Posts filed under “Markets”

What is Market Breadth Telling Us ?

During the past few years, I have referred to market breadth as one of the more important metrics of the stock market’s health. As we close in on new highs in the cumulative advance-decline line, it is time to revisit this internal indicator.

As the chart below shows, the Standard & Poor’s 500 Index has rallied from its October lows. But for the past few months it has been unable to break out.

S&P 500 chart

Source: Bespoke

The technical analysts at Lowry Research note that “Although the major price indexes remain at the upper boundary of their respective multi-month trading ranges, the current character of the market . . . still appears to suggest a sustained and decisive upside breakout from the trading range is unlikely over the near term.”

The optimistic description of this in lay terms?: The market is taking a breather.


Continues here: The Reasons for a Meandering Market



Category: Markets, Technical Analysis

Nikkei Dow > 20,000

Great discussion from my pal Peter Boockvar of the Lindsey Group on Japan: The Nikkei closed above 20,000 for the first time since April 2000. Optimism for corporate profitability, higher ROE’s, better corporate governance and a greater focus on satisfying shareholders, along with QE and a weak yen continues to drive performance that will likely…Read More

Category: Markets, Trading

Study on Investment Advisers and Broker-Dealers

Category: Markets, Think Tank

Smaller Manhattan Apartments Keep Getting More Expensive

Source: Curbed

Category: Markets, Real Estate

Succinct Summations of Week Events 4.17.15

Succinct Summations week ending April 17th Positives: 1. The Hang Seng Index crossed 28,000 for the first time since 2007 2. Initial jobless claims rose to 294k vs the 280k expected (bellows 300k for 6 straight weeks). 3. Core CPI rose 1.8% vs expectations of a 1.7% rise. 4. The NAHB index rose to 56,…Read More

Category: Markets

Millennial Disruption Index

Source: Millennial Disruption Index

Category: Digital Media, Economy, Markets

10 Monday AM Reads

Start the workweek — and the beginning of earnings season — right with our hand-curated morning train reads: • The $9 Trillion Short That May Send the Dollar Even Higher (Bloomberg) • Wall Street Banks’ Mutual Funds Can Lag on Returns (NYT) • Diversification: The “Impossible Trade” is working (TRB) • Mourn the fall of the mall: The symbol of US…Read More

Category: Markets

Succinct Summation of Week’s Events 4.10.15

Succinct Summations (for the light) week ending April 10th: Positives: 1. The Nikkei Index broke 20,000 for the first time in 15 years 2. Initial jobless claims 4-week moving average is at the lowest levels since 2000. 3. Markit service PMI rose to 59.2, versus the 58.6 expected. 4. U.S. equities had a nice week…Read More

Category: Markets

Average Returns Are Exceedingly Rare

One of the most fascinating things about markets is the sheer volume of data they generate. Every day, millions of data points get created. The vast majority of this amounts to little more than noise. This endless stream of information leads thousands of us everyday on a hunt for meaningful signal amid the cacophony. Most of the time, we…Read More

Category: Cognitive Foibles, Investing, Markets

S&P 500′s Dubious Market-Cap Weighted Anniversary

  click for larger graphic     The Standard & Poor’s 500 Index is market-capitalization weighted, meaning that companies with higher stock-market valuations have a bigger influence on the index. There has been a cottage industry of criticism about this structure. Recently, it has led to a new world of fundamental indexing and so-called smart…Read More

Category: Analysts, Index/ETFs, Markets, Valuation