Displaying items by tag: stocks
Goldman Says Don’t Buy the Dip
November was full of volatility, and that's more than leaked into December, but Goldman warned investors about buying the dip hoping for a post Christmas rally. The biggest two threats Goldman sees are ongoing, the new omicron Covid 19 variant and the newfound inflation hawkishness by the Fed. The bear wave has hit a variety of asset classes whether its tech or bitcoin, and their risk appetite is low. The street is mixed however as some indications of omicron is it won’t be severe and Fed actions haven’t taken hold just yet. The VIX is still above its short and longer run moving averages which should keep investors cautious.
FINSUM: There is really no reason to move drastically right now, the Fed will be more transparent in the next couple of months.
The growth potential of smart materials
From temperature-sensitive coatings used for windows to shape memory alloys used in aircraft wings, the widening industrial applications of smart materials ... See More
Non-income Stocks Getting Hurt
Tech stocks had a big fall this week, but it more importantly it was the concentration of tech stocks that hedge funds loaded up on that took the biggest tumble. For instance, Farfetch Ltd. and Snowflake Inc. faced their largest drops since March. Hedge funds have been bullish on growth stocks and the high value/low income stocks set record holdings dating back to 2002. Driving tech’s downfall are rate hikes being priced into yields and undermining stocks hinging on future cash flows, like tech.
FINSUM: Tech stocks are more fragile than ever because profits are dwindling after the pandemic boost, and future rate hikes could cause serious tech blowback.
Today’s income investors face a tough choice
Today’s income investors face a tough choice – hold cash and core bonds paying low rates or extend into higher-yielding markets with more risk and less liquidity. See More
The best portfolios stand strong when the markets don't
The best portfolios stand strong when the markets don't. See More