Investors are concerned about the upcoming U.S. presidential election impacting the stock market. Chamath Palihapitiya said the stock market would continue to rise regardless of a Trump or Biden presidency. Stocks are going higher due to the Federal Reserve’s unprecedented support, which is causing asset price inflation. After a tech stock selloff in September, stocks …
Fed Vice Chair Richard Clarida said the central bank would retain low interest rates and let inflation run higher than 2% at times. The Fed’s reassurance isn’t helping the Nasdaq, which has declined by 11.8% since September 2. Investors remain rattled by the pandemic-induced correction despite the Fed’s dovish stance. Federal Reserve Vice Chairman Richard …
Federal Reserve Chair Jerome Powell introduced the central bank’s plan to target a 2% average inflation rate. Since then, strategists have expressed concerns about inflation and the potential risks to market stability it could bring. It poses more selling pressure on the U.S. dollar, which already declined substantially in the past four months. The Federal …
The Dow Jones might be in a consolidation phase after the March bottom, asset manager Todd Gordon says. If a similar pattern as the 2000 dot-com bubble to the 2008 housing bubble follows, U.S. stocks are en route to new highs. The Fed’s 2% average inflation rate, combined with low-interest rates and high global liquidity, …
Chinese stocks are surging ahead of the FOMC meeting, as the SSE Composite rises by 2.06%. Analysts expect a dovish stance from the Fed, which could further catalyze the U.S. stock market. The next 24 hours would be focused on the response of investors to the Fed’s decision, strategists say. Ahead of the highly-anticipated Federal …
The stock market’s valuation is based on nothing concrete; when Q2 earnings come out, it will be a wake-up call for investors. Unless the Fed comes out with a groundbreaking stimulus plan, this rally will run out of juice. Government stimulus isn’t enough to make people spend amid job uncertainty. The U.S. stock market has …
Over 4 million individuals have not been able to pay their mortgage payments for 30 days or more. The housing market may see additional selling pressure as pressure on homeowners mount. Renters have also been unable to afford payments, putting additional risks on leasers. A staggering 4.3 million people have been unable to make their …
Dow Jones Industrial Average (DJIA) futures plough higher again on Monday morning. The Federal Reserve reported a huge drop in demand for its emergency liquidity services – a sign that financial markets are now stable. New York moves to phase two of re-opening, brining 300,000 back to work. Stocks are flying yet again in the …
Stocks are having their worst day in weeks. The drop is being blamed on “concerns” for a second wave of the pandemic. But a struggling labor market, skyrocketing valuations, and a retail investor frenzy are the real catalysts. Stocks are taking it on the chin today. And according to the talking heads, the narrative is …
The stock market is the most expensive it has been in almost two years. Earnings estimates don’t line up with current valuations, which could be a problem come Q2 reporting season. Investors are banking on a fast return to normal, but so far their optimism is supported by nothing more than hope. The stock market …