Intra-meeting Tuesday, the Fed delivered a 50-basis-point reduction in the fed funds rate. Stocks yawned, gold rallied and the 10-year T-yield fell to a new low. What gives? Emergency cuts are rare. As are 50-basis-point cuts. Intra-meeting Tuesday, the Fed … Continued
July turned out to be an important month for the S&P 500 large cap index. More than a year after it peaked in May last year, the index reached a new high, rising 3.6 percent for the month. The July … Continued
As of last Thursday (July 21st), as per S&P Dow Jones Indices, 123 of S&P 500 companies reported their 2Q16 results, 81 of them beat on an operating basis, 23 missed and 19 met consensus estimates. On a reported basis, … Continued
The price-to-earnings ratio is probably the most commonly used tool in equity valuation. Within that, all too often, forward earnings are used. Trailing earnings are seldom employed. In and of itself, in a normal cycle, there is nothing wrong with … Continued
For the second consecutive year, U.S. stocks are struggling to get traction in December. Month-to-date, the S&P 500 large cap index is down 0.9 percent. December last year was down 0.4 percent. In fact, before trading began last week, the … Continued
Stanley Fischer, Federal Reserve vice chair, last week stated that U.S. inflation should rebound next year. As things stand now, government data do not show much inflation. In September, consumer prices, measured by the consumer price index, were unchanged in … Continued