Bernstein upgrades J&J, says valuation is ‘historically cheap’

Would you give up Google for $17,000 a year? The Fed wants to… The Fed is trying to figure out how much free internet services are worth to the economy. Economyread more


Would you give up Google for $17,000 a year? The Fed wants to… The Fed is trying to figure out how much free internet services are worth to the economy. Economyread more
Bernstein upgrades J&J, says valuation is ‘historically cheap’ Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-11  Authors: pippa stevens
Keywords: news, cnbc, companies, bernstein, worth, figure, internet, historically, valuation, services, google, free, wants, tothe, cheap, fed, trying, upgrades


Bernstein upgrades J&J, says valuation is 'historically cheap'

Would you give up Google for $17,000 a year? The Fed wants to…

The Fed is trying to figure out how much free internet services are worth to the economy.

Economy

read more


Company: cnbc, Activity: cnbc, Date: 2019-10-11  Authors: pippa stevens
Keywords: news, cnbc, companies, bernstein, worth, figure, internet, historically, valuation, services, google, free, wants, tothe, cheap, fed, trying, upgrades


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Bernstein upgrades J&J, says valuation is ‘historically cheap’

Would you give up Google for $17,000 a year? The Fed wants to… The Fed is trying to figure out how much free internet services are worth to the economy. Economyread more


Would you give up Google for $17,000 a year? The Fed wants to… The Fed is trying to figure out how much free internet services are worth to the economy. Economyread more
Bernstein upgrades J&J, says valuation is ‘historically cheap’ Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-11  Authors: pippa stevens
Keywords: news, cnbc, companies, bernstein, worth, figure, internet, historically, valuation, services, google, free, wants, tothe, cheap, fed, trying, upgrades


Bernstein upgrades J&J, says valuation is 'historically cheap'

Would you give up Google for $17,000 a year? The Fed wants to…

The Fed is trying to figure out how much free internet services are worth to the economy.

Economy

read more


Company: cnbc, Activity: cnbc, Date: 2019-10-11  Authors: pippa stevens
Keywords: news, cnbc, companies, bernstein, worth, figure, internet, historically, valuation, services, google, free, wants, tothe, cheap, fed, trying, upgrades


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October can be spooky for investors — here’s why experts say not to worry

October has a spooky reputation with investors, but experts say there’s no need to fear the stock market. This month has sometimes been horrifying, historically: Over the past century, three of the darkest days on Wall Street all happened during October. That day, now known as “Black Monday,” “was the worst single-day drop, percentage-wise, in history.” There’s another reason October has a bad reputation, says Lambert: “Market volatility, historically, is higher” in October. “Volatility implies


October has a spooky reputation with investors, but experts say there’s no need to fear the stock market. This month has sometimes been horrifying, historically: Over the past century, three of the darkest days on Wall Street all happened during October. That day, now known as “Black Monday,” “was the worst single-day drop, percentage-wise, in history.” There’s another reason October has a bad reputation, says Lambert: “Market volatility, historically, is higher” in October. “Volatility implies
October can be spooky for investors — here’s why experts say not to worry Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-09  Authors: sam becker, anna-louise jackson
Keywords: news, cnbc, companies, investors, say, spooky, reputation, worst, historically, fear, volatility, worry, great, market, day, heres, lambert, financial, experts


October can be spooky for investors — here's why experts say not to worry

October has a spooky reputation with investors, but experts say there’s no need to fear the stock market.

This month has sometimes been horrifying, historically: Over the past century, three of the darkest days on Wall Street all happened during October.

“The big one is October 1987, when the Dow plunged 22% in a single day,” says Jason Lambert, the president and CEO of Northwest Financial & Tax Solutions, near Portland, Oregon. That day, now known as “Black Monday,” “was the worst single-day drop, percentage-wise, in history.”

The Great Depression began after a market crash in October 1929 and the financial crisis that sparked the Great Recession started with an October market meltdown in 2008.

There’s another reason October has a bad reputation, says Lambert: “Market volatility, historically, is higher” in October. “Volatility implies fear,” he says, “even if it doesn’t mean that the market is moving up or down.”


Company: cnbc, Activity: cnbc, Date: 2019-10-09  Authors: sam becker, anna-louise jackson
Keywords: news, cnbc, companies, investors, say, spooky, reputation, worst, historically, fear, volatility, worry, great, market, day, heres, lambert, financial, experts


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Don’t expect calm markets in October, historically a month for wild swings

The market’s surprising resilience in September, which is typically the worst month for stocks, could also signal the rally is about to lose steam. “One thing we know is the markets don’t stay calm forever and we’ve seen that multiple times this year.” There isn’t a lack of catalysts to drive the market crazy, including upcoming trade talks, third-quarter earnings reports and President Donald Trump’s impeachment saga. Tensions escalated ahead of the highly-anticipated trade talks, which resume o


The market’s surprising resilience in September, which is typically the worst month for stocks, could also signal the rally is about to lose steam. “One thing we know is the markets don’t stay calm forever and we’ve seen that multiple times this year.” There isn’t a lack of catalysts to drive the market crazy, including upcoming trade talks, third-quarter earnings reports and President Donald Trump’s impeachment saga. Tensions escalated ahead of the highly-anticipated trade talks, which resume o
Don’t expect calm markets in October, historically a month for wild swings Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-09-30  Authors: yun li
Keywords: news, cnbc, companies, talks, tensions, volatility, swings, expect, reports, wild, markets, companies, trade, dont, market, calm, historically, stock, month


Don't expect calm markets in October, historically a month for wild swings

The stock market got caught in the perfect storm of escalated trade tensions and impeachment fears in September, but it came out just fine with the S&P 500 poised to eke out a nearly 2% gain. October might be a different story.

October has historically been the most volatile month as the Cboe Volatility Index, or the VIX, tends to peak in the month, jumping to more than 21 points on average over the past 30 years, according to Macro Risk Advisors. The market’s surprising resilience in September, which is typically the worst month for stocks, could also signal the rally is about to lose steam.

“We’ve been spoiled by the lack of volatility this month, and it increases the chances of a little more explosive October,” Ryan Detrick, senior market strategist for LPL Financial, told CNBC. “One thing we know is the markets don’t stay calm forever and we’ve seen that multiple times this year.”

There isn’t a lack of catalysts to drive the market crazy, including upcoming trade talks, third-quarter earnings reports and President Donald Trump’s impeachment saga. Over the past 30 years, more than 190 S&P 500 companies have seen a daily move of more than 1% in October, the most companies in any given month, according to Macro Risk Advisors.

Tensions escalated ahead of the highly-anticipated trade talks, which resume on Oct. 10 in Washington. Reports on Friday said Trump administration officials are considering ways to limit U.S. investors’ portfolio flows into China, including delisting Chinese companies from American stock exchanges.

The U.S. Treasury Department said on Sunday “the administration is not contemplating blocking Chinese companies from listing shares on U.S. stock exchanges at this time.” White House trade advisor Peter Navarro called the reports “fake news” in an interview with CNBC.

Trade tensions, however, will remain a concern even if there are delays in tariffs or other actions.

“We have more conviction that, without a circuit breaker, escalation continues over the medium term, meaning any pause is fleeting,” Michael Zezas, Morgan Stanley’s head of U.S. public policy, said in a note on Monday. “Investors should price in all announced actions even if further delays or pauses are announced.”


Company: cnbc, Activity: cnbc, Date: 2019-09-30  Authors: yun li
Keywords: news, cnbc, companies, talks, tensions, volatility, swings, expect, reports, wild, markets, companies, trade, dont, market, calm, historically, stock, month


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Anxiety-ridden August has investors bracing for a rough September, historically the worst month

Traders and financial professionals work on the floor of the New York Stock Exchange (NYSE) at the opening bell on August 19, 2019 in New York City. It was an August of angst for investors, ahead of what most now expect will be a stressful September. The 6% pullback from the late-July record high to the August lows in the S&P 500 was partially recovered, but in choppy, treacherous fashion. The S&P 500 closed on Sept. 1 last year at 2,913, and finished Friday at 2,926. Strategist Julian Emanuel o


Traders and financial professionals work on the floor of the New York Stock Exchange (NYSE) at the opening bell on August 19, 2019 in New York City. It was an August of angst for investors, ahead of what most now expect will be a stressful September. The 6% pullback from the late-July record high to the August lows in the S&P 500 was partially recovered, but in choppy, treacherous fashion. The S&P 500 closed on Sept. 1 last year at 2,913, and finished Friday at 2,926. Strategist Julian Emanuel o
Anxiety-ridden August has investors bracing for a rough September, historically the worst month Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-09-03  Authors: michael santoli, steve chiavarone
Keywords: news, cnbc, companies, high, york, record, lows, investors, rough, recession, month, bracing, 500, anxietyridden, stock, historically, worst, yields


Anxiety-ridden August has investors bracing for a rough September, historically the worst month

Traders and financial professionals work on the floor of the New York Stock Exchange (NYSE) at the opening bell on August 19, 2019 in New York City.

It was an August of angst for investors, ahead of what most now expect will be a stressful September.

But last month did more damage to the collective psyche than to stock prices. This speaks both to the market’s resilience and to this delicate moment in the economic cycle.

In fact, the upwelling of worry among investors and the broader public reflects the bumpy economic terrain and represents one of the more bullish factors in equities’ favor at the moment.

The 6% pullback from the late-July record high to the August lows in the S&P 500 was partially recovered, but in choppy, treacherous fashion. The index gained or lost at least 1% on 11 days — half of all August monthly trading sessions.

The collapse in Treasury yields toward record lows and the slight inversion of the yield curve — with two-year note yields exceeding the 10-year — generated a crescendo of recession anticipation despite data confirming the U.S. has remained on a 2% GDP path with healthy consumer conditions — for now.

The result is a stock market that sits almost exactly where it was one year ago, but shadowed by late-cycle worries, an entrenched trade conflict and unnerving messages from the global bond market.

The S&P 500 closed on Sept. 1 last year at 2,913, and finished Friday at 2,926. Yet the course taken to the same place has been unusually dramatic.

Strategist Julian Emanuel of BTIG notes that only twice before has the S&P 500 gone from a record high to a 20% decline to another fresh record high within a seven-month span (as it did from last September to April): 1990-91 and in 1998. The first instance straddled the start of a brief recession, the second a global financial shock from emerging-markets meltdowns and hedge-fund implosions.


Company: cnbc, Activity: cnbc, Date: 2019-09-03  Authors: michael santoli, steve chiavarone
Keywords: news, cnbc, companies, high, york, record, lows, investors, rough, recession, month, bracing, 500, anxietyridden, stock, historically, worst, yields


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The stock market’s unusual pattern this week has historically been a big sell signal

The stock market has done something so unusual this week that it has only happened 19 times in the past 30 years, and the strange pattern could be an ominous sign if history is any guide. The S&P 500 fell 1.2% on Monday, followed by a 1.5% rebound in the next session, and Wednesday’s brutal sell-off saw the benchmark losing 2.9% amid the recession signal from the bond market. The rally only lasted for hours as traders got hit by an odd bond market phenomenon on Wednesday that flashed a big reces


The stock market has done something so unusual this week that it has only happened 19 times in the past 30 years, and the strange pattern could be an ominous sign if history is any guide. The S&P 500 fell 1.2% on Monday, followed by a 1.5% rebound in the next session, and Wednesday’s brutal sell-off saw the benchmark losing 2.9% amid the recession signal from the bond market. The rally only lasted for hours as traders got hit by an odd bond market phenomenon on Wednesday that flashed a big reces
The stock market’s unusual pattern this week has historically been a big sell signal Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-14  Authors: yun li
Keywords: news, cnbc, companies, pattern, week, stock, market, wednesdaythe, wall, signal, markets, big, recession, strategist, unusual, sell, selloff, phenomenon, historically, sp


The stock market's unusual pattern this week has historically been a big sell signal

The stock market has done something so unusual this week that it has only happened 19 times in the past 30 years, and the strange pattern could be an ominous sign if history is any guide.

The S&P 500 fell 1.2% on Monday, followed by a 1.5% rebound in the next session, and Wednesday’s brutal sell-off saw the benchmark losing 2.9% amid the recession signal from the bond market. This consecutive whiplash for the S&P 500 — down 1%, up 1% and down 2% — is a rare occurrence in market history and going back to 1928, the index has lost 2.5% on average in the six months after the phenomenon occurred, according to Bespoke Investment Group.

Source: Bespoke Investment Group

For stocks, things could change on a dime these days. Investors, who started Tuesday on edge about the geopolitical uncertainties in Hong Kong and Argentina, were surprised by President Donald Trump’s decision to delay some of the China tariffs, which sent the market soaring instantly.

The rally only lasted for hours as traders got hit by an odd bond market phenomenon on Wednesday that flashed a big recession signal, causing the Dow to plunge a whopping 800 points in its worst day of the year. The Cboe Volatility Index, aka Wall Street’s fear gauge, popped to above 22 on Wednesday.

The market’s wild swings this week caught eyes of some Wall Street strategists, who see the back-and-forths as a troublesome sign.

We “cannot help noticing that the way in which the market is being repeatedly yanked into alternating bouts of optimism and pessimism looks much like the market’s movements when the focus was on a possible resolution to the subprime loan crisis,” Nomura macro and quant strategist Masanari Takada said in a note Wednesday.

The strategist doubled down on his call for a “Lehman-like” sell-off as soon as late August. His call was based on on data showing hedge funds and other players fleeing the market.


Company: cnbc, Activity: cnbc, Date: 2019-08-14  Authors: yun li
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What Democratic debates have historically revealed about the candidates’ skills and character

Presidential candidates Hillary Clinton and Bernie Sanders debate at the CNN Brooklyn Navy Yard Democratic Debate, New York, April 14, 2016. The stakes and unpredictability of presidential debates make compelling television. This week’s Democratic debates, staged by NBC, MSNBC and Telemundo, feature more candidates than the party has ever fielded. But recent history shows the debates can reveal the candidates’ skills and character – even if the two stand at odds. “STRONG ON DEFENSE”The 2004 Demo


Presidential candidates Hillary Clinton and Bernie Sanders debate at the CNN Brooklyn Navy Yard Democratic Debate, New York, April 14, 2016. The stakes and unpredictability of presidential debates make compelling television. This week’s Democratic debates, staged by NBC, MSNBC and Telemundo, feature more candidates than the party has ever fielded. But recent history shows the debates can reveal the candidates’ skills and character – even if the two stand at odds. “STRONG ON DEFENSE”The 2004 Demo
What Democratic debates have historically revealed about the candidates’ skills and character Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-25  Authors: john harwood
Keywords: news, cnbc, companies, clinton, obama, presidential, historically, president, debate, democratic, character, won, debates, revealed, skills, democrats, candidates


What Democratic debates have historically revealed about the candidates' skills and character

Presidential candidates Hillary Clinton and Bernie Sanders debate at the CNN Brooklyn Navy Yard Democratic Debate, New York, April 14, 2016.

The stakes and unpredictability of presidential debates make compelling television. The more candidates, the more unpredictable they become.

This week’s Democratic debates, staged by NBC, MSNBC and Telemundo, feature more candidates than the party has ever fielded. That might leave all 20 delivering brief, introductory versions of their stump speeches, or provoke long shots to seek attention by assailing better-known rivals such as Joe Biden or Elizabeth Warren.

But recent history shows the debates can reveal the candidates’ skills and character – even if the two stand at odds.

Here are five examples over the last 3 decades of what Democratic primary debates can show.

“PROFILES IN COURAGE”

In Dec. 1987, former Arizona Gov. Bruce Babbitt played Elizabeth Warren’s present-day role as as the Democrat most willing to spell out a detailed presidential agenda.

When NBC anchor Tom Brokaw challenged six Democrats to stand up if they supported tax increases, Babbitt rose to his feet alone.

“Not a lot of profiles in courage here,” Babbitt chided his cautious rivals.

Babbitt never took off as Massachusetts Gov. Michael Dukakis captured the Democratic nomination. GOP candidate George H.W. Bush, telling voters to “read my lips – no new taxes,” won the presidency.

But events vindicated Babbitt’s candor. Two years later, President Bush raised taxes.

“ELECTABILITY PROBLEM”

By 1992, Democrats had lost five of the previous six presidential elections. That March, ex-Gov. Jerry Brown of California seized on fears that front-runner Bill Clinton couldn’t win.

“I think he’s got a big electability problem,” Brown said. He cited news reports signaling conflicts of interest between Hillary Clinton’s Arkansas law firm and her husband’s gubernatorial administration.

Clinton flashed the focused, finger-pointing anger that would characterize his response to a later scandal. (https://www.youtube.com/watch?v=K5kUITklALQ)

“You ought to be ashamed of yourself for jumping on my wife,” Clinton said. While rivals attacked him personally, he vowed to prevail as “an agent of change” on behalf of voters.

With political prowess like that, he did. But his subsequent affair with Monica Lewinsky belied his professed devotion to his wife, and in 2000 crippled the electability of his Vice President Al Gore.

“STRONG ON DEFENSE”

The 2004 Democratic debates began on May 3, 2003 – two days after President George W. Bush’s “mission accomplished” speech early in the Iraq War.

Connecticut Sen. Joe Lieberman, Gore’s 2000 running mate, derided rivals Howard Dean for opposing the war and John Kerry for expressing ambivalence.

“No Democrat will be elected in 2004 who is not strong on defense,” Lieberman declared.

Kerry’s middle-ground position prevailed; he won the nomination before losing to Bush in Nov. 2004. But Dean’s stance ultimately triumphed.

In 2006, Connecticut Democrats denied Lieberman their Senate nomination and drove him from the party. In 2008, Illinois Sen. Barack Obama made opposition to the Iraq War a foundation of his presidential bid.

“I WOULD”

In an early 2007 debate, a YouTube questioner asked Democrats if they would meet without preconditions with the leaders of American adversaries Cuba, Iran, North Korea, Syria and Venezuela.

“I would,” Obama immediately replied (https://www.youtube.com/watch?v=x1dSPrb5w_k). He called it “ridiculous” to refuse diplomatic conversations in the belief that it punished those countries.

Eager to cast her less-experienced rival as unprepared on national security, Clinton insisted she would not: “I don’t want to be used for propaganda purposes.”

The Republican National Committee subsequently mocked Obama for displaying weakness. Eventual GOP nominee John McCain did the same.

In the end Obama won, and made Clinton his Secretary of State. Before ending his term, Obama restored diplomatic relations with Cuba and struck a nuclear deal with Iran.

Today, a Republican president’s approach has exceeded anything Clinton envisioned in calling Obama naïve. President Trump has held two fruitless summits with North Korea’s leader; he says the two “fell in love.”

“ENOUGH OF THE EMAILS”

By the first Democratic debate in October 2015, Hillary Clinton had struggled for months with controversy over her email practices as Secretary of State. But her leading rival declined to go there.

“Enough of the emails – let’s talk about the real issues facing the American people,” Bernie Sanders said. The in-person audience, like Clinton, roared its approval. (https://www.youtube.com/watch?v=BrBXcKcviuc)

The issue wouldn’t have helped Sanders in Democratic primaries anyway. His discretion, however, did not make it go away over the following 13 months.


Company: cnbc, Activity: cnbc, Date: 2019-06-25  Authors: john harwood
Keywords: news, cnbc, companies, clinton, obama, presidential, historically, president, debate, democratic, character, won, debates, revealed, skills, democrats, candidates


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Goldman Sachs says value investing is still alive if you play it with this twist

A trader works ahead of the closing bell on the floor of the New York Stock Exchange, June 19, 2019 in New York City. For some, value investing has been left for dead after years of underperformance. However, Goldman Sachs says there’s still life left in the classic factor strategy, especially with the Fed set to cut rates again. “A wide distribution of price-to-earnings multiples has historically presaged strong value returns,” Kostin said in a note Friday. “However, a rotation into value stock


A trader works ahead of the closing bell on the floor of the New York Stock Exchange, June 19, 2019 in New York City. For some, value investing has been left for dead after years of underperformance. However, Goldman Sachs says there’s still life left in the classic factor strategy, especially with the Fed set to cut rates again. “A wide distribution of price-to-earnings multiples has historically presaged strong value returns,” Kostin said in a note Friday. “However, a rotation into value stock
Goldman Sachs says value investing is still alive if you play it with this twist Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-24  Authors: yun li
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Goldman Sachs says value investing is still alive if you play it with this twist

A trader works ahead of the closing bell on the floor of the New York Stock Exchange, June 19, 2019 in New York City.

For some, value investing has been left for dead after years of underperformance. However, Goldman Sachs says there’s still life left in the classic factor strategy, especially with the Fed set to cut rates again.

Goldman says the stage is set for value stocks to come back in favor: The valuation gap between expensive and cheap stocks is now the widest in nine years, which has historically foreshadowed strong performance for value names, according to Goldman’s chief U.S. equity strategist, David Kostin.

“A wide distribution of price-to-earnings multiples has historically presaged strong value returns,” Kostin said in a note Friday. “However, a rotation into value stocks would require a sustained improvement in investor economic growth expectations, potentially driven by global monetary policy easing.”


Company: cnbc, Activity: cnbc, Date: 2019-06-24  Authors: yun li
Keywords: news, cnbc, companies, sachs, play, york, investing, stocks, works, strong, widest, left, set, twist, goldman, value, historically, wide, alive


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These are the industries you want to buy when the bond market is flashing a recession signal

The bond market is flashing a recession warning. On Friday, the U.S. yield curve “inverted” — meaning the yield on the 3-month Treasury rose above the yield on the 10-year note. One year after the yield curve inverts, though, there’s a more definite split. They tend to kick back a consistent dividend and relatively stable earnings regardless of stock market conditions. Autos and technology hardware are among the laggards 12 months after the yield curve inverts.


The bond market is flashing a recession warning. On Friday, the U.S. yield curve “inverted” — meaning the yield on the 3-month Treasury rose above the yield on the 10-year note. One year after the yield curve inverts, though, there’s a more definite split. They tend to kick back a consistent dividend and relatively stable earnings regardless of stock market conditions. Autos and technology hardware are among the laggards 12 months after the yield curve inverts.
These are the industries you want to buy when the bond market is flashing a recession signal Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-03-26  Authors: kate rooney, spencer platt, getty images
Keywords: news, cnbc, companies, months, inversion, stocks, inverts, bond, flashing, buy, historically, yield, industries, stock, market, signal, recession, curve


These are the industries you want to buy when the bond market is flashing a recession signal

The bond market is flashing a recession warning. But certain stock sectors may still hold up.

On Friday, the U.S. yield curve “inverted” — meaning the yield on the 3-month Treasury rose above the yield on the 10-year note. Historically, this means a recession is on the horizon.

The last seven times the yield curve inverted, excluding a 2-week inversion in 1998, the U.S. economy went into recession every single time within 15 months, according to data from Credit Suisse.

“Historically investors have often tried to come up with reasons for why things are different this time around and have often been proven wrong,” Credit Suisse research analyst Andrew Garthwaite said in a note to clients Tuesday.

Stocks may still have a bit more room to run until they take a hit. Six months after the yield curve inverts is typically when stocks peak, Garthwaite said. During the three months after an inversion, the S&P 500 rose by an average 4 percent, and was up 75 percent of the time. But on a longer time horizon — 18 months out — the S&P was down an average 8 percent, and up only 38 percent of the time.

Still, certain sectors do better than others in that environment. In the first three months after the inversion, insurance and industrial stocks show the strongest median out-performance. Semiconductors and consumer durables are historically the biggest laggards.

One year after the yield curve inverts, though, there’s a more definite split. Defensive stocks like healthcare equipment, pharmaceuticals and insurance historically outperform in the 12 months after the yield curve inverts. A defensive stock is something that has constant demand for products and isn’t typically correlated to the rest of the business cycle. They tend to kick back a consistent dividend and relatively stable earnings regardless of stock market conditions.

More “cyclical” stocks, which do rely on market conditions, tend to underperform, according to Credit Suisse. Autos and technology hardware are among the laggards 12 months after the yield curve inverts.


Company: cnbc, Activity: cnbc, Date: 2019-03-26  Authors: kate rooney, spencer platt, getty images
Keywords: news, cnbc, companies, months, inversion, stocks, inverts, bond, flashing, buy, historically, yield, industries, stock, market, signal, recession, curve


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Monthly gains in January and February historically signal a 20% average market advance for the year

A market signal with a nearly perfect track record points to a strong year for stocks, according to S&P Dow Jones Indices. Since the beginning of the year, as of Tuesday’s close, the S&P 500 was more than halfway there, with a nearly 2.8 percent advance for February and a 7.9 percent gain for its best January performance since 1987. The S&P 500 was still about 5.4 percent from its closing record high on Sept. 20, 2018. The stock market tanked in the final three months of last year, culminating w


A market signal with a nearly perfect track record points to a strong year for stocks, according to S&P Dow Jones Indices. Since the beginning of the year, as of Tuesday’s close, the S&P 500 was more than halfway there, with a nearly 2.8 percent advance for February and a 7.9 percent gain for its best January performance since 1987. The S&P 500 was still about 5.4 percent from its closing record high on Sept. 20, 2018. The stock market tanked in the final three months of last year, culminating w
Monthly gains in January and February historically signal a 20% average market advance for the year Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-02-20  Authors: matthew j belvedere
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Monthly gains in January and February historically signal a 20% average market advance for the year

A market signal with a nearly perfect track record points to a strong year for stocks, according to S&P Dow Jones Indices.

“Since 1938, there’s been 30 years where both January and February have been positive. And 29 of those years out of 30 have ended up positive, and big, on average over 20 percent,” S&P Dow Jones’ head of U.S. equities Jodie Gunzberg told CNBC Wednesday.

Since the beginning of the year, as of Tuesday’s close, the S&P 500 was more than halfway there, with a nearly 2.8 percent advance for February and a 7.9 percent gain for its best January performance since 1987.

“We’ve never seen two months in a row ever to have every single segment of the U.S. equity market up,” Gunzberg said in a “Squawk Box” interview. “I think we could have a good year. But I think it’ll look a lot different than it does right now.”

“The strength across the board has been driven by the macro picture,” said Gunzberg, but argued that going forward whether the U.S. and China reach a trade deal or not, there are going to be companies whose stocks will be winners and losers. “I think we’re going to start to see a split in sectors.”

It’s also worth noting that the gains in January alone have often signalled a strong rest of the year. According to the Stock Trader’s Almanac, going back to 1950, the “so goes January, so goes the year” metric has worked 87 percent of the time.

The S&P 500 was still about 5.4 percent from its closing record high on Sept. 20, 2018. The stock market tanked in the final three months of last year, culminating with December’s terrible 9.6 percent decline, the worst final month of the year since 1931. The S&P 500 lost 6.6 percent for all of 2018.


Company: cnbc, Activity: cnbc, Date: 2019-02-20  Authors: matthew j belvedere
Keywords: news, cnbc, companies, market, stocks, gunzberg, 500, average, stock, advance, historically, going, think, 20, strong, monthly, signal, gains, sp, record


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