United States : US: Dollar, yields slide on Fed official rate talk

United States : US: Dollar, yields slide on Fed official rate talk

Nov 17, 2018 (Euclid Infotech Ltd via COMTEX) —

The US dollar weakened and Treasury yields slid on Friday after a top Federal Reserve official said US interest rates were near a neutral rate, while the S&P 500 ended positive after a seesaw session helped by optimism over US-China trade ties.

Oil prices steadied but still posted their sixth straight week of losses. Uncertainty over Britain’s exit from the European Union clouded currency and other markets.

Markets were shaken by comments made by Richard Clarida, newly appointed Fed vice chair, in a CNBC interview that US interest rates were nearing Fed estimates of a neutral rate, and being at neutral “makes sense.”

He also said there was “some evidence of global slowing.”

While the Fed is widely expected to raise rates in December, the number of hikes next year is a matter of debate.

“The big driver right now is Fed speech,” said Guy LeBas, chief fixed income strategist at Janney Montgomery Scott in Philadelphia. “Clarida indicated a modestly dovish bent on Fed policy, and not a particularly aggressive stance.”

On Wall Street, the Dow Jones Industrial Average rose 123.95 points, or 0.49 per cent, to 25,413.22, the S&P 500 gained 5.94 points, or 0.22 per cent, to 2,736.14 and the Nasdaq Composite dropped 11.16 points, or 0.15 per cent, to 7,247.87.

Mr Clarida’s comments helped support stocks, which were also boosted by comments from President Donald Trump on trade.

Mr Trump said he may not impose more tariffs on Chinese goods after Beijing sent the United States a list of measures it was willing to take to resolve trade tensions.

“The market is paying attention very closely to anything surrounding trade,” said Veronica Willis, investment

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United States : Wall Street opens lower

Nov 17, 2018 (Euclid Infotech Ltd via COMTEX) —

US stocks opened lower on Friday, as techology companies suffered sharp losses following disappointing forecasts from chip companies Nvidia and Applied Materials.

The Dow Jones Industrial Average fell 95 points, or 0.3%, to 25194 shortly after the opening bell. The S&P 500 shed 0.4% and the Nasdaq Composite declined 0.9%.

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Lithuania : Nasdaq Launches the Nasdaq Baltic Awards and Dedicated Website

Lithuania : Nasdaq Launches the Nasdaq Baltic Awards and Dedicated Website

Nov 17, 2018 (Euclid Infotech Ltd via COMTEX) —

Nasdaq announced the launch of the Nasdaq Baltic Awards 2019 to celebrate outstanding achievements by Nasdaq Baltic-listed companies in the areas of transparency, sound corporate governance and investor relations.

Recent years have been among the most successful in the Baltic capital markets history, with many companies joining the Baltic regulated market and First North through either stock listings or bonds, said Indars Auks, the Head of Baltic Markets at Nasdaq and the CEO of Nasdaq CSD. I look forward to celebrate the progress of the investment culture in the region together with the Nasdaq-listed champions of investor relations and other stakeholders who have contributed to the growth of the Baltic capital market.

Awards in a total of six categories will be presented during the bi-annual Nasdaq Baltic Awards ceremony: Investor Relations of the Year, Stock Exchange Member of the Year, Best Investor Relations on First North, Best Investor Relations by a Bond Market Newcomer, Article of the Year, and Stock Exchange Event of the Year.

Weve involved local and international capital market experts to develop the Nasdaq Baltic Awards concept. Our aim has been to capture the link between the high quality of each listed company’s investor relations work and shareholder return. The awards will pay tribute to the community of exchange members and advisors as well as to the many other parties that help promote and develop capital market culture in the Baltics, said Daiga Auzia-Melalksne, the Head of Exchange Services at Nasdaq Baltic.

The award winners will be announced on January 31, 2019, during a live video-bridge ceremony in three cities co-hosted by the Nasdaq Baltic stock exchanges in Tallinn, Riga, and Vilnius, and by Nasdaq

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Market Snapshot: Stocks just saw the best earnings season since the financial crisis, and nobody cares

Earnings for S&P 500 companies grew by 25.8% in the third quarter, the strongest performance since the third quarter of 2010, when companies benefited from very attractive, recession-era comparable earnings.

Nevertheless, from the start of earnings season to the close of trade Friday, the S&P 500 index SPX, +0.22% has fallen 2.7%, the Dow Jones Industrial Average DJIA, +0.49% 1.1%, and the Nasdaq Composite Index COMP, -0.15% 5.5%.

“Third quarter earnings were outstanding both on earnings and revenue growth, the percentage of companies beating expectations, and the magnitude of those beats,” Michael Arone, chief investment strategist at State Street Global Advisors, told MarketWatch.

But the selloff that accompanied these announcements is a testament to the fact that “Wall Street doesn’t care what you’ve done in the past. It’s all about what you’re going to do next quarter,” Arone said.

The pairing of rosy earnings announcements and stock market declines can be explained by several big name companies issuing cautious guidance going into the fourth quarter, Tom Essaye, president of the Sevens Report, told MarketWatch.

“The market doesn’t even need most companies to issue weak guidance to trigger a selloff in this environment,” Essaye told MarketWatch. “It’s the top hundred most widely held companies that mostly drive markets.”

Essaye points to Caterpillar Inc.’s CAT, +0.42% earnings as a microcosm of the market overall. The company beat expectations on earnings and revenue, but it’s guidance indicated that the construction-equipment manufacturer is already experiencing rising input costs as a result of new tariffs on steel and other products. Shares fell nearly 13% following its earnings release before subsequently recovering.

“These sorts of details play into existing fears in the market about rising costs and tariffs, which will more than double in January,” if U.S. and Chinese officials can’t strike a trade deal before

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Stocks just saw the best earnings season since the financial crisis, and nobody cares

Earnings for S&P 500 companies grew by 25.8% in the third quarter, the strongest performance since the third quarter of 2010, when companies benefited from very attractive, recession-era comparable earnings.

Nevertheless, from the start of earnings season to the close of trade Friday, the S&P 500 index SPX, +0.22% has fallen 2.7%, the Dow Jones Industrial Average DJIA, +0.49% 1.1%, and the Nasdaq Composite Index COMP, -0.15% 5.5%.

“Third quarter earnings were outstanding both on earnings and revenue growth, the percentage of companies beating expectations, and the magnitude of those beats,” Michael Arone, chief investment strategist at State Street Global Advisors, told MarketWatch.

But the selloff that accompanied these announcements is a testament to the fact that “Wall Street doesn’t care what you’ve done in the past. It’s all about what you’re going to do next quarter,” Arone said.

The pairing of rosy earnings announcements and stock market declines can be explained by several big name companies issuing cautious guidance going into the fourth quarter, Tom Essaye, president of the Sevens Report, told MarketWatch.

“The market doesn’t even need most companies to issue weak guidance to trigger a selloff in this environment,” Essaye told MarketWatch. “It’s the top hundred most widely held companies that mostly drive markets.”

Essaye points to Caterpillar Inc.’s CAT, +0.42% earnings as a microcosm of the market overall. The company beat expectations on earnings and revenue, but it’s guidance indicated that the construction-equipment manufacturer is already experiencing rising input costs as a result of new tariffs on steel and other products. Shares fell nearly 13% following its earnings release before subsequently recovering.

“These sorts of details play into existing fears in the market about rising costs and tariffs, which will more than double in January,” if U.S. and Chinese officials can’t strike a trade deal before

Read More Here...

Why Nordstrom, Gogo, and Williams-Sonoma Slumped Today

The stock market managed to post gains on Friday, with certain parts of the market faring better than others as investors reacted favorably to the possibility of a resolution to trade disputes between the U.S. and China. Among major benchmarks, the Dow Jones Industrial Average fared the best, with more modest gains for the S&P 500 and a small decline for the Nasdaq Composite. Despite relatively optimistic views on the U.S. economy, though, some individual companies reported bad news that held their shares back. Nordstrom (NYSE:JWN), Gogo (NASDAQ:GOGO), and Williams-Sonoma (NYSE:WSM) were among the worst performers on the day. Here’s why they did so poorly.

Nordstrom trips before the holidays

Shares of Nordstrom dropped 14% after the company reported its third-quarter financial results late Thursday. The upscale department store retailer said that revenue climbed 3% on a 2.3% rise in comparable sales, but some investors weren’t pleased to see comps for the full-price side of the business inch higher by just 0.4%. Despite positive comments from executives pointing to good positioning for the holiday quarter and an increase in guidance for the remainder of the fiscal year, investors seemed to want clearer signs that Nordstrom would be able to evolve its business model to embrace digital sales and fight back against e-commerce competition. That will depend largely on how well concepts like the discount Nordstrom Rack and the new Nordstrom Local perform during the holidays.

Image source: Nordstrom.

Gogo looks for more time

Gogo stock plunged 24% in the wake of the in-flight internet service provider announcing that it would restructure its debt in order to extend maturity dates further into the future. According to the announcement, Gogo will offer convertible notes that mature in 2022 in order to repurchase outstanding convertible notes that are due in 2020. Until the new notes

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Corrections don’t dictate what's right for your portfolio

Of all of the jargon used in the investment world, the word investors should hate the most is “correction.”

It is also the word investors may misuse and misapply more than any other as it applies to their own investments.

If you don’t speak stock market, “correction” generally refers to a market move of 10 percent or more.

There is no science behind the term, no mandatory conditions for what goes into it; you can measure a correction from the most recent market peak, or the start of a month or a week, or the day some big policy was announced, or after a few days of volatility. You can hang a correction on virtually any point where the market begins moving quickly and sharply.

But “correction” is almost always used to describe a market downturn, as in “the market got hot at the end of the summer, and then corrected to lower levels less than two months later.”

I hate the term not only because it is imprecise, but because I believe the “correct” direction for the market would be up. That’s the direction stocks should move long-term, so to suggest they are incorrect when prices are rising, and “correcting” only when they go down strikes me as wrong.

I’m not saying that the term isn’t useful – and I am hardly along in loathing the use of the word – but in my experience when average investors start using it, it’s a sign that they are getting antsy and are looking for trouble.

For proof, consider what a difference to mindset a month can make.

For most of September, the Dow Jones Industrial Average, the Standard & Poor’s 500, the Nasdaq Composite and the Wilshire 5000 were trading near or at record highs.

For most of October, however,

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Corrections don’t dictate what's right for your portfolio

Of all of the jargon used in the investment world, the word investors should hate the most is “correction.”

It is also the word investors may misuse and misapply more than any other as it applies to their own investments.

If you don’t speak stock market, “correction” generally refers to a market move of 10 percent or more.

There is no science behind the term, no mandatory conditions for what goes into it; you can measure a correction from the most recent market peak, or the start of a month or a week, or the day some big policy was announced, or after a few days of volatility. You can hang a correction on virtually any point where the market begins moving quickly and sharply.

But “correction” is almost always used to describe a market downturn, as in “the market got hot at the end of the summer, and then corrected to lower levels less than two months later.”

I hate the term not only because it is imprecise, but because I believe the “correct” direction for the market would be up. That’s the direction stocks should move long-term, so to suggest they are incorrect when prices are rising, and “correcting” only when they go down strikes me as wrong.

I’m not saying that the term isn’t useful – and I am hardly along in loathing the use of the word – but in my experience when average investors start using it, it’s a sign that they are getting antsy and are looking for trouble.

For proof, consider what a difference to mindset a month can make.

For most of September, the Dow Jones Industrial Average, the Standard & Poor’s 500, the Nasdaq Composite and the Wilshire 5000 were trading near or at record highs.

For most of October, however,

Read More Here...

Corrections don’t dictate what's right for your portfolio

Of all of the jargon used in the investment world, the word investors should hate the most is “correction.”

It is also the word investors may misuse and misapply more than any other as it applies to their own investments.

If you don’t speak stock market, “correction” generally refers to a market move of 10 percent or more.

There is no science behind the term, no mandatory conditions for what goes into it; you can measure a correction from the most recent market peak, or the start of a month or a week, or the day some big policy was announced, or after a few days of volatility. You can hang a correction on virtually any point where the market begins moving quickly and sharply.

But “correction” is almost always used to describe a market downturn, as in “the market got hot at the end of the summer, and then corrected to lower levels less than two months later.”

I hate the term not only because it is imprecise, but because I believe the “correct” direction for the market would be up. That’s the direction stocks should move long-term, so to suggest they are incorrect when prices are rising, and “correcting” only when they go down strikes me as wrong.

I’m not saying that the term isn’t useful – and I am hardly along in loathing the use of the word – but in my experience when average investors start using it, it’s a sign that they are getting antsy and are looking for trouble.

For proof, consider what a difference to mindset a month can make.

For most of September, the Dow Jones Industrial Average, the Standard & Poor’s 500, the Nasdaq Composite and the Wilshire 5000 were trading near or at record highs.

For most of October, however,

Read More Here...

Corrections don’t dictate what's right for your portfolio

Of all of the jargon used in the investment world, the word investors should hate the most is “correction.”

It is also the word investors may misuse and misapply more than any other as it applies to their own investments.

If you don’t speak stock market, “correction” generally refers to a market move of 10 percent or more.

There is no science behind the term, no mandatory conditions for what goes into it; you can measure a correction from the most recent market peak, or the start of a month or a week, or the day some big policy was announced, or after a few days of volatility. You can hang a correction on virtually any point where the market begins moving quickly and sharply.

But “correction” is almost always used to describe a market downturn, as in “the market got hot at the end of the summer, and then corrected to lower levels less than two months later.”

I hate the term not only because it is imprecise, but because I believe the “correct” direction for the market would be up. That’s the direction stocks should move long-term, so to suggest they are incorrect when prices are rising, and “correcting” only when they go down strikes me as wrong.

I’m not saying that the term isn’t useful – and I am hardly along in loathing the use of the word – but in my experience when average investors start using it, it’s a sign that they are getting antsy and are looking for trouble.

For proof, consider what a difference to mindset a month can make.

For most of September, the Dow Jones Industrial Average, the Standard & Poor’s 500, the Nasdaq Composite and the Wilshire 5000 were trading near or at record highs.

For most of October, however,

Read More Here...