFs, Asia Pacific ETFs Click here to listen to the show: 10-21-2012 Continue Reading...
It may not take much to send the markets down these days. A profit miss by Google. A weak revenue showing by McDonalds. Or perhaps the most detrimental data point of the week: Existing home sales fell 1.7% on a year-over-year basis. With interest rates this low, properties have become increasingly affordable. Yet existing homeowners who [...] Continue Reading...
The second presidential debate served up smoke, mirrors, sound and fury. However, it did very little to advance either candidate’s prospects. In brief, the Kabuki theatrical production was entertaining, but it may not have swayed many voters. Shockingly, for all the tax rate rhetoric, neither candidate detailed a vision for avoiding a fiscal cliff calamity. If [...] Continue Reading...
Precious and industrial metal mining stocks were huge gainers during the bond-buying rumor rally. From Draghi’s “do-whatever-it-takes” hint on 7/26 through Bernanke’s QE3 announcement on 9/13, Mining ETFs rocketed more than nearly any other economic sub-segment. Rumor Rally: Metal Mining ETFs Skyrocket On Expectation Of Unconventional Easing % Run-Up (7/26-9/13) Global X Silver Miners [...] Continue Reading...
