Stock Market

Global capital is flooding into US markets as many traders return from a long holiday weekend.

Roughly four months after the Christmas swoon in US stocks, sector rotation suggests the bull market is alive and well.

US stock markets stumbled out of the gate to start this week’s trade after a lack of progress on the US-China trade negotiation front this weekend and fresh concerns around Boeing’s prospects. Among the major US indices, the tech-heavy Nasdaq Composite is performing best...

When yesterday’s dueling Democratic and Republican proposals to open the government both failed to garner nearly enough votes in the Senate, it assured that 800,000 government employees would go a whole month without receiving a paycheck. However, it’s often said that “the night is darkest just before the dawn,” and there are some signs that yesterday’s failed votes may serve as the catalyst for a true compromise to end the stalemate.

US stock markets were closed yesterday in remembrance of Dr. Martin Luther King, and given the headwinds the world economy faces, perhaps policymakers could benefit from his overriding message of inclusion and cooperation.

One of the first things that new traders to the FX markets learn is that many currencies are correlated with other markets. For instance, the close relationship between oil and the Canadian dollar or certain metals and the Australian dollar are intuitive given the importance of exporting those commodities for the Canadian and Australian economies.

The minutes from each Federal Reserve meeting are released three weeks after the meeting itself, meaning that they’re generally stale under the best of circumstances...

The last few months have been hard on stock market bulls, to put it lightly...

Brexit developments continue to draw all the headlines, with my colleague Fawad Razaqzada characterizing today’s cabinet resignations as a disaster for PM May. While the updates from the UK continue to come in hot and heavy, we’re aware that some readers may be suffering from “Brexit fatigue”; thankfully, there are plenty of other market opportunities to highlight, including in major US stock indices.

It looks like Donald Trump, like many post-crisis bulls, has finally realised that the markets go up as well as down.

After pausing briefly on this morning’s slightly softer-than-anticipated inflation data (see my colleague Fawad Razaqzada’s post, “Dollar extends but CPI miss not a game changer” for more), US stocks have resumed yesterday’s selling rout. As of writing, the Dow Jones Industrial Average is trading off by another 500+ points, with the S&P 500 falling by more than 2% as well.

The weather isn’t the only thing taking a turn for the worse as summer winds to a close; the so-called FANG stocks (Facebook, Amazon, Netflix, and Google/Alphabet) that led the US stock market as a whole higher throughout the summer have also been backsliding.

It’s become gospel that technology is the most important sector of the US stock market; after all, tech stocks have the largest weighting in the S&P 500 (~26%), and the sector outperformed all others over the last year (+26%).

Following the relentless rally throughout last year, the price action in the major US stock market indices over the last six months has felt like purgatory.

Sentiment among investors continues to remain downbeat owing to a number of global factors, not least trade fears. But I believe that the number one concern for stock market bulls is concerns over rising borrowing costs.

After rallying over 5% in January and then seeing a 11% peak-to-trough drop in February, the S&P 500 has seen quiet price action over the last three months.

Following the Labour Day holiday in much of Europe on Tuesday, trading resumed today with sharp gains for the major indices across the Eurozone.

The US dollar index on Wednesday clawed back a small portion of its recent losses after data from the ADP employment report showed a better-than-expected 235,000 private sector jobs added to the US economy in February.