The 3Q earnings season begins in earnest this week. Leading up to this, the revision trend is up and stocks have come under a little pressure. Post-earnings reaction likely gets influenced by several variables, not the least of which is … Continued
Major US equity indices are a stone’s throw away from their respective highs. Daily momentum indicators are extended. Breakout retests are the path of least resistance. The FOMC meets this week. A 25-basis-point cut to a range of 175 to … Continued
QQQ bulls faced channel resistance a month ago, but defended channel support of different duration. They are, however, facing headwinds of waning momentum. The bull-bear tug of war continues on QQQ (Invesco QQQ Trust). On July 25, bulls were rejected … Continued
The spread between the dividend yield of S&P 500 companies and 10-year Treasury yields has gone negative the last four quarters, albeit not by much. This could exacerbate if – big IF – the White House’s proposed tax cuts pass … Continued
Dividends are a good source of income for Americans. Since Great Recession ended, U.S. personal income rose 35 percent to a seasonally adjusted annual rate of $16.4 trillion in 2Q17, while dividend income jumped 72.3 percent to $968.8 billion. Dividend … Continued
Quite a year 2016 turned out to be! Stocks did not quite get off the starting blocks in an ideal fashion. The S&P 500 large cap index opened 2016 down 1.5 percent on January 4 (was down as much as … Continued
Chart 1 plots dividend yield for the 10 S&P 500 sectors. The data is as of 2Q16, hence financials still include real estate, which last month became a sector within its own right. The chart also includes buyback yield for … Continued
XLP, the SPDR consumer staples ETF, just made a new all-time high on May 10th before backing off, and coming down hard. In contrast, most major U.S. indices peaked last year, and some even earlier, like the Dow Transports, which … Continued
Dividends are an important source of income for U.S. households. In 4Q15, they came in at a seasonally adjusted annual rate of $877.1 billion. On a four-quarter rolling average basis, personal dividend income was $868.2 billion in that quarter – … Continued
“When the facts change, I change my mind. What do you do, sir?” The above remark is often attributed to John Maynard Keynes, the British economist, although some dispute it. Regardless who said it, it is a nice quote. More … Continued