“U.S. valuations have moved back to the highs of last fall,” says one strategist, suggesting lower interest rates are already priced in.
The Fed and other central banks are ready to ease policy in order to prevent an economic slump. A few theories on why lower rates are good news for both bonds and stocks.
U.S. stocks closed slightly in the red after a two-day rally in response to the Federal Reserve’s hint that it could cut interest rates. The meeting between President Donald Trump and Chinese President Xi Jinping at the G-20 is coming into focus.
U.S. stocks ended slightly lower Friday, but locked in strong weekly gains after the Federal Reserve indicated on Wednesday it could carry out rate cuts later this year. The S&P 500 was down 0.1% to around 2,951, a day after finishing at an all-time high. The Dow Jones Industrial Average fell 34 points, or 0.1%, to 26,719. The Nasdaq Composite slipped 0.2% to 8,032. The Dow clinched its third straight weekly gain, marking its longest such streak since Feb. 22. The Nasdaq also recorded its third straight weekly rise, its longest such streak since May 3. The blue-chip Dow briefly traded above its record closing high set on Oct. 3, but drifted lower later in the session. IHS Markit said its flash manufacturing purchasing managers index in June dropped to 50.1 from 50.5 in May, the worst reading since Sept. 2009. In company news, shares of Canopy Growth slipped 8% after the marijuana company said pot sales in Canada had declined over the last quarter.
All 3 benchmarks book their third straight weekly gains as stocks rally on Fed-cut hopes
Nasdaq logs 3% gain over 5-day trading period
Ron Muhlenkamp's May Webcast
Royce Funds Commentary: Steve Lipper on 3 Small-Cap Myths
Leon Cooperman, billionaire chairman and CEO of Omega Advisors, says we could be “knocking on the door of euphoria” if the stock market rally continues.
GMO’s 7-Year Asset Class Forecasts: Gap Widens Between Value and Growth
What We Can Learn From Illiquid Stock Returns
Total U.S. consumer debt hit $14 trillion in the first quarter of 2019, surpassing the roughly $13 trillion of leverage accumulated in credit cards, auto loans and mortgages and other debt back in 2008.
Research Affiliates Commentary: Dismiss MMT at Your Peril
There’s one big reason why consumers may want to avoid shopping with Facebook’s new cryptocurrency Libra.
Osterweiss Commentary - Catching the Wave: Why Secular Growth Matters
The world’s No. 1 cryptocurrency is on fire, with a price approaching $10,000, pushing the digital asset near its highest level in more than a year. Here are a few theories about why bitcoin has been zooming higher.
3 Pieces of Investment Advice From Seth Klarman
How to Identify Frauds: A Framework
What We Can Learn From Bill Ackman's Comeback
All eyes on Fed Chairman Jerome Powell on Wednesday
While a hawkish Fed no longer looms large over this aging bull market, Nouriel Roubini, perhaps the media’s favorite permabear, now says the world “has an even bigger problem on its hands.”
Predicting when the next bear market will occur is notoriously difficult. Just ask stock-market timers. But what about predicting the severity of the next bear market?
And The Winner Is: The DJIA
Gravity Felt After Strong Surge
Sierra Mutual Funds Commentary: The Stealth Bull Market in Bonds of the Past Year
Investors seem eager to insure themselves against geopolitical tensions that have flared up in the Middle East and Hong Kong this week, with gold vaulting.
|Key U.S.||Last||Chg||Chg %|
|Dow Jones Industrial Average|
|NASDAQ Composite Index|
|S&P 500 Index|
|Russell 2000 Index|
|Other U.S.||Last||Chg||Chg %|
|Dow Jones Transportation Average|
|Dow Jones Utility Average Index|
|Dow Jones U.S. Total Stock Market Index|
|NASDAQ 100 Index (NASDAQ Calculation)|
|S&P 400 Mid Cap Index|
|NYSE Composite Index|
|Barron's 400 Index|
|CBOE Volatility Index|
|Global Dow Realtime USD|
|The Asia Dow Index USD|
|S&P/ASX 200 Benchmark Index|
|Shanghai Composite Index|
|Hang Seng Index|
|S&P BSE Sensex Index|
|NIKKEI 225 Index|
|FTSE Straits Times Index|
|STOXX Europe 50 Index|
|STOXX Europe 600 Index|
|CAC 40 Index|
|IBEX 35 Index|
|FTSE 100 Index|
|S&P/TSX Composite Index|
|IPC Indice de Precios Y Cotizaciones|
|UnitedHealth Group Inc.|
|Exxon Mobil Corp.|
|Verizon Communications Inc.|
|Nike Inc. Cl B|
|International Business Machines Corp.|
|Goldman Sachs Group Inc.|
|Merck & Co. Inc.|
|Johnson & Johnson|
|American Express Co.|
|Visa Inc. Cl A|
|Travelers Cos. Inc.|
|Procter & Gamble Co.|
|Cisco Systems Inc.|
|JPMorgan Chase & Co.|
|Walgreens Boots Alliance Inc.|
|Home Depot Inc.|
|United Technologies Corp.|
|Walt Disney Co.|