There’s one big word we are not hearing this earnings season. There are plenty of issues causing agita for investors this earnings season: China, industrial slowdown, auto sales slowdown. The one word that is not being uttered on conference calls: recession. The U.S. consumer — the engine of global growth — is still holding up,
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A ceremony to start manufacturing new CAT 777A haul trucks at the Caterpillar Tosno factory. Sergei Konkov | TASS | Getty Images With about one-fourth of the S&P 500 reporting third quarter earnings, several high-profile earnings misses have analysts wondering if the long-feared earnings recession may be getting closer. In recent weeks, Federal Express, McDonald’s
Nobel Prize-winning economist Robert Shiller came to the New York Stock Exchange to discuss his new book, “Narrative Economics.” It’s a book about storytelling: Humans understand the world by telling stories, Shiller says. “The most natural thing in our brains to talk about is gossip, okay?,” Shiller said. “We love these stories. We center around
President Donald Trump speaks after announcing and initial deal with China while meeting the special Envoy and Vice Premier of the People’s Republic of China Liu He at the Oval Office of the White House in Washington, DC on October 11, 2019. Nicholas Kamm | AFP | Getty Images After a partial trade deal, what’s
Investing pioneer Charles Schwab came to the New York Stock Exchange floor this week to speak with CNBC about his new book, Invested, a personal memoir of the company’s history. Schwab founded an investing newsletter firm in 1963 that would be incorporated in 1971 and officially become Charles Schwab & Co. in 1973. Price wars:
Traders work on the floor of the New York Stock Exchange. Spencer Platt | Getty Images The market is in a slow melt-up mode on Friday. There was a volume spike at 11:30 a.m. as European markets closed and as the S&P 500 passed the earlier highs of the day at 10:00 a.m. ET, a
It was one of the stranger market moves of the year in an already strange week. After dropping more than 30 points on a disappointing September Non-Manufacturing ISM, the S&P bottomed 10 minutes later and rallied back to 2881, reversing almost all of the losses, and then went positive later in the morning. What happened?
The big miss on the September manufacturing is a big problem for the markets. The S&P moved in a 50 point range, Or 1.6%, lower since the ISM report came out at 10 a.m. ET. This a very large move. Since 1998 the S&P has moved more than 1% on days the ISM has reported
The disappointing debut of Peloton is part of a larger problem: sky high valuations and money losing companies. The at-home fitness company priced at $29, the high end of the $26-$29 range, opened at $27, and closed at $25.76. First SmileDirectClub, than WeWork, then Peloton, then Endeavor, which reportedly shelved its IPO plans less than
Will the WeWork fiasco change the governance structure of upcoming unicorns? WeWork’s IPO implosion centers partly on themes that are at the heart of a hot investment strategy — Environmental Social & Governance (ESG), which emphasizes relations with employees, customers, and stakeholders, as well as the importance of proper corporate governance–leadership, pay, shareholder rights, and
The S&P is just shy of a new high. The issue is whether investors will be willing to push the markets into new high territory now that the Fed has indicated it will wait and see how the economy performs before cutting rates again. With the Fed finished, what’s next for the markets? What gets
Software IPOs are hot. Datadog is the most recent software IPO opening big. The software analytics firm initially sought to price 24 million shares at $19-$22, was quickly upsized to $24-$26, priced at $27, and opened at $40.35. It is not alone. Software as a service (Saas), where a service provider gives customers access to
Why is everyone so pessimistic? A survey of 225 chief financial officers by Duke University shows pessimism on the U.S. economy has been growing steadily this year, despite record low unemployment and a strong consumer. The quarterly Duke University/CFO Global Business Outlook of 225 CFOs found that a majority of U.S. CFOs (53%) believe that
The market is rotating. Value is back. Momentum is out. Cyclicals rule. Defensives are so August. No one wants low volatility. What is it we are rotating out of, and what are we rotating into? There’s a lot of confusion about different ways to slice and dice the markets, and which stocks fall into which
The head of the SEC says more needs to be done to make it easier for companies to go public and that his office is taking a “fresh look” at allowing Main Street investors access to the private capital markets. In a speech to the Economic Club of New York on Monday, SEC Chairman Jay
A man passes a Louis Vuitton store in Macau, China, on Friday, Dec. 10, 2010. Daniel J. Groshong | Bloomberg | Getty Images The impact on earnings from the slowdown in China and the ongoing trade war is not uniform. Halfway through the earnings season, company reports show the much-feared collapse in guidance for the
Traders work on the floor at the New York Stock Exchange, June 5, 2019. Brendan McDermid | Reuters Tuesday marks the halfway mark — more than half of the S&P 500 has reported second half earnings. The good news: 1) Second quarter earnings are providing few surprises — earnings are beating estimates by the usual
What’s the setup for August? Likely more volatile than July. Fed Chairman Jerome Powell threw a modest curve ball at the market Wednesday when he did not automatically endorse additional interest rate cuts. If there is one thing that has made it easier for the bulls to stay bullish, it is the direction of rates.
The No. 1 registered investment advisor in America is annoyed about the state of investment advice in this country. “There is an amazing amount of silly beliefs and bad investment advice floating around,” Ric Edelman, founder and chairman of Edelman Financial Engines, said during an interview at the New York Stock Exchange. He was interviewed
The potential currency war is adding to earnings problems. The realization that the trade war may expand from tariff wars to encompass currency wars is causing some consternation among analysts and strategists who are increasingly confused and uncertain on how to determine 2019 and 2020 earnings estimates. On Tuesday evening, Citigroup said the overhang of