US and China tensions are beginning to boil over after China passed a plan to increase its security presence in Hong Kong.
The US State Department no longer considers Hong Kong to have significant autonomy and now threatens to revoke the special current special status it enjoys.
Which US listed companies derive large amounts of revenue from Hong Kong and China? We look at how changes affect these companies and the indexes they comprise.
We see overvalued prices in certain Tech companies, particluarly specific software companies. At the same time, PMIs may have hit near term lows. Can the classic cyclical sectors take the lead from here?
The month of June ranks near the bottom of all months for most of the US indexes. Expect volatility during the third week. After that it tends to only get worse.
This is the first of a new series of monthly research articles designed to help investors build high quality dividend growth stock portfolios for the long term.
AVC Advisory’s Dividend Investing
Research (DIR) uses momentum trading strategies to identify which dividend securities are trading in a positive manner relative to both the market and other income investements.
The best six months of the year for certain US stock indexes has ended. A defensive stance is warranted as the summer months arrive.
Initial Weekly Jobless Claims in the past eight weeks totalled 36.5 million. The good news is the trend is lower. The peak in Initial Claims was two weeks ago, and an immediate precipitous retreat has taken place. Is this an effective indication of the end of the bear market in stocks?
The US stock market in May used to perform buch better than it has in recent years. Still, there is generally a bullish bias in certain stock sectors.
May trading during US election years is generally weak. Caution is warranted, especially in the second half of the month.
So far, April has regained some of this years losses – in fact the NASDAQ is again positive for 2020.
What should investors do now that markets are entering the weakest period of the year? How bad could this year be, actually?
Usually at this time of the year, early-April, stock markets would have had a nice seasonal rally. Well, there is nothing usual about the market or the economy this time.
As of today, the new bear market closing lows were on March 23. From their highs DJIA was down 37.1% and S&P 500 was down 33.9%.
Since then the market has rebounded to trim those losses.
Now we look to position for the worst months of the year ahead.
Everyone seems to be hoping for the stock market to find support here, already so much damage has been done.
A great deal of uncertainty remains for the world economy and health crisis. April looks like a good time for a bear market bounce.
Further out, investors should experience a rough ride in the market this year with quite a bit of choppy trading.